If you pay peanuts...

Recently I was having a conversation with one of my colleagues about a HR problem that we encountered in our office and pat came the reply “If you pay peanuts, you will get monkeys & not managers!”. Somehow, I was captivated by that statement and could feel the bells ringing in my ears (loud & clear!) for a while. Now, I believe this is something every corporate must address…how does one ensure whether he / she is being rightly (adequately) paid?

An employers’ (maybe not all but most of em’) POV – I call it the 1:2:3 ratio – Recruit 1 person; Pay 2 person’s salary; Extract 3 person’s work. – fair enough??? Don’t ask me….you think for yourself….maybe it is! An employee’s (maybe all of em’) POV – Crib! Crib! Crib! For MORE!!!

How do we bridge the gap? Is it possible for an employer to satisfy an employee at all levels and based on as many parameters as possible? If yes, will the employee ultimately stand satisfied? Tough question huh??

In today’s corporate world, many companies would wanna have a “career deal” for their employees trying to make it a “win-win” situation for both the employer & employee. Companies do any / all the following (many of you may have thought of a lot more!) : -
a) Compensation at par with the market
b) Fringe benefits customized to meet the employee’s need
c) Day care centers for children (especially for working moms)
d) Subsidized (or sometimes free) canteen (thrice a day!)
e) Free coupons (for various things)
f) Medical Insurance (generally every employee lands up being over insured…after all its not cash compensation!)
g) Travel passes / coupons
h) Family outings / evenings (subsidized / free)
i) Subscriptions
j) Lucky draws & prizes during annual dinner / luncheons

Are these really motivating employees and helping them living with reality or does it boil down to the basic statement - If you pay peanuts, you will get monkeys & not managers…I believe, sometimes you do get managers for peanuts!