Searching Pondering Equity-Based Long-Term Incentive Plans on page 20

Kloss urged employers to consider the long-term outlook related to decisions they make now, including by examining what benefits their competitors continue to offer.

Explore Various Pay Models Although various strategies are used, TR pros should investigate the standard models below and whether differentials are based upon a percentage of salary or a fixed dollar amount before a plan is determined.

While there are no legal obligations to make the plan design available to sales employees, she said, “there can be advantages to disclosing the expectations around each incentive outlined in the plan.”

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For 2026, boards should carefully consider incentive plan design to ensure these plans are designed for resilience, including goal-setting, pay mix, long-term incentive (LTI) vehicle mix, etc. 2.

;Full time: Annual compensation with base salary, cash incentive pay and equity pay (either designed like or unlike those for the CEO, depending on role definition and alignment objectives).; ;Reduced time: Lower annual compensation with base salary and sometimes cash incentive pay and/or equity pay, based on desired structure.; Retired No continuing role (true retirement) ;No action, no additional compensation.; ;Plan documents define what is a qualifying retirement and specify treatment of outstanding equity.; ;Unpaid/unvested awards are earned/vested as per retirement provisions of the corporate plan documents.; ;Any new awards in the new role are tailored to the responsibilities/duties and expected tenure in strategic advisor role.

Other companies are taking a fresh look at their goals and compensation structures as they wrap up their long-range 2025 plans and look ahead to 2030 plans, said Blair Jones, managing director at Semler Brossy.

Examples include: ;A salary adjustment or lump-sum bonus awarded for earning a certification.; ;A skill-based pay differential or premium tied directly to specific, market-relevant skills (e.g., proficiency in a programming language or a particular expertise in AI).; ;Career path incentives through structured pay progression tied to skill acquisition (e.g., tiered pay bands for technical roles in healthcare or manufacturing).; Organizations also can subsidize training costs for certifications or provide paid time off for completing skill-building programs, said Laurie Bienstock, a managing director and global leader for knowledge architecture at WTW

Our research aimed to provide some insights into the current pay gaps within New Zealand and enable comparison over time and across sectors and industries within New Zealand to paint a picture of the New Zealand pay landscape in terms of pay equity.

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