Total rewards | aim
Work should be rewarding; it provides pay in return for time at work. In addition to pay, work
provides time to develop skills (training and development) and opportunities for career
progression. Work may provide discretionary benefits such as access to a pension that an
employer may also contribute towards; access tax efficient benefits (e.g., salary sacrifice
schemes for bicycles, childcare). Rewards may also include payment of a discretionary
incentives linked to delivery of a measurable outcome. The fundamental shift is to consider
pay and benefits in the context of a total reward scheme (TRS). TRS therefore aims to
compensate people in return for delivering work of greater value than the cost of payment of
reward.
Key points | total rewards design.
1. Simple to understand (a clear link whereby reward aligns to delivered output)
2. Any form of incentive/discretionary scheme(s) should reward appropriate
behaviours
3. Support the corporate strategic objective to be an employer of choice
4. Fair and equitable (appropriate reward for work); value of payment is the same
regardless of rank / status; or a percentage based on basic salary.
5. Accessible to all staff (non-discriminatory, especially protected characteristics)
6. Affordable - cost of delivery must not make us un-competitive
7. Measureable not more costly to measure and manage than the value of the payment
of the reward
8. Good cultural fit - between what staff value as appropriate, versus what company
leaders believe is appropriate
9. Flexible to reflect the changing needs of the business, and free of restrictive
contracts of employment
10. Responsive – a national approach that supports local need
11. Designed to reward staff for longer-term delivery of success (avoids potential risk
of short-termism)
Watch points - unintended consequences of incentive schemes
12. Differences in job requirements attract different personality types. Not everyone
is motivated by pursuit of a bonus (other rewards of attending work can be more
valuable; e.g. self-esteem and work gratification; recognition from a line manager or
colleagues
13. Wrong type of reward (or perceived low value) may be derided by recipients as not
reflective of work value
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14. Customer perception - how will the bill paying customer feel if staff are paid a
bonus for delivery of a service that is below quality for a price point
15. Shareholder perception – view of the government’s share-holder representative staff paid a bonus for delivery of a publicly funded service
16. Affordability
17. Challenge in respect of Equal Pay
18. Acceptable to trades unions
19. Non delivery of expectations | simple to understand why success may not deliver a
bonus (if there is no funded budget)
20. Blended approach | incentive schemes

Very senior managers (directors) – based on delivery of overall company
success

Senior managers (heads of functions) - based on 50% of company
success, and 50% success of functional area

Staff in teams – based on staff sharing 100% of delivery of team success
Further information
Adrian Whittle | Head of Compensation and Benefits
NHS Property Services Ltd
451C Skipton house, 80 London road, London SE1 6LH
02079 728 194 | 07852 437 329
adrian.whittle@property.nhs.uk | a.whittle@nhs.net
PA | Amy Brennan | 02079 728 196 | amy.brennan@property.nhs.uk
@NHSProperty | www.property.nhs.uk
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