On this page, we explain how we review our Compensation Calculator and carry out the Compensation Review Cycle.
GitLab goes through 2 compensation reviews:
The Annual Compensation Review process is currently undergoing iteration and the most up to date timeline can be reviewed in the Total Rewards Schedule.
During the fourth quarter of each year, the Compensation & Benefits team will conduct a compensation review to ensure all team members are paid based on survey data in the compensation calculator. This is not a Cost of Living Adjustment, but instead a review of market changes. Location Factor and Compa Group will continue to be a part of the compensation calculator equation.
The annual compensation review is not directly linked to performance reviews nor the ability to be promoted. Other companies may tie compensation to performance reviews where each team member is rated on a performance scale with a corresponding compensation increase. GitLab’s takes a market based pay approach to annual compensation review by 1) assessing market changes in the compensation calculator inputs and 2) to review the Compa Group of team members to ensure alignment within the range.
The increase percentage may vary for each person. For instance, compa groups are reviewed as part of a compensation adjustment or promotion, which GitLab encourages to happen independently from this review. If a team member was recently adjusted, the annual adjustment might yield no additional salary during the annual compensation review. This review acts as a sweep for each team member’s compensation to be evaluated at least once per year. If there is an increase in Location Factor and/or Benchmark, team members affected will have the new location factors applied to their compensation, but would not receive an automatic percent increase. For example, if the location factor in a region increases by 10% the team member will not receive an automatic 10% adjustment. The team member would receive an increase aligned to their benchmark, location factor, and compa group range taking any budget constraints into account.
View the enlarged version of the process
As part of the new Annual Compensation Review, managers will review, approve, and where necessary update the proposed salary increases to ensure that we are paying each team member to market. Please verify the compensation calculator inputs (compa group, level, title) are accurate.
It is very important that GitLab team-members understand their compa group and how it impact their salary.
While some GitLab team-members may not receive an increase due to already being at the right competitive rate for their Comp Group, Level, Role, and Location there are other circumstances where an increase should be avoided. If there are any reasons as to why the team member should not receive the proposed increase to be aligned with their experience and market in our calculator, please email total-rewards@ domain with the reasoning and cc your People Business Partner. This could be due to a current performance issue, pending termination, etc. If you would like to delay the increase, please outline a proposed plan of action and deadline. Team members who are currently struggling to perform at their current level should have that communicated clearly and the manager should consider delaying the increase until performance reaches a commendable level.
Compaas is GitLab's compensation platform where managers can login, review, change, and submit their proposed increases during Annual Compensation Review.
Process for slate owners:
Process for approvers:
January 2020 was the first annual compensation review using Compaas. Based on some awesome feedback from our GitLab team, we are working to have the following iterations to our process in Compaas before the next cycle. There are certain items that we may not be able to have implemented since any change to Compaas updates their tool for all clients. Where that is the case we will outline that it is a limitation for future reference.
All increases for Annual Compensation Review will be finalized by Feb 1st. FY 2021 compensation will be uploaded into BambooHR no later than Feb 4th for payroll to make changes in all subsequent systems. The Total Rewards team will turn off the ability to see compensation in BambooHR using Employee or Contractor Self Service from Jan 27th until Feb 13th for Employees and until Feb 6th for Contractors. Managers will have the ability to communicate any increases to their team before end of day on the 6th for Contractors and end of day on the 13th for Employees.
Sample communication: "The manager review process for annual compensation review is complete. Based on your compa group evaluation of x, you are receiving an increase of x%."
Please note, the % increases in Compaas are rounded up to the nearest whole number. Please either communicate the amount increase or calculate the % increase to at least the hundredths place for communication:
((FY21 Salary-FY20 Salary)/FY20 Salary).
If your direct report has any questions on the calculation of their increase please feel free to have them reach out to the Total Rewards team.
In the FY22 compensation review cycle, team members will be aligned to their market rate in line with the compensation calculator. The Total Rewards Team is working through alternate options in collaboration with the People Group on implementing a minimum performance increase in the following issue.
In FY21, the budget was 6% of all team members as of October 31, 2019. For the next compensation review which will take place from November 2020 to January 2021 to be effective for Fiscal Year 2022, we will separate the promotion and annual compensation review budget for the following conditions:
Calculating Budget Actuals
Administering the Promotion Budget Quarterly
For team members hired between November 1st and January 31st, participating only in the annual compensation review may mean their compensation is not reassessed for up to 15 months. GitLab has incorporated a catch up review conducted in August for anyone hired in November, December, or January of the previous year. For example, any new hires in Nov 2019 - Jan 2020 would be reviewed in August 2020.
During the annual compensation review, the budget for these team members is separated out to be used in August. If anyone would fall out of the compensation range, the team member would be adjusted immediately, but this would be deducted from the budget used in August.
This review will only take into account a compa group alignment (if any). Team members should not expect an increase, but instead understand that their compensation is being reviewed to ensure alignment to market.
The goal is to align team members who were hired between November 1st and January 31st or who received a 0% increase last Catch-up Compensation review to market. If the team member was accurately hired in at their market value, this may mean they receive little to no increase. Some team members may have a gap in what they were hired at and their market alignment. Catch-up Compensation Review addresses these gaps so the team member isn't misaligned for another 5 months.
Yes, all team members who are eligible for Catch-up Compensation Review will also be included in the next Annual Compensation Review. They will then only participate in Annual Compensation Review going forward.
If the Compa Group submitted is the same as the team member's current Compa Group, their minimum recommended increase loaded into Compaas by the Total Rewards team will be $0. The manager will still have the option to allocate additional funds to the team member during manager review in Compaas subject to budgetary constraints.
If the Compa Group submitted by the manager is lower than the team member's current Compa Group, their minimum recommended increase loaded into Compaas by the Total Rewards team will be $0. No team member will have their compensation decreased as a result of Catch-up Compensation Review. The manager will still have the option to allocate additional funds to the team member subject to budgetary constraints as long as the increase doesn't put the team member over the top end of the range for their role (compa ratio > 1.15).
No, the goal of Catch-up Compensation is to align team members to market who, if we only did Annual Compensation Review, would have had to wait up to 15 months to be evaluated and aligned to market. It is possible that the team member is already aligned to market and will receive no increase as part of this review.
No, VP+ team members have an in-depth analysis conducted at the time of hire to ensure they are paid to market.
There is a set budget that will be shared with Leaders and People Business Partners before manager review in Compaas begins.
Budget was only set aside to review and align team members who are eligible based on hire date or not receiving an increase during last cycle. Everyone will have their Compa Group reviewed in October when there's proper budget for alignment that will take effect February 1st.
No, the manager should be reviewing the knowledge, skills, and ability of their team member today to accurately assess their current Compa Group.
Ranges will be provided where applicable for reference during manager review in Compaas.
Catch-up Compensation Review should be considered an extension of Annual Compensation Review to align team members to market who weren't eligible or didn't receive an increase during Annual Compensation Review. While during Annual Compensation Review, the Total Rewards team reviews and refreshs the inputs to the Compensation Calculator such as benchmarks and locations factors, Catch-up Compensation Review serves to align eligible team members to market based on the Compensation Calculator inputs determined last cycle.
In the Leaderhsip Toolkit you can find a page about Communicating Compensation changes. Specifically to the Catch Up Compensation review below you can find a useful script/explanation to kick off the conversation around the Catch-Up Review.
Kicking off the Catch-Up compensation review conversation: 2 Situations: