Many employers reward employee seniority in terms of providing more vacation time. The experience and earning of a person increases with seniority and majority of them are promoted to managerial jobs. On the other hand fresher’s or junior are mostly in the executive position. If an employee has been with the company for so long, it is fair for the company to consider him for more sick leaves and other paid leaves. I do not agree with the idea that rewarding seniority in the form of leaves will demotivate juniors.
Though it is fair to increase pay based on performance and not based on seniority; but when it comes to the case of vacation, I find it fair to consider the seniors first. However rewards in form of appreciations, compliments, job security and opportunity to learn new skill must be provided to those who perform well and not based on seniority. The organization must allow capable employees to experience recognition and enjoy success. (Workforce.com, 2015)
When a company grants rewards based on seniority, it is under the assumption that the production of the employee equates to his time of service. The vacations and other incentives are given for productivity, which is reflected in their duration of stay. However the disadvantage with this system is that it demotivates the senior to learn new skill. (Small Business - Chron.com, 2015)
Very often young people favor reward in form of money, while more senior employees favor reward in form of time. If all employees are rewarded in cash, it can increase taxes for both the employee and the employers. It is important to decide suitable reward system for an employee and time it out. Rewards help to address many managerial objective. (Heathfield, 2015)
Many forward-thinking organization do not reward employees based on seniority. However rewarding seniority can encourage people to stay in the organization for long.
References:
Heathfield, S. (2015). What Seniority Means at Work. About.com Money. Retrieved 10 July 2015, from http://humanresources.about.com/od/workplaces-organizations/g/what-is-seniority-in-the-workplace.htm
Small Business - Chron.com,. (2015). What Is the Seniority System and How Has It Declined in Importance?. Retrieved 10 July 2015, from http://smallbusiness.chron.com/seniority-system-declined-importance-67580.html
Workforce.com,. (2015). Time-Off Policies: Leave Well Enough Alone or Go PTO?. Retrieved 10 July 2015, from http://www.workforce.com/articles/20256-time-off-policies-leave-well-enough-alone-or-go-pto
