Manager Pay Engagement

The Challenge

Managers currently do not place a high value in performing pay activities, do not feel accountable for these activities, and often lack confidence in their ability to perform them.

The Opportunity

Our Model for Effective Manager Pay Engagement

Effective Manager Pay Partnership

The three key elements of effective manager pay partnerships are value, accountability, and ability.

Creating successful pay partnerships with managers can ultimately lead to a 38% improvement in employees' effort and a 55% improvement in their intent to stay.

Value

Managers should perceive differentiation and effective pay communication as beneficial to the organization and themselves. Convince managers of this by building a business case for their involvement in pay activities.

Employee Impact:

  • 9% increase in discretionary effort
  • 14% increase in intent to stay

Accountability

Managers should feel compelled to differentiate and effectively communicate about pay. Foster manager accountability for pay activities by using high-impact "hard" and "soft" accountability approaches—soft accountability in particular can have a significant impact with relatively little investment and disruption.

Employee Impact:

  • 13% increase in discretionary effort
  • 18% increase in intent to stay

Ability

Managers should have the confidence and ability to differentiate and effectively communicate about pay. Ensure managers have the knowledge, skills, and support they need to be effective pay partners through simple training and active learning they can easily apply.

Employee Impact:

  • 16% increase in discretionary effort
  • 23% increase in intent to stay

Download an excerpt of Engaging Managers in Compensation.

Company Information

We Can Help

CEB Total Rewards Leadership Council helps members build the business case for manager pay engagement to both managers and senior leadership; ensure manager accountability; and develop manager pay skills.

Member Value Story

Read how we partnered with CSC to provide compensation communication support.

Member Testimonial

...helped [managers] carry out performance and merit conversations more smoothly and successfully this year than in the past."

Compensation Professional

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Aerospace/Defense Company

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