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also maam if wage rates are increasing due to inflation then payroll director should increase the wage rate appropriately,
however where HR wants to increase the wage for reasons such as to attract better quality employees then HR director will propose the revision
BUT in both cases any sort of revision to wages need to be approved by BOARD of directors, is that right?
Neither a payroll director nor an HR director would have the authority to change rates of pay without board approval. The board might approve, for example, that a particular pay grade is the minimum wage in which case the HR director (or a compliance director) may be delegated responsibility (and therefore authority) to implement changes.
Depending on the size of an entity, a managing director or CEO may have authority to award pay rises (maybe on the recommendation of the HR director or factory supervisor) but otherwise it’s going to be a board decision – where the finance director and others can recommend why it should be this or that amount or to this or that group of employees.
For example, when I was a managing director, the finance director advised how much was available to pay out in annual bonuses. I then made a proposal to the CEO – which the board as a whole then agreed on.
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