King II articulated in an open manner, issues of disclosure, transparency, comparator ren1lmeration packages and a robust approach to the paYment of con1pensation in relation to poorly performing directors. While directors owe fiduciary duties to the company (shareholders present and future), by paying themselves huge packages, they do no longer act in the best interests of the con1pany because awarding themselves exorbitant packages may frustrate their duty to maximise shareholder value. The solution is that their interests be linked to those of shareholders by requiring that their pay be linked to their performance. With the advent of corporate governance reforms, other stakeholder interests have to be taken cognisance of by directors in corporate decision Inaking. As such, a huge gap between the salaries of rank and file employees and those of executive directors is seen as a conscious move to ignore the interests of legitimate stakeholders when there is no compelling reason to do so. To try and align the interest of shareholders and directors, it is felt that more emphasis has to be placed on actively engaging shareholders and employees in the determination of executive remuneration. It is subn1itted that pay that is not linked to performance is a breach of fiduciary duties, in particular, duty to avoid conflict of interest. However, our common law and Companies Act 61 of 1973 fail imn1ensely to address concerns relating to excessive remuneration pay. In particular, the business judgment nl1e precludes minority shareholders taking action on the basis of wrongs committed against the company by virtue of pay not being linked to performance. Neither has the introduction of corporate governance reforms impacted heavily on setting executive remuneration. They have not proved effective in curbing fat cat pay. It is acknowledged that these reforms have ~rought about a profound impact on attitudes in the corporate environment. However, numerous deficiencies, particularly in the context of South Africa can be identified. This thesis serves as a means of establishing whether fron1 a legal perspective, following recent reforms, the negative impact of exorbitant remuneration pay is of such a serious nature as to warrant more stringent regulation in one form or the other. South Africa should consider revan1ping and tightening current legislation, which as submitted is lacking in a number of respects. As a strategy to eradicate exorbitant pay, it is submitted that directors fiduciary duties have to be revised and legislated in order to successfully establish directors wrongdoing. It is felt that legislative enactment may be made stronger by the fact that it may have stronger and sharper teeth and hence able to reach where self-regulated codes are weak. / Thesis (LL.M.)-University of Natal, Durban, 2003.

O presente trabalho tem por objetivo a análise do tema salário, sua fundamentalidade na ordem jurídica e as repercussões do inadimplemento salarial. No primeiro capítulo foram buscados fundamentos para a conceituação do salário como direito fundamental. No segundo capítulo, o trabalho analisou aspectos relacionados às obrigações civis, comparando as obrigações civis com as trabalhistas naquilo que se mostra essencial ao estudo das repercussões do inadimplemento salarial. No terceiro capítulo, definiu-se o que se entende por inadimplemento salarial qualificado com a demonstração da importância do tema, que se mostra bastante presente no cotidiano do operador do Direito do Trabalho. No quarto e último capítulo foi oferecida uma resposta possível da ordem jurídica ao inadimplemento salarial qualificado à luz do direito vigente, bem como foram oferecidas algumas propostas de avanços em relação ao que hoje se tem para o enfrentamento do inadimplemento salarial qualificado. / This work has the purpose to analyse the salary as a fundamental right in our legal system and the consequences of not respect the obligation of payment of the salaries. In the first chapter the efforts were concentrated in the analysis of the salary as a fundamental right. In the second chapter the study of civil obligations was important to understand the different aspects of obligations in contracts involving workers. The differences between civil law and labor law influenced the study of the non payment of workers salary. In the third chapter the concept of qualified non payment of workers salary was finally developed with the demonstration of the importance of the theme in Brazil, where the problem is very perceived everyday by jurists. In the last chapter, the central idea was offer answers to the questions of qualified non payment of salaries according to Brazilian legal system and offer ideas to develop Brazilian legal system to face that problem.

