An organization’s culture can be changed through its pay
system to focus more on performance, according to the
Merit System Protection Board’s latest Issues of Merit
newsletter.
A pay system can have far reaching effects on how
employees view one another – as collaborators or
competitors – the flow of communication, etc., and serve
to promote individual and organization goals by
identifying desirable behaviors and how they will be
rewarded, MSPB said.
It said pressure on agencies to become results-focused combined with new flexibilities to tweak compensation
systems have led to pay for performance systems tying
salary dollars directly to organizational achievement.