Skills-based Pay vs. Job-based Pay

Ann Bares has a thought-provoking post on whether the predictions that companies in the future will move to skills-based pay vs. job based pay will come true.  Her conclusion is simple:

"Don't write off the job, or job-based compensation systems, quite yet."

And she notes in the comments section that:

"The idea that functional organizations will disappear from the business landscape [feeds] a lot of career misperceptions."

Ann's comments really resonated with me.  So often it seems that much of the career advice out there hypes the notion that in our world of fast/fluid companies, people and team skills are all you need to get where you want to go.  I am concerned that this advice is raising a generation of generalists who don't see the value in specialization. Time bears out that specialization combined with good people/team skills will lead to greater opportunities and greater income for most people. 

Perhaps even more importantly, a strong specialization combined with great people skills will also often lead to better options for work-life balance.  It's easier to ask for flex-time or part-time if your skills are in high demand and your reputation is positive!

Comments

[nicola]

Thank you very much, that is a very nice post!

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[Generic Viagra]

Very interesting point of view from this woman. I am not so sure about it, but that would be a positive way to avoid mediocrity in companies.

[justin hampton]

i've also written a paper on skill based pay based on some current research (which I still need to cite).

skill based pay plans

or here -

http://justinhampton.info/pages/skill-based-pay-plans.php

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