Tuesday 10 May 2011

Reward


John Lewis reward its worker each year by giving them a percentage of their pay as a bonus from the profits. this differs from other organisations because its a public limited company. it wants to reward its employees to keep them motivated year after year. this ensures that it is fair by giving all employees the same percentage of bonus.

if the company underperformed then less of a bonus would be given to everyone even the chief exectutive meaning its always fair.
its an advantage to give higher bonuses to higher people in the hierarchy because they need to stay motivated in order for the company to perform better the next year. although i think giving them a larger bonus in comparison to the rest of the employees may be seen as unfair and demotivate other employees.

No comments:

Post a Comment