A few years ago my company went through an exercise of making sure that everyone in a similar job made the same amount of money and females made the same amount as men. I ended up getting a $15k salary bump out of it. My company would be fine with this requirement. If every company did the same exercise then nobody would have cause to complain about it.
The problem with this is that mediocre employees getting rewarded, while the better one will seek oppprtunity else where. Over time, company practising will be less competitive and accumulating mediocre employees. I've been in HR for multiple companies over couple decades and seen these subtlely happening. Equality in pay has similar effect like communism where everybody is equal but poor whereas the poorest in competitive market is richer. It is better for a company to have intrinsic culture to always reward people for performance and not based on equality, gender and race.
Interesting observation! Reading this , I felt this happened where I work. The extra reward for going beyond the job description , role expectations was reduced and people began to work with a 'coasting' mentality.
do you have any more sources - studies , papers or even blogs on this?
Comments
A few years ago my company went through an exercise of making sure that everyone in a similar job made the same amount of money and females made the same amount as men. I ended up getting a $15k salary bump out of it. My company would be fine with this requirement. If every company did the same exercise then nobody would have cause to complain about it.
The problem with this is that mediocre employees getting rewarded, while the better one will seek oppprtunity else where. Over time, company practising will be less competitive and accumulating mediocre employees. I've been in HR for multiple companies over couple decades and seen these subtlely happening. Equality in pay has similar effect like communism where everybody is equal but poor whereas the poorest in competitive market is richer. It is better for a company to have intrinsic culture to always reward people for performance and not based on equality, gender and race.
Interesting observation! Reading this , I felt this happened where I work. The extra reward for going beyond the job description , role expectations was reduced and people began to work with a 'coasting' mentality. do you have any more sources - studies , papers or even blogs on this?