How to Conduct a Difficult Remuneration Review Discussion

Whilst most pay discussions go smoothly, there are times when the conversation can become challenging because the employee is disappointed or upset about the decision. When this happens, it is important that leader feels like they have the tools to navigate the conversation successfully. Whilst most conversations are recoverable, there are times when a remuneration outcome will be ‘the last straw’ for the employee and they will start to seek alternative employment. An employee’s anticipated poor response should never influence a pay decision and sometimes it only provides clarity as to why that decision was made. Remuneration decisions should always be done with fairness, consistency and in line with the organisation’s remuneration policy. It is common for employees to be dissatisfied with the outcome as money is an important component of the employee offering and there is never enough money in the budget to meet and exceed everyone’s expectations. Some key insights and tips have been created to support leaders to conduct difficult remuneration review discussions with confidence.