E-reward Education

We deliver brilliant reward courses and compensation & benefits conferences, just pick one! E-reward’s busiest ever schedule of reward training events is here (hosted virtually and in London, Dublin,

GRP Qualification

WorldatWork's partnership with E-reward offers Global Remuneration Professional (GRP)® classroom courses in the UK, Ireland, Frankfurt and Oman. For the next few months, if you can't attend our London

Mastering Reward

E-reward has teamed up with some of the brightest names from today's reward scene to deliver our portfolio of MASTERING REWARD training courses. > Mastering Pay Gap Analytics (virtual

E-reward Events

Forthcoming conferences and exhibitions showcasing good practice in employee reward E-reward has built up an unrivalled reputation since its launch in 1999 in providing in-depth research, superb conferences

Annual Conference

E-reward's annual conference remains the highlight in our calendar and this year is no exception. The full programme for our 2021 events will be available shortly. Comprehensive reward updates and commentary

Showcase Events

E-reward Showcase events feature a full day's informative and interesting seminar programme delivered by a leading reward expert – absolutely free of charge to invited guests. These events are aimed

E-reward Research

Imagine being able to suggest professional and reliable ideas and solutions appropriate to all the reward management issues that regularly crop up. Ideas and comment that really impress with their relevance


Published as part of our paid-for research report service – 'Reward Blueprints' – has undertaken a series major in-depth, state-of-play surveys, examining key aspects of the UK reward


Published as part of our paid-for research report service – 'Reward Blueprints' – a series of refreshingly practical 'how to' toolkits, taking you through the steps that you should follow to plan and

Case Studies

One of the strongest reasons to subscribe to E-reward's research service – 'Reward Blueprints' – is our powerful case-study approach. These in-depth case studies give you an over-the-shoulder view

Digital Archive

The digital library for our paid-for research report service – 'Reward Blueprints'. This extensive body of work comprises an impressive collection of case studies, surveys and toolkits on contemporary

Why Subscribe

As part of a paid-for annual subscription to 'Reward Blueprints', you'll receive a collection of case studies, surveys and toolkits plus free access our digital archive which contains every research report

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E-reward Resources

We've got lots to interest everyone who has responsibility for reward management – and it's written in a practical, problem-solving way. It will give you news, insightful advice and commentary on all

Top Tips

When you've got a bit of time to spare, browse through our Top Tips – advice and guidance to leave you with interesting and workable new ideas.


A collection of practical factsheets on all aspects of reward.


E-reward bites is our regularly updated news service – a quick, concise e-newsletter to keep you right up-to-date with all the latest reward developments. Emailed to you on a weekly basis.


The A to Z of reward management terms: Here, for ready reference, E-reward offers you its at-a-glance guide to definitions of more than 150 compensation and benefits terms.


Your gateway to the best reward resources on the web. Try our structured and comprehensive set of links for the best that the internet has to offer the reward professional. Please note that


Packed with short, readable commentary, to-the-point advice and quick tips, our quarterly journal – The Reward Quarter – is easy to dip in and out of. It's your shortcut to all that's relevant in


When you've got longer to spare, browse through our feature articles written by leading authorities on reward. A place for incisive comment and analysis from reward professionals on the most pressing

Why Register

Register now for free of charge unlimited access to our online resources, plus e-newsletters and quarterly magazine. Registration is quick and easy and we never pass your details on to anyone else. Much

Executive Pay

The E-reward Summit Executive Remuneration Database, launched in 2015, collects this vast tranche of information so that your organisation does not need to – saving you months of work. Summit contains


Our reports provide rigorous, accurate analysis of executive remuneration in both the private and public sectors. Each study is based on large sample sizes. Besides the aggregate figures, each report drills

Executive Pay Team

Our experienced team of reward professionals have spent decades working with executive remuneration data. Steve Glenn, who leads the team, has extensive experience of sourcing and analysing pay information

Commissioned Research and Bespoke Data

Purchase bespoke executive pay data at competitive prices. Drill down to the specific data you require. Our staff and associates have decades of experience of collecting and analysing executive remuneration

Executive Remuneration Database

'Summit' is E-reward's executive remuneration database – A comprehensive and accurate source of timely information on board-level remuneration data sourced from company reports.>>> View a short

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About Us is a leading provider of reward management information through its web site, publications, research, conferences, training and executive pay database. We offer the latest insights


Past delegates and subscribers are our best ambassadors. Here are some extracts of feedback from happy people who have attended E-reward events and purchased our subscription research.


Looking for advertising opportunities on unrivalled opportunity to advertise with the leading online supplier of reward information in the UK is the UK's first web

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It is vital to our business that we maintain the confidence of all users of This privacy policy demonstrates our commitment to maintaining the privacy and confidentiality of all information

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This page contains important information about our Terms and Conditions. Please read these Terms and Conditions carefully before using our site or making a booking for any Courses, Events and Research

Contact Us

We are continually seeking to expand and improve the content of this reward management web site – please let us know what you think of it, and what else you would like to see. welcomes


Each morning we scan the media and trade press for all the latest reward management news. Everything you need to know right now about what's top of the reward agenda.


Welcome to E-reward's 11th Annual Conference 2017Date: Thursday, 2nd Nov. & Friday, 3rd Nov. 2017Venue: Amba Marble Arch, Bryanston Street, Marylebone, London W1H 7EH >> Download joining instructions


Presentations for Sales Compensation 2018 | London now online

Thank you to everyone who attended Sales Compensation 2018 in London last week. The conference brought together leading sales effectiveness experts to discuss some of the key challenges faced by those

Frontline staff unhappiest at work – Personal Group

More than half (56%) of frontline employees are ‘rarely’ or ‘almost never’ keen to get to work in the morning, according to research from employee benefits provider, Personal Group. Young workers

Few employers have policies covering ‘non-traditional’ staff – Deloitte

Only 17% of UK companies have policies and strategies in place covering the use of ‘non-traditional’ labour, for example, freelancers, contractors and ‘gig’ staff, according to research from Deloitte.

Employee engagement bounces back – Aon

Global levels of employee engagement jumped back to an all-time high in 2017 after a dip in the previous year, according to a report from Aon. The firm’s analysis of as many as five million employees

Performance ratings fall in popularity – WorldatWork

The way performance at work is measured is changing as growing numbers of employers ditch a ratings-based system in favour of schemes that measure the ‘how’ in addition to the ‘what’ of performance

Less than a third of NHS staff satisfied with pay

Only 31% of NHS staff were satisfied with their level of pay in 2017, down from 37% in 2016, according to the latest official annual survey by NHS England. Almost 60% report working additional unpaid hours

Employers unprepared for automation challenge – Willis Towers Watson

Automation in the workplace, including the use of AI and robotics, is predicted to surge in the next three years, yet few HR functions are fully prepared to address the organisational challenges this presents,

London tops most-attractive-city ranking – Colliers International

London tops the ranking as Europe’s most attractive city for businesses and employees for the second year running, according to Colliers International’s latest report reviewing cities based on their

German cyber security professionals top pay league – Willis Towers Watson

Cyber security professionals in Germany have median base salaries on average 17% higher than those in the UK, according to data from Willis Towers Watson. For example, the median base salary for a mid-level

Vienna tops global quality of life index – Mercer

Many European cities still offer the world’s highest quality of living and continue to be attractive destinations for expatriates, according to data from Mercer’s annual Quality of Living survey. Vienna

Government committee demands new rights for fathers

Fathers who are employees should be entitled to paid time-off to attend antenatal appointments as a day-one right, according to the report of an inquiry by the parliamentary Women and Equalities Committee.

US firms move to ban salary history questions in recruitment – WorldatWork

A number of US cities and states have passed laws prohibiting employers from asking job candidates about their salary history, prompting more employers to adopt US-wide policies on the issue, according

2.5% pay award is new norm

Employers are predicting that pay awards in 2018 will be at their highest level in almost four years, according to latest data from XpertHR. Private sector organisations expect to make a 2.5% award over

Copenhagen most ‘liveable’ expat European location – ECA International

Copenhagen and Bern offer the best living standards in the world for expatriates, according to a report by global mobility firm, ECA International. Cities in Denmark, Switzerland and the Netherlands offer

UK faces severe workforce crisis by 2025 – Mercer

Brexit and the consequent expected fall in net immigration, coupled with an ageing population, are set to cause a UK workforce crisis, according to data from Mercer’s Workforce Monitor. The firm predicts

Rules on SAYE contribution ‘holidays’ to be relaxed

Employee participants in save-as-you-earn schemes will be able to suspend payments into a scheme for up to 12 months, rather than the current maximum of six months, following confirmation of an autumn

UK comp & ben managers: Take part in the E-reward survey

Welcome to the 2018 E-reward survey of reward management in the UK. All participants will receive a free, in-depth report on publication later this year and automatically entered into a prize draw to win

​UK reward model is failing, says IES

UK employers and policymakers should buck up their ideas on pay practices in order to address low levels of employee engagement and productivity, according to a research paper by the Institute for Employment

Employers not convinced pay ratio reporting will cut inequality – XpertHR

Only a third of employers believe that the introduction of pay ratio reporting will reduce wage inequality between senior executives and other employees, according to XpertHR. Just 13% of the respondents

CuroGPG offers gender pay gap reporting solution

Curo Compensation has launched a solution to enable employers to comply with mandatory gender pay gap reporting. CuroGPG is available on three different price/function levels, from basic for relatively

Demand for temp compliance posts drops 22% – Morgan McKinley

Last year saw a 22% fall in the number of temporary jobs in compliance, according to the latest salary guide from global professional services recruiter, Morgan McKinley. Overall, the contractor hiring

Pay awards hit four-year high – XpertHR

Pay deals in the three months to the end of January 2018 were worth a median 2.5%, according to the latest analysis from XpertHR. This is the highest headline figure for a three-month period since March

One in five employers to introduce financial education – Close Brothers

One in five employers aims to launch financial education initiatives for employees in the next 12 months, according to research from Close Brothers in partnership with the Pension and Lifetime Savings

WM Reply and Greene King launch staff wellness weeks

London technology firm, WM Reply, has run its first wellness week to promote employee health and wellbeing. The week involved a range of activities and wellbeing initiatives, from team push-ups at 2pm

Bereavement leave near universal – XpertHR

Most employers provide paid bereavement leave to staff, according to a survey of 634 organisations by XpertHR. The most common approach for determining the amount of paid leave is to make it dependent

Augmented reality features in benefits comms plans – Aon Employee Benefits

A third of employers questioned for research by Aon Employee Benefits say they plan to use augmented reality in benefits communication in future. Only 13% of organisations responded that technology such

Cross-airline flight gift card launch

A cross-airline flight gift card has been launched in the UK. Flightgiftcard allows employees the freedom to choose and book flights, via its web site, with over 300 airlines to any of 980 destinations

UK employees wants rewards for adopting healthy lifestyle – Willis Towers Watson

A third of UK workers believe employers should reward them for keeping healthy, according to a recent study by Willis Towers Watson. A similar proportion (34%) also responded they would only participate

Workload overwhelming – Qualtrics

Almost half of UK workers (47%) spend the majority of the time feeling overwhelmed by workloads, and 85% say that work is causing them stress, according to research by employee experience company, Qualtrics.