O presente trabalho tem por objetivo a análise do tema salário, sua fundamentalidade na ordem jurídica e as repercussões do inadimplemento salarial. No primeiro capítulo foram buscados fundamentos para a conceituação do salário como direito fundamental. No segundo capítulo, o trabalho analisou aspectos relacionados às obrigações civis, comparando as obrigações civis com as trabalhistas naquilo que se mostra essencial ao estudo das repercussões do inadimplemento salarial. No terceiro capítulo, definiu-se o que se entende por inadimplemento salarial qualificado com a demonstração da importância do tema, que se mostra bastante presente no cotidiano do operador do Direito do Trabalho. No quarto e último capítulo foi oferecida uma resposta possível da ordem jurídica ao inadimplemento salarial qualificado à luz do direito vigente, bem como foram oferecidas algumas propostas de avanços em relação ao que hoje se tem para o enfrentamento do inadimplemento salarial qualificado. / This work has the purpose to analyse the salary as a fundamental right in our legal system and the consequences of not respect the obligation of payment of the salaries. In the first chapter the efforts were concentrated in the analysis of the salary as a fundamental right. In the second chapter the study of civil obligations was important to understand the different aspects of obligations in contracts involving workers. The differences between civil law and labor law influenced the study of the non payment of workers salary. In the third chapter the concept of qualified non payment of workers salary was finally developed with the demonstration of the importance of the theme in Brazil, where the problem is very perceived everyday by jurists. In the last chapter, the central idea was offer answers to the questions of qualified non payment of salaries according to Brazilian legal system and offer ideas to develop Brazilian legal system to face that problem.

The purpose of the study was to examine district, campus, and community determinants of principal’s salaries using a spatial econometric framework. Among the district variables business tax (p = 0.001), property tax (p < .01), and the Herfindahl Index (measure of competition) were statistically significant indicators of principal salaries. The results suggest that more affluent districts tend to pay principals higher salaries, which was expected. Regarding campus characteristics, the percent of economically disadvantaged was not a statistically sound indicator (p = 0.468), but campus enrollment was significant (p = <.01). Interestingly as the percentage of economically disadvantaged students increased, the principal salary decreased. In contrast, as student enrollment increases the salary of principals increases, suggesting that principals of larger campuses earn higher salaries. Interestingly, student achievement was not a statistically significant predictor of principals’ salary given that pay for performance in Texas is at the forefront of political debate. Among the variables examined at the community level, only the percentage of homes owner occupied (p = 0.002) was found to be a statistically significant indicator of principal salary (p = .002). The lack of evidence on reforms, such as determinants of principal salary, points to data and research deficiencies to be addressed in order to learn more about their effects and make sound public policies. The paper utilized a spatial regression approach to examine the determinants of principal salary using data from the local, state, and national data sources. Principal salaries are viewed from several lenses in this study by considering effective outcomes of pay defined by actual salaries and market considerations for pay as defined by community, organizational, and human capital variables. Literature from the private sector as well as from the public school setting was used as a theoretical underpinning for the hypotheses set forth in this study. Because of the chosen research approach, the research results may lack generalizability. Therefore, researchers are encouraged to test the proposed propositions further. The paper includes implications for educational policy development related to pay for contribution, rather than pay based on tenure, experience, or district wealth. The research also fulfils an identified policy need to study how principal salaries are determined.

Thesis (MBA)--University of Stellenbosch, 2011. / AFRIKAANSE OPSOMMING: Reeds vir dekades, maar spesifiek sedert vlaag op vlaag van groot korporatiewe skandale die laaste anderhalf dekade hoofnuus is, is die vergoeding van uitvoerende hoofde onder die vergrootglas. Die persepsie by baie aandeelhouers en die breë publiek is dat uitvoerende hoofde ruim vergoed word en dat hul vergoeding nie noodwendig verband hou met prestasie van die maatskappye wat hulle lei nie. Van die algemene kritiek wat voor die deur van maatskappye en uitvoerende hoofde gelê word, is dat salarisse en ander vorms van vergoeding, spesifiek aandeletoekennings en -opsies, nie deursigtig is nie. Daar is ook kritiek dat die vergoedingskomitees van maatskappye deur ’n botsing van belange geteister word, want juis die hoofde wat voordeel uit vergoedingsbeleide van die komitees kry, is verantwoordelik vir voorstelle rakende die vlakke van vergoeding wat betaal moet word. Daar word ook genoem dat hoewel Suid-Afrika een van die wêreldleiers is rakende gesonde korporatiewe bestuur, juis met die aanvaarding van die beginsels wat uiteengesit word in die King I-, II- en III-verslae, is daar steeds verskeie maatskappye wat nie aan die beginsels gehoor gee nie. In ‘n Amerikaanse studie rondom die eeuwisseling is bevind dat, in ‘n sakemodel waarin bestuursmag oorheers, lede van die direksie en die vergoedingskomitee geneig is om hul mededirekteure en bestuurshoofde te begunstig. (Crotty & Bonorchis, 2006). Die navorsingsverslag het ten doel om te bepaal of die totale vergoeding van uitvoerende hoofde van die 120 top-maatskappye van die Johannesburgse Aandelebeurs, wat bepaal is op grond