5.4.3 Justify performance increments. Based on the Board's evaluation of RTHKC performance, compensation should be further increased to reflect a performance increment. This increment, also discussed in Chapter 4, would typically not exceed 3
percent.
5.5
Simple multiplication of staff numbers times compensation levels, plus non-staff costs, will yield the budget required for the coming year.
6.1
6- ENSURE FULL COMMUNICATION OF NEW ARRANGEMENTS
To ensure a smooth transition, the RTHKC leadership will need to clearly communicate the new remuneration structure and systems to existing staff and potential
applicants.
6.2
Senior management and the Board have to understand the terms under which they are to recruit, compensate, and develop staff, and how these differ from the past. This understanding could be achieved through seminars for senior management on the new packages and compensation structure, and through presentations to the Board.
6.3
Communications with staff and the public should follow a phased approach in line with the timetable for disestablishment and recruitment (Exhibit 11). Prior to the announcement of the terms of disestablishment, senior management should tell staff about the general principles and basic elements of the new packages. Individual counselling to explain the packages in detail and outline options for existing staff should follow the disestablishment decision.
McKinsey & Company, Inc.
14