Everyone into the Bonus Pool

Stock-option grants and performance-based bonuses are spreading globally, even as they come under scrutiny in the U.S., which sparked the trend. Long-term incentives — mostly stock options — are for the first time the norm for senior positions around the world, according to Towers Perrin's latest compensation survey. Credit (or blame) can be given to U.S. multinationals. "It got noticed, and local companies had to start following suit," says Leon Potgieter, managing principal of Towers Perrin's Global Consulting Group. Performance-based pay is spreading too, reaching further down in the corporate ranks to the likes of accountants in countries from Germany to Taiwan. "It's proven to be a good thing the past few years, when the money wasn't there," says Potgieter. "Bonus programs aren't an entitlement. If a company isn't performing, it gives a nice cushion to squeeze out costs."