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5 Reasons to abolish pay-for-performance for top managers

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In a new article in Harvard Business Review Dan Cable and Freek Vermeulen, both professors of organizational behavior and strategic management, argue for the complete abolishment of contingent pay for top managers. They offer the following 5 arguments:

Correcting harmful work behavior

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There is an interesting new working paper by two Harvard Business School researchers: Toxic workers (Housman & Miner, 2015). They analyzed a large data set containing a range of information about more than 50,000 workers from 11 firms. Their analyses were aimed at gaining insight into which personal and situational circumstances lead to toxic behavior and into which effects toxic behaviors have. In the working paper they present some interesting findings and they make some recommendations for management and HR-policy. Below, I will briefly summarize the findings and add some personal remarks.