Build a Fair, Defensible Link Between Performance and Pay

When merit season arrives, you're expected to make compensation decisions that are fair, consistent, and easy to defend—but figuring out how to connect performance reviews to pay isn't always straightforward.

This practical guide walks you through the mechanics of building a performance-based compensation process that employees can trust and leaders can stand behind. Whether you're creating your first merit process or improving an existing one, you'll find actionable frameworks, real examples, and proven best practices you can put to work immediately.

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What’s inside

  • A step-by-step framework for translating performance into compensation decisions
  • Practical guidance for running calibration sessions, using merit matrices, and documenting decisions with confidence
  • Proven strategies for improving fairness, reducing bias, and creating a compensation process employees can trust