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Bell curve grading used by statutory board for employees

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Old 04-12-2014, 03:42 PM
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Default Bell curve grading used by statutory board for employees

Currently , bell curve grading is used by statutory board for grading employees, not sure about other sector. This system implied that definitely certain percentage of the employees will fall in the lowest grade (no increment and performance bonus) and some will get the highest grade.

From my opinion, this bell curve system by default assumed that some employees will definitely cannot perform and trust me ,those who fall in the lowest grade will repeatedly get it again subsequently.


Let me quote an example, a job like a clerk, I assumed that he/she work from 9am and knocked off at 6pm sharp daily with just doing data entry. He/she is just doing her job and not doing something extra.With the bell curve grading, this employee will be awarding a low grade with no increment and performance bonus. Do you think this is fair ? This implies that every year she is getting a pay cut due to inflation if the salary stay stagnant.
That is a Chinese saying , 没功劳有苦劳.

What your view?

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Old 04-12-2014, 03:45 PM
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sama sama lah

my friend in Credit suisse get 2% increment even though he top 20% performers... even lesser den inflation... means salary is reducing as well

if Invetment bank act stingy like mamashop even for top performers, what more u expect from a Stat board?

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Old 04-12-2014, 04:22 PM
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As I understand it, it is meant to generate within each employee that desire to innovate and do their respective jobs better - not merely to meet the requirements, but to exceed it. Your salary is what you deserve for meeting 100% of your assigned tasks (whether reasonable or not). The bonuses and salary increments are what are given to you, if you are seen to be doing above and beyond your pay grade. With the bell curve, it creates a competitive atmosphere where "above and beyond" isn't the sole determinant, but something that is judged in relation to your peers.

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Old 04-12-2014, 04:37 PM
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Quote:
Originally Posted by Smart888 View Post
Currently , bell curve grading is used by statutory board for grading employees, not sure about other sector. This system implied that definitely certain percentage of the employees will fall in the lowest grade (no increment and performance bonus) and some will get the highest grade.

From my opinion, this bell curve system by default assumed that some employees will definitely cannot perform and trust me ,those who fall in the lowest grade will repeatedly get it again subsequently.


Let me quote an example, a job like a clerk, I assumed that he/she work from 9am and knocked off at 6pm sharp daily with just doing data entry. He/she is just doing her job and not doing something extra.With the bell curve grading, this employee will be awarding a low grade with no increment and performance bonus. Do you think this is fair ? This implies that every year she is getting a pay cut due to inflation if the salary stay stagnant.
That is a Chinese saying , 没功劳有苦劳.

What your view?
Those in the same grade will be grouped together for cross-assessment. So, a clerk will be assessed with other clerks of the same level, and not with senior officers or those in management.
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Old 04-12-2014, 09:04 PM
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The bell curve grading system is a flawed systems.

My company is using it.

Eg, top 5% get A, next 10% get B, last 5% get D, the rest all get C.

D = 0 bonus
C = 3.x bonus
B = 4.x bonus
A = 5.x bonus

of course if you get A, your up coming annual increment will be the highest at 5+%
B = 4+%
C = 3+%
D = 0%

same for promotion, A grader will get a higher promotional increment % than B, B>C ...etc


For a fairer system, bonus should be pay out equally throughout the board....ie everyone get 3 months of bonus regardless of gradings, those with better grading to be promoted faster or give them more annual increment.
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Old 04-12-2014, 11:03 PM
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I don't think there's anything wrong for the bell curved grading. The grading, or annual appraisal is used to evaluate the performance and inevitably will lead to a ranking from top performer to bottom. If the company use a very low threshold and everybody passes, then from the employer's perspective, they can obviously and most like will expect more achievement from the staff as a whole. So they'll raise the threshold and eventually some employee will fall short to that. It is the nature of capitalism.

