No Tags Found!


Our company's appraisal process is based on employees completing their yearly appraisals. For example, if an employee joins the organization on March 1, 2023, their increment is scheduled for one year later, on March 1, 2024. However, the company has decided to align every employee's increment cycle to start in April 2024. Please guide us.
From India, Pune
Acknowledge(0)
Amend(0)

Dear Kavita Shinde,

If the annual salary increments are happening throughout the year, then to rationalize the increase, you need to conduct the Performance Appraisal (PA) in the first week of April and link the salary increment to the marks scored in the PA. Those who have completed a full year will receive a complete salary increment, but those who joined the organization during the appraisal year (which is the financial year in your case) will receive a salary increment proportionate to the number of months completed.

If an employee joins the organization in Q4 of the financial year, then the annual salary increment may be skipped for him or her.

While your organization has made this decision, implementing it will require a lot of discipline. This is because your company needs to make a proper schedule for completing the PA activity by the 15th of April. The management needs to decide on the quantum of salary increase for each performance slab. The performance slabs could be excellent, very good, good, average, etc., or A, B, C, and D. In many companies, managers delay the PA, which in turn causes a delay in disbursing the annual salary increment. This causes despair among employees. Therefore, executing this policy requires the enforcement of discipline. Are your company authorities capable of enforcing discipline?

Thanks,

Dinesh Divekar

From India, Bangalore
Acknowledge(1)
Amend(0)
  • Kavita-shinde3437288
    Thanks for Guidance Sir
    0 0

  • To align every employee's increment cycle and yearly appraisals to start in April 2024, you can follow these steps:

    Communicate the Change
    - Announcement: Inform all employees about the new appraisal cycle starting in April 2024.
    - Rationale: Explain the reasons for the change (e.g., consistency, alignment with the fiscal year, etc.).

    Define the Timeline
    - Appraisal Process Schedule:
    - January 2024: Set performance goals for the upcoming year.
    - March 2024: Conduct performance reviews and gather feedback.
    - April 2024: Implement increments and announce appraisals.

    Update Performance Management System
    - Adjust the performance management system to reflect the new timelines.
    - Ensure that all relevant documentation, forms, and software are updated.

    Establish Performance Criteria
    - Define clear performance metrics and criteria for appraisals.
    - Ensure that these metrics are communicated to all employees well in advance.

    Train Managers
    - Provide training for managers on the new appraisal process and how to conduct effective performance reviews.

    Feedback Mechanism
    - Establish a mechanism for employees to provide feedback on the appraisal process.

    Monitor and Evaluate
    - After the first cycle in April 2024, review the process for any necessary adjustments based on feedback and outcomes.

    Example Timeline

    | Month | Activity |
    |--------------|----------------------------------------|
    | January 2024 | Set performance goals |
    | March 2024 | Conduct performance reviews |
    | April 2024 | Implement increments and announce appraisals |

    By following these steps, you can ensure a smooth transition to a unified increment and appraisal cycle starting in April 2024.

    From India, Madras
    Acknowledge(1)
    Amend(0)
  • Kavita-shinde3437288
    Thanks for Guidance sir
    0 0

  • The attempted change in granting the annual increment cycle to be effective from April, though not logical, is not illegal and is very common in India. Many MNCs follow this pattern. This change is sure to create aberration among affected employees in the year of implementation, which may vanish next year as all will have their increments from April uniformly.

    In the case of the earlier pattern, the increment was effected after the completion of either the probation period initially and/or after one year of service, subject to appraisal clearance, every year. This system didn't create any discomfiture as no damage was done. Since a decision has now been taken by the management, there is no point in looking back. Let it go. However, it is advisable to obtain the 'concurrence' of everyone involved to implement the decision smoothly. The rest is left to you.

    From India, Bangalore
    Acknowledge(0)
    Amend(0)
  • Kavita-shinde3437288
    Thanks Sir
    0 0

  • Hi, Kavita, When to conduct an appraisal is a management decision. They must have thought it out and have a good reason for it. If you think the decision is wrong (and you can justify it and your job description provides for you to give inputs), then please discuss with them why you think it is wrong.

    To my understanding, there is nothing wrong in streamlining the process and having it done once a year rather than making repeated demands on the manager's time to be diverted to it. But you need to take a call on what to do for those who joined during the year. So, if someone joins and works for 9 months before the appraisal, the approach will be different from those who joined 3 months before the appraisal. You need to have a cut-off and make it clear to the others that they will have their appraisal only in the following year.

    You may also consider a mid-year hike for such employees when they finish a year to retain them and keep their morale high. The quantum and process need to be well thought out and how it will affect salary hikes during the next routine appraisal.

    I do not think someone outside the company will be able to give you a straight answer just like that. I suggest you seek professional advice if you are not sure how to go about it. The fees for such a professional will be far lower than the potential problems you will create by doing it wrong.

    From India, Mumbai
    Acknowledge(0)
    Amend(0)

    CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.







    Contact Us Privacy Policy Disclaimer Terms Of Service

    All rights reserved @ 2025 CiteHR ®

    All Copyright And Trademarks in Posts Held By Respective Owners.