Gartner Research

Use Matrix-Based Salary Increase Guidelines to Align Pay With Performance

Published: 20 March 2009

ID: G00166044

Analyst(s): Lily Mok

Summary

Effective use of matrix-based salary increase guidelines (aka, merit matrix) enables CIOs and IT leaders to re-emphasize pay for performance in tough times.

Table Of Contents
  • Overview
  • Introduction
  • Understand the Characteristics of an Effective Merit Pay Program
  • Create a Merit Matrix to Differentiate Pay Based on Performance
    • What Is a Merit Matrix?
    • How to Construct the Matrix to Meet the Budget Target
    • The Rule of Thumb
  • Recommendations

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