Implementing a reward system that monetarily incentivizes the contributions of your bilingual and multilingual employees requires careful consideration, thorough research, and strategic planning. It is a multi-step process that can bring significant benefits to your business because when you develop a program that recognizes and highlights employees’ language skills it makes them feel valued. “To pay bilingual employees fairly, companies must provide extra pay, often called ‘bilingual pay’ or ‘language pay’. Bilingual pay recognizes the tangible benefits and unique skills bilinguals offer,” (Salary.com Staff).

Creating a Bilingual Pay Program in Your Organization

Begin by identifying specific language requirements for your industry and the foreign languages vital for success in organizational operations. Conduct surveys to pinpoint employees who possess bi/multilingual skills and assess their proficiency levels with the expert support of a credentialed provider such as Language Testing International (LTI). The insight and guidance of a team of professionals who have helped establish the best standards in language proficiency assessments can be instrumental in setting the structure of the program, determining the amount of incentive pay based on linguistic skills level, and calculating the return on investment of your company’s Language Pay Program.

Communication is key in creating any type of incentive program, and it is crucial to provide clear and detailed information to employees. Start by establishing the program’s objectives, which must be achievable for the program to be effective. Then, determine eligibility criteria, the structure of incentive pay, and which specific roles will enjoy this opportunity. “Factors like how often someone will speak in that language and if they are transcribing or interpreting as well are all taken into consideration when determining their salary,” (Callahan). A pay structure that includes extra pay for bilingual employees who use their language skills to bring in more revenue or to help mitigate risk can be a powerful tool to motivate your employees to learn, maintain, or enhance their language proficiency.

To keep the program current, offer language training opportunities for employees who wish to learn new languages or improve existing language skills. It is essential to regularly monitor the program’s effectiveness to ensure alignment with business expectations and goals, as well as employees’ morale. “Most managers would agree that motivated, productive employees are crucial for organizational success, regardless of company size, industry, or corporate strategy,” (Ogbonnaya et al.).

Your Language Pay Program is not complete without first including legal and compliance aspects related to the monetary incentive associated with bilingual skills. Adhere to labor laws and regulations in your area and maintain records of any language proficiency assessment documentation and program payouts for accountability. “While employer programs will differ across industries and sectors, one thing is certain: incentive programs are a must consideration for any team looking to see its strongest potential,” (Payscale).

For more specifics on how to seamlessly launch a Language Pay Program in your company, reach out to LTI. With 30 years of experience, LTI, the exclusive licensee of ACTFL assessments, offers legally defensible ACTFL language credentials in over 120 languages. ACTFL’s accurate assessments in writing, listening, reading, and speaking determine the specific proficiency level of each one of your employees. ACTFL’s remotely proctored tests also make it possible to conveniently conduct language assessments anytime and from anywhere.

Sources

American Council on the Teaching of Foreign Languages (ACTFL) and the Lead with Languages Campaign commissioned Ipsos Public Affairs, with the support of Pearson LLC and Language Testing International. (2019). “Making Languages Our Business: Addressing Foreign Language Demand Among U.S. Employers.” https://www.languageconnectsfoundation.org/programs-initiatives/research/making-languages-our-business

Callahan Cloey. “Differential pay: What should bilingual workers expect from employers?” Worklife. October 20, 2022. https://www.worklife.news/talent/bilingual-pay/

Ogbonnaya, Chidienere, Daniels Kevin, Nielsen Karina. “Research: How Incentive Pay Affects Employee Engagement, Satisfaction, and Trust.” Harvard Business Review. March 15, 2017. https://hbr.org/2017/03/research-how-incentive-pay-affects-employee-engagement-satisfaction-and-trust

Payscale. “What is incentive pay?” November 22, 2021. https://www.payscale.com/compensation-trends/incentive-pay-what-is-it-and-examples/

Salary.com. “Bilingual Pay: Bridging Language Barriers for Better Compensation.” December 8, 2023. https://www.salary.com/blog/bilingual-pay-bridging-language-barriers-for-better-compensation/

Madeline Martínez is a Multicultural Navigator Specialist at URBANDER, a Woman and Minority Business Enterprise (WMBE) specializing in transforming businesses to advance humanity. URBANDER’s role is to serve as an extension of Marketing, Diversity, Human Resources, Procurement, Community Relations, and Social Responsibility teams, providing innovative approaches in the areas of strategic marketing, content development, workforce development, community outreach and IDEAS (inclusion, diversity, equity, accessibility, and sustainability). Madeline holds a both a Bachelor’s and Master’s degree in Communications from the University of Puerto Rico and is an experienced copywriter and content developer dedicated to amplifying the voices of URBANDER’s clients. From blogs and articles to social media posts and interviews, Madeline is a skilled writer across diverse topics integrating her marketing, business and academic acumen. Though her earlier work as a Publications Officer at the Inter American University in Puerto Rico, and her most recent performance as a Spanish Interpreter, Substitute Teacher, and Instructional Assistant for English-language learning elementary school students, Madeline has impacted countless families as they have navigated migrating to the U.S. from Spanish-speaking countries. As a bilingual professional, Madeline is also proficient in translating written documents from English to Spanish, and vice versa. She has received LTI issued ACTFL Language Proficiency Certificates in Spanish as follows: Advanced Writing, Advanced Listening, Advanced Reading and Superior Speaking. During her downtime, Madeline loves spending time with her family, and enjoys dancing, movies, photography, and coffee. She considers herself a continuous learner. “A well-educated mind will always have more questions than answers”- Helen Keller

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