what are some variables leading to job satisfaction
- rewards and recognition
- interesting works
- supportive work environment
- demonstrated appreciation for employees
- alignment of employee goals and organization goals
- participative management
- flexibility in work places
what is direct and indirect compensation
Direct: employee wages and salaries, bonuses, and commissions
Indirect: All other forms of rewards, such as extended health and dental plans and other programs and plans that offer rewards or services to employees
what is indirect compensation
all other forms of rewards, such as extended health and dental plans and other programs and plans that offer rewards or services to employees
what is total compensation
everything that the employee receives in terms of both direct and indirect compensation
what are components of a total reward system
- compensation
- benefits
- social interaction
- security
- status/recognition
- work variety
- workload
- work importance
- authority/control
- advancement
- feedback
- work condition
- development
what are the typical goals for the rewards program (REWARDS)
Rewarding
Ensuring
Wage equity
Attracting
Regulating the compensation budget
Driving positive work behaviours
what forces are reshaping total rewards
Globalization: digital transformation of the workplace
Diversity: changing expectation of a multigenerational workforce
New legislative and regulatory developments
urgency to deliver and improved ROI
what is equity
and individual acquired a form of reward or benefits as a result of dedicating resources such as time, effort, money, or skills
what is the equity theory
Inputs (what i put into my job): abilities, skills and experience
Outcomes (what i get from my job): benefits, salary
what are the two bases for compensation
salaried employees
hourly employees
what are factors affecting compensation rates
internal factors
external factors
how do you determine compensation bases on internal factors
compensation strategy
worth of a job
employees performance
employers ability to pay
what are components for job worth
skills
effort
responsibility
working conditions
go back to slide 19 and fill out
how do you determine compensation based on external factors
economy
labour-market supply and demand
wage rates in specific geographic areas
cost of living
collective bargaining
legal requirements
What is the job evaluation system
Job ranking
Job classification
Point system
factor comparison system
what is job ranking and what are advantages and disadvantages
ranks jobs from highest to lowest
advantages: simple, quick to implement
disadvantages: subjective, lacks precision, may not consider job details
what is job classification and what are advantages and disadvantages
groups jobs into predefines classes or grades based on duties, responsibilities, and qualifications
advantages: consistent, provides structure, useful for larger organizations
disadvantages: rigid, may not account for unique aspects of a certain job
what is point system and what are advantages and disadvantages
assigns points to job factors with the total score determining the jobs value
advantages: systematic, quantitative, highly precise and consistent
disadvantages: time-consuming, requires detailed analysis of job components
what is factor comparison system and what are advantages and disadvantages
compares jobs by ranking individual factors and assigning monetary value to each factor
advantages: detailed, accurate, allows for comparison by individual factors
disadvantages: complex, challenging to implement, requires in-depth analysis
what is job ranking good for
small organizations
what is job classification good for
large organizations
what is point system good for
medium to large organizations
what is factor comparison system good for
highly specialized industries
