Human Resource Management (HRM) has never been as significant as it is today. Companies want to attract, retain and motivate brains to meet objectives. Today Employee are regarded the most important assets of the company so they need to be efficiently and effectively managed. One of the tools companies use to attract, retain and motivate its people is Compensation Management. In this article, We will define compensation and benefits along with their advantages for a company and its workers
Advantages of Compensation and Benefits-
A well designed compensation and benefits plan helps to attract, motivate and retain talent in your firm. A well designed compensation & benefits plan will benefit your Organization in the following ways.
1) Job satisfaction: Your employees would be happy with their jobs and would love to work for you if they get fair rewards in exchange of their services.
2) Motivation: We all have different kinds of needs. Some of us want money so they work for the company which gives them higher pay. Some value achievement more than money, they would associate themselves with firms which offer greater chances of promotion, learning and development. A compensation plan that hits workers’ needs is more likely to motivate them to act in the desired way.
3) Low Absenteeism: Why would anyone want to skip the day and watch not-so-favorite TV program at home, if they enjoy the office environment and are happy with their salaries and get what they need and want?
4) Low Turnover: Would your employees want to work for any other boutique if you offer them fair rewards. Rewards which they thought they deserved?
Advantages To Your Employees-
1) Peace of Mind: your offering of several types of insurances to your workers relieves them from certain fears. Your workers as a result now work with
2. Increases self-confidence.