The digital age is driving change around the way we work and the types of jobs we do. For the last 30 years, we relied mostly on pay for performance. But in this new world, organizations need to reexamine their approach in line with the transformation of emerging employee expectations.
There’s an inherent challenge in using pay to engage talent, particularly within an environment of restrained wage growth that makes pay differentiation hard to accomplish. That encourages us to look for new tactics that maximize the ROI of compensation spend to ensure organizations allocate to the key talent driving business outcomes, today and tomorrow. At the same time, traditional talent strategies — and by default, pay strategies — require rewriting in order to reskill and engage the people who will help see this evolution through.
See the full article published on Workspan: Pay for Performance vs. Talent: An Ongoing Evolution.