I've posted another essay for comment. Please, any comment is much welcome....
Seniority (years of service) should not be the basis of employee compensation. Employees should be promoted and given raises solely on the basis of their work performance and merit. That is a better way to encourage high productivity.
Discuss the extent to which you agree or disagree with the opinion stated above. Support your views with reasons and/or examples from your own experience, observations or reading.
Companies are faced with the problem of using the correct proportion of tools
such as salaries, performance bonuses and promotions to keep their staff
motivated and hence retain them. There arise a question whether seniority or
work performance should be used as the basis for employee compensation.
The following arguments will assert my position that seniority should be the
basis for compensation.
Let me start by clarifying that I believe that seniority should be the basis for
compensation only to the extent that the skill set and work functions of the
employees in consideration are similar. The main reason why seniority should
be the basis for compensation is that this leads to a clear organizational
structure in the workplace and juniors will be willing to take orders from their
superiors without feeling that they are more important than their
Secondly where junior employees are compensated better than their seniors
for work performance reasons, the senior staff may lose morale because they
feel less important and hence they may not be able to provide the necessary
support and guidance to their juniors.
It cannot be disputed that excellent performance has got to be rewarded in
order to keep staff morale high and to encourage innovation. This can be
achieved by compensating high performers through bonuses while keeping
basic salaries and promotions dependant on seniority.
It can be concluded from the discussion above that seniority should be the
basis for compensation. It is assumed that seniority almost always translates
into better performance and better managerial skills. In instances where a
superior is constantly outperformed by his juniors then it may be clear to the
company that they have to let go of that employee.