Awarded on anniversaries of employment, these bonuses will work only if combined with short-term payout. Otherwise, few employees will stick around for that pot of gold at the end of the calendar. Rewarding the top three to five producers in the IT organization, CIOs pay the money upfront, virtually whatever the star wants, to prevent defections to competitors. These will keep your stars on board until someone comes along and offers them more. Then, as the Terminator says, it's hasta la vista, baby.
Turnover is often a sign of other underlying problems.
Cooper had no choice but to hire him back. At triple his former salary. Two years later, in December 1996, now group vice president and CIO of Toyota Motor Sales USA Inc. in Torrance, Calif., Cooper immediately instituted an aggressive retention program in hopes of avoiding a similar scenario. First Toyota analyzed the market to determine the market value of all the programmers working on the company's Y2K project. The people who were being paid below market level immediately received salary increases.