New compensation system: let coworkers determine bonuses.
Upside:
-
Less incentive for sleazy employees to suck up to the boss
-
Creates gray market for sexual favors
Downside:
- STDs?
This is why John Galt left.
I’ve never worked at a place that does this type of review process, but I’ve always thought it was an interesting idea.
Me too. I don’t see why an incentive system has to be all top-down or all bottom-up. One could have a portion of the bonus pool be allocated this way without fully chucking out the existing structure.
In practice lots of people end up taking credit for results that are actually achieved by others. This would give people who actually generate the stuff more of an opportunity to get recognized for it.
Both ways have downsides. If one person (your boss) determines bonuses, they might be biased as they don’t have perfect information about individual contributions. On the other hand, coworkers are also biased. They tend to favor sociable people over hardworking or productive people. They also don’t always know what each other did - i.e. you submit work to your boss, not to coworkers.
If you ask me, coworker opinion can be taken into consideration. However, I would not want a system where pay is freely determined by voting.
Wait, so then I couldn’t steal all of my coworkers’ ideas? That’s a career ender.
Anyone know how Buffett determines pay for his top people?
However the f he wants, that’s how!