1. Penny-pincher
The term ‘penny-pincher’ refers to someone who is extremely frugal or stingy with money. In the context of compensation, it can be used to describe a company or individual who is hesitant to spend on employee benefits or salary increments.
2. Golden handshake
A ‘golden handshake’ is a generous financial package or severance pay offered to an employee, especially during retirement or when leaving a company. It’s often seen as a gesture of appreciation for their long-term service.
3. Wage slave
The term ‘wage slave’ is used metaphorically to describe someone who is completely dependent on their job for income and has little control or freedom. It highlights the idea that some employees may feel trapped in their work due to financial obligations.
4. Salary cap
A ‘salary cap’ refers to a predetermined limit on the amount of money that can be paid to an employee as salary. It’s often implemented in professional sports, but it can also be used in other industries to control compensation expenses.
5. Featherbedding
The term ‘featherbedding’ is used to describe the practice of creating unnecessary jobs or roles within an organization, often for the purpose of providing employment rather than increasing productivity. It can have implications on compensation budgets.
6. Pay cut
A ‘pay cut’ is a reduction in an employee’s salary or wages. It can happen due to various reasons, such as cost-cutting measures or performance-related issues. Communication and transparency are crucial when implementing pay cuts.
7. Wage freeze
A ‘wage freeze’ is a temporary halt on salary increases or adjustments. It’s often implemented during challenging economic times or when a company is facing financial difficulties. It aims to control costs and maintain stability.
8. Salary sacrifice
The term ‘salary sacrifice’ refers to an agreement between an employee and employer where the employee agrees to give up a portion of their salary in exchange for certain benefits, such as additional leave or pension contributions.
9. Incentive scheme
An ‘incentive scheme’ is a structured program or plan designed to motivate employees by offering them rewards or bonuses based on their performance or achievement of specific targets. It can be an effective tool for driving productivity.
10. Remuneration package
A ‘remuneration package’ encompasses the total compensation and benefits offered to an employee, including salary, bonuses, allowances, and non-monetary perks. It’s a comprehensive offering that goes beyond just the base pay.
