Performance-related pay and employment relations in European companies

Report
Published
16 October 2012
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Abstract

This report analyses data from Eurofound’s European Company Survey of 2009 to examine the incidence of performance-related pay (PRP) in European establishments and what determines it, with a specific focus on the role of employment relations. Larger establishments, those in Read more
This report analyses data from Eurofound’s European Company Survey of 2009 to examine the incidence of performance-related pay (PRP) in European establishments and what determines it, with a specific focus on the role of employment relations. Larger establishments, those in foreign ownership, in the financial intermediation and commerce sectors, and those located in some central and eastern European countries are more likely to have a PRP scheme based on the performance of individuals. Across Europe, PRP schemes are more likely to be in place in companies that have employee representation in place. 
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  • Report

  • Executive summary

    Number of pages: 
    2
    Reference no.: 
    EF11441
    Catalogue info

    Performance-related pay and employment relations in European companies - Executive summary

    Author(s): 
    Eurofound
    Cover image of Performance-related pay and employment relations in European companies - Executive summary

    Increased competition, and economic crisis, has resulted in greater demands for wage flexibility. Greater decentralisation of pay regulation has also enabled employers to seek and attain concessions on more flexibility in pay. The European Company Survey (ECS) 2009 found that a third of European establishments with more than 10 employees use forms of pay dependent on individuals’ performance; somewhat less than a fifth use pay elements dependent on the performance of a group. Read more in the report - see Related content.
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Part of the series

  • European Company Survey 2009

    Eurofound’s European Company Survey (ECS) maps and analyses company policies and practices which can have an impact on smart, sustainable and inclusive growth, as well as the development of social dialogue in companies. This series consists of outputs from the ECS 2009, the second edition of the survey. The survey was first carried out in 2004–2005 as the European Establishment Survey on Working Time and Work-Life Balance. 

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