Gene McDermott, a Business Law partner in Edwards Wildman
's Providence office, discussed how the calculation to determine median employee compensation is a new challenge in Business Insurance. In the article, "Determining Median Employee Compensation is New Territory for Employers
," McDermott said, "So for example, it seems like a company could develop a reasonable method to identify the median that does not include pension benefits. If that company then identifies two equally paid workers as being at the median, but one participates in a pension and the other does not, the "denominator' in the ratio could be very different depending on which employee is used, and the ratio could be very different."