HR IA 7 Essay

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Both articles talks about compensation pay. The first article talks about six dangerous myths employer go by and this leads to unstable and or unstable work equality. Myth: 1) Employers mistake Labor rates to be the same as labor cost 2) They believe they can lower labor costs by cutting labor rates which would decrease productivity. 3) Labor costs constitute a significant proportion of total costs. 4) Low labor costs are a potent and sustainable competitive weapon. 5) Individual incentive pay improve performance and 6) People work for money. They work for money but they also work for the challenge, the meaningfulness of what they do. The second article talked about the secrecy of wages. Daniel Indiviglio was making a case for making salary a public knowledge. Employers include in their contracts to not talk about salary. The possible reasons for this is; they may be paying the employees less than they should for the work they do and if this gets out they could get sued or they could lose great employees. The first amendment allows us to speak freely; it doesn’t apply because the employer restricts employees in revealing their compensation. “Public enforcement of private rights does not make for public rights” (Indiviglio).
“The only way to reward and retain top leadership is by sharing the success of the company with them.” Genpact India- page 307 in textbook. This may relate to what the article says about the upper colleagues of the company receiving an increasingly

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