{"id":282,"date":"2006-09-06T12:53:17","date_gmt":"2006-09-06T17:53:17","guid":{"rendered":"http:\/\/selectmetrix.com\/blogs\/?p=282"},"modified":"2006-09-06T12:53:34","modified_gmt":"2006-09-06T17:53:34","slug":"performance-based-compensation","status":"publish","type":"post","link":"http:\/\/selectmetrix.com\/blogs\/2006\/09\/performance-based-compensation\/","title":{"rendered":"Performance-Based Compensation"},"content":{"rendered":"<p>As a lifelong salesperson, I have always contended that all employees should be on some variable, performance-based pay. <a href=\"http:\/\/www.careerjournal.com\/columnists\/theorypractice\/20060829-theorypractice.html?mod=RSS_Career_Journal&#038;cjrss=frontpage\" target=\"_blank\">This article<\/a> from CareerJournal indicates that a trend is forming in this direction.<\/p>\n<blockquote><p><em>Employers are making employees work harder for their money<\/em>.Most workers will receive modest raises this year and next, as employers reward employees with performance-linked bonuses rather than broad salary increases, according to a survey by consulting company Hewitt Associates Inc.<\/p><\/blockquote>\n<p>That first sentence is bunk. I&#8217;m guessing the author has not worked in sales. The better lead would be to state <em>Employees now have a chance to earn far more money for their efforts<\/em>.<\/p>\n<blockquote><p>&#8220;More companies are relying on bonuses as the basis for pay for performance than they are on merit increases,&#8221; says Hewitt consultant Ken Abosch. Bonuses can help employers manage costs and are &#8220;very effective around creating focus&#8221; on business objectives, Mr. Abosch says. Hewitt&#8217;s annual survey included about 1,000 large and midsize U.S. organizations this year.<\/p><\/blockquote>\n<p>Amen to that. The article continues by raising typical questions &#8211; unattainable goals, poor manager reviews and undefined goals. These are all valid concerns, but the strategy of performance pay trumps them all.<\/p>\n<p>The article closes with this gem:<\/p>\n<blockquote><p>Last year, the approximately 60% to 70% of employees who fell within the satisfactory range received merit raises between 2% and 3.5%; they also were eligible for bonuses. The mentality, Ms. Weinstein says, has gone &#8220;<strong>from entitlement to meritocracy<\/strong>.&#8221;<\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"<p>As a lifelong salesperson, I have always contended that all employees should be on some variable, performance-based pay. This article from CareerJournal indicates that a trend is forming in this direction. Employers are making employees work harder for their money.Most workers will receive modest raises this year and next, as employers reward employees with performance-linked bonuses rather than broad salary increases, according to a survey by consulting company Hewitt Associates Inc. That first sentence is bunk. I&#8217;m guessing the author has not worked in sales. The better lead would be to state Employees now have a chance to earn far more money for their efforts. &#8220;More companies are relying on&hellip; <a class=\"read-more\" href=\"http:\/\/selectmetrix.com\/blogs\/2006\/09\/performance-based-compensation\/\">Read More<\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"bgseo_title":"","bgseo_description":"","bgseo_robots_index":"","bgseo_robots_follow":"","jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false},"version":2}},"categories":[11,5],"tags":[],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p5Oho-4y","jetpack-related-posts":[],"_links":{"self":[{"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/posts\/282"}],"collection":[{"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/comments?post=282"}],"version-history":[{"count":0,"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/posts\/282\/revisions"}],"wp:attachment":[{"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/media?parent=282"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/categories?post=282"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/tags?post=282"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}<!-- WP Super Cache is installed but broken. 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