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WSJ Your Money Briefing

Some Companies Are Shifting Salaried Workers to Performance-Based Pay

WSJ Your Money Briefing

The Wall Street Journal

News, Business News

3.81.6K Ratings

🗓️ 2 October 2024

⏱️ 7 minutes

🧾️ Download transcript

Summary

Some companies are transitioning full-time employees from salaries to bonus-based pay for hitting certain targets. Wall Street Journal careers and workplace deputy bureau chief Vanessa Fuhrmans joins host J.R. Whalen to discuss which types of jobs are involved, and how performance metrics can impact workers’ pay. Sign up for the WSJ's free Markets A.M. newsletter.  Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

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0:00.0

When Kate and Jervais founded Health and Her in 2019, they set out to transform Menopause care.

0:06.4

Through Barclay's Eagle Labs, they gained specialist industry and business expertise,

0:11.0

with support and training for the whole team.

0:13.0

But the story doesn't end here.

0:16.0

Because Health and Her are only just getting started,

0:19.0

selling at major UK retailers,

0:22.0

and making a real difference to thousands of lives.

0:25.0

Grow your business. Bank on Barclays.

0:28.0

Search Barclays Business Banking.

0:30.0

Here's your money briefing for Wednesday October 2nd. I'm J. R. Whelan for the Wall Street Journal.

0:38.0

For any salaried employees, their pay is all but guaranteed.

0:44.0

They get the same amount in their paycheck every two weeks.

0:47.0

But many companies are changing up that formula

0:50.0

and building incentive performance-based pay into workers' compensation.

0:55.0

A big reason why companies are doing this with more jobs is over the last several years,

1:02.0

payroll costs have really gone up.

1:03.7

Wages were generally flat or rising only a little bit for the better part of a decade

1:09.4

and then with the pandemic they really did jump up and so companies are being more mindful

1:15.6

certainly of those costs. How is this change going over with workers? We'll talk to

1:20.5

W.S.J. Careers and and workplace Deputy Bureau Chief Vanessa Furmans after the break. Some companies are making a part of salaried workers pay contingent on completing certain goals.

1:42.0

Wall Street Journal Editor Vanessa Furmans joins me.

1:45.0

Vanessa, what type of workers are we talking about here?

...

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