van die 120 maatskappye wat aan die einde van 2009 die grootste markkapitalisasie gehad het, geregverdig kan word op grond van die individuele maatskappye se markvertoning. ’n Korrelasie tussen die totale vergoeding, wat alle kontant- en aandele-vergoeding insluit, is dus in verband gebring met die volgende drie veranderlikes: Omset, Totale Inkomste en EBIT-winssyfers. Dit is beduidend dat in meer as 80 persent van alle korrelasie-waarnemings van vergoeding teenoor al drie veranderlikes was daar ’n baie sterk positiewe korrelasie, wat beteken dat vergoeding van uitvoerende hoofde net toeneem indien daar ook ’n toename in die omset, inkomste en wins van individuele maatskappye is. Die navorsingsverslag het ook uitgewys watter vyf maatskappye onder die 120 topmaatskappye wat in Suid-Afrika genoteer is wel ’n negatiewe korrelasie wys, wat aandui dat daar nie ’n sterk korrelasie is tussen wat uitvoerende hoofde kan verdien en wat die vertoning van die maatskappy se omset-, inkomste- en winssyfers is nie. Wat insiggewend van die korrelasies is, is dat die minimum tydperk oor vyf jaar geskied het, wat dit statisties meer beduidend maak. Vergoeding word dus nie net eenmalig oor ’n kort tydperk ontleed nie, maar ’n langer termyn tendens van vergoeding by individuele maatskappy is waargeneem. Die gepubliseerde omset-, inkomste- en winssyfers vir die 120 maatskappye is uit die jaarverslae nagevors en die totale uitvoerende vergoeding, soos aangeteken op McGregor BFA (2009a) se databasis, is as data by die navorsingsverslag ingesluit. Die syfers van alle veranderlikes moes eers in Suid-Afrikaanse rand omgeskakel word, want verskeie maatskappye met dubbelnoterings op byvoorbeeld die Johannesburgse Aandelebeurs en die Londense of Australiese beurs se jaarverslae is in Amerikaanse dollar, Britse pond of Australiese dollar gekwoteer. Nadat die Spearman-korrelasie van elke individuele maatskappy bepaal is vir maatskappye wat syfers vir langer as vyf jaar beskikbaar het, is bepaal hoeveel waarnemings vir omset, inkomste en wins beduidende statistiese korrelasies toon, met ’n algehele waarnemingssyfer van meer as 80 persent van die maatskappye wat postiewe korrelasies gewys het vir die vlak van vergoeding in vergelyking met die drie ander veranderlikes. Daar is dus ’n statisties beduidende positiewe korrelasie tussen die vergoeding van uitvoerende hoofde van JSE-genoteerde maatskappye in vergelyking met die omset, inkomste en wins van die maatskappye. / ENGLISH ABSTRACT: For decades, but specifically since wave upon wave of corporate scandals made headline news in the past decade and a half, the remuneration of chief executives has been in the spotlight. The perception among many shareholders and the general public is that executives are very well paid and that their earnings do not necessarily relate to the performance of their companies. One of the most common criticisms against companies and their chief executives is that salaries and other forms of remuneration, especially share transfers and options, are not transparent. There is also wide criticism that remuneration committees of companies are plagued by a conflict of interests, as precisely the executives who stand to gain from the recommendations of these committees are responsible for the proposed levels of earnings. Furthermore, it is suggested that, although South Africa is regarded as a world leader in sound corporate governance, especially since the acceptance of the principles advanced in the King I, II and III reports, there are still a substantial number of companies that do not adhere tot these principles. This research project set out to establish whether the total remuneration of chief executives of the top 120 companies on the Johannesburg Stock Exchange, determined as the 120 with the largest market capitalisation at the end of 2009, could be justified on the strength of the individual companies’ market performance. Thus a correlation between the total earnings, including all cash and share awards, was brought in relation with the following three variables: Turnover, Total Income and EBIT Profit Margins. It is significant that in more than 80 persent of all correlation observations of remuneration, measured against all three variables, a very strong positive correlation came to the fore. This means that remuneration of executives only increase when there is a concomitant increase in the turnover, income and profit of individual companies. The research also pointed out which five among the 120 top companies trading on the JSE demonstrated a negative correlation, which shows that there is a strong correlation between the earnings of chief executives and their companies’ turnover, income and profit figures. Especially instructive is that a minimum period of five years was analysed, which makes it statistically more significant. Thus earnings were not adjudged once-off over a short period, but observed as a long-term tendency of remuneration by individual companies. The turnover, income and profit figures of the 120 companies were researched in the published annual reports of the data base of McGregor BFA (2009b), and the total executive earnings, as recorded in McGregor BFA’s Directors’ Search data base, were included as data in the research report. The figures of all variables were converted to South African rands, as several companies who are quoted both on the JSE or the London or Australian stock exchanges publish their annual reports either in US dollars, pounds sterling or Australian dollars. After the statistical technique of Spearman’s correlation was established for each individual company with data available for five years or longer, it was concluded how many observations of companies’ turnover, income and profit figures showed significant correlations. In total more than 80 persent of all observations of all variables of the companies had positive correlations, which suggests that the executive earnings of the vast majority of companies on the JSE demonstrates a strong correlation with their financial achievements.

