PERFORMANCE APPRAISAL/COMPENSATION EMAILS
Situation: The OL organization is a medium to large-sized service organization in New England. The
OL organization’s performance appraisal system, which was designed by
the HR Department several years ago, requires that all employees be
evaluated by their supervisor on an annual basis except for new
employees, who are appraised after the first 90 days (the probationary
period). The performance appraisal form, which is used for all employees, is shown below. Supervisors
are required to complete this form covering each of their employees at
the appropriate time. They should discuss the evaluation with the
employee, ask each employee to sign the form at the end of the
interview, and return the completed form to the HR department.
The
organization has several different wage structures, including one for
executives, one for managers, and one for all the other workers. The
job evaluation is the point factor technique in which all jobs receive a
point value based on an assessment of compensable factors. Jobs
are then assigned to a grade level, and each grade has an entry or
minimum rate and a maximum salary payable for the jobs in that grade. The amounts between the entry rate and maximum comprise the salary range for the grade. Adjustments to the ranges are made periodically as area market rates change.
Salaries are directly related to the work they do and how well they do it. The
salary is based on the point evaluation and the survey results. The
company is generally considered to be competitive when surveyed in their
market. Usually employees begin at the bottom of each pay
grade. Employees are considered for a merit increase after six months
of service and then they annual receive a merit increase at the end of
each year. Cost-of-living increases are also granted periodically by the organization to all employees.
You are
Sandy, the Human Resource Manager, and have received the following memos
and emails over the last several days while you were out of the office. Please respond to each of them. Before you respond to the email or memo, state the importance of each as either critical, medium, or of low importance.
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