I am moved by this story every year. In the U.S., a new tradition is growing stronger – Layaway Santas. These people embody the true meaning of the holiday – giving out of the goodness of your heart to those in greater need. Here’s just one story on the phenomenon:

This post is about recognition. The recognition of each of you reading this post, and anyone who has ever read a post on the Compensation Café.

Performance reviews and ratings are tough. When I work with companies that are new to the concept, I always start with a basic three-tiered scale. This scale is easy for anyone to understand, but admittedly a bit crude for fine-tuned performance management.

The underlying theme of this odd series is focused on doing the simple things as early as possible and head off the bad things as soon as they start to rear their ugly little heads. Of course, some of the things we work on are complex and require the “art and science” of pay, but many just require our regular and sincere attention for a fraction of our work week.

Pay compression is something that creeps up on you… like wisdom teeth. It is easy to avoid with regular analysis and communication. But without this, it can be a sneaky problem. It’s not an issue for years, then all of a sudden it becomes the only thing you can think about.

Editor's Note: Classic insights from Dan Walter, via anecdote, on the power of exceeding performance expectations!

This is where many mid-stage high-growth companies find themselves on a regular basis. They have an innovative product and the core team for future success. The future is just beyond the horizon and the sunrise is just beginning to show. They have a business plan that requires a ton of new hires and a compensation philosophy or structure designed for the company they were a year ago.

Whether you have been managing for 25 years or a few months, ask yourself the question – has anyone taught you how to manage or are you trying to figure it out as you go? Managing employees well leads to impressive outcomes and unparalleled team success, but how do you know if you are doing it right?  

Just like your teeth impact your speech your pay can impact who you hire, the kind of people you keep and whether you will succeed at all. Pay is a foundational component of your future success. What you pay someone today sets an expectation for them and for every hire of a similar person.

The funny thing is getting that little cavity or other problem fixed quickly usually doesn’t hurt and lets you focus on better things down the road. Compensation programs can often be the same.

Your new compensation program is the car. Your roll-out communications are the first tank of gas. The rest is the story of nearly every new program in the world of compensation. Communication is often viewed as a maintenance item. In truth, it is an essential component that makes compensation…

While this seems like a pure HR issue, it is a compensation issue. Paying employees costs more than paying contractors. It’s a fact. Companies are increasingly focused on more aggressive profit margins. The concept of “gig workers” help solve this issue by allowing companies to grow without paying…

Editor's Note: Ever feel like things are a little backward pay program wise? You're not alone, friend! Dan Walter, master of the compensation metaphor, shines a light on the Classic problem we all face at one time or another - particularly those of us who work in or serve smaller, entrepreneurial organizations.

Just a few months ago the last compensation professional on earth was terminated by their corporate overlord. She sits huddled with her former colleagues at the location of the final WorldatWork conference at a Gaylord Hotel in one of those big conference cities that no one actually got a chance to see during prior events. Artificial Intelligence, or “AI” as it likes to call itself, has taken over and made these once-proud CCPs, GRPs and LMNOPs a bygone memory of different times.

For several months many of us have wondered why base pay wasn’t spiking upward out of respect for the historical strong job market. The basics premise of our economy is the strong demand and short supply results in high prices. This is true for peaches, cars, and people. With unemployment at very low levels and a job market continuing to create jobs at a rate of 210,000 per month, we should have been seeing pay rise far faster than our now sad 3% annual increase. It turns out the trickster was simple math.

Editor's Note: You thought hybrid jobs were a challenge! Welcome to the age of the duckbilled platypi. Armed with this Classic "hunting guide," Dan Walter encourages us to embrace and rise to the challenges of today's unique (and often, as a consequence, critical) roles!

Here’s a test for you, valued reader. Draw four columns on a piece of paper. In the first write the name of each compensation element. In the second write the purpose of that compensation element. In the third define what happens for the company if that purpose is met. In the last column define what happens if that element fails.

Then sit down with each member of your HR team, and then each member of the executive team. For each element ask them to tell you…

The real best practices on equity are found at the edges, in the corners and behind the curtains of survey data, trend articles, and recent big winners.

I like to say a good program starts with knowing “who you want to be when you grow up.” The potential future value of the company and the time and number of employees it will take to get there should be a…

Executive compensation, especially at larger companies, continues to soar ever upward. Headlines in local newspapers and websites around the US are reporting record years, once again. While there are valid arguments for many huge CEO pay packages, there are at least as many that defy explanation. Why can’t we get our arms around this issue?

Developing and retaining employee motivation can be challenging. While many factors need to be considered to attain it, one of the foundations of successful employee motivation is having the right leader in your organization. Question is, what does it mean to be the right leader?