Introduce a performance-related pay scheme

Key points

  • Many organisations link employees' pay to their individual performance. Employers that are considering introducing a performance-related pay scheme should decide on the appropriate form of assessment of employee performance and how this will link to the pay review.
  • Employers should operate a transparent process so that employees understand how their performance links to their pay review.
  • The individuals who will conduct performance reviews and allocate pay awards should be appropriately trained.

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