Needed help with this assignment. BUS $224-$ Incentive$/$Reward Payments

Awarding Salary Increases

Because pay$-$for$-$performance is an important factor governing salary increases, managers

must be able to defend the compensation recommendations they make for their employees.

Merit raises granted under a pay$-$for$-$performance policy must be based on objective

appraisals if they are to achieve their intended purposes of rewarding outstanding employee

performance. As managers know, however, they must deal with other factors that can affect

salary recommendations. These may include the opinions of the employee's peers or

extenuating circumstances such as illness or family responsibilities. The purpose of this

exercise is to provide you with the experience of granting salary increases to employees

based on their work performance and other information.

Assignment

It is the policy of the company to give a bonus at year end, based on a points system with

maximum points being $20.$ The company has indicated that $$6,000$ is available for this

year's bonus and you must make recommendations on how this bonus will be allocated.

Distribute the $$6,000$ among the five employees based on the information supplied below.

Christina Hoffman currently earns $$50,000.$ Her score on the performance appraisal

rating was $19.$ She is respected by her peers and is felt to be an asset to the work

group. She is divorced and has three young children to support.

Rob Dornish earns a salary of $$40,000.$ His annual performance appraisal rating

score was $15.$ Several members of the work group have spoken to you about the

difficulty involved in Rob's job. They feel that it is a tough and demanding job and

that he is doing his best.

Jillian Hamlen earns $$35,000.$ Her performance appraisal was below average, and

she seems to have difficulty adjusting to her coworkers. Jillian has had a difficult time

this past year. Her husband passed away early in the year, and her only child is a

special need child. She is often absent because of medical emergencies involving

her son. Her performance appraisal score was $12.$

Emma Heba earns $$25,000.$ Her performance appraisal was above average. She is

respected by her peers and is generally considered to be a "great worker." Her

performance appraisal score was $19.$

Jacob Raymond earns $$29,500.$ His performance appraisal was $20.$ His peers do not

believe he deserves such a high rating but feel he got this rating because he is a

friend of the supervisor. Also, he does not really need the money because he is

from a wealthy family and has stated that this job provides a second income for him.

NOTE: Show workings to indicate how the money is allocated.