Should the board go ahead with some sort of variable pay

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You are a member of the Board of Directors for a non-profit organization. A new executive director has just been hired. The previous executive director received a salary and no variable pay. Several Board members have indicated they would like the new executive director to be paid based in part on the organization’s achieving its goals. What might be some other options for variable pay for this executive? Should the Board go ahead with some sort of variable pay? Why or why not?

Because this non-profit has only 60 employees, there is not an HR person on staff. The payroll is outsourced and the administrative assistant to the executive director has handled all other HR-related issues. Although the employer requirements of the Affordable Care Act for employers with 50-99 employees have been extended until 2016, the new executive director will need to evaluate current health insurance coverage policies and determine what changes need to be made in order to comply with the employer mandate. What are the key things the new director needs to review?

Reference no: EM131126507

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