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My crystal ball says that everyone will continue to do whatever works best in their unique environment. Some will go transparent with strongly-defended merit pay systems, some will attempt to continue secret subjective inconsistent methods, some will openly share ranking schemes (grades and their parameters) while basing pay progressions on uniform published seniority scales, some will pay for skills while discarding workers who are never given a single summary appraisal "score" but despite counseling/remedial methods still fail to meet the requirements for continued employment and are determined unsuitable or redundant.. and other combinations. Market-based pay, hot-skill premiums, variable contingent pay plans for both individuals and groups will continue to grow, both in sunset and concatenating forms, too.

What will NEVER happen is an employer admitting that they don't care about work output results. No matter what kind of weasel words they use to hide the pea under the moving shells, no enterprise will voluntarily prohibit the exercise of managerial discretion, abandon confidentiality regarding personnel matters or express indifference about employee performance. They WILL try to avoid toxic terms that raise the hackles of critics, though, without really changing the background management behaviors that will get new friendlier descriptions.

This is a really good read and appreciate what I would say is, an accurate depiction of the business world in the not so distant future.

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About The Author

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    Compensation consultant Ann Bares is the Managing Partner of Altura Consulting Group. Ann has more than 20 years of experience consulting with organizations in the areas of compensation and performance management.

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