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badtoworse

(5,957 posts)
Fri Apr 27, 2012, 08:49 AM Apr 2012

How about tying a portion of our leaders' compensation to achieving goals? [View all]

It's common in the business world for a portion of compensation to be in the form of a bonus tied to achieving certain goals. The goals are usually a combination of personal goals, as well as company goals. The more senior you are, the more of your compensation is tied to achieving goals and the more the goals are tied to company performance. As an example, we might pay a 25% bonus for each 1/2 percent reduction in the unemployment rate in a year. Bonus could be tied to GNP, performance against the budget, environmental goals, reduction of the trade deficit, etc.

A substantial part of my compensation is tied to the company and me achieving our goals. Why not do the same for our leaders?

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