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Pay
Progression
Pay progression practices tend to differ between sectors
with much of the private sector working to a progression
model based on 'pay for performance' with much of the
public and voluntary sectors on a 'pay for service'
model.
Both methods have their advantages and disadvantages.
For instance:
• pay for service is highly predictable in
terms of future cost control but is inflationary.
There is, though, no pay differentiator in terms
of working more or less hard.
• pay for performance can target higher salaries
towards higher performers. But this can also set
up tensions in terms of how to measure different
performance levels and the balance between team
performance and personal contribution.
•
rja has expertise in both quantitative and qualitative
analysis of the differing pay progression options
including the use of consolidated v. non-consolidated
payments, the use of bonuses and non-cash awards,
etc.. |
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examples |
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