Stellenbosch University. Faculty of Economic and Management Sciences. Graduate School of Business / Thesis (MBA)--Stellenbosch University, 2006. / ENGLISH ABSTRACT: This mini-study project is a review of South African and International practices for the procurement and remuneration of consulting engineering services. The manner in which engineering services have been procured from professionals in the built environment over the last decade in South Africa has varied considerably within the public sector. Historically government and professional associations published time based and percentage fee based scales. In 1997 the government published a Green Paper on Procurement Reform. This paper called for the uniformity of procurement policies throughout all industries. In 2000, a statutory body, the Construction Industry Development Board (CIDB) was established. The CIDB has developed procurement regulations based on the government guidelines for the construction industry. Compliance with these regulations became mandatory as of 14 November 2005 for organs of state who solicit tender offers such as national, provincial and local government institutes. Within the private sector, services have been procured on an ever increasing basis based on a negotiated fee with an agreed scope of works and involvement. The importance of this study is that no single procurement system has been proven worldwide to be optimal. The CIDB have set the rules and now it is up to the construction industry to develop a framework of practice that is sustainable and competitive. The study is a systematic investigation to establish the facts about the new government procurement policies and regulations for the South African construction industry. The guidelines and proposals of associations such as the South African Association of Consulting Engineers SAACE), the International Federation of Consulting Engineers (FIDIC) and The World Bank are reviewed. Personal interviews are conducted with South African consulting engineers to investigate opinions on the latest reforms and practices. Procurement and remuneration practices in various other developed and developing countries are also reviewed. From the review it was found that the pertinent measures for the procurement and remuneration of consultants were project categorisation, consultant selection criteria., procurement processes, procurement procedures, cost based procurement approaches, the use of professional fee scales and the cost weighting of consultant remuneration. Trends that emerged from the study were the move in international practices away from the use of professional fee scales. Although the Quality Cost Based Selection (QCBS) approach is still used widely internationally, there is an increase in emphasis and move towards a Quality Based Selection (QBS) approach. Internationally there has been a trend to simplify the process and criteria for the selection of consultants. An important debate identified was whether the use of professional fee scales in South Africa should be eliminated and the determination of professional fees be left to market forces. The review found that although the CIDB had done immense work in the formulation of the new regulations to meet government reform policies, there were certain short comings that needed to be addressed. These included implementation, education of public officials in consultant evaluation, dealing with the tremendous shortage of public officials to do consultant evaluation and the simplification of processes. The study produces a comprehensive comparative table of institutional and practitioners inputs with respect to the identified consultant procurement and remuneration measures. The significance of this table is that it can be used to formulate or adjust existing frameworks. It is proposed that such revised frameworks be monitored and studied to optimise the objective of sustainability and competitiveness in the procurement and remuneration