Case study:

1_ According to Jackson, merit pay most applicable after measure the

performance of employees by a fair system between all the employees and
according to an objective appraisal.
Communicates company objectives: Merit pay sends a powerful message about
how you want to see employees perform and what you want to see them
contribute. It confirms what you most value from employees. Merit pay also
provides a vehicle for an employer to recognize individual performance on a one-
time basis. This is useful for rewarding employees who may have participated in a
one-time project.
Let's employees know where they stand: Making the range of the available merit
pay public allows employees to see where their increase falls in the merit pay
ranges established by your company pay plan. It can be a good way to reward the
employees that you most want to keep. When employees receive less than the
top increase, supervisors have an opportunity to describe and discuss exactly how
the employees will need to improve their performance to qualify for the top merit
increase during the next cycle of raises.
Aids in employee retention: Merit pay can help an employer differentiate
between the performances of high and low performing employees and reward
the performance of the higher performers. This can aid in retention because no
employer wants to lose the organization's best performers.

2_The merit pay program is to ensure that the performance appraisal process
aligns with the proposed program. Therefore, to have an effective performance
appraisal it’s better to put a plan to the merit pay for the most important criteria
to the least important one.
3_First, employees do not have written job descriptions that clearly state their
performance expectations. Further, his review of past appraisals suggests that the
supervisors tend to rate all of the employees about the same. Very rarely, is an
employee rated exceptionally high or low; most are rated as average. Finally, it
seems that employees and supervisors communicate very little about
performance.
Aside from the one meeting a year to deliver the performance appraisal, the
supervisors tend to talk to employees about their performances only if the
employee is having a problem.
4_ Jackson will face problem in the performance appraisal that will taking by the
supervisor and that can be objective in place to be subjective. Therefore, he can
do a training to the supervisor to give them the skill to do the performance
appraisal in an effective, fairly and realistic way.
Second, the supervisor must communicate more with the employees and talk
about their performance, if it is bad to correct it, and if it is good to
preserve it and all the note will be fill in the employee’s profile to
performed it as all in the end of the year.
Third, all employees should be aware about the plan, what is required of them,
what is expected of them, how to do their work or task, in what way will
their performance be evaluated and what is their rewards.