If you haven’t seen the previous installment of the series, we introduced the concept of adding freedom and autonomy into your compensation plan. Across the board, for your entire organization, you should be eliminating the glass ceiling on income for your workers. Careful attention should be applied, as with all payroll, you should base your compensation on your own unique P&L.
In this second part of the series, we’re discussing how your workers should feel purpose in their paycheck.
The dollars your workers receive, they should know that it made a serious and positive impact on someone’s life. For a transactional performance based earnings commission, it’s easy to relate an individuals payment increase to an action they followed through with or completed.
With my own company, that can typically for every home loan or insurance policy, you’ll get x amount of dollars. While that definitely provides some freedom and autonomy in my team’s income... it doesn’t have that emotional or purposeful weight.
By changing the language a little bit, I can help my team understand that the result of that home loan, or insurance policy, had a tremendous affect on a real person— or a real family, right within our own community!
When your employees see the reality of the people they’re helping, you can reward them with compensation based on those real-world results.
This Week’s Take Away
Take a look at your current compensation plan. For all of those dollars earned, is it possible for your employees to tie those dollars to a real impact made on someone’s life within the community? If so, change the language of your comp plans to reflect purpose in your paychecks.