Performance-related pay might enhance productivity efficiency and loyalty rates but only in the short-term. Engage Track Employee Performance Online. Definition Of Performance Appraisal Performance Appraisal Appraisal Definitions A good example of this is when a. . Including reducing fixed labour costs by lowering the base rate. Pay-for-performance plans are a method of compensation where workers are paid based on productivity as opposed to hours spent on the job or at a set salary. Sharp R 2011 Performance-related pay. Performance Related Pay PRP provides individual employees with financial rewards linked to an assessment of their work performance such as. The 2011 XpertHR survey Accessed. The 2011 XpertHR survey. Performance Related Pay PRP provides individual employees with financial rewards linked to an assessment of their work performance such as. What are the advantages and disadvantages of performan...