Less than 20% of workers understand the mission – Reward Gateway

Only 19% of employees feel completely informed about their employer’s corporate mission and only 23% feel similarly about the values of the organisation in which they work. These are the findings of

EAPs should monitor financial stress – Neyber

A financial wellbeing company is calling on employee assistance programmes (EAPs) to track and monitor calls involving employees’ financial stress. Neyber co-founder, Monica Kalia, says that EAPs track

Free bike schemes . . . so long as employees use it

A new social enterprise has been launched with the aim of addressing UK workers’ inactivity and obesity. Free2cycle works with organisations, retailers, suppliers and non-cyclists to incentivise regular

More work needed on aligning IT and HR processes – ADP

HR professionals are ‘not prepared to meet the fourth industrial revolution’ and fully embrace new technology, according to research from ADP. Over a fifth of the 2,022 HR decision makers surveyed

Top Employers Institute list for 2018

The Top Employers Institute, a global certifier that recognises excellence in employee conditions, has published its list of UK top employers for 2018. This year’s list of 85 top employers includes 12

Download your free copy of the Spring 2018 issue of The Reward Quarter magazine

Welcome to the latest issue of our reward magazine. In this issue . . . > The real gap: Fixing the gender pay divide The headlines proclaim there's a gender pay gap where women typically earn 20% less

Wagamama fined for failing to pay the minimum wage | BBC News

Wagamama fined for failing to pay the minimum wage | BBC News:— (@ereward) March 9, 2018

Talks on three-year pay deal for NHS staff 'positive' | BBC News

BBC News - Talks on three-year pay deal for NHS staff 'positive'— (@ereward) March 9, 2018

Ministers set to offer NHS staff 6.5% rise | Guardian

GUARDIAN: Ministers set to offer NHS staff 6.5% rise #tomorrowspaperstoday— Neil Henderson (@hendopolis) March 8, 2018

Labour would punish firms for not closing gender pay gaps | Guardian

Labour would punish firms for not closing gender pay gaps @CIPD— Charles Cotton (@CharlesMCotton) March 8, 2018

Next is facing £30m equal pay claim from shop-floor staff | Guardian

Next is facing a demand for up to £30m in back pay from thousands of mainly female shop-floor staff in the first major equal pay claim against a fashion retailer @CIPD—

Gender pay gap reporting – tidying up the loose ends, by Sheila Wild | CIPD Blog Post

Gender pay gap reporting – tidying up the loose ends, by Sheila Wild | CIPD Blog Post:— (@ereward) March 7, 2018

CEO pay rewards what was going to happen anyway | Bloomberg

CEOs get rewarded not for how well they or their companies have done but for how well the stockmarket has performed— High Pay Centre (@HighPayCentre) March 9, 2018

Aon Benefits & Trends Survey shows 41% of employers need to prepare for new tax regulations coming into force in April

Aon Benefits & Trends Survey shows 41% of employers need to prepare for new tax regulations coming into force in April:— (@ereward) March 9, 2018

Paved with good intentions: How employee incentives can go awry | SHRM

Paved with good intentions: How employee incentives can go awry | SHRM:— (@ereward) March 9, 2018

John Lewis staff bonus cut again as profits fall | BBC News

BBC News - John Lewis staff bonus cut again as profits fall— (@ereward) March 9, 2018

Here's advice to help global mobility teams fully understand why it's crucial to review policies and ensure they remain competitive and fit for purpose | ECA International

Here's advice to help #globalmobility teams fully understand why it's crucial to review policies and ensure they remain competitive and fit for purpose: #ECAinsights #GMeffectiveness

Sarah O'Connor: What causes the gender pay gap? The answer is more complicated than you might think | Financial Times

Sarah O'Connor: What causes the gender pay gap? The answer is more complicated than you might think.— Financial Times (@FinancialTimes) March 6, 2018

Is your quota-setting methodology scalable? Perspective from Mark Donnolo

Is your #quota-setting methodology scalable? Perspective from @MarkDonnolo: @SalesGlobe— OpenSymmetry (@OpenSymmetry) March 6, 2018

GRP Qualification

GRP Qualification

Global Remuneration Professional GRP® 2020 – The world's most recognised reward qualification In July, we launched the first week of our Summer School, a fast-track way for you to study for your Global

Total Rewards Management | GR1 – London

Attract, motivate, engage and retain employees with an effective rewards programme An ideal starting point, this basic-level course will teach you what is required to formulate a rewards programme that

Quantitative Principles in Compensation Management | C3E – London

Master HR statistics with Excel This course focuses on general quantitative concepts, basic statistical tools, the mathematics of compensation design and administration, mathematical modelling and regression

Strategic Communication in Total Rewards | GR9 – London

Make sure employees 'Get it' This module gives you an introduction to strategic communication, focusing on total rewards communication. It begins by establishing the purpose and value of strategic

Job Analysis, Documentation and Evaluation | GR3 – London

Matching the right methods to your organisation This course examines the methods and processes that support job analysis, job documentation and job evaluation in order to attract and retain effective

Base Pay Administration and Pay for Performance | GR4 – London

Learn how to design a fair and competitive plan This course provides an in-depth discussion of the principles, design, implementation and evaluation of an employee base pay programme. Exercises will

Variable Pay – Improving Performance with Variable Pay | GR6 – London

Designing for results This intermediate-level course presents the fundamentals of variable pay. The course focuses on compensation strategy and variable pay, definitions and the design and implementation

Market Pricing – Conducting a Competitive Pay Analysis | GR17 – London

Avoiding analysis paralysis This course will provide a consistent and effective methodology for market-pricing benchmark jobs within an organisation. Participants will have an opportunity to develop

International Remuneration – An Overview of Global Rewards | GR7 – London

Total remuneration within global organisations This course offers an overview of total rewards and their role within global organisations. Topics include the development of effective compensation,

Business Acumen for Compensation Professionals | C8 – London

Know how your business works and recognise the relationship between the compensation plan and the bottom line In this competitive, global economy reward professionals are expected to go beyond the technical

International Financial Reporting Standards for Compensation Professionals | T7 – London

Learn the language all rewards professionals should know This course presents an introduction to International Financial Reporting Standards (IFRS). It will provide you with all the understanding you

Mastering Reward

Excel Skills for Reward Professionals: Intermediate Level

Two-day class instructed by the world's foremost Excel for compensation expert – Dianne Auld Date: 28-29 September 2020. Location: central London Duration: Two days, 9am to 5pm. Format: Classroom

Excel Skills for Reward Professionals: Advanced Level

Two-day class instructed by the world's foremost Excel for compensation expert – Dianne Auld Date: 1-2 October 2020. Location: central London. Duration: Two days, 9am to 5pm. Format: Classroom

Mastering Pay Gap Analytics

Two half days, class instructed and developed by Nigel Marriott, independent statistician and fellow of the Royal Statistical Society. Date: 9-10 February 2021. Location: Your PC via zoom. Duration: Two

Building Sales Compensation Formulas

2-for-1 OFFER: Update your sales plans for the next fiscal year!Two-half day virtual classrooms instructed by world-respected sales compensation expert – David Cichelli. Invite your sales compensation

Pay Structuring Virtual Classroom

Three-day virtual classroom instructed by leading compensation expert – Dianne AuldLive Zoom seminar: three morning sessions over three days Date: 16-18 November 2020. Location: Live stream via zoom.

Excel for Reward Masterclasses: 3 afternoon sessions


Using Excel Power Query to Transform your Reward Work

USING EXCEL POWER QUERY TO TRANSFORM YOUR REWARD WORK. AFTERNOON MASTERCLASS #1, LIVE-STREAMED, WITH DIANNE AULD.Date: Thursday 8th October 2020 Time: 1pm to 3pm (London) Duration: Two hours including

Using Regression Analysis and Dynamic Arrays to Transform your Pay Structure Work in Excel


Designing Powerful Excel Dashboards

DESIGNING POWERFUL EXCEL DASHBOARDS. AFTERNOON MASTERCLASS #3, LIVE-STREAMED, WITH DIANNE AULD.Date: Thursday 22nd October 2020 Time: 1pm to 4pm (London) Duration: Three hours including two 10-minute


E-reward Annual Conference 2016

The Reward Management Update 2016. Our 10th Annual E-reward Conference Date: Thursday, 3rd November 2016 & Friday, 4th November 2016 Duration: Two days Venue: Kensington, LondonFees: JUST £300

E-reward Annual Conference 2017

The 11th Annual E-reward Conference Date: Thursday, 2nd November & Friday, 3rd November 2017. Duration: Two days. Venue: Amba Marble Arch, Bryanston Street, Marylebone, London W1H 7EH Fees:

E-reward Annual Conference 2018

The 12th Annual E-reward Conference for comp & ben leadersDate: Thursday, 1st November & Friday, 2nd November 2018. Duration: Two days. Venue: London Fees: Just £400 + VAT per delegate.

E-reward Annual Conference 2021

NEW DATE TO BE CONFIRMED IN COMING WEEKSE-REWARD ANNUAL CONFERENCE FOR REWARD LEADERS2021 LONDONOur 13th annual conference for reward leaders promises to be one of the biggest gatherings of Heads of Reward


Showcase: Compensation Management Software 2017

Tackling software selection with confidence. Featuring a Rewards Toolbox. Complimentary places reserved for senior reward practitioners (in-house only) This unmissable event will go much further than our

Showcase: Sales Compensation 2017

Complimentary places reserved for (in-house) senior reward, sales and finance managers. The UK's biggest sales compensation conference led by SalesGlobe's Mark Donnolo and Michelle Seger, bringing together

Showcase: Sales Compensation 2018

Complimentary places reserved for (in-house) senior reward, sales and finance managers. Europe's biggest sales compensation conference led by SalesGlobe's Mark Donnolo and Michelle Seger, bringing together

Sales Compensation Agenda 2018

Don’t miss out on this superb opportunity to hear from one of the world-leading experts on sales effectiveness and rewards, The Alexander Group's David Cichelli. There are just 30 FREE tickets available.

Financial Wellbeing Showcase 2019

HTML Meta Tag Redirecting to event web site Guest registration is now open for a world-class event focusing on the interests of reward and financial

Webinar: Top 5 Culprits - How Sales Compensation can Sabotage your Corporate Strategy

WEBINAR: Top 5 Culprits: How Sales Compensation can Sabotage your Corporate StrategyDon’t miss out on this superb opportunity to hear from one of the world's leading experts on sales effectiveness and

Showcase: Sales Compensation 2019

Complimentary places reserved for (in-house) senior reward, sales and finance managers. Europe's biggest sales compensation conference led by SalesGlobe's Mark Donnolo and Michelle Seger, bringing together

Sales Compensation Symposium 2021

NEW DATE TO BE CONFIRMED IN COMING WEEKSGuest tickets reserved for 100+ senior reward, sales and finance managers (in-house only). SALES COMPENSATION SYMPOSIUM 2021YOUR NEW HOST: DAVID CICHELLI, THE ALEXANDER

Webinar: Make your People Proud - 30th April 2020

WEBINAR: MAKE YOUR PEOPLE PROUD Creating a Purpose-driven Organisation For those of you who missed this recent employee recognition webinar with Online Rewards, it’s now available on YouTube:

Reward Communication: An Enabler For Change

WEBINAR: REWARD COMMUNICATION: AN ENABLER FOR CHANGEDate: Wednesday 25th NovemberTime: 2pm-3pm GMT Cost: FREE of charge Register: Visit Caburn Hope for free registration – click here: Don’t


Infographic – Women in the boardroom: FTSE 350, SmallCap and Fledgling/Aim companies **FREE Download**

Late last year, we published our study, Women on FTSE 350 Boards: Roles, tenure, share ownership and gender pay, using details relating to around 3,400 executive and non-executive directors in FTSE 350

Women on FTSE 350 Boards **FREE Download**

Roles, tenure, share ownership and gender payDrawing on the extensive data on gender variations contained within the E-reward Summit Database, Steve Glenn – E-reward’s Head of Executive Remuneration

Directors’ Remuneration Summer 2017 Update: FTSE 350, SmallCap & AIM **FREE Download**

It seems that every week there is a new report on executive remuneration but on closer inspection most focus solely on just a small section of the UK board level population, commonly chief executives in

Directors’ Remuneration 2015/16 & Beyond: FTSE 350, SMALLCAP, FLEDGLING & AIM **FREE Download**

