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Employee Success • It’s pretty Culture (Original 2009 version)

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Employee Success
• It’s pretty ingrained in our society that the size of
one’s raise is the indicator of how well one did
the prior year – but at Netflix there are other
factors too – namely, the outside market
• In our model, employee success is big factor in
comp because it influences market value
– In particular, how much we would pay to keep the
person
– But employee success is not the only factor in comp,
so the linkage of prior year performance to raise size
is weak
105

Published in: Business, Technology
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