Compensation- Employee compensation has three elements: base compensation, pay incentives, and benefits. These three items constitute remuneration package which the employee obtains for his or her labor. Benefits- pay and benefits are the most significant cost in most organizations. Summary
Frank L. Giancola is retired HR practitioner and college professor who taught HR and compensation management at Central and Eastern Michigan University. He graduated with a BA in psychology-sociology from the University of Michigan, and an MA in industrial relations from Wayne State University. In Frank L. Giancola article, are Employee Benefit Programs Being Given Enough Credit for Their Effect on Employee Attitudes, was written and based on surveys that were conducted from 2002 to 2010 between thousands of employees. The surveys were conducted to find out the importance of Employee benefits and compensation is to the employee and what attracts them to a specific organization. Discussion
The purpose of this article was intended for companies to understand the importance of compensation and benefits, and what attracts their future and present employees by surveying employees, and how if effects their work ethic and their choices to stay at a certain company. I believe one of the biggest factor in considering a career would have to be the income that they would receive and the added bonuses like compensation and benefits. Compensation includes an employee’s base pay, raises, and bonuses that an employer offers to an employee if they achieve certain quotas mandated by their employer. “For many years, human resources (HR) professionals have shown a tendency to underestimate the importance that employees place on their benefit programs”. (Frank L. Giancola) I think when a company makes an attempt to reward their employees with compensation such as bonuses and raises, it builds a relationship between the two, and makes the employee feel very important and noticed in the...
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