Buoyant incentive payments boost directors’ remuneration in FTSE 350 at a time of intense scrutiny. Median single figure total remuneration for FTSE 100 and mid-250 principal directors stands at

NHS Hospital Trusts: Boardroom Pay 2016

NHS hospital trusts are rarely out of the news so it's vital for them to recruit and retain their most talented board-level decision-makers. Remuneration plays an important part in this equation and

FT Global 200 executive pay DATASET 2015

In addition to purchasing the report Worldwide Executive Compensation 2015: Survey of FT Global 200 Companies, we are also making available the raw data (in Excel format) that informs our findings. This

Worldwide Executive Compensation 2015: Survey of FT Global 200 Companies **FREE Download**

Principal directors in the world’s largest global corporations received median remuneration of £5.9 million in 2014.E-reward analysed information on 1,339 directors and NEDs across 182 companies in

FTSE 350 Directors: Remuneration 2014/15 **FREE Download**

The analysis is based on information from the latest available remuneration reports stored on our executive pay database. It draws on data from 71 FTSE 100 companies and 149 from the

NHS Hospital Trusts: Boardroom Pay 2015

NHS hospital trusts are coming under increasing scrutiny so it's vital for them to recruitment and retain their most talented board-level decision-makers. Remuneration plays an important part in this equation

Clinical Commissioning Groups: Boardroom Pay 2015

The NHS is going through a period of unparalleled change, most notably, with the introduction of the clinical commissioning groups. The initial pay guidance levels provided to CCG remuneration committees

A New Remuneration Reporting Environment One Year On: Policy, Practice, and Implications

*** REPORT SOLD OUT ***Far-reaching government reforms in executive pay – affecting the way that companies must report their directors' remuneration and how shareholders vote on it – came into effect


Performance management: Part 2 - Survey

All organisations aspire to motivate and find ways to encourage employees to perform to the best of their abilities. On the face of it, this might seem a relatively straightforward task but on closer inspection

UK Reward Census

With the UK economy going through one of its worst downturns for decades and little hope for a swift recovery, just what is the mood of those working in reward and what are their views regarding the future

Evaluating reward effectiveness: Survey report

This report presents the results of a survey of 173 employers carried out by e-reward in partnership with the Institute for Employment Studies examining current practice and opinions relating to the evaluation

UK Performance Pay 2009: Survey report

This report presents the results of e-reward’s survey into current performance pay policies and practices. It’s a subject of abiding interest. The debate on what works, how well it works and

UK Reward Census 2007

Much has been written recently about the changing focus of the HR profession and its quest for a more strategic role, but very little is known about whether changes have impacted on all aspects of HR practice

The e-reward grade and pay structure survey 2007

Conducted in Autumn 2007, the survey produced up-to-date and revealing information from senior HR and reward practitioners in 98 organisations – in both private and public sectors – on what

The E-reward job evaluation survey 2007

The purpose of this survey is to establish in general the state of play on job evaluation in the UK today. Conducted in late 2006 and early 2007, the survey produced up-to-date and revealing information

What is happening in bonus schemes: part 2 - Survey findings

Our research project provides a unique insight into the lessons that HR and reward specialists feel their organisations have learnt in the course of introducing and running bonuses schemes. As in all our

What is happening in performance management: part 1 - Survey findings

The quantitative and qualitative information generated by the survey provide a wealth of insights into contemporary practices and trends in how UK organisations are addressing the issues that performance

What is happening in grade and pay structures: Survey findings

This e-reward survey produced up-to-date and revealing information from senior HR and reward practitioners in 166 organisations - in both private and public sectors - on what is happening to grade and

What is happening in contingent pay: part 1 - Survey findings

Contingent pay is one of the most common people management techniques but there is something of a dearth of high-quality, timely information on the subject. To fill the information gap,

What is happening in job evaluation: Survey findings 2003

What emerges from our 2003 survey is that job evaluation is very much flourishing in spite of the case made against it by some commentators. This ambitious project produced up-to-date and revealing information


What is happening in company cars 2015: Part 1 – Practice

This two-part report examines latest company car surveys, together with two case studies, to provide a picture of current policy and practice in company car management. The first part of our study was

Update on the Regulation of Pay in Financial Services

Pay in the financial services sector continues to provide ample material for the media, with high-profile bank executives seemingly queuing up to waive their bonuses, whether out of a sense of honour or

Executive pay: Understanding the new regulations

Executive remuneration has been in the headlines as never before in the last few months. The so-called “shareholder Spring” has seen executive pay proposals rejected or subjected to significant

Total Reward Statements: Part 1 - Toolkit and Supplier Directory

Survey after survey has shown that employees rarely appreciate the value of the benefits their employers provide, even though they probably comprise at least 25% of the average organisation’s pay

The regulation of remuneration in financial services

E-reward commissioned Andrew Menhennet, Director of AM Reward Consulting, an independent reward consultancy, to update his 2009 e-reward report summarising the current position in the ongoing development

Attitude surveys toolkit

Attitude surveys are being increasingly used by organisations to measure engagement and obtain the view of employees about particular HR policies and practices, including reward. This toolkit provides

Total rewards toolkit

Total rewards is an approach to reward management which emphasises the need to consider all aspects of the work experience of value to employees, not just a few such as pay and employee benefits. It aims

Evidence-based reward management toolkit

The purpose of this toolkit is to provide practical guidance on the use of evidence-based reward management approaches as a means of improving the effectiveness of reward practices and providing guidance

What is happening in company cars: Part 2 - Policy guidelines

The second part of our research into company cars is designed to provide guidance in the form of a checklist of issues to consider when designing a car policy. This was considered preferable to a “model”

What is happening in company cars: Part 1 - Practice

Company cars remain one of the most desirable employee benefits provided in the UK. Primarily, it is the all-round convenience they offer which makes them so attractive, but the image and status they convey

E-reward reward strategy toolkit

Reward strategy is a business-focused description of what the organisation wants to do about reward in the next few years and how it intends to do it. The purpose of the reward strategy toolkit is to provide

What is happening in bonus schemes: part 3 - Toolkit

The purpose of this e-reward bonus scheme toolkit is to provide practical guidance to any organisation which wants to develop and introduce new bonus schemes, review existing schemes, maintain their effectiveness

E-reward job evaluation toolkit

This e-reward toolkit is about how organisations use job evaluation to determine and manage equitable grade structures and therefore provide the basis for deciding on pay levels taking into account external

E-reward market data toolkit

There are many reasons for using external pay data. These include creating or validating a grade structure or set of pay ranges, checking out the external market before recruiting into a new position,

What is happening in performance management: part 2 - Toolkit

The purpose of this e-reward performance management toolkit is to provide practical advice and guidance to anyone in an organisation which wants to review existing performance management systems and processes

Total reward statements: part 2 - Toolkit and supplier directory

Drawing on the views of 12 leading organisations specialising in the provision of total reward statements, as well as in-house research carried out by e-reward, we examine why interest in total reward

How to develop a competence-related pay scheme

This toolkit offers a practical description of what you need to do in order to develop and implement competence-related pay in your own organisation. It describes a systematic and comprehensive

What is happening in contingent pay today: part 2 - Commentary and Toolkit

This issue is published in two sections: commentary (29-pages; 10,000 words); toolkit (37-pages 13,600 words).Commentary We examine some of the key issues arising from our initial analysis as highlighted

A guide to team rewards

This guide starts with a definition of team pay, followed by a description of the purpose and features of team reward strategies. A good deal of space is devoted to enumerating the pros and cons of team

How to conduct equal pay reviews

Ignoring pay discrimination in reward systems is bad for business. Pay systems that short-change women employees risk costly equal pay claims. This report helps you understand equal pay law and looks

Case Studies

Gemserv’s new reward strategy goes far beyond pay

Over the past three years, Gemserv has carried out two major reviews of its reward strategy. In 2014, the company overhauled its approach to employee benefits, rebranding them and adopting a total reward

PagesJaunes achieves success with new quota-based sales compensation scheme

Following the transformation of PagesJaunes from a print-based company to a mainly digital and online-based advertising business, in 2014 the organisation introduced a new compensation scheme to incentivise

Digital benefits at Three UK

Telecoms giant Three UK is part way through a long-term plan to digitalise its terms and conditions package, including the full range of employee benefits. Our case study examines the challenges it faces

Countrywide: Implementing a cost-effective benefits strategy

Property services company, Countrywide, has developed a two-phase approach to developing and implementing a cost-effective benefits strategy over the past two years, including the introduction of a new

Integrating reward post-acquisition at CooperVision

CooperVision is a US-headquartered, high growth manufacturer and seller of contact lenses and lens care solutions products. It has grown quickly in Europe, as well as Africa and Central Eurasia, through

IBM co-creates a radical new approach to performance management

IBM has decided to reinvent its approach to performance management. The previous, long-standing programme – with its traditional model of annual, top-down goals and a single numeric rating at year-end

Microsoft removes ratings and encourages collaboration

In 2013, Microsoft took a big step. It removed its previous system of performance management – which used a process known as 'stack ranking' to divide employees into five performance categories along

Balancing benefits at Reward Gateway

Employee engagement technology company, Reward Gateway has expanded rapidly over the past ten years. Founded in the UK in 2006, the company now employs over 300 people across Europe, the United States,

Gap Inc. encourages employees to Grow, Perform and Succeed – without ratings

In 2014, global fashion business Gap Inc. launched a new performance management process – Grow. Perform. Succeed. (GPS) – for its headquarters' employees worldwide. It’s now in the process of developing

Recognising Champions at Siemens

A peer-to-peer recognition programme called Champions at global company Siemens has paid out the equivalent of £3.8 million in awards to employees since its launch in May 2009. It’s designed to

Total reward 3: Capital One – Connectivity and unique communications

Capital One has a clear and well-developed approach to total reward. It’s about making connections between all the different elements of reward and capturing what is unique about working at Capital One.

Total reward 2: A total reward model at Arup

Professional services firm, Arup, is in the process of introducing a total reward model across its European, Middle Eastern and African operations; a region of around 5,000 people ('members'), the majority

Total reward 1: A broad approach to total reward at British Sugar

British Sugar adopts a broad view of total reward: pay; benefits; learning and development; and organisational culture. It's new total reward approach was developed against backdrop of large-scale organisational

Cloud-based bonus management at CNH Industrial

Newly-merged global manufacturer, CNH Industrial, introduced a cloud-based compensation solution to help its HR business partners around the world manage short-term incentive payments in spring 2015 and

What is happening in company cars 2015: Part 2 – Case studies

This report, written and researched by, is the second instalment of a two-part study looking at the current state of the company car market in the UK. Part 1, published in Reward Blueprints

Performance management at Rainbow Trust

Rainbow Trust, a charity that supports the families of children with life threatening or terminal illness, introduced performance management in 2010/11 as part of a strategic plan to produce a step-change

Using benefits to boost total reward: Bibby Financial Services and De Montfort University

In this report, written and researched by e-reward, we look at how two very different organisations – Bibby Financial Services and De Montfort University – have overhauled their benefits schemes.Case

Performance management: Part 1 - Case studies

This report, written and researched by e-reward, is the first installment of a two-part research study designed for those new to, or seeking a wider perspective, on performance management. It comprises

Employee share ownership: Part 2 - Case studies

This report, written and researched by e-reward, is the second and concluding part of a research study designed for those new to, or seeking a wider perspective, on employee share plans. It comprises three

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

Scottish and Southern Energy (SSE): Aligning executive reward to the business strategy

Utilities company Scottish and Southern Energy (SSE) is on a 'continuous path' to better align executive reward with its strategic vision as an energy provider for the long-term. SSE remuneration policy

Which?: New career and reward framework

Consumers’ organisation, Which?, has introduced job families and simplified pay bands as part of its strategy to attract and retain new groups of employees and to provide better and more transparent

Specsavers: Structuring reward in a high-growth business

Specsavers was founded in 1984 by Doug and Mary Perkins, who started the business in their spare bedroom on a table-tennis table. The couple had moved to Guernsey after selling a small chain of West Country

Hitachi Europe: Using shared services to streamline benefit provision

Hitachi Europe (HEU), based in Maidenhead, is pioneering a shared-service approach to the provision of employee benefits among its 22 UK-based companies, driven by its compensation and benefits team. The

Xerox Europe: Maximising the employee value proposition

An employee value proposition describes what an organisation stands for, requires and offers as an employer in return for the skills, capabilities and experiences an employee brings to the organisation.

