Why you should avoid overpaying your employees

04/2/2013 | Inc. online (free registration)

Overpaying your employees is bad for your bottom line, and it can keep mediocre employees from leaving and create a sense of entitlement, Suzanne Lucas writes. Avoid this problem by joining industry groups and doing your research to determine the correct salaries for your employees. "[D]on't be afraid to honestly evaluate your employees and their performances and give out raises based on performance, rather than just cost of living increases," she writes.

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