The pay rise given to directors of huge corporations most of the times is significantly higher than that of a normal employee. Some argue that this is essential to find the finest managers in this globalized market. However, in my opinion, this is not a good approach for the company and I will explain my reasoning in the following paragraphs and provide an alternative.
In a well-established company, stability should be the priority. Significant increase of salary specifically for a director position does not guarantee that they will be loyal to the company because there will be other organizations that are able to give a higher pay rise. Consequently, this means that the company, more often than not, might be in a situation where there is no one to fill in the director's position, which is problematic because the frequent absence might cause management instability.
Furthermore, it is unfair for the other employees because the calculation of a pay rise for them is typically based on performance metrics and not based on title or position. It would be better to establish the same calculation model that disregards the title of an employee.
Alternatively, to gain the best talents available, the company should focus on their existing worker. If a company can provide work-life balance and workshops to train employees frequently, they will be able to find the best person suited for the job. Moreover, they are usually more loyal to the company due to the fact that they are not focused how much they are getting paid.
In conclusion, fariness is something that needs to be taken into account when it comes to this matter. Additionally, an alternative solution that focused on fostering internal talents would be better in the long run.
The pay rise
given
to directors of huge corporations
most of the times
is
significantly
higher than that of a normal employee.
Some
argue that this is essential to find the finest managers in this globalized market.
However
, in my opinion, this is not a
good
approach for the
company
and I will
explain
my reasoning in the following paragraphs and provide an alternative.
In a well-established
company
, stability should be the priority. Significant increase of salary
specifically
for a director position does not guarantee that they will be loyal to the
company
because
there will be other organizations that are able to give a higher pay rise.
Consequently
, this means that the
company
, more
often
than not, might be in a situation where there is no one to fill in the director's position, which is problematic
because
the frequent absence might cause management instability.
Furthermore
, it is unfair for the other employees
because
the calculation of a pay rise for them is
typically
based on performance metrics and not based on title or position. It would be better to establish the same calculation model that disregards the title of an employee.
Alternatively
, to gain the best talents available, the
company
should focus on their existing worker. If a
company
can provide work-life balance and workshops to train employees
frequently
, they will be able to find the best person suited for the job.
Moreover
, they are
usually
more loyal to the
company
due to the fact that they are not focused how much they are getting paid.
In conclusion
,
fariness
is something that needs to
be taken
into account when it
comes
to this matter.
Additionally
, an alternative solution that focused on fostering internal talents would be better in the long run.