Performance-Related Pay

Essay specific features

 

Issue:

Business

 

Written by:

Tami S

 

Date added:

September 17, 2014

 

Level:

University

 

Grade:

A

 

No of pages / words:

7 / 1848

 

Was viewed:

6743 times

 

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Essay content:

Most notably, performance-related pay plays an important role in economy downturn. Since companies generally have a smaller amount of capital to allocate for compensation during an economy slowdown, offering salary increases or bonuses in varying amounts to the best performers or the most essential employees would be better than giving everyone an equal but minimal increase to their base pay...
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By rewarding good workers, it can increase productivity and secure dominance in potentially lucrative markets (Bates, Mirza & Fox, 2003). Although these bonuses may be very small, it represents a promise to the employees that better performance results in better compensation. In addition to this, forward-thinking companies believe that this is the time to capture market share, by doing things that are uncommon in a down economy to gain competitive advantage (Bates, Mirza & Fox, 2003)...
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