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RPM 2023
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Types of Pay
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berts
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Merit pay system
- is a system where employees are rewarded based on their individual performance.
(No Motivation by supervisor/ manager)
Pay-for-performance
- initiatives typically provide guidelines that explain what behaviors or performance evaluation results lead to increased pay.
(Includes Motivation)
Also called earnings-at-risk (EAR) plans
Supplemental pay
- is monetary compensation given to the employee in addition to their regular base salary.
(In addition to thier current salary)
Severance pay
- is the compensation and/or benefits an employer provides to an employee after employment is over.
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