Salaries can quickly become a subject of controversy in your organization if you do not specify its policy clearly. It is important to mention the basis on which the salaries have been fixed, how promotions are determined, what is the percentage of annual increment and other benefits employees receive while working in your organization.
Small and medium sized organizations have mostly project-supported budgets and the salaries and the length of contract are purely determined by the pre-approved grants. Nevertheless, it is important to have a salary policy that outlines these criteria for paying the employees.
Apart from monthly salaries, there can also be other benefits offered by the organization. You can have something like this:
Accident Cover
Staff members working in NGOs can sometimes have high risk. If there is a project in a conflict affected or a disaster-prone area, the staff may require some risk cover. The organization can insure the staff through some kind of insurance policy. Most donor agencies will have this option to provide some grant for the insurance of staff members. You can specify in the policy that “if some staff member succumbs to injury while working for the organization, he or she will be paid a month’s or two months’ salary or as determined by the Board of Directors.”
