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<i>Dear Workforce</i> How Do We Move Away from Across-the-Board Salary Increases and Instead Tie Them Back to Performance

June 30, 2005
Related Topics: Variable Pay, Compensation Design and Communication, Dear Workforce, Compensation
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As a nonprofit, we live and die by our budget. Recently, after freezing wages for two straight years, we managed to squeeze out a 3 percent increase for all employees. The fact that many people have waited so long for an increase made it difficult to slice and dice the relatively small amount of allocated dollars. Still, some employees are grumbling that flat increases aren’t fair. How do we get away from across-the-board increases and tie them back to performance, especially when dollars are scarce?
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