Reward strategy remains a minority pursuit among UK employers
Only a third of employers have a clearly defined written reward strategy, according to a survey by HR magazine in association with WorldatWork. The survey found that more than a third of employers (36%) admit they have no strategy around pay at all, while a further 31% have no written pay strategy.
Three-quarters of those polled (73%) have a bonus scheme in place. As many as 53% of all respondents have paid staff some form of bonus in the past financial year.
Commenting on the findings, Ryan Johnson, vice-president of research at WorldatWork, said: "In terms of recent incentive plan payouts, organisations in the UK appear to have a wide variance of results, with 41% indicating their incentive or bonus schemes paid out at or above the target level. Conversely, 34% said their payout was either below target or that no bonus was paid at all. This is indicative of the wide-ranging effects that the economy is having on different organisations, where some appear to be thriving or at least recovering, while others remain in deep distress."
Want to know more?
Title: “The problem with pay”, HR magazine, 17 January 2011.
Survey sample: HR magazine surveyed 313 business people with a responsibility for HR in their organisation, using an online poll, between September and November 2010. Respondents represented “all sectors of the economy”.
Availability: To read the article online visit www.hrmagazine.co.uk/hro/features/1018910/the-pay.
Each month HR magazine “takes you into the heart of the human resources industry, probing behind the scenes and providing unrivalled coverage of the latest developments in practice”.
To subscribe visit http://subscriptions.markallengroup.com/cgi-bin/go.pl/subscribe/regi-pape.html.
WorldPay: Shaping Reward Architecture
A sale to private equity owners following the nationalisation of its parent, Royal Bank of Scotland (RBS), was the catalyst for a programme of reward and compensation change at WorldPay, a global leader in payment processing. This restructuring of...