Chapter 6. Compensation: How Should Employees Be Paid?

If you want to elicit strong emotions from a group of workers, ask them about compensation. Everyone has an opinion about the subject, most of the time relating to something they believe their organization could be doing better. Yet certain aspects of compensation are shrouded in secrecy and discomfort. Employees often fear requesting raises or are reluctant to ask questions about pay. Similarly, many managers hate responding to requests for raises or cannot answer even the most basic compensation inquiries. When compensation issues are not addressed head-on, they lurk behind the scenes and become sources of rumors, misinformation, and discontent.

The problems that organizations and individuals ...

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