of consulting services in South Africa. / AFRIKAANSE OPSOMMING: Hierdie mini navorsingsprojek bied 'n oorsig van die Suid-Afrikaanse en lntemasionale praktyke vir die werwing en vergoeding van raadgewende ingenieurs. Die manier waarop ingenieursdienste gewerf word van professionele persone in die konstruksiebedryf oor die laaste dekade in Suid-Afrika het aansienlik verskil binne die openbare sektor. In die verlede het die staatsdiens en professionele instansies tydgebasseerde en persentasievergoedingskale gepubliseer. In 1997 het die Regering 'n "Groenpapier" oor werwing en hervorming gepubliseer. In hierdie dokument word 'n oproep tot uniformiteit van werwingsbeleid deur alle deelnemers gedoen. In 2000 is 'n statutere liggaam, die "Construction Industry Development Board (CIDB)", gestig. Die CIDB het werwingsregulasies ontwikkel wat gebasseer is op die regering se riglyne vir die konstruksiebedryf. Hierdie regulasies het sedert 14 November 2005 vir tenders aan staatsliggame soos nasionale, provinsiale en plaaslike regerings verpligtend geword. Binne die privaatsektor word dienste op 'n toenemende basis op 'n onderhandelde basis vergoed. Daar is gevind dat daar geen enkel werwingsisteem wereldwyd is wat as optimaal bewys is nie. Die CIDB het die reels neergele en dit is nou die verantwoordelikheid van die konstruksiebedryf am 'n praktykgerigte raamwerk te ontwikkel wat beide volhoubaar en kompeterend is. Die navorsing is 'n stelselmatige ondersoek om vas te stel wat die regering se werwingsbeleid en regulasies vir die Suid-Afrikaanse konstruksiebedryf is. Die riglyne en voorstellings van instansies soos die van die Suid-Afrikaanse Assosiasie vir Raadgewende Ingenieurs (SAACE), die "International Federation of Consulting Engineers (FIDIC)" en Die Wereldbank is ondersoek en vergelyk. Persoonlike onderhoude is gevoer met Suid-Afrikaanse raadgewende ingenieurs om 'n ondersoek na opinies te doen oor die onlangse hervorming van praktyke. Werwings- en vergoedingspraktyke in verskeie ander lande is ook ondersoek. Hierdie ondersoek het uitgewys dat die pertinente metings vir die werwing en vergoeding van raadgewende ingenieurs projek kategorie, wenvingsprosesse, werwingsprosedures, koste gebaseerde benaderings, die gebruik van professionele vergoedingskale en die koste van vergoeding, is. Tendense wat na vore kom vanuit die navorsing, is die intemasionale praktyk om weg te beweeg van professionele vergoedingskale. Alhoewel die Kwaliteit Koste Gebasseerde Seleksie benadering nog steeds wyd gebruik word intemasionaal, is daar 'n toename in die beklemtoning en beweging na die Kwaliteit Gebasseerde Seleksie benadering. Daar is die neiging intemasionaal om die proses en kriteria vir die seleksie van konsultante te vereenvoudig. 'n Belangrike debat wat geidentifiseer is, is of die gebruik van professionele vergoedingskale in Suid-Afrika geelimineer moet word en of die vasstelling van professionele vergoeding deur markkragte bepaal moet word. Die navorsing het bevind dat alhoewel die CIDB heelwat werk gedoen het in die formulering van nuwe regulasies om te voldoen aan regerings hervormingsbeleid, dat daar sekere tekortkominge is wat aangespreek moet word. Hierdie sluit in: implementering, die opleiding van openbare amptenare in konsultant evaluering. die hantering van die geweldige tekort aan openbare amptenare om die konsultant evaluerings te doen en die vereenvoudiging van prosesse. Die navorsing produseer 'n omvattende vergelykende tabel van institutionele en die praktykvoerder se insette ten opsigte van die geidentifiseerde konsultant werwings - en vergoedingsmeetmiddels. Die belangrikheid van hierdie tabel is dat dit gebruik kan word om te formuleer of om aanpassings te maak aan bestaande raamwerke. Dit word voorgestel dat sulke hersiende raamwerke gemonitor en bestudeer word om sodoende die doelwit van onderhoudbaarheid en kompeterendheid in die werwing en vergoeding van konsulterende dienste in Suid-Afrika te optimaliseer.

