Reward and reform

Reward and reform
Document type
Bevan, Stephen; Horner, Louise
Work Foundation, The
Date of publication
1 June 2003
People management: all aspects of managing people, Management & leadership: including strategy, public sector management, operations and production
Business and management
Material type

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For most organisations and unions, designing and implementing an employee reward structure that meets both parties' needs, avoids unnecessary complexity and can accommodate government demands has proved elusive, according to this report. For the public sector, the messages from the Treasury are that pay increases must be linked to reform and modernisation, and moderation exercised. Yet traditional notions of an ethos of public service and a 'fair rate for job' have got in the way of the government's desire to implement performance-related or team-based pay, exacerbating tensions with the public sector unions over pay deals. However, at the top of the list for both government and trade union concerns over public sector pay are the need to tackle unequal pay and poor pay progression, with their attendant impact on employee recruitment, motivation and retention in key frontline public services.

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