Good article and thanks for introducing the application of power law to performance assessment. You touch upon the following and yet I want to reiterate: Ultimately, goal of compensation and reward structures is to improve performance and productivity of the team, BU, and company. Any system perceived (rightfully or wrongfully) as unfair will create rifts among team members and discourage collaboration by creating silos. Any policy changes in this regard need to be efficiently communicated with a goal of driving high employee buy-ins.