Thesis (MBA)--Stellenbosch University, 2014. / ENGLISH ABSTRACT: Executive remuneration in South Africa has continued to attract public outrage and generate much debate among various stakeholders due to the perceived non-alignment of compensation packages awarded to senior executives and company performance. This research examines the relationship between executive compensation and financial performance of South African listed companies. Furthermore, the study investigates the link between executive pay and sustainability performance measures such as environmental, social and governance (ESG) criteria. Almost no research has been done in South Africa to examine the link and integration of ESG performance metrics into executive pay as researchers continue to focus on traditional financial measures of performance such as earnings (EBITDA), earnings per share (EPS), return on equity (ROE), return on assets (ROA), total shareholder return (TSR) and share price. The link between executive compensation and sustainability metrics (ESG) has become a topic of much discussion among academics and investors due to the potential influence of ESG factors on companies’ financial performance and sustainable long-term value creation. The research begins by examining the changes in the level of executive compensation during a five-year period and by testing the relationship between executive pay and traditional financial performance measures. The results show that the total compensation of CEOs has been steadily increasing during the five-year period while variable performance bonuses experienced a slight decline during the economic recession of 2007 to 2008. The results provided evidence that there is a statistically significant positive relationship between executive remuneration and company profitability. Findings for the second objective suggest that while executive compensation plans of many companies have been formally tied to ESG performance metrics, few companies in the study have disclosed effective and robust ESG performance measurement systems that tie executive pay to sustainability performance.

Thesis PhD)--Stellenbosch University, 2015. / ENGLISH ABSTRACT: ABSTRACT Chapter 1 investigates teacher wages in the South African labour market, in order to ascertain whether teaching is a financially attractive profession, and whether high ability individuals are likely to be attracted to the teaching force. Making use of labour force survey data for the years 2000 to 2007 and for 2010, wage returns to educational attainment and experience are measured for teachers, non-teachers and non-teaching professionals. The returns to higher levels of education for teachers are significantly lower than for non-teachers and non-teaching professionals. Similarly, the age-wage profile for teachers is significantly flatter than it is for non-teachers, indicating that there is little wage incentive to remain in teaching beyond roughly 12 years. The profession is therefore unlikely to attract high ability individuals who are able to collect attractive remuneration elsewhere in the labour market. Chapter 2 deals with explicit teacher incentives in education. It provides a technical analysis of Holstrom and Milgrom’s (1991) multitasking model and Kandel and Lazear’s (1992) model of peer pressure as an incentivising force, highlighting aspects of these models that are necessary to ensure that incentive systems operate successfully. The chapter provides an overview of incentive systems internationally, discussing elements of various systems that may be useful in a South African setting. The prospects for the introduction of incentives in South Africa are discussed, with the conclusion that the systems in place at the moment are not conducive to introducing teacher incentives. There are however models in Chile and Brazil, for example, that may work effectively in a South African setting, given their explicit handling of inequality within the education system. Chapter 3 makes use of hierarchical linear modelling to investigate which teacher characteristics impact significantly on student performance. Using data from the SACMEQ III study of 2007, an interesting and potentially important finding is that younger teachers are better able to improve the mean mathematics performance of their students. Furthermore, younger teachers themselves perform better on subject tests than do their older counterparts. Changes in teacher education in the late 1990s and early 2000s may explain the differences in the performance of younger teachers relative to their older counterparts. However, further investigation is required to fully understand these differences. / AFRIKAANSE OPSOMMING: In Hoofstuk 1 word die lone van onderwysers in die Suid-Afrikaanse arbeidsmark ondersoek om vas te stel of onderwys ʼn finansieel aantreklike beroep is en hoe waarskynlik dit is dat mense met sterk vermoëns na die onderwys gelok sal word. Met gebruik van arbeidsmagopnamedata van 2000 tot 2007 en van 2010 word die loonopbrengs op jare onderwys en ervaring vir onderwysers, nie-onderwysers en beroepslui buite die onderwys gemeet. Die opbrengste vir hoër vlakke van opvoeding is beduidend laer vir onderwysers as vir nie-onderwysers en nie-onderwys beroepslui. Netso is die ouderdom-loonprofiel van onderwysers beduidend platter as vir nie-onderwysers, wat dui op weinig looninsentief om langer as ongeveer 12 jaar in die onderwysveld te bly. Dit is dus onwaarskynlik dat hierdie beroep baie bekwame mense sal lok wat elders in die arbeidsmark goed sou kon verdien. In Hoofstuk 2 word na eksplisiete insentiewe in die