Due to the Covid situation, we have asked our support team, who provides technical support to our customers to work from home.
We are noticing that all the team members are working as per the expectations, therefore we are in a situation to come up with an incentive-based package to motivate the team and get the work done.
Considering the following example, our initial plan are:
1. Current monthly take-home salary of the staff 50,000
2. We will pay 75% (37,500) as a salary
3. We will hold 25% (12,500) and pay a portion or full or even nill of this amount based on the performance
Any ideas, suggestions please share it

From Saudi Arabia, Riyadh
KK!HR
1031

You are wanting to introduce a variable pay component linked to performance within the existing pay structure. For those employees who are going to get less than 50K, this will be more a disincentive and could adversely affect the company prospects. If on the existing pay structure, the incentive is added suitably it may become more attractive as your purpose is to motivate employees to serve the customer better.
From India, Mumbai
Dear Smartcard,

This is in addition to what KK!HR has written.

Whenever employees join the company, they are issued with the Appoint Letter. In the letter, a break up of the salary components is mentioned explicitly. This brings clarity on what would be statutory deductions, additional deductions, performance incentive and above all what would be the take-home salary.

If you wish to bring a performance-based salary structure then it could conflict with the structure mentioned in the appointment letter? Will it be permissible as per the labour laws of your country?

By the way, is your query on the "motivation of the employees" or "amending the salary structure of the employees"? If it is former then why do you think that money only motivates the employees? A motivated employee does high-quality work, does not require much supervision, comes up with better ideas and so on.

If you wish to improve the motivation of the employees then you may make a Career Development Plan (CDP) for each employee. Nothing encourages a person to render a better when there is clarity on what will happen in one's career in future?

Thanks,

Dinesh Divekar

From India, Bangalore
Hello KK!HR and Dinesh
Thank you for your feedback.
I want to clarify one subject, our plan is to terminate some staff and offer a few of them new contract for them to work from home. In this case the existing contract will not be effective. This is the reason we are looking for an optimal solution to motivate the team who are going to work from home based on their work output
Any suggestions welcome

From Saudi Arabia, Riyadh
Dear colleague,
Your first and second query are world apart.
You should have refrained from hiding your motive.
In the first query, your carving out a portion of existing pay structure and showing it as an incentive shows lack of sensitivity and imagination.
In the second query, you intent to terminate some employees first and then offer again to selected few new contract of work from home with some incentive packed pay.
Termination itself is the biggest demotivation .How your incentives will help them and you?
Regards,
Vinayak Nagarkar
HR and Employee Relations Consultant.

From India, Mumbai
Hi Nagarkar, it is not that we are going to hide the motive. This is just a brainstorming and information gathering post before we take any decision.
From Saudi Arabia, Riyadh
Dear colleague,
This forum is not an academic institute to brain storm hypothetical issues. Though the advice shared by learned colleagues on this forum is free, nonetheless, the same carries weight of long working experience and wisdom.
Whatever were your motives, you could have clarified it in the first place and not after it was sought.
Thanks and Regards,
Vinayak Nagarkar
HR and Employee Relations Consultant

From India, Mumbai
Implementing incentive pay isnít constantly the manner to head. Incentives can't replace a sturdy tradition and intrinsic motivation.
Incentivize pay for Technical support team may be a extremely good tool to boom motivation and productivity.
A right incentive pay system must contain productiveness goals; consumer satisfaction; and a Quality Assurance score that displays other performance metrics essential to the corporation.

From India, Pune
Hello Sheetal-Kamble
Thanks for the opinions, and I will consider the following from your post:
>>Incentivize pay for Technical support team may be a extremely good tool to boom motivation and productivity.
>>A right incentive pay system must contain productiveness goals; consumer satisfaction; and a Quality Assurance score that displays other performance metrics essential to the corporation.

From Saudi Arabia, Riyadh

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