Performance Related Pay And Employee Rewards Management EssayPerformance Related Pay (PRP) has been defined by several scholars including Armstrong (2002:261) and CIPD (2009). They suggested that PRP is a method of remuneration that provides individuals with financial rewards in the form of increases to basic pay or cash bonuses which are linked to an assessment of performance, usually in relation to agreed objectives. This definition captures what performance related pay is all about. In order to understand how PRP works in practice in relation to theories, it is been analysed with the help of the current practices which are prevalent in the organisations of repute. The organisation mentioned here is Mc Donalds which is also referred to as McD, which is a private sector fast food chain with 31,000 centres in 118 countries around the globe, McD uses performance related pay in order to motivate their staff, and also has different pay structures.
