Our company is currently implementing an annual team bonus reward for teams that meet identified key business measures. However, we are wondering if we should continue to reward the individuals/or top performers within these teams? and if so how? We currently pay all individuals the same after one year on the job. (General Wage Increase). We are currently considering Merit or Skill based pay for individuals, but this seems to conflict with team values. Are their any studies that have been done to determine how team based organizations should be paying the individual?

-- Vickie L. Cobb (vickie_cobb@merck.com), March 06, 2001

Answers

Hi Vickie, We are a public (goverment) agency and currently have 11 work teams. We have a quarterly bonus system set in place, and (bonuses) are awarded on activities and acheivements. Working Safe, exceptional customer service, attendance,etc. At this time, the team I am on offers 14 possible points in 13 categories. Our bonuses are not very large ($200.00 per quarter).

An average team member qualifies in the 8-9 range, but some 20-25% can hit the 13-14 mark.

If you would like to know more, drop me a line.

-- Tom Herlihy (Tom_Herlihy@unionsanitary.com), February 19, 2002.