Feeling Shortchanged on Performance Pay: How Should I Approach Management About It?

Dear All,

Please suggest whether I can write to my management asking for the reasons for the very minimum PERFORMANCE PAY (only 30% of the actual amount), even though there is a very slight shortfall in achieving the stipulated targets as per my KRA. I am the only person in the organization in this range; the rest of the staff are given a minimum of 60%. Please suggest the right way to request my rightful amount from management.

Thanks in advance,
R. Srinivasa Raghavan.

Dear Srinivasa Raghavan,

Please clarify the following points:

a) How many KRAs did you have, and what was the total score? What is the score in percentage?

b) What is the time duration of the performance cycle?

c) Has the organization defined the performance slabs for the disbursement of the performance bonus?

d) Why do you consider 30% to be meager?

e) Apart from meeting performance targets, were there any other faults on your side? Were you involved in matters of discipline?

Thanks,
Dinesh Divekar

Thanks,

Answers to queries are as follows:

How many KRAs did you have and what was the total score? What is the score in percentage?

4 KRAs in total. Only one of the KRAs was not met 100%, and the rest were met 100%.

What is the time duration of the performance cycle?

Yearly.

Has the organization defined the performance slabs for the disbursement of the performance bonus?

NO.

Why do you say that 30% is meagre?

When compared to all other staff.

Apart from meeting performance targets, was there any other fault on your side? Were you involved in matters of discipline?

Nothing.

Dear Srinivasa Raghavan, Out of the four KRAs, your score for three KRAs was 300, and for the fourth one, it was less. What was the score for the fourth KRA? Is it that you failed to attain the target for the vital KRA, which was the fourth one?

Anyway, you may write a letter to your HR Head asking for clarification on the parameters for which you have been given the performance incentive. If you are not satisfied with the reply, then you may approach the Managing Director of your company. If you are still not satisfied, then you may consider leaving the company. If you wish, you may draft the letter and upload it to this forum for corrections. Instead of mentioning the name of the senior authority, you may just write "xxxxx."

With all that said, there appears to be some problem somewhere. How are your relations with the Manager or General Manager? Have you fallen out of favor with either of them?

Please note that there cannot be smoke without fire!

Thanks,
Dinesh Divekar

Dear Divakar Ji,

In our company, there is no HR manager, and I am directly reporting to the head of the company only. Please consider giving me a chance to recover any amount I lost in Performance Pay from the management.

Thanks in advance,

R. Srinivasa Raghavan.

Dear Srinivasa Raghavan, if you report directly to the Head of the company, then two things emerge. One is that the performance incentive need not be linked to the KRA score, and the second is that a 30% performance pay must be his conscious decision.

Now, the question arises: by putting a formal application, will he get indignant? Out of indignation, will he start harassing you? Moreover, is the payment of the 30% incentive a ploy to remove you? Is it a signal to you that you are a persona non grata in his company?

Therefore, think from all sides before putting up a formal application. One more choice is to talk to him when he is in a good mood. What a formal application cannot achieve, an informal talk in a good mood may achieve!

Thanks,

Dinesh Divekar