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Performance-related pay: Reading Answers & PDF

IELTS General Test – Passage 13: Performance-related pay reading with answers explanation, location and pdf. This reading paragraph has been taken from our huge collection of Academic & General Training (GT) Reading practice test PDF’s.

Reading Passage 13

Performance-related pay

There are a number of reasons why your employer might introduce this type of pay scheme. They may:
• be keen to retain current staff
• want to compete for new talent
• be seeking a fairer way of distributing wages.

In order for performance-related schemes to work they should be based on clear, measurable targets agreed by both employer and employee. You will normally find out about these targets from your contract of employment and the performance appraisal meetings you have with your manager.

Short-term schemes
Short-term schemes usually offer bonus payments, or, depending on the type of work, commission on sales achieved. Payments vary and these schemes are normally used just to encourage staff to improve their own performance.

Long-term schemes
Long-term schemes offer rewards like share options, and can help to encourage loyalty to the organisation and its aims. Such schemes tend to be used as a way of retaining senior staff.

What to do if you have problems
If you don’t receive bonus or commission payments which you believe you are owed, check your contract of employment or staff handbook to see how your bonus is paid.
Ask your employer if you need more information.

If you think a mistake has been made, you should:
• speak to your employer to see if there has been a misunderstanding
• ask your employer to set out in writing how they have calculated your pay
• keep copies of any letters and notes of any meetings.

There are three ways that the law might cover a case of unpaid bonuses:
• breach of contract
• unlawful deductions from wages
• unlawful discrimination.

Deductions from wages / breach of contract
Any right to a bonus will normally be included in your contract of employment. It may not always be written down. It can be verbally agreed or understood to be there due to normal practice in your particular area of business.

Failure to pay a bonus or commission that you are entitled to could amount to an unlawful deduction of wages.

Discrimination
Your employer must not discriminate against particular groups of people – for example, by giving smaller bonuses to women. Ideally your employer should have some guidelines setting out the normal range of bonuses to give, and these must be followed without discriminating against any specific group.

Questions 22-27

Complete the notes below.
Choose ONE WORD ONLY from the text for each answer.
Write your answers in boxes 22-27 on your answer sheet.

Performance-related pay

One of the reasons for introducing performance-related pay is in order to (22)……………………………………………existing employees
Employer and employee should agree on some (23)…………………………………that can be measured
Short-term schemes: bonus or the payment of a (24)…………………………….related to sales
Long-term reward schemes: generally offered to employees at a (25)………………………….level
Details of bonus payments: may be included in a contract or a handbook for staff

If you think there has been a mistake with your pay:
• discuss the issue with your employer
• keep records of any relevant (26)…………………………………
It is illegal for employers to discriminate against any specific group, e.g. by giving less money to (27)…………………………….

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Performance-related pay Answers

Check out Performance-related pay reading answers below with explanations and locations given in the text.

22. RETAIN

23. TARGETS

24. COMMISSION

25. SENIORS

26. MEETINGS/LETTERS

27. WOMEN

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