This document summarizes a presentation on corporate policies around compensation communication. The presentation discusses appropriate ways for companies to communicate with employees about compensation to create a culture of productivity. It provides guidance on legal and governance issues surrounding compensation discussions and explores the major touch points in an employee's career where compensation is usually discussed. The presentation concludes with five tenants of good compensation and rewards communications: honesty, hope, coaching, linkage to performance, and ownership.

1. Money Talks:
Corporate Policies,
Communication and
Compensation
David B. Turetsky
31 August 2010
4:15PM to 5:15PM

2. Rules:
1. Enjoy, sit back and relax.
2. Have some more coffee!
3. Please turn off/mute all cell phones, communicators and
other wireless devices!

3. Real-Time Pay for Performance
• Our goal is to have a good discussion
• Share ideas, stories
• What went right, wrong
• Be mindful of others wanting to share their
stories
• My goal is to facilitate the discussion
• When someone starts a good discussion, they
will receive a prize!

4. Description:
Creating a culture of productivity and success requires
appropriate communication around compensation.
Inappropriate compensation conversations can be detrimental
to the psyche of employees and may have legal or governance
ramifications. This session will explore corporate policies
around compensation communication.
ROIs
1. Do's and don'ts of compensation communication
2. Understand the prevailing laws and corporate governance
issues
3. How decisions can be communicated in the most productive
way

5. My Employers:
• TPF&C/Towers Perrin
• Watson Wyatt
• Morgan Stanley
• Becton Dickinson
• Bankers Trust
• Deutsche Bank
• DoubleClick
• MarketDataNow
• Aon Consulting
• Workscape

6. When do we usually talk to employees about
Compensation?
• Pre-hire
• Hire
• Paychecks/Direct Deposit
• Benefits Enrollment
• Merit Review
• Total Compensation Statements
• Problems

7. Why do we usually talk to employees about
Compensation?
• Pre-hire – The Advertisement
• Hire – Negotiation
• Paychecks/Direct Deposit – Payment Logistics
• Benefits Enrollment – Personal Employee Decisions
• Merit Review – Good News/Bad News
• Total Compensation Statements – Value Proposition
• Problems – Resolved Quickly

8. Employment Cycle of Life
Candidate
Alumni
• Term New Hire
• Retiree
Employee
• LOA/
Sabbatical
• Promotions

9. Candidate Discussion

10. Candidate Discussion

11. Major Touch Points
Cycle Beginning Middle End
Candidate The Job Ad Initial Probing The Offer
Discussions
New Hire First Day First Paycheck Discussion
Logistics around pay
reviews/
increases
Employee Goals discussion Check-ins on Pay Review
Goals
Alumni Exit Interview Discussions with How the
other current and employee is
former staff, remembered
candidates

12. What other opportunities are there and why managers
should care?
EVERY DAY:
• Hallways
• Before/After meetings
• While traveling together
• Over lunch (WITH CAVEATS)

13. New Hire Discussion

14. New Hire Discussion

15. Do’s and Don’ts
• Positivity • Crankiness
• Honesty • Make up stuff
• Understanding • Empathy
• Short and to-the-point • Waxing
• Facts • Speculation

16. Employee’s Goals Discussion

17. Employee’s Goals Discussion

18. Legalities
This is not intended to be legal advice, David B. Turetsky is not
The prevailing laws and corporate television. issues that are
a lawyer and does not play one on governanceAll descriptions
top-of-mind for shareholders and corporate of Workscape.
and facts contained herein are the property boards that your
managers, HR partners should care about:
Any reproduction, description, or accounts of this presentation
without the express written consent of Workscape, Inc. are
1. Pay for Performance – Executives and Employees
prohibited. All rights reserved. Copyright 2010. Service mark
2010.
2. Reporting requirements under TARP
3. Lilly Ledbetter Act of 2010 – Fairness
4. Healthcare Reform

19. Salary Increase Discussion

20. Salary Increase Discussion

21. Five Tenants to Good Compensation/Rewards
Communications
1. Honesty
2. Hope or a Positive Tone
3. Coaching
4. Linkage to Performance
5. Ownership

22. Incentive Communication Discussion

23. Incentive Communication Discussion

24. Parting thoughts
• Don’t talk on an empty head
• Ensure that all parties are ready for the discussion,
especially emotionally
• Make the environment comfortable
• Provide lots of notice, if changes are necessary
• Don’t rush
• No matter what happens during the meeting, shake hands
at the end

25. Acknowledgements
• To my Parents for having me
• To HR Florida for inviting me
• To Workscape for paying for the trip
• To Director: Jonathan Corke
• To Actors: Kathleen, Jeff, John, Robert, Nancy, and Elise
• To you for prioritizing a few precious minutes of your life to
share with us

26. Speaker Bio:
David Turetsky is the Director of Talent Management Strategy
at Workscape. A sought after writer and speaker on the topic
of compensation planning, Turetsky shares actionable best
practices with his audiences that enable them to drive
organizational change.
He has more than twenty years of experience including a wide
variety of technology related projects designed to assist clients
with the management of compensation and HR programs,
such as the design and implementation of job evaluation
programs, broad-based employee incentive plans, statistical
evaluation of pay programs and a wide range of related
human resources issues.

27. Contact Details
David B. Turetsky
Director, Product Management, Talent Management Strategy
Workscape
123 Felton Street
Marlborough, MA 01752
(office) 508-573-9474
(eMail) David.Turetsky@Workscape.com
http://blogs.workscape.com/