Pay for Performance
| Monday, February 17th, 2014
"Performance appraisals may be time-consuming and one of management’s least-liked tasks, but they are worth the effort from a legal and an HR perspective, says Attorney Tom Makris."
Makris, senior counsel at Pillsbury Winthrop Shaw Pittman, and Rhoma Young, of the HR consulting firm Rhoma Young & Associates, offered tips for ensuring that performance appraisals are used legally and effectively. Their suggestions came in a recent BLR®/HR Hero® audio conference.
From a legal perspective, performance appraisals are important because they can help defend an employer against accusations of discrimination or retaliation. Performance appraisals give employees feedback so they understand the motivation behind adverse actions, Makris said. Therefore, employees are more likely to feel the employer is treating them fairly.
| Thursday, February 13th, 2014
"Yesterday’s Advisor presented Attorney Franck Wobst’s key things you should include in documentation. Today, 9 things not to include, plus an introduction to Employee Compensation in Your State."
Do not include the following in your documentation, says Wobst:
- Personal opinions.
- Rumors or speculation about the employee’s personal life.
- Theories about why the employee behaves a certain way. (Don’t practice psychiatry without a license.) For example, don’t call an employee “crazy.” Instead, document behaviors.
- Legal conclusions. (Don’t practice law without a license.) For example, instead of saying, “Your conduct was sexual harassment,” consider saying “We have concluded that you violated our sexual harassment policy” (which doesn’t necessarily mean that the law has been violated) or “Your massaging Jane’s shoulders on two occasions was inappropriate and must not be repeated.” This makes for a better defense should the complainant sue for sexual harassment.
- Information about the employee’s family, ethnic background, beliefs, or medical history.
- Your opinions about the employee’s career prospects.
- Unsubstantiated accusations.
- Promises or threats.
- “Always” or “never.” For example, “Mike is always late.”
| Tuesday, February 4th, 2014
"In yesterday’s Advisor, consultant Terry Pasteris set out the basics for sales incentives. Today, her tips for communicating and administering your plan, plus an introduction to the all-things-compensation website, Compensation.BLR.com."
Communicating the Sales Incentive Plan
Sometimes Pasteris sees the situation in which there was a great sales plan design but it failed because it was not well understood and appreciated by the salespeople.
To avoid that situation, make sure that you:
- Send an announcement letter, particularly with the new plan that spells out its features.
- Conduct training on the plan so that everyone is clear about how it will play out.
- Provide documentation to the salespeople. Often employers have the salespeople sign to acknowledge that they understand the plan, Pasteris says.
- Seek feedback from the salespeople. This can be face to face or by survey.
| Monday, February 3rd, 2014
"Sales incentives are one of the most complicated challenges in compensation, says consultant Terry Pasteris, but without them, salespeople will go for the easy sale, not necessarily the sale you want."
Sales compensation plans often fail because they are not rooted in careful analysis beforehand. Your plan has to be defined by the market you are in and who your customers and competitors are.
For example, if your customers are all young, you may do your sales work over the Internet; if you sell something with a long sales cycle that requires face-to-face meetings, you may want to be organized by territory.
| Thursday, January 23rd, 2014
"Yesterday’s Advisor featured advantages and disadvantages of having an HRIS (Human Resources Information System). Today, a handy checklist for seeing where your system stands with regard to personnel records, plus an introduction to the all-things-compensation-in-one-place website, Compensation.BLR.com."
HRIS Personnel Records Checklist
The more questions to which you answer “yes,” the better your computer system is able to handle personnel records.
Do you have a computer system for the following personnel records:
| Wednesday, January 22nd, 2014
"What is an HRIS (Human Resources Information System)? Let’s define an HRIS as a software or online platform that assists HR professionals by integrating the management of employee data with the performance of common HR tasks."
What Are the Advantages of HRISs?
- One-stop shopping. One of the most frequently mentioned advantages of the HRIS is that you enter information only once for many HR-related employee tasks. And, similarly, you need to update only one place when employee information changes.
- Integration of data. Furthermore, different parts of the system can “talk to each other” allowing more meaningful reporting and analysis capabilities, including internal evaluations and audits and preparation of data for outsiders.
- Accuracy. Improved accuracy is likely assuming data are entered and manipulated correctly.
- Self service. This feature can be a great timesaver for HR. Employees may enter the system to change data (for example, change their own addresses) and managers and supervisors may enter the system to enter data (for example, performance reviews) or to retrieve data without bothering HR.
- Automated reminders. Systems can schedule events such as performance appraisals and benefit deadlines, automatically notifying and nudging if actions have not been performed.
- Hosting of company-related documents. The system can host such materials as employee handbooks, procedures, and safety guidelines. The materials are easily updated in one place.
- Benefits administration. This could include enrollment, notices, changes, and reporting.
- Recruiting management. This may include applicant tracking, management, and reporting.