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  • Category: Miscellaneous

    Salary hike- Is that on employee performance centered or otherwise?

    Salary hike is the most important happening in every organization and for some companies every Deepavali is considered to be the deciding date for hike and some decide on the date of joining completing every year. But what would be the hike is something very interesting. Even in case of teachers the hike varies from one teacher to another, likewise state and central govt employees are guided by their rules of appointment but the private companies do keep the hike to their chest and wont reveal to any employee. Is that based on employee centered performance or otherwise?
  • #743704
    The salary hike process is completely different between the government and private organisations. In government departments salary and salary hike is given in a general way until an employee is under some enquiry or something like that. But in the private organisations it is very complicated and complex in the sense that management will definitely monitor and observe the performance of the people and accordingly give them increments or other facilities or promotion in their position. That is the reason why in private organisation the employees are on their toes and take care in doing work and are always alert. Management will always be able to pick out the good people out of the mediocre ones and definitely will give them some raise or an incentive so that they remain with the organisation and do not leave it for other organisations where lure of more salary and facilities is made to them.
    Knowledge is power.

  • #743710
    In government jobs, the salary scales will be there and every year as per the scale one will be getting the increment and there is no suspense for them what will be the hike. The question special increments or higher increments are very rare. Once in a while, the scales will get revised and everybody will get benefitted. The scale will decide the rate of increment.
    In a private organisation salary hike is completely different. The increment amount will be decided by the management every year and there is no rule that all should get the same increment. Some employees will be given a higher pay hike and another employee may not get any hike.
    Generally, two factors will be taken into account to decide on the increment amount. The first point is the company's overall performance. If the company performed well in the previous financial year, the employees will be given a better increment. The second point is the performance of the individual. If a person is working hard and contributing more to the growth of the organisation. the candidate will get a good amount as an increment.

    drrao
    always confident

  • #743726
    Employee performance is the main criteria and if the good performer is in the good book of the management then possibly the increment may be on the higher side in some organizations. The performance of the private organization solely depends on the performance of the individuals so the more one performs the more will be the hike although some other criteria are also taken into account like the overall performance of the company during the period. Generally, private organizations do not have any specific rules regarding increment, but big organizations have their own policies about increment.
    Sankalan

    "Life is easier when you enjoy what you do"

  • #743738
    The performance of the employee is the main criteria for his increment or other awards. However this is very much applicable in the private sector where the performance of the employee is closely monitored and his consistent better performance is not ignored providing him next promotion or a hefty hike in his salary. The efficient workers are their assets and as such they would do everything to please them. If the worker is efficient enough to raise the production applying his innovativeness in his own area of work, they will enjoy faster promotions. If the employee is in the government organisation, perks and awards are dependent upon the wish of his boss. However, an efficient worker is not denied his legitimate share.

  • #743747
    If the performance is the criteria then all the performing employees should get sustained same kind of increment given to all.
    K Mohan @ Moga
    'Idhuvum Kadandhu Pogum "
    Even this challenging situation would ease

  • #743758
    K Mohan @#743747, even when all the employees are performing in an organization does it mean all of them are performing equally well? The nature of work of each employee is different so the hike will also be different unless the management is annoyed with an employee. If an employee notices that other than performance something else is required to get a good hike then I think that has to be addressed properly. Of course, I will not suggest anyone work in favour of the management to get a hike even when the employee knows that the management is involved in corrupt practices and in such cases, the employee has to look for some alternative.
    Sankalan

    "Life is easier when you enjoy what you do"

  • #743765
    There are many other factors involved along with the performance of the employee for salary hike or increment. When a person has joined a company or organization, whether it is private or public, there is a desire for increment after a certain time, the expectation of getting it every year in a private job is high. What the author has said about the fixed date or time for an increment is also true, this fixed time can also be the joining date or the beginning of the year, January. Employee's behavior, relationship with his peers, relationship with management, responsibilities, and ability to take initiative and job experience, etc. And on the basis of all the parameters, the increment is decided in the salary. So what I think is that a salary hike is the final result o your overall performance.

  • #743846
    Every one in this world offers their services to any company only for monetary rewards that is in the form of salary. Periodical revision in terms of increment to all employees in their salary is though practice in every organisation, it should be nominal and according to their service and performance. For this there is a system in the HR/Personnel Department of every organization in the form of 'Performance Appraisal System" which is in the prevalence of many big organizations. Increase in salary is a great motivation to an employee and is an dignity value to an employee as well to the organization. Many organizations are giving the raise on their joining month, some companies offering this in July and January, some on the Deepavali day. Besides the salary hike many companies offering articles /dresses to its employees on the day of Ayudha pooja or Deepavali.


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