ABSTRACT

This chapter looks at the impact of executive and board remunerations upon staff engagement, motivation and on the capacity of the organisation for acts of kindness. It sets out as follows: a short review of recent information on remuneration systems in the corporate world; the public perception of the fairness of such reward structures; and a brief review of the concept and value of performance-related pay underpinning many corporate reward systems. Performance related pay is a sensitive subject and can arouse strong and sometimes conflicting views even within the same organisation. The chapter explores the concepts of equity, justice and motivation as methods of employee engagement and discretionary effort found interesting organisational cultural differences between management teams. It also sets out the importance of commitment, engagement and feeling of self-worth within organisations, the leadership challenges in building trust, and some examples of kind and compassionate governance practices that surround people.