Reward management and performance related pay Essay

Reward management and performance related compensate - Essay ExampleIn todays fast-paced modern world, the job market seems to be getting more and more diverse, wide and inclusive of a great number of potential factors, that could affect the way one sees his job. Human Resources Management is one much(prenominal) area that is gaining importance by the day. Human Resources Managers locomote towards the fundamental problem of creating a balance amid the expectations of twain, employers and employees.The job market is getting highly competitive and retaining not bad(predicate) talent is becoming an arduous task, owe to the better attractive stretchs being offered to talented workforces. As they say, grass on the other side of the shut in is greener and therefore, employees find themselves being pulled across by alluring competitors. Under such circumstances, the compensation or pay packet goes a long way in determining the loyalties of employees. For instance, if the talented em ployee in question is unsated with the compensation he receives from his current job, he would obviously consider the competitors job that offers him greater potential and pay.Most employees cull jobs that offer challenges and on winnerful dealing and completion of these challenges, would prefer better pay packets. At the decease of the day, pay is a huge motivator or factor in diminishing quality of output. Therefore, jobs that offer growth potential, in terms of the hierarchical setup and the pay raise, experience great amount of success in maintaining stability in terms of employee retention and in cementing employer-employee relationships. ..the pay package is one of the about obvious & visible exchanges of the employment relationship it is the main issue in the exchange between employer & employee, expressing the association between the labour market, the individuals work & the performance of the employing organisation itself (Hegewisch, 1991 28). Therefore, the solution t o this problem faced by employers in the process of reducing employee attrition rates and retaining talent, is performance-related payments and issuing rewards for quality output of workObjectives of Employer and EmployeeIn an organisation, both the employers, as well as, the employees possess varied objectives and expectations from each other, the job and the outcome. The objectives of the employer varies significantly from that of the employee, in formulating and pursuing the coarse thrust. Here are the objectives of the employer, when he formulates and bring downs into a payment contract with his employeeDetainment Employers look towards retaining the talent they spot in employees, without allowing competitors to take over the same. Therefore, they endeavour to satisfy their talented employees by formulating and putting forth a good payment contract. No one would want to lose a good employee due to under-payment levels. Thus, one of their more objectives is to retain talent a nd reducing the attrition rates. Steer clear Employers attempt to steer clear of competitors and out victorious in alluring and maintaining some of the most skilful talent, which directly affects the positive quality of work output. Thus, they look to maintain an upper hand amongst competitors, by entering into a decent payment contract with their employees.Intelligent dealings Employers try to attract the best possible talent within their limitations in providing payment. When they enter into the payment contract, they attempt to make the most in terms of attracting the best