Fairness and Ethical Considerations in Pay for Performance in NSPS

摘要

The Department of Defense is implementing the pay for performance segment of the National Security Personnel System (NSPS). NSPS requires supervisors to pay employees based on performance to improve individual and organizational performance. Pay for performance requires managers and supervisors to make more distinctive evaluations of individual performance. Decisions supervisors make in evaluating performance impacts employees' salaries and future retirement earnings. Therefore, fairness and ethical considerations are inherent in successfully implementing a pay for performance system. This paper explores the importance of ethical considerations and examines the Army's training and development program for employees and supervisors to prepare for NSPS. While the Army has executed aspects of NSPS well, it can improve its implementation by developing a communication strategy, by instituting an accountability system for supervisors to ensure fairness and open and continuous communication with employees, and by educating supervisors on 'soft skills' in a classroom setting. These three efforts will support a perception of fairness by employees that supervisors will be held accountable for their implementation of NSPS.