DIA’s remuneration system is designed to attract, motivate and retain a workforce qualified to tackle the challenges facing the retail sector. Implementation of this system entails a protracted process ultimately designed to reward employees fairly for excellence.
For skilled workers, middle managers and executives, the first step is to evaluate their jobs. The result of this exercise is a universe of assessment maps at both the head offices and the country units.
This assessment yields different job categories. These groups are then assigned a status and a wage band which is wider the more the jobs comprising it contribute to the organisation. Each wage band has an average and a width, depending on the market positioning decisions taken by the Management Committee.
As a general rule a promotion should result in promotion to a new position and inclusion in the corresponding wage band; if this is not possible it should give rise to a pay increase of at least 4%.
Merit is the main driver of wage growth. Merit is quantified on the basis of an annual assessment of the match with the pre-established values and skill-sets and delivery of the pre-defined targets. The results of these assessments are categorised as either ‘excellent’, ‘good’, ‘satisfactory’ or ‘room for improvement’ and are correlated with pay rises.
Moreover, ‘merit’ (delivery of personal targets) is used, along with delivery of the corporate targets defined at the board level, to calculate the bonuses earned by middle managers and executives.
‘Potential’ is understood at DIA as the capabilities needed by an employee to take on work with greater responsibility in the future and is a driver of wage growth. By means of a system designed to capture this ‘potential’, the company pinpoints high-potential employees and establishes retention measures, including recognition in the form of a higher job category and prioritisation for training and internal promotion processes.
As for store and warehouse employees, the wage policy is governed by the terms of the collective bargaining agreements in effect between the company and the various unions, which are disclosed via the official channels of the competent public organisms.