Pros
- Just and fair - Incentives and Bonuses
Cons
- I think basic pay should be a mix of variable and fixed, and not just a fixed component, by that, I meant basic pay should be based on per hour even it is pre-determined as fixed. Many employees would feel unjust by it. For example, basic pay should be computed based on a standard of 10 working days, if there would be changes as to # of working days, there should be an additional (i.e., If working days are 13 days due to sudden changes in schedules in a cut off, 10days of it should be equal to basic pay per cut off and additional pay for the excess 3 days which is not equal to OT as it is the schedule that changes which is uncontrollable by the employee) Example: Monthly basic pay - 9000 (8000 per cut off) Scenarios: 10 days in a cut off - 9000 <10 days in a cut off - 9000, still (let basic pay be a standard) >10 days in a cut off - 9000 + per hour pay* *now 9000 is becoming a fixed component, and the per hour will be variable