Special Training Programs
Most of training is either technical or behavioural in nature, but there are still other trainings that are neither. These fall under the ambit of special training programs and are conducted with an agenda of smoothening the work process within the organisation. Workforce diversity can be both positive and negative for the organisation. Positive in […]
HR Challenge: Both Ageism and Youngism are Forms of Discrimination at the Workplace!
What are Ageism and Youngism and Why They Matter to America Inc? Of late, there has been much discussion about how the Ageing Boomers are retiring, or on the verge of retirement, while younger Gen Zers are entering the post pandemic workforce, while the Millennials are settling into managerial positions. These workforce trends are indicative […]
Prerequisites for a Performance Management System
Performance management can be regarded as a continuous process managing the performances of people for getting desired results. Performance management is beneficial to all the major stakeholders of an organization by clearly describing what is supposed to be done for attaining certain desired goals. Performance management is the heart of any HR processes in an […]
How HR Managers Can Help Employees Avoid Burnout and Manage Stress
In the increasingly fast-paced and uber-competitive business landscape, stress and burnout are inevitable consequences for employees in organizations that have to adapt and respond to the external pressures through internal excellence. This means that the pursuit of profit-driven excellence creates a high-pressure working environment where burnout and stress often take a toll on the employees. […]
Benefits of Job Rotation
Job rotation is considered as an effective tool for successful implementation of HR strategy. It is about settling employees at the right place where they can deliver the maximum results. In today’s highly competitive world, this can be proved as the best strategy to find the immediate replacement of a high-worth employee from within the […]
In the previous article (Part I) we looked at some of the components of compensation that are paid out to employees and the way in which these components are fixed by HR managers and companies. In this article (Part II), we shall look at some components of compensation like Basic and Variable Pay (including the sub-components of variable pay) and discuss how these are fixed by the firms when they sign off on the compensation packages to their employees.
To take the first component that is common to all packages at all levels (hence the term basic - however, it is not the same for all levels).
If we take the three sub-components of the Variable Pay -
The rationale for these components is that an employee would be better motivated to perform individually, contribute to the group to which he or she belongs and finally, perform well keeping in view the overall growth of the company. Hence, these sub components of compensation have been designed to spur the employee to excel not only in an individual capacity but as a team member and finally, a responsible employee of the company. The idea here is to discourage silo based performance and instead concentrate on all round performance.
In the articles to follow, we shall look at how employees can negotiate their compensation by following some tips that we shall provide.
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Corporate Strategies to beat the Downturn: Cutting Slack and Layoffs
February 12, 2025
