While many firms have no big plans in terms of bonuses, there’s a growing segment that will bump up employee rewards.
According to the Buck Consultants study, Recovery, Restoration and Retention: 2010 Compensation Trends, almost half (45%) of companies have no changes planned when it comes to employee bonuses this year.
However, around one-third (31%) of firms will actually boost bonuses.
When it comes to companies that are planning to increase bonuses this year, here is a breakdown of their plans:
- 14% of companies plan to increase employees’ bonuses by more than 15% of what they were the previous year
- 10% plan to increase employees’ bonuses by less than 5% of what they were the previous year, and
- 7% plan to increase employees’ bonuses by between 5% and 15% of what they were the previous year.
As for the companies that plan to lower bonuses (26%) this year, here’s what they have planned:
- 15% plan to decrease employees’ bonuses by more than 15% of what they were the previous year
- 6% plan to decrease employees’ bonuses by between 5% and 15% of what they were the previous year, and
- 5% plan to decrease employees’ bonuses by less than 5% of what they were the previous year.
If your company’s overall strategy has changed since the recession, it may be a good idea to take another look at how you reward staffers and set up new criteria and/or add different levels of rewards.
