There is a subtle issue that comes into play here a. High performance employee who works at employer A has already given ample evidence of going over and above

There is a subtle issue that comes into play here a. High performance employee who works at employer A has already given ample evidence of going over and above usual metrics of efficiency. b. High performance employee decides to go into the market and shop around but other prospective employers have to largely take the employee on their word and their portfolio about their performance. Since these prospective employers have not yet witnessed the said over achievements, rationally speaking they would apply a slight discount. c. Given the above, the existing employer can use the information asymmetry wrt to other employers to their advantage. They can as a pricing strategy apply the same discount to the employees compensation that other prospective employers would. What do you think about the idea about slightly overpaying for your high performance employees. This way when they go and look around they realise that they are valued.