Performance Rating Influences

Order Description
The U.S. economy shifted during the most recent financial depression, resulting in a downturn in some organizations’ abilities to measure performance as they had in the past. Consequently, the deflation of performance ratings began. Do you think organizations should either inflate or deflate performance level ratings of employees based on economic conditions? What are the ethical implications of each type of action? What effect might these actions have on base salaries of new hires? Be specific and provide examples with references to the literature provided this week.

Book: Aguinis, H. (2013). Performance management (3rd ed.). Upper Saddle River, NJ: Prentice Hall.
Chapter: 6