Bonuses are used to reward excellent performance during the year and are based on a judgment of how well an individual has performed relative to their peers. Performance related pay schemes encourage high attainment because bonuses have to be earned each year. They help drive high performance in departments and agencies and support better public service delivery.
For the SCS
Non-consolidated cash payments, otherwise known as bonuses, reward in-year performances in relation to agreed objectives, or short term personal contribution to wider organisational objectives. Bonuses are paid in addition to base pay increases and do not count towards pension.
Bonuses are allocated by Departments from a 'pot' expressed as a percentage of the SCS salary bill, which is agreed centrally each year following the SSRB recommendations. The intention is that bonus decisions should be differentiated in order to recognise the most significant deliverers of in-year performance.
For staff at Grade 6 and below
The High Performance Bonus Awards scheme introduced in April 2005 provide staff in DEFRA And those agencies covered by the core-Department's reward arrangements, with recognition and reward for delivery of an outstanding outcome or performance that significantly exceeds normal expectations. The process should provide staff at all grades with an opportunity to earn a bonus, and ensure that achievements in operational, policy and corporate services areas are recognised as being of equal esteem.
There are two types of award:
In-year high performance bonuses paid to individuals or teams in recognition of one-off achievements during the year; and
Annual high performance bonuses which in 2007 and 2008 were paid to the top 10 per cent. of performers for delivery of an outstanding outcome or performance sustained throughout the whole year.
For the period October 2007 to September 2008, 2791 performance bonuses totalling £5,629,125 were awarded to staff in DEFRA and those agencies covered by DEFRA terms and conditions (core-DEFRA (including staff who transferred to DECC in October 2008), Animal Health, Veterinary Medicines Directorate, Marine and Fisheries Agency and Government Decontamination Service and until 1 April 2008 Pesticides Safety Directorate). This period included two years of annual performance bonuses, with bonuses for the 2006-07 performance cycle paid in November 2007 and bonuses for the 2007-08 performance cycle paid in August 2008.