Workers confused about pay: study. (Business Briefs).A recent national study to determine how much employees really know about their compensation shows that most are in the dark about how their base pay and cash bonuses are determined. Most workers think their employers do a good job explaining their performance objectives and how their performance is measured, but are unclear about how performance is related to pay. In summary findings: * A majority (52 percent) are satisfied with the size of their base pay. * Only 41 percent understand how their base pay increases are determined. * Only 40 percent say they know what they can do to increase their base pay. * However, 47 percent understand how the size of their stock option award is determined. The survey, "Knowledge of Pay--Emails from the Frontline front·line also front line n. 1. A front or boundary, especially one between military, political, or ideological positions. 2. Basketball See frontcourt. 3. Football The linemen of a team. ," involved more than 6,000 managers and employees from 26 organizations in North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. . It was sponsored by WorldatWork WorldatWork is headquartered in Scottsdale, Arizona and has another office in Washington, D.C. It is an association for human resource professionals and business leaders, many of whom represent Fortune 500 organizations worldwide. , the not-for-profit Not-for-profit An organization established for charitable, humanitarian, or educational purposes that is exempt from some taxes and in which no one in profits or losses. benefits and compensation professional association, and conducted by Peter LeBlanc Peter LeBlanc (born February 3, 1988 in Hamilton, Ontario, Canada) is a Canadian ice hockey centre drafted by the Chicago Blackhawks in the 7th round 186th overall in the 2006 NHL Entry Draft and is currently playing for University of New Hampshire in the NCAA. , senior vice president at Sibson The village of Sibson, with Upton, is an ancient parish on the border between Leicestershire and north Warwickshire, near Sheepy and Hinckley, now part of the Sheepy Parish Council. Consulting. He believes that employers are not fully leveraging the incentives that come from pay raises and bonuses because they are not communicating effectively with their employees. The survey revealed that pay knowledge was nearly as important as the amount of pay itself in determining workers' overall pay satisfaction. At all income levels, the more knowledge study participants have about their pay system, the more likely they are to be satisfied at work. This was true even at senior management levels. LeBlanc notes, "Management has tended to say less about how pay decisions are made to protect the amount of discretion and judgment that is involved. However, some employers that are being intelligently open about pay are building a stronger bond with workers and managers alike." |
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