CASE STUDY – Compensation At W. L. Gore
W.L. Gore & Associates is a company well known for its GORE-TEX fabric for protective
outerwear. In 2006, the company ranked fifth on Fortune’s list “100 Best Companies to Work For.” It
was the eighth year in a row the firm had made the list. One of Gore’s hallmarks is innovation. Rather
than job titles, bosses, and organization charts, Gore uses a team approach, with leaders, sponsors, and
The goals of Gore’s compensation plan are internal fairness and external competitiveness. Gore uses
two approaches to achieve these goals. The first is straightforward and typically used by companies:
comparing pay at Gore with pay for comparable jobs at other companies. That takes care of the
external competitiveness part. It is the internal competitiveness part that is different at Gore. The
process works like this: Associates (co-workers) on the same team rank each other based on
contributions to the company for the year. Team members can provide comments to support their
rankings and identify strengths or areas for improvement of the associates they rank. This information
is then used for determining raises.
Write a 500-word paper, double-spaced answering the questions below. Include: Brief overview,
strategic issues, analysis and evaluation; recommendations. Use at least 2 sources besides the case
In your analysis and evaluation conduct literature reviews on the subject of discussion and use to
support your case study answers by applying HR concepts.
Case study questions:
1. Provide a critique of the compensation practices at Gore, indicating the pros and cons of each
2. Do you think that Gore can achieve its goals of internal fairness and external competitiveness
with the two approaches used?
3. Would you want to work for this company? Why or why not?
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