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
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?