McDonald's Restaurants: Using an employee value proposition to drive engagement

Restaurant group, McDonald’s, has developed a three-pronged employee value proposition (EVP) that provides a “filter” for all its employee engagement activities, including a recent redesign of its

Virgin Media: Managing reward following merger

Entertainment organisation, Virgin Media, is emerging from a period of major organisational restructuring, dating back to its formation out of a merger in 2006 of Telewest and ntl and then the acquisition

Quintiles: Introducing total reward statements in a global context

Pharmaceutical services organisation, Quintiles, has rolled out total reward statements (TRS) to its operations in a dozen countries in Europe, Africa and the Middle East over the past two years, using

KPMG: Towards a European reward strategy

A European merger at professional services firm KPMG prompted an examination of reward practices across the businesses coming together in a new partnership, KPMG ELLP. The process has taken four years

Met Office: Moving to flexible roles and contribution-based pay

The Met Office is one of only a few central government organisations to move away from traditional civil service pay and grading structures based on job descriptions and time-served annual pay increments

Evidence-based reward management: Case studies

We examine the experiences of six diverse organisations and discover how they are wrestling with issues concerning the review, measurement and evaluation of reward systems. The case studies all share a

Employee engagement precedes reward restructuring at CLG

In this case study we examine how the Department for Communities and Local Government (CLG), a relatively new organisation, set up in May 2006, has dealt with the legacy issues arising from the transfer

Reward engagement programme supports corporate rebrand at Aviva

In a move described as “one of the largest financial services rebranding exercises to take place in the UK in the last ten years”, Aviva has recently implemented a major strategy to bring together

Communicating reward: Case studies of Nationwide and Grant Thornton

The increasing complexity of modern remuneration arrangements brings with it new challenges in developing communication systems of sufficient sophistication - yet also clarity - to ensure effective employee

Tesco: Global consistency with local flexibility - developing and implementing reward plans in different international markets

In this case study, written and researched by e-reward, we examine how Tesco’s approach to reward has evolved over the last decade, from the principles agreed by the board ten years ago to arrangements

Managing performance: Case studies of CEMEX UK and DHL

E-reward has undertaken an in-depth, case-history research project, covering five very different organisations, on every aspect of performance management to find out more about its application in today's

Managing performance: Ladbrokes Betting and Gaming Limited

Ladbrokes operates in a market characterised by increasingly tough trading conditions. To maintain its number one position, the company has focused closely on how to deliver a high performance culture

Managing performance: Case studies of Hitachi and RCN

Performance management is a systematic process for improving organisational performance by developing the performance of individuals and teams. It is a means of getting better results from the organisation,

Making recognition really work at Comet

In this case study, written and researched by e-reward, we examine why recognition is seen as such an integral part of reward and employee engagement for one of the UK’s leading electrical retailers,

What is happening to the reward function: Case studies

HR and reward functions have faced the prospect of major transformations in recent years that involved taking on a more strategic role in support of the business. The second and final phase of our study

The E-reward job evaluation case studies 2007

This two-part study by e-reward aims to provide you with invaluable decision-making information on all aspects of developing and implementing job evaluation schemes. Part 1, our survey, was published in

What's happening in employee benefits today: Case studies

This report draws on case-study interviews carried out by e-reward and examines the approaches adopted by nine organisations to the introduction and management of flexible benefits, voluntary benefits

Organisational redesign separate from new pay structure at Orange

In 2005, Orange was facing increased competition and organisational challenges as mobile telephony, broadband and TV started to "converge". But the rapid expansion of the company, which had led

Implementing job families at University of Nottingham

In many senses, Nottingham is ahead of the higher education sector, both with respect to developing a response to the emerging national pay arrangements and in deciding to introduce job families and a

British Library modernises reward despite public sector pay restraint

Once burdened with an archaic pay structure, the British Library can now give anyone a run for their money with its new, modern approach to total reward. Unlike many other parts of the public sector, the

Camelot uses fairness and transparency to boost creativity and growth

Camelot operates the National Lottery. It is a private company employing 950 employees in offices throughout the UK. After nearly not winning the second licence for the lottery, Camelot told e-reward that

What is happening in bonus schemes today: part 1 - Case studies

Bonus schemes are one of the most common reward management practices, but there is something of a dearth of high-quality, practical information on the subject. To fill this information gap,

Elan Computing relaunches benefits to increase take up

Elan Computing is one of the largest information technology and telecommunications recruitment companies in the world. Its current annual turnover is £500 million. Elan believed that its benefits

Bristol-Myers Squibb uses total reward to boost recruitment

Bristol-Myers Squibb is a US-owned pharmaceuticals company with a full range of employment policies and practices. Staff expressed confusion over the reward package. Not only was there a lack of understanding

The new reward framework at BT

BT, one of Europe's leading providers of telecommunications services, is currently in the midst of a radical transformation of its business in a fiercely competitive and highly regulated market. Without

Recognition schemes - Case studies

This study comprises seven case studies as well as an overview of some of the key issues. Via a series of case histories, we learn first-hand from the practical experience of seven organisations with

FSA moves from job evaluation to job families

Many organisations adopt entirely new pay arrangements when faced with the pressing need to harmonise pay and benefits for staff who were previously employed by firms which have been acquired or been part

Centrica Business Services harmonises using total reward

In this case study, we see how a company which has inherited legacy terms and conditions has used total reward as a means of harmonising pay and flexing benefits, with the full co-operation and participation

Airbus overhauls white-collar pay

In Airbus UK, the principle of performance pay had long been argued over, and resisted by the unions. But a partnership approach to the issue, whereby unions and management work together to resolve organisational

Total reward statements: part 1 - Case studies

This two-part report aims to provide you with invaluable decision-making information on all aspects of developing and implementing a total reward statement. Part 1 comprises nine case studies as well

Unilever uses variable pay to change managerial focus

This case study examines how a traditional, devolved organisation has used its approach to reward to move from a long-term strategic focus to one which is more flexible and responsive to short-term challenges.

Developing a pay-for-performance philosophy in a financial services company

The company's reward and performance management beliefs, policies and practices are built on the notion of providing attractive rewards within a well-managed, performance-based culture, underpinned by

COLT Telecom breaks away from the dot-com model with consolidation and new pay structure

COLT is a telecoms company, employing 4,000 people worldwide; 1,200 in the UK. Established in 1993, its employment model was similar to that of many telecom and dot-com organisations which came and went

Friends Provident uses broad bands to enable differentiation by discipline, performance and region

To support culture change needed for demutualisation in 2001, financial services group Friends Provident introduced five broad career bands with generic skills and competency levels. Our case study investigates

Total reward supports acquisition and mass customisation strategy at RBS

Alongside and in harmony with its acquisitions policy, Royal Bank of Scotland has another strategic imperative - mass customisation - which involves providing employees with customised and personalised

Pay in a high performance organisation: Lloyds TSB

Like all large organisations whose success depends on the quality of their staff, Lloyds TSB's approach to pay has changed over the years. Managing pay effectively means striking a balance between remaining

Strategic reward at Diageo

Diageo is widely recognised as one of the world's leading consumer goods businesses. Our case study illustrates that reward strategy formulation is very much an evolutionary process. Reward strategy at

Total reward and pay for performance drives GSK merger

When Glaxo Wellcome and SmithKline Beecham merged to form GlaxoSmithKline in 2000, the organisation adopted a new approach to reward. This stresses pay for performance and increases the proportion of pay

A guide to strategic reward: part 2

We examine via a series of in-depth case histories and a brief questionnaire the approaches adopted by leading organisations to the integration of reward strategies with business and HR strategies. Reward

Involvement, progression and fun drive reward agenda at Lands' End

We learn first hand from the practical experience of a pioneering organisation in the total reward field, Lands' End. This case history offers a unique insight into how this Rutland-based catalogue clothing

The evolution of a total reward strategy at B&Q

In February 2001 B&Q, the UK's leading home improvement retailer, embarked on a root and branch shake up of its reward strategy and policies. The pretext for switching from a fairly traditional pay

Xansa uses creative reward solutions and new HR structure to manage a diverse workforce

Xansa, the IT and business services company, is constantly acquiring, through TUPE transfers, new employees on terms and conditions which differ substantially from those of its own workforce. This presents

Broadbanding increases flexibility at Tesco

Tesco is expanding rapidly, it is opening more stores, using different store formats, and operating overseas. The retailer found that its 22-grade pay structure and job evaluation processes were inflexible

Using flexibility to make PwC a great place to work

PricewaterhouseCoopers considers itself engaged in the "war for talent". It recruits hundreds of graduates each year, and seeks to attract the best. The average age of the firm's employees is

Merger prompts new approach to reward at Norwich Union Insurance

When Norwich Union Insurance merged with CGU, it was faced with a stark choice: whether to harmonise or to opt for a completely new reward approach. Not wanting to keep employees in suspense while it went

A more strategic and flexible approach to reward at Nationwide

The Nationwide Building Society is a "values driven organisation", which identifies "employee importance" as one of its core values. A need for increased employee flexibility, improved


Reward management: An overview

What is reward management? Reward management is concerned with the formulation and implementation of strategies and policies the purposes of which are to reward people fairly, equitably and

Total reward

What is total reward?The total reward concept emphasises the importance of considering all aspects of reward as an integrated and coherent whole. Each of the elements of total reward are linked together,

Reward policy

What are reward policies?Reward policies set guidelines for decision-making and action. They indicate what the organisation and its management are expected to do about managing reward and how they will

Job engagement

What is engagement?Engagement indicates the extent to which people are committed to their work. People are engaged with their jobs when they are interested in their work and enthusiastic about what they

Psychological contract

What is a psychological contract?A psychological contract is a reciprocal relationship between employees and their employers which is expressed as a set of beliefs about what they expect of one another.

Role analysis

What is role analysis?Role analysis is the process of establishing the key facts about a role in terms of its overall purpose, key result areas and knowledge and skill requirements. The analysis may deal

Graded pay structures

What is a graded pay structure? A graded structure consists of a sequence of job grades to which pay ranges are attached and into which jobs of broadly equivalent value are placed. There are two types:

Broad-banded pay structures

What is a broad-banded pay structure?Broad-banded structures have four or five wide "bands" as distinct from the narrower grades in a graded structure.What are the characteristics of the original concept

Career and job family pay structures

What is a job/career family? A job or career family consists of jobs in a function or occupation such as marketing, operations or finance which are related through the activities carried out and the basic

Performance management

What is performance management?Performance management is a strategic and integrated process which delivers sustained success to organisations by improving the performance of the people who work in them

Performance-related pay

What is performance-related pay?Performance-related pay (PRP) enables individuals to receive financial rewards in the form of increases to basic pay or cash bonuses which are linked to an assessment of

Competence-related pay

What is competence-related pay? Competence-related pay enables people to receive financial rewards in the shape of increases to their base pay by reference to the level of competence they demonstrate in

Variable pay

What is variable pay?Variable pay consists of cash bonuses that are awarded for performance or special achievements and are not consolidated in basic pay. It is sometimes called "pay at risk" or "re-earnable

Team pay

What is team pay?Team pay links payments to members of a formally established team to the performance of that team. The rewards are shared among the members of the team in accordance with a published formula


What is gainsharing?Gainsharing is a formula-based company or factory-wide bonus plan which provides for employees to share in the financial gains made by a company as a result of its improved performance.

