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Interesting post.

There's another BusinessWeek article from March that discusses the issue of differentiated benefits: http://bit.ly/aH89I. In that article there's some discussion not only of trying to bring a pay-for-performance model to benefits, but also of being able to fit benefits to individual preferences - for example, younger workers being able to swap an expensive health insurance plan for more vacation time.

At the moment, of course, all these ideas are little more than theory. Besides the fact that employers would run afoul of the law, there are real questions as to how to make sure such radical changes don't backfire. The goal of any such changes would be to increase employee engagement and motivation, but it would seem that, if not well designed, such programs could instead lead to resentment and dissatisfaction among employees.


Thxs for the link to the additional BW article. I'm a fan of customizing benefits and rewards based on employee performance and job responsibilities. It makes a lot of sense to me design programs that take extra care of your top 20% of employees in this time of diminished salary budgets. It'll be interesting to see how this all plays out over the next 5 year timeline as predicted in your recommended article.



This sounds bad for employees . It sounds like they will not give best(10%)employees
more , but take away from the poor and
average employees , which make up the other 90% of the IBM workforce !
From a company with record profits , the
workers take it on the chin....

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