Total compensation methods paper

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Total compensation methods paper

Total Compensation Methods and Benefits Programs Impact on employees and organizations Salary Total compensation methods paper benefit administration strategies Relationship with organizational culture and performance Total compensation methods used by the organizations are different in terms of their design and approach.

The main objective of the compensation programs developed in organizations is to facilitate employee motivation and provide a cost effective reward system that is beneficial for both employees as well as the business. The business objectives, values, and goals are the basic element of compensation methods adopted in an organization.

The total compensation strategy adopted by a business also elaborates the approach adopted by the business to offer benefits for its employees in return to their services.

The following sections provide a detailed understanding of total compensation methods and benefits programs and their impacts on employees and organizations.

The second most important element addressed in the research is concerning the administration of the programs and its relationship with the organizational culture and performance. Total Compensation methods and benefits programs: The organizations develop a number of programs for compensating employees.

Total compensation methods paper

The amount spent on compensation of employees can be managed through a policy for human resources in order to facilitate the organizational growth and achievement of objectives. According to Mathis, and Jackson the total compensation is method adopted by the organizations to provide monitory and nonmonetary rewards.

The total rewards facilitate the business to attract, motivate, and retain employees. There are various issues that should be considered before designing a total reward program including legal obligations, cost-effectiveness, and performance enhancement for employees.

The organizations also have to consider internal, external, and individual equity of employees. The number of philosophies used to design the total compensation and benefits programs. Two distinct paradigms prevail in the organizations to for designing the total compensation rewards and benefits.

The entitlement-based programs and performance-based programs. The entitlement-based programs are based on the following criterion. These techniques are seniority-based compensation, across the board raise, pay scale increase, industry related compensation, bonuses given to employees.

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The performance-based programs does not entitle employees for any raise due to the period in employment. It contains no raise for poor performing employees.

The performance-based structures also includes a market adjusted pay structures and the pay raise is linked to the achievement of performance targets. The performance-based compensation is measured through various techniques.The purpose of the website is to provide information regarding the Superfund program for communities, cleanup professionals, and concerned citizens.

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