onderwys gekyk. Die hoofstuk verskaf ʼn tegniese analise van die multi-taak-model van Holstrom en Milgrom (1991) en van Kandel en Lazear (1992) se model van portuur-druk as aansporingskrag, met klem op die aspekte van hierdie modelle wat in Suid-Afrikaanse omstandighede van nut mag wees. Vooruitsigte vir die instelling van insentiewe in Suid-Afrika word bespreek, met die slotsom dat die stelsels wat tans in plek is nie bevorderlik vir die instelling van onderwysersinsentiewe is nie. Daar is egter modelle in byvoorbeeld Chili en Brasilië wat effektief in Suid-Afrikaanse omstandighede sou kon funksioneer, gegewe hulle eksplisiete klem op ongelykheid binne die onderwys. In Hoofstuk 3 word hiërargiese liniêre programmering gebruik om te ondersoek watter eienskappe van onderwysers ʼn belangrike invloed op studenteprestasie uitoefen. Met gebruik van data van die SACMEQ III studie van 2007 is ʼn interessante bevinding dat jonger onderwysers beter in staat is om die gemiddelde wiskunde prestasie van hulle student te verbeter. Verder vertoon sulke jonger onderwysers self ook beter in die vaktoetse in Wiskunde en taal as hulle ouer kollegas. Veranderings in onderwysopleiding in die laat negentigerjare en vroeë jare van hierdie eeu kan dalk die verskille in die vertonings van jonger onderwysers relatief tot hulle ouer eweknieë verklaar. Verdere ondersoek is egter nodig om hierdie verskille beter te verstaan.

<p> </p><p>The purpose of this thesis is to understand the opinions and potential effects of objective and subjective assessments of performance as a basis for performance pay for blue-collar workers.</p><p>The study takes a qualitative approach to find out how and why four companies - Trelleborg Forsheda, Finnveden Powertrain, Isaberg Rapid and Parker Hannifin- work with salaries, incentive system and performance assessment the way they do.</p><p>The concept of individual salary is central in this thesis, and individual salary is based on four criteria; capabilities, performance, work demand and formal competence. These can be divided in subjective or objective criteria. Individual salaries also contribute to salary divergence, which in many studies have indicated higher performance. Important to remember is that it has to exist a purpose to salary divergence and how salary is diverged in the company is related to the goals and strategy of the company. If the company chooses to have performance based salaries- which is salary divergence- another question arise; what is good performance?</p><p>In organizations that have performance salaries, a group or an individual (often the middle manager) have to decide if a certain group of personnel performs good or bad. This can mainly be done in two different ways; objective performance assessment or subjective performance assessment. Objective performance assessment is based on numerical calculation of measures, which will form the basis for rewarding employees using a salary system that reward performance. Subjective performance measurements are based on judgment. Instead of relying on numerical calculations, one evaluates if the results reflect good or bad performance.</p><p>For both methods it is essential that the personnel feels that the salaries are fair, and that the salary system is clear and easy to understand. Something else that is important to understand is that employer and employee have different views in what is a fair salary.</p><p>Objective assessments are based on numerical calculations of measures, and one important property such measures have is that they don’t leave any room for excuses. Research indicate that performance pay has important motivation enhancing effects, but the profitability doesn’t always benefit from it. When monitoring costs are high, or product quality or long term thinking is required, hourly wages may be preferable. Tasks which are measured, will naturally be prioritized by the organization. This means that the choice of measures is very important. The amount of measures mustn’t be too high, and they have to be carefully considered. Subjective assessments are the opposite to objective ones. The advantages with subjective performance assessments are, among other things, that additional information which have surfaced during the period of measurements can be taken into consideration, errors in the measurement process can be corrected and unlucky circumstances can be dealt with. However, problems exist in unfair assessments, which are based on prejudice.</p><p>Findings in this report shows that profitable companies have large differences in their salary systems. This is also supported by other research. The company Isaberg Rapid AB only uses objective criteria, focused on simplicity and group rewards. Finnveden Powertrain on the other hand, has a system focused on individuals and subjective assessments. Some conclusions could be drawn; one of the most important being that connections between the type of activities and the salary system is positive, and that salary systems have to be updated and revised continuously.</p><p> </p>

This study seeks to determine the institutional uses of the formula system in twenty-two public four-year institutions of higher education in Texas. The study is limited to the areas of faculty salaries and departmental operating expenses. Particular effort is made to determine whether the methods used by the various institutions in allocating funds to academic departments are based upon the number of semester hours taught by each department and therefore upon the amount of funds the departments produce under the state formula system.