Insights
JK Consultants Has 30 Years Of Global Leadership Recruitment Experience And Success
We work with clients to design roles and responsibilities and help them hire the right people. We help professionals advance their careers.
Psychological Effects of Executive Salary Imbalance
When the salary imbalance between a company’s CEO and those below becomes excessive, the entire organization may be thrown out of whack. In a recent study by the CIPD, it was revealed that this wage imbalance does have a noticeable psychological effect on the workers below the CEO. Almost 60% of employees used in the study admitted that the salary imbalance demotivates them, and more than half said they felt excessive executive pay damaged the company’s reputation. This makes it more difficult to retain loyal employees and can turn off some job seekers with excellent talent.
How to Recognize your High Performing Employees
As an employer, it’s important that you know how to recognize who your high performing employees are. Whoever you choose to place in leadership positions can either make or break your company. Research has shown that companies with strong leadership positions are more likely to double both their profit and their revenue. So how do you identify the right person for the job? Mainly through observation.
Effective Executive Compensation Plans
An executive compensation plan is a crucial element in recruiting and maintaining a happy, productive workforce. This area has been affected by Enron, WorldCom, the SEC and the accounting standards board.
