The annual salary system can be treated as a method for promoting of competitiveness. But in case that the system isn't suitable to introduce and run a corporation, it can interfere with effective management by increasing employee's distrust. The main...
The annual salary system can be treated as a method for promoting of competitiveness. But in case that the system isn't suitable to introduce and run a corporation, it can interfere with effective management by increasing employee's distrust. The main purpose of this study is to examine the degree of satisfaction in the function part, salary part, and performance rating part of some corporations' employees on operating the annual salary system. And for obtaining the objective information the employees are divided by whether the system is operating or not.
There are meaningful differences in the level of satisfaction between the employees.
The employees who are applied to the annul salary system are less satisfied with all the three parts than the employees who aren't. We can consider that the results prove the negative effect on the system.
In conclusion, for introducing and managing the annual salary system the corporation should establish the objectivity and equity of estimation in deciding the level of salary.
Also it should manage employee's capacity and achievements for the long run and need the method to correspond with the factors falling the will to work. Only through all these schemes the annual salary system can be an effective method for human resources management.