Sort Fairness Norms for Budget Decisions
Sort compensation budget decisions by distributive justice norm.
Sort each scarce-budget decision by the distributive justice norm it mainly applies. Equity: contribution or market alignment Equality: same treatment Need: greatest gap or vulnerability Give larger increases to employees whose performance and scope are clearly above level expectations. Fund adjustments first for employees with documented pay-equity gaps against comparable peers. Provide every employee a $1,500 one-time payment during a short-term cost-of-living shock. Prioritize market adjustments for critical roles that are 15 percent below benchmark. Reserve a pool for employees who were promoted late last year and missed the normal increase cycle. Apply the same 2 percent increase to all…
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