🚀 go-pugleaf

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>I think Beverly is right about a sample of young students being biased
>in favor of merit pay as compared to older students.  I too once
>expected to be a millionaire.  An interesting question is whether a
>changeover occurs in attitudes toward merit pay, and at what point in
>individual development on the job it takes place.


RESPONSE:

One factor I've found in discussing merit pay or pay-for-performance is,
that apart from the risk of bias or subjective evaluation, the dollars
usually provided in corporate merit programs usually aren't perceived as
enough to motivate employees to perform for merit increases. In Canada,
merit increases for high performance seem to fall into the 3 - 5% range in
industries I've been associated with (banking, finance, insurance) which on
a $30M salary amounts to about a maximum of $1500 before taxes (less than
$30 a week). It's simply seen as not enough to justify the effort or
commitment. Work we've done with hospitals indicates that alternative
reward and recognition systems can provide better results.

Chris Hutcheson
IDEA Ltd.
Toronto, Ontario, Canada