💬 Bonus payments: Fairness, performance culture and employee retention – a balancing act for companies
In the Handelsblatt, there is an exciting article about the new bonus trend in DAX companies – and I was able to contribute the employees' perspective (page 55).
📈 What does the Handelsblatt survey show?
- 77% of companies are paying bonuses again – and the trend is rising.
- The focus is shifting away from collective success and towards individual performance.
- Especially in sales, bonuses are high and clearly measurable – up to 60% of the annual salary is possible.
- However, objective metrics are lacking in many areas. The assessment becomes subjective—and thus potentially unfair.
🎯 What companies should consider when focusing on performance:
- Bonuses can be motivating – but only if they are perceived as fair and the criteria for them are understandable.
- Too strong a link to money can reduce commitment.
- Collective compensation models promote teamwork and cohesion, and the achievement of individual bonuses must be within the control of the individual
- Employees must understand how their performance contributes to the company’s success – creating meaning is key.
🗣️ My message as an expert for fair wage dialogue: In times of crisis, a bonus is often easier to negotiate than a salary increase – a win-win for both sides.
However, the bonus should be clearly linked to exceptional performance and not paid as compensation for assuming greater responsibility.
And: Employees must clearly express their wishes and be prepared for alternative solutions
👉 Companies that have a Living a culture of fairness and at the same time Reward performance want, must:
- Define transparent criteria together with your employees
- Make performance comparable across departmental boundaries
- and show even in difficult times: commitment and performance arise from a fair mix of give and take
📌 What do you think? How can a fair salary dialogue be achieved in times of performance focus and economic uncertainty?
