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Knowledge@Wharton

Knowledge@Wharton

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Audio interviews with industry leaders and senior faculty with exclusive insights on current topics brought to you by Knowledge@Wharton and the Wharton School of the University of Pennsylvania.

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Short-sighted Frugality? Employers Who Rein in Compensation Too Much Could Pay a Price Later

January 18th, 2012

Episode 18 of 753 episodes

As economic malaise bleeds into another New Year, many employers are making hard-nosed decisions about benefits and compensation. That means salaries remain flat, health care premiums are up, the 401(k) match has disappeared and bonuses are smaller or nonexistent. The result, not surprisingly, is a dissatisfied workforce. Yet, as Wharton professors and other experts warn, excess frugality on employers' part could backfire in the long run.

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