A Handbook of Human Resource Management Practice

CRITERIA FOR SUCCESS The following are the success criteria for individual contingent pay: ● Individuals should have a clear lin ...

Basis of scheme Pay increases are related to the achievement of agreed results defined as targets or outcomes. Scope is provided ...

Basis of scheme People receive financial rewards in the shape of increases to their base pay by refer- ence to the level of comp ...

circumstances is all ‘smoke and mirrors’. Competence-related pay could be regarded as no more than a more acceptable name for PR ...

The case for contribution-related pay was made by Brown and Armstrong (1999) as follows: Contribution captures the full scope of ...

SKILL-BASED PAY Defined Skill-based pay provides employees with a direct link between their pay progression and the skills they ...

Application Skill-based pay was originally applied mainly to operatives in manufacturing firms, but it has been extended to tech ...

evidence that such is the case. For this reason, skill-based schemes have never been very popular in the UK and some companies h ...

The arguments against service-related pay have convinced most managements, although some are concerned about managing any other ...

722 ❚ Rewarding people Type of Main features Advantages Disadvantages When scheme appropriate Performance- Increases to May moti ...

Are there effective performance management processes that line managers believe in and carry out conscientiously? Are line mana ...

DEVELOPING AND IMPLEMENTING INDIVIDUAL CONTINGENT PAY The 10 steps required to develop and implement individual contingent pay a ...

● clarify team goals and priorities; ● enhance flexible working within teams; ● encourage multiskilling; ● provide an incentive ...

Gain sharing Gain sharing is a formula-based company or factory-wide bonus plan that provides for employees to share in the fina ...

Save-As-You-Earn schemes SAYE schemes must be Inland Revenue-approved. They provide employees with the option to buy shares in t ...

Employee benefits, pensions and allowances EMPLOYEE BENEFITS Definition Employee benefits are elements of remuneration given in ...

normal benefits provided by a business seldom make a direct and immediate impact on performance. They can, however, create more ...

allocated an individual allowance to spend on benefits. This allowance can be used to switch between benefits, to choose new one ...

outside the employer’s control. The trustees are responsible for the pension fund from which pension benefits are paid. The pens ...

to pension rights. It has since been agreed that pensions would not be considered as pay prior to 17 May 1990. Benefits statemen ...