CASE STUDY: MULTIBANK

Case Study: Multibank



Case Study: Multibank



When one considers that the associate cash compensation bundle is comprised of four rudimentary components, (1) a groundwork salary (structured to class standing in the bigger law firms), (2) a bonus fee structured on one or more of the following: lawful deserve, assistance to firm profitability, firm economics and the origination of enterprise, (3) a profit sharing plan founded upon the firm's success, and (4) a sensibly comprehensive benefits program. (Wright, 2006, pp. 5-10)

Performance associated pay is used by some organisations to reward employees on a one-by-one and/or team basis. It is utilised in both the public part and parts of the personal part, where it is perceived to be a way of giving an incentive to those at the top of their pay band or as a means of progressing through the pay system. Pay rises are linked to one-by-one or group performance measured against goals or target criteria.

Multibank Case

In Multibank case, the performance pay systems are designed to reward individuals differently for doing the same job; inequality in payments is therefore built into the system. The distinction between this scheme and self-acting progression is that with individual or group pay there is a component of discretion and subjectivity, and therefore a higher risk of bias. If an identical pay assertion were to originate the employer would have to explain the distinction in pay by reference to reasons that had nothing to do with the sex of the jobholders. You can find out if there is a problem in Multibank by looking at the amount paid in performance related pay, to men and women, over the past year. You will need to look at each grade and the distribution of performance pay within each grade (Wright, 2006, pp. 5). As well as looking at dissimilarities in presentation associated payments to women and men, you may furthermore want to look at other facets of equality such as rush, disability, religious belief and/or political attitude and sexy orientation (Hatch, 2006, pp. 86). If you find that there is a tendency for people from one group to be favoured over another, then you need to find out why this happening (Nolan, 110). In multibank who use performance related pay systems sometimes incorporate performance as part of a grade system and/or have 'market rate' or progression elements. This means that even for the identical performance ranking, rewards can differ. Employees may find the pay system confusing and not understand how the amount they are paid is arrived at (Robbins, 2003, pp. 69). Pay awards should be broken down and each component looked at separately (Stone, 2001, pp. 43-50).

Critical Analysis of Case

It is important to consider the objectives of the performance scheme and to aim for consistency in approach across the organisation as a whole (Simmonds, 2007, pp. 24-96). You also need to be aware of how performance payments affect male and female employees doing equal work (Holdford, ...