Pay-for-Performance: An Empirical Examination of Employee Attitudes and Actual Performance. Executive Summary

摘要

The purpose of the research reported here is to examine the efficacy of merit pay plans and their effectiveness in transit organizations. Specifically, the goals of this project were to: (1) investigate the relationship between performance ratings and merit increases; (2) investigate whether supervisors consistently rate employees too high or too low compared to other supervisors; (3) investigate whether merit increases are given to the same individuals year after year or whether they are random; (4) investigate whether employees perceive a linkage between merit pay and performance; and (5) investigate employee perceptions critical to successful merit pay programs. The research site for this study was a large transit system on the West Coast. The study found that employees generally believe in the concept of a merit-based pay system and believe their supervisors do rate individuals on their performance. However, the results also indicate that there are several areas in which the merit pay system can be improved.