Abstract: We begin our coverage of remuneration practice by considering what, for most employees, is the primary component of their total remuneration, namely base pay. The chapter opens with a discussion of the general nature and logic of base pay. We then consider the two broad alternative approaches to configuring base pay – pay for the position (or ‘job-based’ base pay), and pay for personal skills and personal competencies (or ‘person-based’ base pay) – and the general arguments for and against each. The chapter also examines evidence on the comparative incidence of job-, skill- and competency-based pay in various countries, noting that while the two person-based approaches have assumed growing importance in base pay practice since the 1980s, the take-up of person-based practices varies considerably from country to country, sector to sector, organisation to organisation and occupation to occupation.
Publication Year: 2007
Publication Date: 2007-06-29
Language: en
Type: book-chapter
Indexed In: ['crossref']
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