New Approaches in Reward: Their Relevance to the Public Sector

Abstract

This article explains the concept of ‘new’ reward (for example variable pay, market-based pay, performance-related pay and team-based pay) and why recent UK governments have encouraged it. The extent and effectiveness of new pay practices in the public sector is investigated. The author concludes that the Government should not be pushing the public services to mimic what they perceive to be private sector reward practice.