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Performance pay through COVID / Coronavirus  
Posted: 03/17/2020 08:15am   96 Views
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Hi all, we have a performance-oriented culture/pay structure, and at this point due to Coronavirus, many of our employees' goals will not be achievable. Questions are starting to come in about how we'll adjust course, and I'm curious if others have started to think through the relative pros/cons of options. One option is we take out the performance element and pay out those funds in some more standardized way, but higher-performers would likely be frustrated by that. Another option is to allow for a period to revise goals, but given our fiscal year ends in June, it feels late and challenging to do so. And a third option would be to pay based on who was on-track/off-track before all of this went down, but that hurts those who are good at improving at the end of the year. 

Thoughts? 


Performance pay through COVID / Coronavirus  
Posted: 03/17/2020 09:38am   Revised: 03/18/2020 09:42am  
   (1 rating)
     

I’ve connected with several mid-sized organizations in a similar situation. Most are considering a “hybrid” assessment approach.  If the employee has already achieved goals or can reasonably impact the set goals prior to fiscal year-end (has ability to work and right tools / internal systems to achieve), then the standard assessment approach may suffice.  If the employee is in a role where goal achievement is not possible, an assessment can be made on two factors:  fiscal YTD contributions prior to the workforce disruption, and ability to engage/re-focus efforts for the final quarter based on changing business priorities.  

This approach may have varying degrees of success, depending on your organization size and culture, and also how flexible the goal setting approach has been in the past.  Those on quarterly goal plans have a natural opporutnity to asses and pivot, while those on annual goal plans are more focused on reaching a resolution that is viewed as "fair" by employees, with the ability to sustain motivation/engagement long term.  The latter, may naturally result in less perfomrance differenciation than normal.   


Private34235

   
Performance pay through COVID / Coronavirus  
Posted: 03/18/2020 05:12am  
  
     

Why is the ending of the fiscal year in June a problem?


 
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