This archive report was first published on 9 July 2019.
On July 9, 2019, a Human Resources Development Consultant based in Nairobi emphasized the importance of fair pay in the workplace.
According to the consultant, employers who fail to implement remuneration policies provide room for baseless determination of individual staff salaries. This can lead to low morale, decreased productivity, and even industrial strikes.
Effective remuneration policies should include provisions for reward schemes, job evaluation exercises, and comparisons with market rates. These strategies help to foster internal equity and external competitiveness, ensuring that employees are paid fairly and consistently.
One key aspect of fair pay is the determination of job values. Organizations should undertake job evaluation exercises to create job groups and establish clear linkages between job groups and salary scales. This helps to reduce salary inequities between and among employees.
Another crucial aspect is bonus payment. Bonuses should be made to everyone depending on both the overall company performance and individual employee's performance appraisal rating. Pre-determined criteria for bonus-sharing can minimize staff discontentment on bonuses.
Employers and trade unions should also hone their negotiation skills to settle on collective bargaining agreements (CBAs) that are both fair and affordable. The Employment Courts have piles of unresolved salary disputes that would have been avoided had the concerned parties followed due processes.
By implementing these strategies, employers can ensure that their workforce is paid fairly, equitably, and consistently, leading to increased morale, productivity, and job satisfaction.
