The article is all about HR issues faced in the workplace due to which organizational productivity is affected. It is linked with providing bonus and incentive to the staff members on the basis of their performance. It directly influences their motivation level and has both favourable and adverse impact on company. Descriptions of article
In variable pay program no fixed salary is provided to the employees and they are not able to identify what kind of pay will be provided for them for the work done. Moreover, it has adverse impact on individuals who are unproductive as they are not able to receive proper reward and other form of benefits provided by management. Descriptions of article
In the present report two HR issues have been considered which are variable pay performance based incentive Hr issues
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Through the analysis it has been found that the variable pay program being considered by the companies leads to decline in motivation level of the individuals being present within the workplace. Further, variable pay totally relies on the work done or performance of individual in the organization. In case if staff member is performing efficiently then more reward along with monetary benefits are provided by the management and vice versa Hr issue 1 :Variable pay program
It is the another major HR issue being faced by companies where incentive and other type of monetary benefits are delivered to the staff members on the basis oftheir performance. Further, in case if performance of any individual in company is not up to the mark then it is not possible to take benefit of incentive scheme introduced by company Hr issues 2:Performance based incentive
From the entire study the two issues identified have supported in knowing that providing incentive and reward on the basis of performance affects motivation level of the staff members. Further, in case if any individual is unproductive within the workplace then it is not possible to take benefit of the reward system conclusion
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Belfield, R. andMarsden, D., 2003. Performance pay, monitoring environments, and establishment performance.International Journal of Manpower. 24(4) .pp.452 – 471. The problem with Performance Related Pay., 2013. [Online]. Accessed through http://www.businesszone.co.uk/community- voice/blogs/davidrjack1/the-problem-with- performance-related-pay. [Accessed on 6th April 2016]. References