Human Resources Organizational Behavior Relevant Problem Case Study

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Human Resources

Organizational Behavior

Relevant Problem

In the case The Pay-For Performance Program among Denver Teachers hits a Roadblock, Robbins & Judge, (2007), the relevant problem is the dissention between the school district and the union about wage increases. The Denver Public schools had implemented a pay-for-performance plan three years prior. When the plan was first put into place it was thought to be a model for this type of plan around the country, but not so much anymore. The breakdown appears to come from an idealistic disagreement between the school district and the teachers union.

The district is proposing big increased in incentive pay, with the caveat that the largest increases going to early and midcareer teachers and those willing to take risks working in poor schools or taking jobs that few others want. The union agrees with the idea of large bonuses but also wants to see an across the board pay increase for all teachers. The biggest thing that the union opposes in the changes that would hold down wages of veteran teachers in order to make money available for bonuses for novice teachers. In the end the school board has to come up with a motivational pay incentive plan that will be agreeable to both the school board and the teachers union.

Options or Alternatives

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One alternative that could be used would be to institute a base pay for everyone based on the tenure and then implement bonuses based on the following criteria. Bonuses could be given for those teachers who achieve good evaluations and/or further their education. This would be something that the teachers could do on personal level. The motivation for them would simple be that of personally increasing their own salaries. In addition to these bonuses, teachers would be eligible to receive increases based upon their affect on the students that they teach. This could be done in one of two ways.

Case Study on Human Resources Organizational Behavior Relevant Problem in Assignment

Another alternative would be to go with something like what is already proposed. Currently teachers are eligible for raises for good evaluations and continuing their own education. Teachers get bonuses for guiding students to high schools on the Colorado achievement tests. They also get bonuses for meeting student accomplishment goals that have nothing to do with test scores. In this scenario teacher bonuses are tacked onto the base salary and are cumulative (Robbins & Judge, 2007).

Decision Recommendations

In this case it is vital to come up with a solution that is equitable for both sides. Adams' Equity Theory calls for a fair equilibrium to be agreed to between an employee's inputs like hard work, skill level, tolerance and enthusiasm and an employee's outputs like salary, benefits, and intangibles such as recognition. According to the theory, finding this fair equilibrium serves to make sure a strong and productive association is attained with the worker, with the overall consequence being satisfied, motivated workers. This theory recognizes that understated and variable factors affect a workers assessment and perception of their association with their work and their employer. The theory is founded on the belief that workers become de-motivated, both in relation to their job and their employer, if they feel as though their inputs are greater than the outputs. Workers can be expected to react to this is different ways, including de-motivation generally to the extent the worker perceives the difference between the inputs and the outputs exist, abridged effort, becoming disgruntled, or, in more tremendous cases, perhaps even unsettling (Adams' Equity Theory, 2011).

In the case of the teachers the best solution would be to set a base salary for everyone and then pay bonuses based upon the equity theory. The amount of the bonus would be tied to the amount of input from the teachers. The more input from the teachers the more output… [END OF PREVIEW] . . . READ MORE

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