HR Bulletin Volume 149

Can you retain people with an open salary system?

The benefits of open salary and democratic appraisal policy include a high degree of ownership among employees and a low attrition rate compared to industry standards.

In an era where fair and transparent performance assessments are highly in demand, Sahaj Software, a technology services company, has implemented a unique democratic appraisal policy and open salary system.

This approach encourages open discussions and debates among employees to determine the companywide wage bill hike, which is then implemented at an individual level - and if anyone has a challenge or wants a review of the hike at their level, they are encouraged to approach the leaders The system fosters a culture of collaboration, trust, and transparency, says Akash

Agrawal, Co-Founder & CEO

of Sahaj Software In a recent interview with People Matters, Agrawal shed light on the company's decision to implement these practices and the benefits they have brought to their employees.

How did your company decide to implement an open salary and democratic appraisal policy?

The idea of open salaries and our appraisal system germinated from our urge to keep processes within Sahaj transparent, fair, and driven by people themselves. Sahaj is firmly rooted in our vision of reducing exploitation of people both within and outside the perimeters of the organisation who form a part of the ecosystem. Treating people fairly is paramount

How are employees evaluated and appraised under this system?

When it comes to appraisals, feedback and salary hikes are independent of each other Traditional ratings and other assessment methodologies have been replaced with more evolved processes

At Sahaj, feedback is not an intermittent process. Instead, it happens continuously and organically to enable coursecorrection and consequently, growth at professional and personal levels.

In addition to one-on-one feedback, there are mechanisms in place to enable group feedback too. In this way, people seek, share and work on feedback solely with the motivation to grow.

The whole organisation comes together to debate, discuss, and arrive at what should be the company-wide wage hike percentage which is then executed at an individual level Anyone who is dissatisfied with her/his hike numbers takes it up with the leaders to have an open conversation and arrive at an outcome mutually agreed upon Further, organisation-wide hike numbers don’t come into effect until every individual has signed off her/his hike

What are the benefits of the system? Have you noticed any challenges or drawbacks to the policy?

Since our inception nine years ago, the appraisal process has indeed undergone a lot of transformation. The values of openness and transparency have gained a richer appreciation over a period by over 200 individuals who constitute Sahaj.

As a result, there is a high degree of ownership in every individual. This has been a major factor behind our low attrition rate (in the early 10-12 per cent) as opposed to the industry-wide 25-26 per cent.

When the concept was originally conceived, there were concerns: how does one manage performance differentiation? What’s the path for setting goals and objectives? Will people receive feedback in a timely fashion for course correction? Compensation could become a challenge as well

To solve these challenges, it was important to ensure that the core values of trust and transparency were exercised within the organisation at every step. It was imperative that there was ample feedback mechanism put in place and that policymakers and followers were not two independent groups operating in silos, functioning at two extreme ends of the hierarchy.

Further, there had to be a company-wide shared understanding that no policy/process is absolute and there is always scope for evolution and making things better

How do you ensure that salaries are fair and equitable for all employees? How do you handle disputes/disagreements between employees and their appraisers?

Through this journey of over nine years, we have incorporated a lot of initiatives to promote honest feedback and learning For instance, we have a monthly all-hands meeting called Gram Sabha that provides a platform to

Read more at : https://www.peoplematters.in/article/compensationbenefits/how-democratic-appraisal-and-open-salary-system-boost-employee-

The power of company culture and empowered employees

Empowering employees through a strong company culture can help drive business growth, fostering engagement, innovation, and excellence

A strong company culture and values are pivotal to business success, shaping both employees and overall achievements. They form the heartbeat of an organisation, driving performance, fostering innovation, and propelling unparalleled achievement.

In today's competitive world, it is crucial for companies to focus on the development and management of talent in order to create a productive and engaged workforce. By providing employees with the right support, psychological safety, resources, and tools that they need to be themselves and that they need to do their jobs effectively, companies can help ensure that their employees are able to truly thrive and be in a flow state in their careers.

Experiences created at work relate to what people feel inside and out A work experience is created and influenced by oneself, others, leaders, founders, businesses, and therefore all the situations that include these All of these contribute to company culture

One of the key factors is helping people have a culture based on non-linear growth, which identifies strengths and potential within people and invests in that growth via enhanced opportunities of experience, exposure, and education Cross-functional projects, stretch assignments, bridge opportunities with other teams and people, and leadership development programs all aid employees in developing new skills and gaining exposure to different areas of the business. This also helps unlock employees and help them find things that align with their true calling.

Fostering a culture of excellence

Specific programmes like First Time Leader, High-potential Development, Leadership Development, to…

Read more at: https://www.peoplematters.in/article/culture/how-companyculture-can-drive-business-success-38159

Afraid of being fired? Use that fear to your advantage

It can be hard to live down the trauma of having been fired. But fear not – there are ways to overcome this anxiety.

The "ghost" of being fired always lingers, even when you start working for another company. Despite being the best and most dedicated employee, sometimes it's not enough as your job security depends on various factors such as the company's financial status, economic context, and subjective elements.

Since the COVID pandemic, this feeling of a "ghost" out to haunt us has only intensified. Half of US companies, for example, have reduced or plan to reduce their workforce in the coming months. Now, experts warn that the Great Resignation is leading to the Great Apprehension The fear of being laid off affects the emotional and physical well-being of employees and can also hinder their performance and mental health

For instance, 80% of workers fear losing their jobs during a potential recession This fear can be discouraging, affecting their concentration, motivation, and overall well-being, leading to anxiety or depression This also creates a vicious cycle: reduced productivity, withdrawal, or lower efforts, which could put them in the firing line if further cutbacks occur. Does this sound familiar? It's crucial to learn to recognise and manage this anxiety to prevent it from affecting your performance in a context where layoffs are a real threat, but not necessarily an immediate one.

Identifying and proactively managing your feelings is essential. Don't let layoff anxiety consume you. Here are some tips on how to cope:

Distinguish reality from unfounded ideas. When we are anxious, our brains tend to amplify and even create…

Read more at: https://www.peoplematters.in/article/life-at-work/afraid-of-beingfired-use-that-fear-to-your-advantage-37411