incentive plans
Performance-based compensation schemes
Incentive plans are structured compensation arrangements designed to motivate employees toward specific goals—typically hitting sales targets, boosting productivity, or improving company performance.
They supplement base salary with bonuses, commissions, stock options, or profit sharing: The new incentive plan ties bonuses to quarterly revenue.
Companies use them to align worker interests with organizational objectives.
- bonusReward beyond expectation
- quarterly bonusPayment every three months
- pay for performanceCompensation tied to results
- merit payCompensation tied to performance
- golden handcuffsFinancial incentives preventing departure
sign-on bonus · stock options · equity stake · skin in the game · profit-sharing · commission · sales targets · raise · employee retention · employees · retention bonus · managers · executives · paid time off · goal-setting · carrot and stick · gift cards · employee of the month
- executive paybase salary, base pay, salary, bonus, bonuses
- profit sharingprofit sharing, profit-sharing, shared profits, revenue sharing, bonus
- executive contractsseverance packages, golden parachutes, non-compete clauses, stock options, signing bonuses
incentive planspunitive measures
Actions imposing penalties
disincentives · penalties · sanctions · deterrents · pay cuts
plan, planned, plans, planning, incentive, planner, unplanned, incentives, replan