What is the compensation of employees?

Employee compensation is made to workers in exchange for their work. This payment usually takes the form of cash money, which can also be combined with various non -monetary benefits such as health insurance or childcare. Many businesses and organizations structure their employees' remuneration policies to attract, maintain and motivate their employees. Some employees are compensated on the basis of the number of hours that work per week or receive a salary for which they are expected to fulfill specific obligations. Some companies pay their employees on the basis of performance. For example, an employee who works in sale can be compensated in part or exclusively through commissions of their sales. In other organizations, the employee can receive part of her compensation at the end of the year, when her performance is evaluated in the form of what is often called a bonus at the end of the year.

SpolThey can also reward the loyalty and performance of employees by regularly increasing wage and salary of employees. In some organizations, employees receive an annual increase in their compensation to cover increased living costs and also to strengthen their compensatory package of employees. When employees take over new work duties or are promoted within the organization, it is common for money to increase cash compensation. Businesses often take into account paid leave from work in compensation of employees. Depending on the relevant employment laws, the company may be required for employees to provide a part of a paid patient or leave each year, but may also increase the employee's access to paid leave in accordance with the seniority and the worker's work obligations.

In addition to cash paid leave, employee compensation often includes other benefits and services. For example, in the United States, health insurance is a very common advantage of employees and is often an important part of the P packageRO remuneration of employees. Companies can also offer employees other types of insurance, including life insurance and short -term and long -term disability insurance. Some companies also offer compensation in the form of children's care services, educational reimbursements and employees' discounts.

While many companies standardize their packages of employee compensation, some companies are more flexible than others in adjusting their compensatory structure for hiring desired employees. Although companies must be taken care of creative compensation plans to avoid discrimination, this is often essential in attracting top talents. Therefore, the strong human resource policy, which such flexibility is an important part of society, is therefore an important part of the society and the culture of long reach.