Navigating the road to pay for performance

Five common pitfalls and how employers can avoid them
By Liz Wright
|Canadian HR Reporter|Last Updated: 04/19/2007

Many organizations across Canada are seeking to forge links between performance and rewards. They see it as a way to focus attention on business priorities, motivate employees and recognize those who make superior contributions.

But it can be challenging to make pay for performance work effectively. The road to linking performance and rewards is often filled with potholes that need to be carefully navigated. The following are five common pitfalls and some suggestions to help navigate them.

1. The organization says it believes in pay for performance, but leaders and managers don’t walk the talk.