Hi #general In our organization, till now we have a review cycle of any employee based on their completion of year with the company. So for each employee it was different (as er their joining month) Now we are planning to do it yearly once for all, i.e. December month So what all criteria should be considered to implement this process from this December. Shall we hold the revisions of employees June month onwards and add them in common cycle in December month (pay could be with arrears/ with back date effect) Should I get more highlight points on this?

Hi Kruti As your company is moving to annual appraisal cycle pls keep few things in consideration. 1. If you keep the cutoff for employees joined till June so rest all employees have to wait for 1and a half year for appraisal which might create dissatisfaction in them. 2. It also depends upon the CTC what they are drawing. The persons with less CTC might look for a change as he was not included in the appraisal process. I would suggest you can consider the employee joined till September provided them with a basic raise of 1 to 5% depending on the CTC and explain them as they already joined with a increased CTC so just to have a transparent appraisal process we have provided them with a hike. Hope it helps you 😊

Thanks @Swati Singh for the insights, this will definitely help. 🙂

@Kruti Shah - You can consider the following points while introducing a uniform pay revision cycle. 1. Cut Off / Eligibility Date should be at least 6 months or more from the date of Pay Revision. So the employee should have either joined before 6 months or their last salary revision should have been minimum 6 months gap. Keeping a 6 month gap will allow you to measure performance, and would also justify the need for salary revision. 2. Those who are left out because of this criteria - should be covered in the next cycle - initially do it every 6 months - for 1 cycle, and then they can be moved to the annual cycle. 3. Make the payments on a pro rate basis. So if the average hike that you are proposing is 12%, then if someone has joined before 8 months or has completed 8 months post his last salary revision date - give him / her a 8% hike. Feel free to connect with me in case you need any more info.

@Ashish Vyas Thank you so much for the insights, will connect with you for the further discussion for sure!