Generally, Crises affect businesses negatively and therefore, many businesses revise their policies to cope with the challenging situation. Currently, COVID-19 adversely affects almost every business...

Generally, Crises affect businesses negatively and therefore, many businesses revise their policies to cope with the challenging situation. Currently, COVID-19 adversely affects almost every business in the world. To keep employees, retain and engage is one of the main challenges for organizations and many organizations are trying to tackle this challenge through various alternatives. Consider yourself as an HR manager of a Pharmaceutical company in Karachi and answer the following policy questions asked by your top management

Q1.
What are those factors that you will consider for designing the incentive plan to retain your best employees (i.e. direct financial payments or indirect financial payments)?
(Support your answer with an example.

Q2.
Critically evaluate which approach is best suited to evaluate the compensation of employees in the current situation? Support your answer with an example.

1. Job Evaluation approach


2. Market-based approach