Expatriate pay

What policies should be adopted for expatriates?As businesses expand globally, they tend to send an increasing number of staff abroad as expatriates. The assignment may be a short-term attachment to provide

Non-financial rewards

What are non-financial rewards?Non-financial rewards are those other than pay and benefits which reward people by: giving them opportunities to achieve and acquire more autonomy, responsibility,

Recognition schemes

What is a recognition scheme?A recognition scheme provides for non-cash awards which recognises accomplishments. It can be formal and organisation wide, providing scope to recognise achievements by gifts

Flexible benefits

What are flexible benefits?Flexible benefit schemes give employees a choice within limits of the type or scale of benefits offered to them by their employers.What is the business case for flexible benefits?

Strategic reward

What is strategic reward?Strategic reward deals with the development and implementation of reward strategies and the philosophies and guiding principles that underpin them. It provides answers to two basic

Sales force pay

What payment and incentive arrangements can be used for sales staff?Here we summarise the different schemes, their advantages and disadvantages and when they may be appropriate.1. Salary only Straight

Using reward consultants

Why use consultants? So, why do many organisations use reward consultants? There are six main reasons:1. They bring expertise in solving problems and in project management.2. From their experience,

Contingent pay

What is contingent pay?Contingent pay is any form of financial reward which is added to the base rate or paid as a cash bonus and is related to (contingent upon) performance, competence, contribution,

Market rate surveys

What is a market rate survey?A market rate survey obtains from various sources data on comparative rates of pay and benefits provision for comparable jobs in similar organisations.What is a market rate?People


What is motivation?A motive is a reason for doing something. Motivation theory is concerned with the factors that influence people to behave in certain ways. People are motivated when they expect that

Job evaluation

What is job evaluation?Job evaluation is a systematic process for defining the relative worth or size of jobs within an organisation in order to establish internal relativities. It provides the basis for

Grade and pay structures overview

What is a grade structure?A grade structure consists of a sequence or hierarchy of grades, bands or levels into which groups of jobs which are broadly comparable in size are placed. There may be a single

Contribution-related pay

What is contribution-related pay?Contribution-related pay is a process for making contingent pay decisions based on assessments of both the outcomes of the work carried out by individuals and their inputs



Ten quick and easy ways to close your gender pay gap!

By Nigel Marriott, chartered statistician You have just calculated your latest gender pay gap. With a sigh, you note that it is still large and at current rate of progress, it will take you 30 years to

The six key priorities on HR agendas in 2020

By Tim Kellett, Paydata In a year defined by the pandemic, our autumn 2020 UK Reward Management Survey has identified the main challenges that continue to face employers. Here we outline the key insights

Pay freezes to continue for one in four UK companies

By Oliver Browne, ECA InternationalUK employees in the private sector received an average salary increase of 1.7% in real terms this year, better than the forecast 1.1%, while over a third of UK companies

How to effectively communicate executive reward

By Christopher Hopkins, Caburn Hope High-level executive reward schemes have the potential to be an incredible attraction and retention tool. They are also critical in driving an organisation’s success.

Why it's essential your employees understand their total reward package

By Vicky Johnstone, Caburn Hope Back in the 1990s, the concept of total reward emerged to challenge the traditional, one-size-fits-all approach to employee compensation. Companies that were prioritising

The complete guide to effective employee reward communication

By Chris Andrew, Caburn HopeTotal reward packages are a powerful tool to attract and retain talent, and improve overall performance of teams. But what happens when communication of these rewards falls

How to drive better performance with effective reward communication

By Chris Andrew, Caburn Hope Why do companies reward people differently for different jobs at different levels? Why do reward teams invest significant time and resource into designing reward strategies?

2021 sales compensation planning – Ready for major changes?

By David Cichelli, Alexander GroupMost companies make minor annual changes to their sales compensation plans. Will companies be making major pay programme changes for 2021? At the start of each fiscal

The impact of the pandemic on reward

By Juan Novoa, QCG I believe it was Benjamin Franklin who once said that ‘Failing to plan is planning to fail.’ In light of the significant changes COVID-19 has brought to both our working and personal

HR challenges in the wake of COVID-19: Paydata survey results

By Tim Kellett, PaydataIn Paydata’s spring 2020 edition of its UK Reward Management Survey, we focused on the impact of coronavirus on business planning, in addition to our usual monitoring of practices

Keeping frontline employees engaged during times of crisis

By Robert Hicks, Reward Gateway While many across the globe are working from home, this is not the case for key workers who provide crucial services to many communities. As the world navigates major change

Latest executive remuneration trends: May 2020 analysis by E-reward

By Steve Glenn, E-reward’s Head of Executive Remuneration ResearchIt’s difficult to predict the precise outcome of the pandemic and its economic fallout on executive remuneration. But it’s quite

Post-pandemic pay and reward strategies: Pain, payback or progress?

By Dr Duncan Brown, Fellow CIPD and Visiting Professor University of Greenwich Change, or plus ca change . . . ‘The world in lockdown: the Crisis that changed everything’ is the headline in my morning

How can organisations efficiently manage benefits on a global scale?

By James Whelan, Avantus SystemsBeing able to offer a comprehensive selection of employee benefits and rewards is a powerful differentiator when it comes to recruiting and retaining staff – especially

Only three in ten employees feel connected to their company’s purpose

By Michael Levy, Online RewardsIn order to cultivate a successful business with happy employees, it is highly important to have a clearly defined purpose. Many businesses don’t have a true strategy when

Managing pay risks during the coronavirus crisis

By Juan Novoa, QCGThere is no hiding from the fact that the coronavirus pandemic is impacting many aspects of work and our personal lives. With organisations focused on plans to weather this storm, we

COVID-19: Should you protect sellers’ pay?

By David J. Cichelli, The Alexander Group, Inc. Should salespeople’s pay take an incentive pay ‘hit’ because of economic dislocation caused by COVID-19? Short answer. Sales leaders should determine

Bad feedback can disengage 90% of your workforce

By Michael Levy, Online RewardsIt happens often, that yearly review creeps up, both management and employees are nervous and agitated, and feedback that was meant to come off as motivating instead leads

Latest E-reward executive remuneration trend findings March 2020

By Steve Glenn, E-reward’s Head of Executive Remuneration Research The majority of the UK’s very largest companies’ annual reports have December year-end dates and the first batch have recently been

Why benchmarking benefits makes all the difference

By James Whelan, Avantus Systems A strong benefits and rewards strategy can have a huge impact on an organisation, boosting engagement and morale and improving recruitment and retention rates. As important

Paydata’s UK reward management survey highlights: topical reward challenges

By Tim Kellett, Paydata In Paydata’s autumn edition of its UK Reward Management Survey, we focus on the impact of Brexit on business planning, in addition to our usual monitoring of practices around

Unequal pay and gender pay gaps are not the same thing!

By Nigel Marriott, chartered statistician Today [14 November 2019] is being incorrectly marked as Equal Pay Day in the UK by the Fawcett Society. By having a campaign name that conflates equal pay issues

Latest FTSE 350 Directors’ Remuneration Data

By Steve Glenn, E-reward’s Head of Executive Remuneration Research Executive remuneration is rarely out of the spotlight and this year much of the focus has been on disclosure in areas such as pensions,

E-reward's guide to FTSE 350 non-executive director fees 2019

By Steve Glenn, E-reward’s Head of Executive Remuneration Research Almost all FTSE 350 remuneration reports with year-ends up to June 2019 have now been published and based on this data, this E-reward

Pension trends for executives in FTSE 350 and SmallCap companies

By Steve Glenn, E-reward’s Head of Executive Remuneration Research Anyone studying executive remuneration policies over the last few years will have noticed that most large companies have been reducing

A first look at the new CEO-staff pay ratio figures

By Steve Glenn, E-reward’s Head of Executive Remuneration Research From next year, companies will be required to disclose a raft of new information relating to their directors’ remuneration [PDF]

Responsible Reward

By Corinne Carr, PeopleNet At today’s rate of consumption, we will be devouring the equivalent resources of two Earths every year by 2030. This is the same year as when 200 countries have committed to

How to close your gender pay gap with DMAIC

By Nigel Marriott, chartered statisticianSo you have measured your gender pay gap (correctly I hope!) but you don’t know what to do next? You are not alone, many employers are still getting their heads

Executive remuneration trends – E-reward June 2019 client commentary

By Steve Glenn, E-rewardMost large UK companies have financial-year ends falling in December or March so with the majority now having reported, it is possible to gain an accurate insight into the latest

Paydata’s UK reward management survey highlights: Ongoing recruitment and retention challenges

By Tim Kellett, PaydataIn Paydata’s tenth year of bi-annual surveys, our spring edition focused on pay, bonuses and employee turnover, in addition to the practices in place to support diversity across

Neglecting member communication exposes DB pension schemes to new risks

By Nick Throp, Like MindsDefined benefit plan sponsors and trustees are waking up to the need for better member communication and engagement in the new world of risk transfers and pension freedoms. By

The importance of putting the customer first and how this shapes sales reward design

By Mike Curtis, MCR MCR’S latest seminar on sales reward took place in May 2019 with delegates representing a range of UK and global businesses. The main themes from the seminar are focused on the

Sales Design Thinking: How to get more innovative solutions

By Mark Donnolo, SalesGlobeIncorporating design thinking into sales challenges is a relatively new concept. Catching fire in the business world, 'design thinking' is about empowering even the most traditional

Prevention is better than cure: personalised wellbeing strategies in the workplace

By Dr Davina Deniszczyc, Nuffield HealthThe health of the economy depends, in part, on the health of the workforce. Despite many instances of ill health being entirely preventable, it costs the UK economy

Solve your sales effectiveness problem with ‘Sales Design Thinking’

By Mark Donnolo, SalesGlobeFrom design school to sales consulting: my career path may seem unusual. But if you consider the proven methods we use at SalesGlobe to help increase sales effectiveness, you

Dianne Auld's Top Tips: Excel for Reward

Based in South Africa, Dianne Auld is without doubt the most highly regarded and popular Excel for Reward expert in the world. Each year, we fly her over to London to deliver two classroom courses focused

Engaging and rewarding millennial employees isn’t as difficult as HR might think

By Patrick Van Der Mijl, SpeakapDistracted, fickle, entitled, tech-addicted. This, and much more, has been said about the digitally native generation of millennials, which now makes up over half of the

Financial wellbeing: Don’t lose sight of the importance of today

By Riaan van Wyk, Barnett WaddinghamThe positive impact of employee happiness and high levels of wellbeing on the workplace is well established by now. Their contribution to the complexities of the productivity

Pensions and financial wellbeing through the generations

By Noel O’Hora, Lorica Now that I have passed the big six-oh, my pension has become a very interesting subject. The same is true for many of my friends. At social gatherings nowadays, alongside nostalgic

What does financial wellbeing mean to you and your employees?

By Jeanette Makings, Close BrothersAt the beginning of the Industrial Revolution, the British social reformer John Ruskin highlighted the importance of worker wellbeing, writing in 1871:‘In order that

How to engage Generation Z with benefits?

By David Prosser, The Health Insurance GroupGeneration Z – those born after 1996 – is the youngest of four, and potentially five, generations in the UK workforce. In broad terms, all of those generations

Latest Remuneration Regulations: A first look at new scenario charts

By Steve Glenn, E-rewardRecently, we outlined how Connect Group and Mitchells and Butlers became two of the first organisations to disclose their CEO pay ratios using the methodology laid out in the new

First examples of new pay ratio disclosure

By Steve Glenn, E-rewardConnect Group has become one of the first organisations to disclose its CEO pay ratio using the methodology laid out in the new remuneration regulations – the first actual reporting

Ownership matters

By Gabbi Stopp, ProShareIt is not often that we share plans professionals see employee share ownership make the cover of the Financial Times – more's the pity – not once but twice in a fortnight, with

What will really make a difference to the financial wellbeing of your people?

