Read the hypothetical scenario of the organization below, along with the job descriptions for the two positions listed. For this assignment, write a 2 page paper addressing the following:

1. As an HR consultant, which position (or both/none) would you recommend for a merit pay system? Explain and support your rationale.
2. Identify a motivation theory that explains why merit pay can be effective.

ScenarioOrganization

The California Utility Company (CUC) provides gas and electricity to 400,000 residents in central California. The company enjoys a favorable reputation from employees and customers alike. It is not uncommon to hear employees boast about their salaries, benefits, long tenure, and working conditions. Customers feel they receive excellent service at rates that are among the lowest in the state and frequently attend stockholder meetings to express their satisfaction with both. The CEO strongly believes in rewarding employees who go the extra mile. The organization prides itself on using cutting-edge technology and providing employees with comprehensive training.

Computer Technician Position

Computer technicians install, maintain, and repair all company PCs and networks. They typically work alone and are assigned to specific departments in the organization. Because of the company's position on technology, replacement parts and peripherals are adequately supplied in the event problems arise. All technicians are paid at or just below the market average. Their supervisors continually complain to Human Resources about good and poor performers receiving the same pay, even though performance differences exist between them. Also accepted is the appraisal system used to measure the performance of computer technicians. For eight months, several departmental managers have complained about the time it takes for computer installations and repairs.

Meter Reader Position

Meter Readers visit customer homes within a prescribed territory to assess their gas and electric usage. They almost always work in teams. Performance is measured on two criteria - the number of meters read and the accuracy of recording data from meters; a typical appraisal system is not used to assess reader performance due to the existence of objective measures. In recent months, productivity has dropped considerably, while absenteeism and tardiness have increased at an equal rate. A study aimed at uncovering reasons for this revealed that 91% of all meter readers are married with at least one child, 89% felt very satisfied with the pay, and 84% felt management treated employees fairly and communicated clearly.