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Task 6
Compensation and Benefits

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Welcome!
Course Outcomes explored in this module:

Define compensation and differentiate among pay-level and pay structure decisions.
Analyze the strategic importance of human resource management (HRM) activities performed in organizations.
Explain how compensation systems influence employees’ motivation, productivity, and satisfaction.
Examine how external and internal factors relate to a firm’s compensation policy.
Describe the job evaluation process.
Understand how individual pay is determined.
Define variable pay and discuss the various incentive programs that can be used in such a system.
Explain why merit pay may cause employees to compete rather than cooperate.
Compare and contrast the various gainsharing systems.
Recognize the key differences among these innovations: skill-based, knowledge-based, credential-based, and competency-based pay.
Examine such pay issues as secrecy, security, and compression.
Define indirect financial compensation.
Explain why organizations provide benefits and services to employees.
Differentiate between mandated and voluntary benefits.
Describe the various types of benefits and services offered by most American companies.
Explain how to manage an effective benefits program.
In order to accomplish this assignment you will need to complete the following research:

Explore the Bureau of Labor Statistics (BLS) website
Review the wage data by state section. Look up your occupational group under your state.
Explore the salary.com website. Under the personal menu use the What am I worthcalculator to estimate what your compensation should be for your job title and location.

Explore the salary.com website. Under the personal menu use the benefits calculator to estimate what your employer spends on your total compensation package or view the industry averages.

Read the case study 10-1 on pages 322 to 325 in your textbook. Based on your review of the BLS and Salary.com website and your understanding of the case study, answer the three case study discussion questions on page 325. (Questions taken from p. 325 of the text.) Write a minimum 2 pages paper using the three discussion questions as the basis for your writing.

1. In your view, is comparable worth a legitimate strategy for determining job compensation?

2. As the director of the Twin Oaks’ HR Dept., what recommendations would you make to James Bledsoe?

3. From an HRM perspective, what are the challenges of implementing comparable worth?

Remember: All writing must be supported by academic literature and will be in APA format during this course. You must cite each and every sentence in which you used materials from your academic literature. Your work will be checked for academic integrity by the Turnitin system. For a great breakdown of academic literature, please visit: https://www.lib.unb.ca/research/success/understanding.php

PLEASE DO NOT USE Wikipedia, Ask.com, Articlebase, businessdictionary.com, eHow, smallbusiness.chron.com, term paper websites, etc. From time-to-time, the professor my point out other sources that are not reliable academic sources.

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