Compensation Analytics is the process of analyzing employee compensation data to ensure fair and competitive pay practices within an organization. It involves examining various factors such as salary, bonuses, and benefits, while also considering market trends and internal equity. This analysis helps organizations make informed decisions about compensation structures and policies. By utilizing data analysis tools and techniques, companies can identify pay disparities, assess the effectiveness of their compensation strategies, and align their pay practices with industry standards. Ultimately, Compensation Analytics supports better talent management and employee satisfaction by promoting transparency and fairness in compensation.