Bonuses and Incentives
Bonuses and Incentives are used by over 70% of organisations (Source CIPD).
But not all bonus and incentive schemes achieve what they were intended to do. All too often, a bonus or incentive is introduced without consideration of the overall pay and benefits package of the employees involved. If basic pay is too low, or too high, compared to the market or bonus being paid, employees may not be driven to achieve the desired objective. The end result could be employee behaviour which is, at best, undesired and, at worst, could damage the organisation.
If you are thinking of introducing or refreshing a bonus scheme, you need sound guidance based on years of experience. You need advice on current pay levels but also on the best bonus or incentive to achieve your business objectives.
Incentives for directors require special advice, based not just on the performance criteria that trigger payments, but also the corporate governance issues surrounding directors’ rewards, especially in companies subject to Stock Exchange rules. Click here for information about Director’s Rewards.
As you would expect, as Experts in Reward, Greystones HR Consulting can advise you in all aspects of bonuses and incentives.