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Current compensation program; is it the correct approach

Please feedback about this post, your own opinion or if need something to said about it, you agree or disagree with this opinion and why?

1-One concern about executive pay today is that employees and the public believe that company executives get paid way too much and are offered too much incentives while the other employees either are underpaid or not offered any incentives for teh hard work they do .Another concern that is causing the government and others to focus more on the pay of executives is the current state of our economy because if a company is consistenly laying off workers and frontline employees and complians they are not making enough money or business is bad but then pays their executives huge bonuses every month or lavish them with gifts such as :Golf trips and vacations i raises a red flag.

Please answer this questions?

2-Compensation programs can be administered in either a centralized or decentralized manner. Which method is used in your current or former organization? Do you think it is the correct approach?

Solution Preview

1. I definitely agree with the feedback in posting one. Many executives are receiving pay, bonuses, and perks that no other employee receives. Further, their pay is so high that it prevents other employees from receiving raises due to the need to cover executive salary. This is not fair to the employees. Also, these executives who are receiving perks many times are prohibited from doing so. They are receiving these perks which may be benefiting them but may be illegal and therefore can cause great detriment to the company in the future. Then many people will lose the income and livelihood. The public usually hears the ...

Solution Summary

The current compensation program for the correct approach is examined.

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