How are performance incentive and bonus pools funded? What latitude do managers have in spending funds designated for these purposes?
A base cost assessment provides a basis for determining the amount of money allocated to incentive pools. Funds previously used for promotions which would have occurred within pay bands, e.g., within-grade increases, and quality step increases, are now used to fund performance pay pools. Funds previously used for cash awards such as service awards will be used to fund bonus pools. Funds for these separate pools may not be spent for any other purposes.
Related Questions
- How are performance incentive and bonus pools funded? What latitude do managers have in spending funds designated for these purposes?
- Does a commercial arrangement exist between HFR and the hedge fund managers which report performance of their funds?
- Do case managers have funds to buy things for people?
