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> There's also the matter that a raise doesn't need a promotion. This is a critical point. I've been a manager at companies where the primary, and sometimes on
by jasonshaev 5y ago
> There's also the matter that a raise doesn't need a promotion.
This is a critical point. I've been a manager at companies where the primary, and sometimes only way, to get someone a raise is to promote them because of strict salary bands defined by level. This creates a perverse incentive to promote too early.
Salary bands are usually in place to -- ostensibly -- make sure salaries are fair. Fair salaries are a good thing. That being said, there HAS to be a mechanism to reward top performers with additional cash that doesn't require promotion otherwise it can feel like "teaching to the test."
- jacobr1 5y agoThey other factor is matching the pay bands to the market correctly. If the HR team outsources this to national averages rather than assessing peer companies, especially in software, the bands are going to be too low. Which means if want to retain anyone (not just your high performers, but your average employees) you are forced to inflate to just match market rates.
- setr 5y agoUsually I see this in the form of bonuses, especially ones that will basically always trigger unless you piss someone off (e.g. based on boss’s performance review, where you both know it’s just going be approved unless you really fuck up). Though this still maintains the risk/burden on you; e.g. boss changes; but it keeps HR happy, lawsuits away, and employees with a proper paybump
- dagw 5y agoUsually I see this in the form of bonuses, especially ones that will basically always trigger Every place I worked bonuses are decided according to a strict formula based on the performance of an entire departments and even the company as a whole. There is no way to reward an individual or even a project group with a bonus unless the whole larger office also hit their targets.