By Danielle Pout, like minds We have been led to believe our lives follow a pattern – we go to school, pass our exams, head to university, get a job, fall in love . . . you know the rest. And, traditionally

Reducing physical inactivity in the workplace

By Dr Davina Deniszczyc, Nuffield HealthPhysical inactivity has a huge impact on public health, costing the UK around £7.4 billion a year in medical bills and loss of productivity in workers. We live

How Gallowglass attracts and retains an agile network of event crew with flexible pay

By Simon Draper, Hastee PayThe UK’s largest event crew provider required a simple solution to bolster workforce retention and alleviate the administration involved in salary advances. Workforce retention

Some companies already showing the way on employee engagement even before new corporate code released

By Steve Glenn, E-reward’s Head of Executive Remuneration ResearchThis week saw the publication of the much anticipated 2018 UK Corporate Governance Code that included a new provision ‘to enable greater

Ten things you need to know about executive pay ratios

By Samantha Gee, VerditerExecutive pay ratios for our largest companies were laid before Parliament yesterday. What is behind this move and do they work? Here's a quick summary of what you really need

The seven top mistakes firms make when hiring a reward consultant

By Corinne Carr, PeopleNetMy career as an independent remuneration consultant began more than 20 years ago. During that time, I have been privileged to work with many top-tier firms in financial services

C-Level goals: Connecting the corner office to the front line – the power of the incentive plan to communicate the goals

By Mark Donnolo and Michelle Seger, SalesGlobeCEOs and managers are continuously challenged with driving behaviors and getting results that align with their company goals and sales strategy. Given these

Flexible payments will help workplace wellbeing surge

By Simon Draper, Hastee Pay Alternative payment models will prove essential to businesses satisfying the increasing demands of the modern workforce. Forward-thinking businesses understand that today’s

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By Juan Novoa, QCGA common theme in our recent work with organisations experiencing a squeeze on pay budgets, including those in the public sector constrained by the government’s pay cap, is a sense

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By Noel Paton, XactlyIncentive plan design is the construction of the sales rep commission strategy and is based on the individual’s role within the sales cycle, types of sales engagements they are involved

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By Brigita Melicherova, QCGA recent QCG survey has shown that when organisations are benchmarking, the vast majority of benchmark factors relate to pay – i.e. base salary, total cash, total remuneration.

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Pay disclosure – good or bad?

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The most expensive countries for health insurance: Where does the UK rank?

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Going a step further than the Hampton-Alexander findings

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The BBC gender pay furore: A call to action for other UK employers?

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Discretion is the better part of valour: Examples from remuneration committee reports – new E-reward research

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Gender Diversity on UK Boards – New Data from E-reward's Summit Database

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Disclosure of executive-worker pay ratios may need further thought

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Behavioural science: the lessons for reward managers

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Three key considerations when building a recognition strategy

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Rewarding and recognising – how Atos is showing its appreciation

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How does the structure of executive remuneration vary across national boundaries?

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QCG’s findings on the 2015 reward landscape and reward plans for 2016

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How to say ‘Thank you’ this Christmas in a small company

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Businesses must learn to address generational differences

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How to keep your team motivated during the post-summer blues

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Holiday Pay: Waiting for Godot?

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Incentive and reward schemes: Overcoming the challenges and reaping the benefits

By Iain McMathModern businesses know that it’s vital to reward and recognise their staff, yet many are still struggling to do so effectively. To find out why, Sodexo Benefits and Rewards Services recently

Maximising results and minimising risk: The challenge of performance-related pay

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Multi-media multi-taskers – A new cross generation group to challenge the HR and benefits communicators

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My two-year old will do anything for ice cream: perspectives on incentive

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Benefits of a successful employee share plan can be significant

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Will 2014 be the year when pay overtakes the cost of living in the UK?

By David SmithThe cost of living in the UK has outpaced pay increases since around 2009. Now, I’m no economist but the headline facts are clear, whether we look at CPI or RPI measures of inflation,

Re-evaluating recognition and reward schemes

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Lloyds Bank: Is this the best sales incentives case study ever?

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By David SmithI recently took a trip back to my home town to see my family. I grew up about seven miles east of Manchester in the borough of Tameside. The industrial revolution had a significant impact

Communicating reward: What can we learn from market sellers?

By Nick ThropEver swapped the supermarket for your local fruit and veg market? It’s quite an experience. For one thing, you need to build up those arm muscles – who would have known veg are

Developing effective reward communications

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From New Pay to the New, New Pay?

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The new rules of performance and engagement

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Win on the in, win on the out

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Which way now for reward?

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The landscape of rewards in 2012 and beyond

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Earn-back pay: A panacea for senior public sector pay?

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A new myth about public sector pay: Freezing pay will save public money

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Evaluating reward effectiveness: readers give their verdict

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Why bother with voluntary benefits?

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Integration - the perfect halfway house

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Finders, keepers?

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Managing reward: Why line managers are the vital link

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Communicating benefit strategies

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Carrots, sticks and derivatives

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Flex the angst ridden teenager

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What the future holds for job evaluation

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Strategic reward: the new realism

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Spotlight on career family structures

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What's happening to broadbanding?

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Glossary Terms


Elements of pay in the form of a separate sum of money for such aspects of employment as overtime, shift working, call-outs and living in London or other large cities. Location allowances are sometimes

Analytical job evaluation scheme

A method of job evaluation which is based on the analysis and scoring of "factors". The most common scheme is point-factor rating but the Hay Guide Chart Profile method of job evaluation is a well-known

Anchor rate

A term used in broadbanded pay structures to describe the rate for a fully-competent person in a role which is aligned to market rates for that role in accordance with the organisation's pay stance.

At-risk pay

Cash bonus payments (variable pay) which are dependent on results and are therefore "at risk" of not being re-earned. The proportion of pay at risk may be considerable, especially for directors and senior

Attribution theory

This concept is concerned with how people interpret and explain their performance. It suggests that if employees can attribute their achievement or lack of achievement to something over which they have

Balanced scorecard

This approach brings together a mix of financial yardsticks and non-financial indicators to provide a single integrated measure of business performance that focuses on key indicators. Developed by David

Band architecture

The design of a broad band in terms of the use of anchor rates and zones.

Base pay

The rate for the job as affected by the internal and external employment markets. An employee's base rate may in some circumstances also consist of consolidated payments from performance pay and rewards

Behavioural competencies

The personal characteristics that individuals bring to their work roles. Also known as personal competencies.

Behavioural theory

Behavioural psychologists such as Skinner emphasise that behaviour is learnt from experience - specific types of behaviour are strengthened or weakened by the consequences of the behaviour. They emphasise

Benchmark jobs

Jobs identified as representative of the range of jobs to be considered in a job evaluation exercise. They serve initially as the basis for the design or modification of a job evaluation scheme, and then

Benchmarking - general

The collection and analysis of comparative information on the reward practices of other organisations as a means of assessing areas for change and improvement.

Benchmarking - pay surveys

The collection and analysis of market rate data.

Broad grades

The more conventional approach to broadbanding which simply collapses a number of salary bands into fewer grades or bands (typically seven or eight, with range spreads of 50%) but retains many of the traditional


The compression of a hierarchy of pay grades or salary ranges into a small number (typically four or five) of wide bands. Each of the bands will therefore span the pay opportunities previously covered

Cafeteria benefits

See flexible benefits.

Career bands

A term used most frequently in the US for bands in a broadbanded structure with a limited number of bands (typically five or less, with range spreads averaging 150%). The term expresses the philosophy

Career development pay

A US term for pay which progresses in a broad band as an individuals career develops.

Clean cash

As the term suggests, a clean cash package relies simply on a basic salary without the full range of employee benefits typically offered by organisations to provide personal security and satisfy personal

Cognitive theory

Cognitive theory emphasises the psychological processes or forces which affect motivation, as well as basic needs. Also known as process theory, it is concerned with employees perception of their working


A special form of incentive in which sales representatives are paid on the basis of a percentage of the sales value they generate.


Short for "comparative ratio", a measure of the relationship in a graded pay structure between an individuals actual pay rate and policy rate of pay, expressed as a percentage. The policy value


The areas of work in which people are competent - that is, are capable of meeting the standards required because they have right levels of skill, knowledge and experience; hence competences. Sometimes

Competence analysis

Brings together the processes of functional analysis - used to determine work-based competences - and behavioural analysis - used to establish the behavioural dimensions that affect job performance.


The dimensions of behaviour lying behind competent performance; hence competencies.

Consolidated pay

The base pay which incorporates (consolidates) any additional payments or allowances and is the basis for calculating pension rights, sick pay and so on.

Contingency theory

A theory that states that to be effective reward policies and practices should be appropriate to the organisations unique characteristics, including its culture, technology and environmental conditions.

Contingent pay

Pay which is related to, or dependent on, performance, competence, contribution, skill or service in the job.

Contribution-related pay

A process for making pay decisions which are based on assessments of both the outcomes of the work carried out by individuals as well as the levels of skill and competence which have influenced these outcomes.

Differential pay

Pay which varies according to performance, competence, contribution, skill or service in the job.

Economic man

A motivational concept based on reinforcement theory, which suggests that people are primarily motivated by economic rewards. According to this view, rewards and penalties should be tied directly to effective

Employee benefits

Also known as indirect pay. Schemes or arrangements for providing personal security, financial assistance, or company cars and for satisfying personal needs. They include pensions, sick pay and insurance

Equity theory

A motivation theory that is concerned with peoples perceptions of how they are being treated in relation to others. It involves feelings and perceptions, and is always a comparative process. Thus satisfaction

Expectancy theory

This core cognitive theory predicts that employees will be more motivated when they expect that their actions, or how they behave, will produce a worthwhile reward.

Extrinsic motivation

What is done to, or for people, to motivate them to act in a specific way. It arises when management provides such rewards as increased pay, praise, or promotion. The opposite is intrinsic motivation,

Extrinsic rewards

Work-related rewards - such as pay, recognition and career opportunities - that are offered to motivate people to act in a specific way, as opposed to intrinsic rewards, which are associated with the "quality

Factor comparison plan

A form of analytical job evaluation which starts by evaluating benchmark jobs against a range of what are regarded as universal factors. This is converted directly into monetary value.


See Job evaluation factors.

Fat grades

A somewhat derogatory term used for structures which are described as being broadbanded, but because of the number of grades (say ten or more), the width of the pay ranges (40% to 50%), and the ways in

Financial incentives

Schemes which offer future payments to motivate people to achieve their objectives, improve their performance or enhance their competence or skills by focusing on specific targets and priorities. Although

Financial participation

Schemes that are designed to increase employee involvement in the business, whilst at the same time giving them a direct interest in the financial performance of the company in which they work. The underlying

Financial rewards

Schemes which provide financial recognition to people for their achievements in the shape of attaining or exceeding their performance targets or reaching certain levels of competence or skill. Financial

Flexible benefits

A formal benefits programme whereby employees have a measure of choice over the benefits they receive in order to tailor the package to best suit their individual circumstances. Employees have the opportunity


A formula-based company or factory-wide bonus plan which provides for employees to share in the financial gains made by a company as a result of its improved performance. The formula determines the share

Generic competencies

Competencies can be universally generic, applying to all people in an occupation, such as management, irrespective of the organisation they belong to, or their particular role. They can also be organisationally

Generic role definitions

Descriptions of typical roles performed by a number of job holders which are essentially similar, with only minor differences. They specify overall role requirements in terms of the common characteristics

Goal theory

A concept developed by Latham and Locke in the 1970s which states that motivation and performance are higher when individuals participate in setting specific goals, when the goals are difficult but accepted,


An area in a hierarchical graded pay structure in which jobs of similar size, or value, are placed, usually by some form job evaluation. Grades may be defined in job evaluation points terms, or by a description

Grade drift

The phenomenon of jobs being upgraded without a justified increase in job value or size. In theory, this is controlled by job evaluation. But, in practice, this does not always happen because of the fact

Grade width

The range of job evaluation points defining a grade. Sometimes used to describe the pay range.

