Should pay be driven by performance? When and why? Free Essay, Term Paper and Book Report
NTRODUCTION - PLAN OF THE REPORT
I have organized my investigation in the following way. In the first
issue I introduce the historical background of short history of
pay-for-performance system. The second issue handles with particular
types of individual pay techniques including ranges, merit pay and
incentives. There are given only the main characteristics of each
type. The third issue tries to give clear answers on simple questions
about pay - for - performance system's reliability and accuracy.
The fourth issue named Negative evidence creates an opposition to pay
- for - performance advocates. The last issue as the topic says
gives few pros and cons of establishing link between pay and
performance.
HISTORICAL BACKGROUND
Traditional approach to compensation, which was focused on financial
compensation, is characteristic for 60's and 70's of previous
century. The stress was on right classifying of employees into pay
ranges. They pay grades were precious created. This system was
building bureaucracy, sharp hierarchy and vertical communication.
Fringe benefits serv......
Word Count: 1424
Page Count: 5.6 (250 words a page / double spaced)
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