Motivational Factors Of Ready Made Garments In Bangladesh Management Essay Compensation package is an important issue for the employee in an organisation. Every organisaiton should have fair judgment for determining compensation and he need to follow a system to determining compensation system. If an organization is failed to do so it is badly effecting to the employee and causes dissatisfaction of the job. My aim is to critically analyse the compensation system, like factors determining compensation and method of determine compensation packages where organization can not discriminate or unfair treated to the operator’s contribution. Here I am also focuses on factors increases the turnover and absenteeism rates which are the main barrier of organizations success. There are inter-connection with compensation, absenteeism and labour turnover, all are linked with each other. Because of unfair compensation system leads to employee’s dissatisfaction that leads to increases absenteeism and turnover. So, a good compensation package is the best way to motivates employees and it is the secret of organizational success. Introduction:
The main purpose of this project is to describe about compensation packages and factors influencing in this packages. And also discuss the impact of staff turnover and the employee absenteeism ratio which effecting the organisational productivity. Bangladesh is a developing country. According to UNDP’s Human Development Report 2007/2008 Bangladesh’s rank is 140th out of 177 countries. In Bangladesh, 40% of total population lives below the poverty line. In other report of Bangladesh Garments Manufacturer and Exporters Association (BGMEA), 2007 it shows that garments sector provides maximum export (76%) of total export in Bangladesh and 1.7% of total population of Bangladesh is working in Garments industries. Ready made garments exports mainly are doing in the European market & US market. The ratios of exports are 49% to European Market, 33% to the US market & rest (18%) to other countries. In a report shows that due to a strong demand for skilled labour combined with insufficient wage and discontinuity of payment, dissatisfaction of job, bad attitude in job etc. there is high level of migration of workers between factory to factory, and the average turnover is around 20% and absenteeism ratio is also increasing. Methodology: - Secondary data is the main source of data of this project. I collected information from internet, journal about Bangladesh labour issue, some local magazine and newspaper, and books of human resource management. This project is based on exploratory research. I share my personal experience in based on my previous work. Literature Review:
Due to problematic nature of pay system Brown (1989) describes that the reasonable management of compensation is necessary for the involvement of the adequate management, it is not prerequisite to be satisfy. (Bratton & Gold, 2007) Bird and Beechler (1995) cited in Briscoe & Schuller (2008) established that employee performance (e.g. morale and turnover rate) in firms that successfully adopted the strategic fit concept was significantly better than in firms that did not do so. Although managerial performance (e.g. profit margin and sales) was also better, the difference was not significant. The concept of ``fit'' refers mainly to the close linkage of HRM strategies and business strategies in ways that will help retain and motivate employees. Yes it is very good point retain and motivation of employee, as because every organisation aim is finding way to keep there employees. Motivation is one of them; it can be two type’s money and appraising employee. In most of the case money is main motivational factor for the employee especially in Bangladesh. The reason why money is the main factor then we can see from table 1 about the monthly income of average employee is low and there life status is not much standard based on there income and expenses. So...
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