Hierarchy of needs

One of the most influential theories of motivation, the hierarchy model was developed by American psychologist Abraham Maslow in the 1950s. He argued that human needs can be categorised according to a

Home-based pay

Also known as "build-up" or "balance sheet", this is a method of paying expatriates and providing them with benefits which ensures that the value of their total remuneration is the same as in their home

Host-based pay

A method of providing expatriates with salaries and benefits, such as company cars and holidays, which are in line with those given to nationals of the host country in similar jobs. Also known as the market

Hygiene/motivation theory

See motivation/hygiene theory.


Payments linked with the achievement of previously-set targets which are designed to motivate people to achieve higher levels of performance. The targets are usually quantified in such terms as output

Instrumentality theory

In its crudest form, the theory states that people work only for money. Money is an instrument for gaining desired outcomes and its "force" depends on two factors: firstly the strength of need;

Internal relativities

Reflect the relative value of jobs and people within the organisation's internal labour market. They are assessed by job evaluation which considers the relative value or size of jobs and sometimes generic

Intrinsic motivation

A form of employee motivation derived from the content of the job, as opposed to job consequences. It can be described as the process of motivation by the work itself in so far as it satisfies peoples

Intrinsic rewards

Rewards that are naturally associated with the job itself, such as the opportunity to perform meaningful work and personal satisfaction in a job well done. Intrinsic rewards, which are concerned with the


A group of finite tasks to be performed (pieces of work) and duties to be fulfilled in order to achieve an end result. It is assumed that these duties remain the same whoever carries out the job. There

Job analysis

The process of collecting, analysing and setting out information about the content of jobs in order to provide the basis for a job description and data for recruitment, training, job evaluation and performance

Job classification

A form of non-analytical job evaluation which involves comparing jobs descriptions with grade definitions, so that they can be slotted into the appropriate grades.

Job description

A definition of the overall objectives of a job, where it fits in the organisational structure and the key result areas or principal accountabilities of job holders, or the main tasks they have to carry

Job evaluation

A systematic process for establishing the relative worth of jobs within an organisation. The two main categories are: non-analytical and analytical.

Job evaluation factors

The main characteristics or elements which are common to the range of jobs being evaluated in an analytical job evaluation scheme, but are present in differing degrees in different jobs. They are used

Job family

A group or cluster of jobs with common characteristics. Although the level of responsibility, skill or competence required to undertake the work may differ, the essential nature of the activities carried

Job family modelling

The term used by Hay Group for their approach to developing job family structures.

Job family pay structure

A pay structure which contains separate pay structures for each of the job families which may be graded in terms of levels of skill or competence. Each level may have its own finite pay range, as in a

Job matching

Placing a job in a pay range or a broad band by making a whole job comparison in order to match its characteristics (for example, responsibilities and competence requirements) with other benchmark jobs,

Job ranking

A form of non-analytical job evaluation which involves comparing whole jobs with one another and arranging them in rank order of their perceived value to the organisation.

Job size

An indication of the relative value of a job in terms of, for example, the level of responsibility as established by analytical job evaluation.

Job slotting

An entirely informal approach which can hardly be dignified by calling it job evaluation. Also known as internal benchmarking, it simply means comparing the job under review with any internal benchmark

Job-centred pay

Payment systems which focus on payment according to the perceived or measured value of the job irrespective of the competence, skill or contribution of the person carrying it out.

Line of sight

A concept originally formulated by American management theorist Ed Lawler that suggests that no reward - whether it be a pay increases, promotion or recognition - can act as a motivator unless there is

Lower quartile level of pay

The value in a distribution of pay, as established by a market rate survey or internal analysis, which three-quarters of the values exceed or a quarter of the values are lower than.

Market rate surveys

The collection of information on pay (market rates) and employee benefit provisions for equivalent jobs in other organisations in order to provide guidance on levels of pay and benefits within the organisation


See job matching.

Median rate

The mid-point in a distribution of rates - that is, the percentage at which half the rates are the same or a higher value, and half are at the same or a lower value. Used in analysing market rates.

Merit pay

A method of relating salary rises or non-consolidated bonus payments to an assessment of the merit of individuals - their level of performance - often summed up in an appraisal rating. More usually known


The rate of pay in the middle of a pay range which may constitute the reference point and corresponds with a 100% compa-ratio.


Motivation takes place when people expect that a course of action is likely to lead to the attainment of a goal - a valued reward that satisfies their particular needs. It is a goal-directed behaviour.

Motivation-hygiene theory

Frederick Herzberg developed his two factor model of motivation in the 1950s. He argued that the factors giving rise to job satisfaction (and, therefore, motivation) are distinct and separate from those

Needs (content) theory

The basis of this theory is that all behaviour is motivated by a desire to fulfil unsatisfied needs. These unsatisfied need create tension and disequilibrium. To restore the balance, a goal is identified

New pay (the)

A term originally coined by American management theorist Ed Lawler, but popularised by US pay gurus Jay Schuster and Patricia Zingheim. It describes a strategic approach to reward with an emphasis on variable

Non-analytical job evaluation scheme

A job evaluation method which establishes the relative value or size of jobs by making whole-job comparison - that is, not analysing them in terms of the different characteristics or factors which influence

Non-financial rewards

Any rewards not involving the payment of salaries, wages or cash which focus on the need people have to varying degrees for achievement, recognition, responsibility, influence and personal growth. See

Paired comparison

A form of non-analytical job evaluation in which all jobs are compared in turn with all the others being evaluated to produce a rank order.

Pay curve

A type of pay structure associated with the development of job family structures and competence-based evaluation. Pay curves provide different pay progression tracks along which individuals in a job family

Pay range

The range of pay assigned to a grade, as determined by reference to market rates, bearing in mind policies on internal relativities and differentials. Ranges may be described in terms of the percentage

Pay span

The spread of pay between the lower and upper limits of a pay range or broad band.

Pay spine

A series of incremental points extending from the lowest- to the highest-paid job covered by a pay structure. Pay scales or ranges for different job grades may then be superimposed on the pay spine. Pay

Pay stance or policy

The policy on the relationship desired between the levels of pay within the organisation and market rates. It may be expressed in such terms as matching median or upper quartile rates.

Pay structure

A method of defining and describing the different levels of pay for jobs, or groups of jobs, by reference to either their relative internal value - through a job evaluation exercise - or their external

Performance management

A systematic approach to improving and developing the performance and competence of individuals and teams in order to increase overall organisational effectiveness.

Performance-related pay

A contingent pay scheme which provides individuals with financial rewards in the form of increases to basic pay or cash bonuses which are linked to an assessment of performance, usually in relation to

Person-centred pay

Pay which is related to the competence, skill or contribution of the person carrying out a role, rather than the assumed value of the job as determined by job evaluation.

Points-factor rating

The most commonly-used form of analytical job evaluation under which jobs are assessed in terms of the degree to which several specifically-defined factors are present in the job being evaluated. A factor-by-factor

Process theory

See cognitive theory.

Profit sharing

These schemes provide eligible employees with cash from a "pool" on the basis of the profits earned by the company. Payment is made by reference to a formula, which may or may not be published,

Psychological contract

The set of reciprocal but unwritten expectations which exist between individual employees and their employers. It expresses the combination of beliefs held by an individual the employer about what they

Recognition programme

A non-cash award to acknowledge a high-level of employee contribution after the fact, which is not based on predetermined goals or performance levels. It can range from the "low-key" individual

Reference point

The rate of pay in a salary range which will be aligned to market rates in accordance with the organisations pay policy and represents the rate for a fully-competent person in the job. It typically coincides

Reinforcement theory

Reinforcement theory suggests that the successful achievement of goals and rewards acts as a positive incentive and reinforces the likelihood that the successful behaviour will be repeated the next time

Reward management

The development, implementation, maintenance, communication and evaluation of reward processes. These processes deal with the assessment of relative job values; the design and management of pay structures;

Reward philosophy

The broad values and beliefs that an organisation holds about rewards. It specifies the assumptions which underpin the reward system and determine its form. It will shape the way strategies and policies

Reward policies

Definitions of how reward processes should be designed and managed within the context of the reward philosophy. They provide guidelines for line managers and HR/pay specialists on how particular and recurring

Reward strategy

A description of what the organisation wants to do about reward over the next two or three years. It defines the intentions of the organisation on how its reward policies and processes should be developed


Financial payments or forms of non-financial recognition which are made for accomplishments in the form of meeting or exceeding targets, reaching a higher level of skill or competence or a special achievement.


The part played by people in meeting their objectives by working competently and flexibly within the context of the organisation's objectives, structure and processes. By definition, a role may be flexible

Role definition

A description of the part to be played by individuals in fulfilling their job requirements. It concentrates on the purpose of the role in the form of outputs (accountabilities), and expands on the information

Role-specific competencies

Competencies which are related to specified individual roles.

Save As You Earn Sharesave

A tax-favourable share scheme, also known as savings related share options. The Inland Revenue-approved SAYE scheme allows employees to enter into a three- or five-year savings contract to save a fixed

Self-efficacy theory

An approach to motivation that is concerned with belief in ones ability to accomplish a task or achieve a goal. Individuals with high self-efficacy are able to see a link between their own effort and performance

Skill-based pay

A contingent pay scheme which provides employees with a direct link between their pay progression and the skills they have acquired and can use effectively.


See job slotting.

Spot rates

A rate for a job which does not allow any scope for the progression of base pay although bonuses or other forms of incentive payment may be provided on top of the base rate.

Strategic pay

A term coined by American management theorist Ed Lawler for payment systems which are aligned to the strategic agenda of the organisation and designed accordingly.

Target rate

The rate of pay in a pay range which is regarded as appropriate for jobs in the range by reference to market rate relativities. Also known as reference point.

Team rewards

Team-based rewards are payments or non-financial incentives to individual employees working within a formally-established team. Payments are linked to measured short- or long-term team performance against

Threshold competencies

The basic competencies required to undertake the job which do not differentiate between high and low performers. Performance competencies, by contrast, do make this distinction.

Time rates

Usually, the rate for an hourly-paid manual worker.

Time-rate system of payment

Any payment method in which base pay is expressed as an annual, weekly or hourly rate.

Total earnings

The sum of base pay and any additional payments.

Total remuneration

The value of all cash payments (total earnings) and benefits received by employees.

Total reward

An idea which is common in the USA and gaining ground over here. This envisages financial reward (base salary, incentives and share schemes) as just one element of the compensation package, together with

Upper quartile level of pay

The value in a distribution of pay, as established by a market rate survey or internal analysis, which a quarter of the values exceed, or three-quarters of the values are lower than.

Variable pay

At-risk payments in the form of cash sums or lump-sum bonuses which are not consolidated in base pay. The payments will usually be based on an assessment of performance or contribution.

Whole-job comparisons

Evaluating the relative worth or size of jobs by comparing whole jobs with one another - that is, not analysing the different factors and characteristics as in an analytical job evaluation scheme.


A term used in broadbanded pay structures to provide an indication of the extent to which the pay of individuals in a particular role or cluster of roles can vary around a datum point or anchor rate. Zones

Top Tips

Total Reward (Cummins 2010)

1. Be absolutely clear about the direction of travel - it does not need to be complex, but must be meaningful.2. Focus on the return on investment - the organisation may not have much cash to invest, but

Reward communications (Brown 2010)

There are four main routes to better communication, according to Brown:1. Get a reward communications strategy. Those with a strategy have higher rates of employee understanding and financial performance

Reward communications (Hopkins 2010)

1. Plan communications ahead: define your long-term vision and objectives.2. Communicating is about saving, not spending, money: communications are part of a fundamental approach to improving performance. 3.

