Solving the rewards puzzle: Trends and measures
With organizations designing and implementing total rewards strategies that strike a chord with their employees, we take into account the big factors, trends, and the measures of success that define total rewards in the year 2017.
Jay Schuster and Patricia Zingheim’s 1992 book, The New Pay recognized that the traditional models of compensation do not serve the best interests of organizations and that there is a need to create pay programs and compensation strategies that support organizational success. To quote the flyleaf of this important book: “Traditional pay, although professing to reward performance is actually based on tenure, entitlement and internal equity. In contrast, the new pay practices help form a positive partnership linking employee and organizational performance and providing employees with rewards that correspond to their own success and that of the organization. Viewing pay from the total compensation perspective, new pay ensures the most effective use of each component-base pay, variable pay (incentives) and indirect pay (benefits).”
Clearly, the idea that compensation goes beyond a certain fixed monetary pay, and instead comprises of an array of offerings — ranging...
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