However, while I think the grading follow a bell curve is reasonable, I think the bonus/increment difference can be designed better to really motivate all staff. And money shall not be the only result from each year's appraisal. Employees should be given chances to do things they're better at if they didn't perform in their current post. And another thing I'm not seeing being practiced but I think should be, is that for the first 1-2 years, the employee's appraisal should also be reflected in the appraisal of his/her supervisor and the management that hires him/her. This will motivate the management to really put in some effort training and supervising their staff.
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Old 04-12-2014, 11:07 PM
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Quote:
Originally Posted by Unregistered View Post
The bell curve grading system is a flawed systems.

My company is using it.

Eg, top 5% get A, next 10% get B, last 5% get D, the rest all get C.

D = 0 bonus
C = 3.x bonus
B = 4.x bonus
A = 5.x bonus

of course if you get A, your up coming annual increment will be the highest at 5+%
B = 4+%
C = 3+%
D = 0%

same for promotion, A grader will get a higher promotional increment % than B, B>C ...etc


For a fairer system, bonus should be pay out equally throughout the board....ie everyone get 3 months of bonus regardless of gradings, those with better grading to be promoted faster or give them more annual increment.
I think if D is getting 2.xbonus and 2% instead of 0, will be a better option. there's still enough incentive to perform better next year, but won't feel so hurt and humiliated. Also, it may help to not just look at one years performance. if D in two consecutive years, then maybe 0 increment. but for a first time D, shall still give chance lah.
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Old 04-12-2014, 11:33 PM
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Quote:
Originally Posted by Smart888 View Post
Currently , bell curve grading is used by statutory board for grading employees, not sure about other sector. This system implied that definitely certain percentage of the employees will fall in the lowest grade (no increment and performance bonus) and some will get the highest grade.

From my opinion, this bell curve system by default assumed that some employees will definitely cannot perform and trust me ,those who fall in the lowest grade will repeatedly get it again subsequently.


Let me quote an example, a job like a clerk, I assumed that he/she work from 9am and knocked off at 6pm sharp daily with just doing data entry. He/she is just doing her job and not doing something extra.With the bell curve grading, this employee will be awarding a low grade with no increment and performance bonus. Do you think this is fair ? This implies that every year she is getting a pay cut due to inflation if the salary stay stagnant.
That is a Chinese saying , 没功劳有苦劳.

What your view?
as an employer, this worker is not making any money for me. why should i give a raise? inflation cost my business expenses to increase as well. if every employee asks for a raise and eat into my profits, why should i take risks and provide services to the public?
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Old 05-12-2014, 09:00 AM
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Quote:
Originally Posted by Unregistered View Post
I don't think there's anything wrong for the bell curved grading. The grading, or annual appraisal is used to evaluate the performance and inevitably will lead to a ranking from top performer to bottom. If the company use a very low threshold and everybody passes, then from the employer's perspective, they can obviously and most like will expect more achievement from the staff as a whole. So they'll raise the threshold and eventually some employee will fall short to that. It is the nature of capitalism.

However, while I think the grading follow a bell curve is reasonable, I think the bonus/increment difference can be designed better to really motivate all staff. And money shall not be the only result from each year's appraisal. Employees should be given chances to do things they're better at if they didn't perform in their current post. And another thing I'm not seeing being practiced but I think should be, is that for the first 1-2 years, the employee's appraisal should also be reflected in the appraisal of his/her supervisor and the management that hires him/her. This will motivate the management to really put in some effort training and supervising their staff.
All of you still did not get it.

This system by default sentences 3% to 5% of the employees to the lowest grade with no increment and performance bonus. Yearly 5% D grader, as years go by, more employees will get no increment. This is demoralising and make no sense at all. I only agree that better performance should get more recognition, the rest should get increment too due to inflation , especially those lower and middle income group.
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Old 05-12-2014, 09:08 AM
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Quote:
Originally Posted by Unregistered View Post
as an employer, this worker is not making any money for me. why should i give a raise? inflation cost my business expenses to increase as well. if every employee asks for a raise and eat into my profits, why should i take risks and provide services to the public?
If I am the boss, I will give him one more chance and will sack him if he still can't perform the following year.

Again, it depend on the job scope, u can't expect a clerk to bring in profit as this should be from the sales and marketing department.
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