Variable pay (Evans 2010)

The best programme structures:1. Reflect the company’s business model and work culture. 2. Take into account the impact different employee groups have on performance. 3. Are tailored to employee preferences

Employee engagement through reward (Brown 2011)

Moving to a fully engaging and totally rewarding approach isn’t rocket science, but it’s tough to deliver: 1. It’s about employee attitudes (involvement, respect, trust, growth) not just HR and reward

Communicating engagement (Hyland 2011)

1. Encourage the CEO, directors and managers to communicate on how engagement is a key driver of organisational success, why they are running surveys and what they will do with the results.2. Use a variety

Employee engagement (Sparrow 2011)

In thinking about engagement it makes far more sense to: Measure and manage the beliefs about your underlying performance logic and how you that has been associated with the strategy.

Motivation: achieving high levels of motivation

1. Set and agree demanding goals.2. Provide feedback on performance. 3. Create expectations that certain behaviours and outputs will produce worthwhile rewards. 4. Design jobs around capabilities of


When you delegate you should ensure that the team or individuals understand:1. Why the work needs to be done.2. What they are expected to do.3. The targets or standards they have to achieve.4. The date

Listening skills

Effective listeners:1. Concentrate on the speaker, following not only the words but also the body language.2. Respond to points made by the speaker.3. Comment on the points, without interrupting the flow,

Evidence-based reward: key components

The aim of evidence-based reward management is to improve the reward strategy formulation and implementation process, to ensure that rewards more effectively support the achievement of organisation goals

Evidence-based reward: setting up a reward review

Adopting an evidence-based reward management approach is always advisable, but it is necessary to first identify the specific needs for a reward review to provide guidance on how to proceed. If you decide

Evidence-based reward: conducting reward reviews

1. Define aims and scope of your reward review, taking into account the views of all relevant stakeholders.2. Research and gather both quantitative and qualitative information and evidence on existing

Evidence-based reward: measuring reward effectiveness

1. Set reward goals and success criteria, linked to the business and HR strategy and vision.2. Decide what improvement you want and where it is essential.3. Decide whether reward measurement needs to be

Evidence-based reward: evaluating reward outcomes

Reward evaluation uses information obtained from the review and measurement process to assess how effective reward policies and practices have been in achieving their defined objectives. 1. Find out how

Contingent pay: selecting an approach

1. The method should recognise and reward the behaviour desired by the organisation. It should ensure that pay is related to factors that are important to the organisation.2. Measures should be readily

Gainsharing: developing a scheme

1. Gainsharing is not simply about creating financial rewards - although that’s clearly a key feature. Rather, its strength as a means of improving performance lies equally in its other main principles:

Communications strategy (Hopkins 2010)

According to Caburn Hope, there are the six things you need to consider to boost employee engagement levels, and drive up productivity and performance:1. Define the journey you want your employee communications

Attitude surveys

1. Set up survey team.2. Define objectives and scope.3. Decide the extent to which the survey will be planned and administered in-house; or with external support for some aspects of the survey; or completely

Individual performance-related pay

1. The scheme must be appropriate to the type of work carried out and people employed on it - it works best in jobs where pressure is on achieving financial and/or output targets and for people who are

Company cars: designing a policy

1. It’s advisable to seek specialist fleet and financial help when considering the most appropriate acquisition method. Each method has different tax implications that need to be examined carefully.2.

Bonuses: developing a scheme

1. The aims of the bonus scheme should be clearly defined and the bonus should be awarded for significant and readily identifiable results which are within the control of the individual(s) concerned.2.

Team pay: when it works best

1. Teams should standalone as performing units for which clear targets and standards can be agreed.2. Teams should have a reasonable degree of autonomy – team pay is likely to be most effective in self-managed

Managing change in reward

1. Managing change is about overcoming resistance to change but more positively, it’s concerned with gaining understanding and acceptance of change by the thorough and systematic use of involvement,

Job evaluation: choosing a scheme

1. The scheme should have been carefully constructed to ensure that its analytical framework is sound and appropriate in terms of all the jobs it has to cater for. It should also have been tested and trialled

Performance management: performance measures

1. Key performance indicators should be related to the strategic goals and measures which are organisationally significant and drive business performance. 2. They need to be relevant to and derived from

Improving reward-related risk management (Cotton and Chapman 2010)

1. Set up effective intelligence gathering systems for reward risk. Use a range of sources to identify the risk that could damage your reward strategy by working with colleagues in finance, legal, compliance

Engagement through reward (Reilly and Brown 2008)

1. Analyse the existing performance culture of the organisation and develop an engagement model which describes what brings people to work, what keeps them with the organisation and what motivates them

Manual workers: reward

1. Consider scope for single status or harmonisation.2. Ensure that rates of pay for jobs and people are linked to the level of skill or the degree of multiskilling required.3. If planning to introduce

Grade and pay structures: development

1. Involve stakeholders (top management, line managers and staff in drawing up guiding principles on the design and operation of the structure.2. Analyse the options available and select one that meets

Sales and service staff: reward

1. Analyse the business in terms of what is being sold or what customer services are provided to establish what types of people are required. 2. Select the approach to reward which is most likely to motivate

Knowledge workers: reward

1. Adopt total reward policies emphasising scope for achievement, recognition and growth.2. Consider segmenting the reward package for specified groups of knowledge workers.3. Introduce competency-based

Line managers' responsibility for reward

1. Devolve as much responsibility for reward decisions to line managers as possible, subject to the need to ensure that reward policy guidelines are followed and reward decisions are fair and reasonably

Evaluating reward systems

1. Ensure that objectives are set for each key element of the reward system. 2. Identify evaluation criteria. 3. Select an evaluation methodology - data analysis, surveys etc. 4. Collect and analyse data.

Individual pay reviews

1. Agree budget. 2. Prepare and issue guidelines on the size, range and distribution of awards and on methods of conducting the review. 3. Provide advice and support. 4. Review proposals against budget

Reward systems: development

1. Be clear on what has to be achieved and why. 2. Ensure that what you do fits the strategy, culture and circumstances of the organisation. 3. Don't follow fashion, do your own thing. 4. Keep it simple

Flexible benefits: general

1. Define business need for flexible benefits. 2. Obtain views of employees about their benefits and the degree to which they would like them to be flexed. 3. Decide on essential elements of the scheme

Employee benefits: general

1. Review the benefit package regularly to establish that the benefits provided are desirable and cost-effective, that they are appreciated and that they are administered efficiently. 2. Survey employees

Total rewards: implementation

1. Review the work environment and analyse current reward policies and practices.2. Research different approaches (models) and benchmark total reward practices elsewhere, especially those to do with selecting

Pay level theory: significant points for practitioners

1. Labour market theory explains how pay levels are determined in external and internal labour markets.2. Classical economic theory focuses attention on external pressures and the perceived need for "competitive

Job evaluation: general

1. Keep it simple – minimise paperwork and avoid bureaucracy.2. Involve managers, other employees and employee representatives in the choice of scheme and its design and operation.3. Use an analytical

Equal pay

1. Conduct an equal pay review.2. Develop and apply a non-discriminatory analytical job evaluation scheme.3. Ensure that the grade and pay structure is non-discriminatory.4. Ensure that pay system policies

Market rate analysis

1. Select benchmark jobs for which external market data is available.2. Identify all the sources of market rate information available, including pay clubs, published data, consultancies and agencies and

Managing negative behaviour

1. Define the type of negative behaviour which is being exhibited. Make notes of examples.2. Discuss the behaviour with the individual as soon as possible, aiming to get agreement about what it is and

Non-financial rewards: overall

1. Develop the use of non-financial rewards as part of a total rewards policy.2. Introduce employment practices designed to ensure the fair and ethical treatment of employees.3. Involve employees as stakeholders

Contingent pay: overall

1. Define objectives and success criteria.2. Check on readiness for contingent pay – stakeholders’ views, effective performance management, competent line managers.3. Identify alternatives: performance,

Bonus schemes: overall

1. Base the scheme on realistic, significant and measurable key performance indicators.2. Do not create a moral hazard, i.e. an incentive to act inappropriately in pursuit of a high bonus.3. Do not encourage

Team pay: general

1. Be clear about the objectives of team pay.2. Ensure that there are clearly defined teams in the organisation for which the results achieved by the joint efforts of team members can be measured.3. Involve

Rewarding for business performance

1. Produce a case for the scheme – this could be a business case but it could also be a case based on the moral obligation of an employer to share their prosperity with employees.2. Ensure that you get

Recognition schemes: general

1. Whatever scheme you choose, make sure you can apply it fairly and consistently. Apply it to those who really deserve it and remember to look for a “well done” or a “thank you” for everyone.2.

Achieving good control

1. Plan what you aim to achieve.2. Set appropriate and fair targets, budgets and standards.3. Decide what you want to control.4. Set success criteria (key performance indicators).5. Decide how you are

Reward management: overall

1. Reward people according to the value they create.2. Reward people according to what the organisation values and wants to pay for.3. Take account of employee as well as business needs.4. Best fit is

Reward systems

1. Ensure that the system is developed and operated in accordance with a clearly defined set of guiding principles.2. Provide for the system to be integrated – the separate parts are mutually supporting

Reward strategy: implementation

1. Define what objectives are to be achieved by the strategy and how its impact will be measured.2. Create a project plan which sets out what needs to be done, when and by whom. 3. Decide what supporting

International reward

1. Decide on the extent to which you want international reward policies to be uniformly based on those in headquarters or varied in different countries (a convergence or divergence policy).2. If the policy

Developing a high-performance culture through reward

1. Identify the performance drivers and key performance indicators in the organisation.2. Use rewards generally to draw attention to the importance of performance.3. Decide on which aspects of the performance

Financial incentives: overall

1. Provide for the accurate, consistent and fair assessment of performance or contribution.2. Fit the scheme to the context and culture of the organisation.3. Keep it simple.4. Involve stakeholders, including

Being authoritative

1. Be good at what you are doing as a leader, a manager, an expert or all three.2. Be able to define clearly what you expect people to do clearly, concisely and persuasively.3. Demonstrate that you know

The things high achievers do

1. They define to themselves and others precisely what needs to be done and continually monitor their own performance and that of their team so that any deviation can be corrected in good time.2. They

Being decisive

1. Make decisions faster. Jack Welch when heading General Electric used to say: “In today’s lightning paced environment, you don’t have time to think about things. Don’t sit on decisions. Empty


1. List all the things you have to do. These can be classified into three groups: regular duties such as submitting a report, calling on customers, carrying out a performance review

Problem solving

1. Define the situation - establish what has gone wrong or is about to go wrong; a problem defined is a problem half solved. And this is the difficult half. The rest should follow quite naturally if an

Making a business case

1. Set out the reasons why a proposed course of action will benefit the business, how it will provide that benefit and how much it will cost. 2. Find out the sort of arguments that are most likely to convince


1. Don’t use too many slides. It’s very tempting as they are so easy to prepare, but if they proliferate they can divert the attention of the audience from the key points you want to make. In a 40-minute

Feedback on how people have been performing

Providing constructive feedback on how people have been performing is a vital part of performance management. It provides an opportunity to recognise achievements or to indicate areas for development.


1. Define the problem. Determine whether the problem is a misunderstanding - a failure to understand each other accurately - or a true disagreement - a failure to agree even when both parties understand


1. Identify people who may be able to help.2. Seize any opportunity that presents itself to get to know people who may be useful.3. Have a clear idea of why you want to network - to share knowledge, to

Change management

1. Ensure people see the reason for change - they understand why change is important and see how it will help them and the business in the short and long term.2. Ensure the people who need to be committed

Project management

1. Specify objectives and deliverables. 2. Carry out cost-benefit analysis or investment appraisal to justify project.3. Determine: What should be done Who does what