BU354 Chapter Notes - Chapter 11: Canada Pension Plan, Canada Labour Code, Job Evaluation
Document Summary
Employee compensation all forms of pay or rewards going to employees and arising from their employment. Direct financial payments- pay in the form of wages, salaries, incentives, commissions and bonuses. Indirect financial payments- pay in the form of financial benefits such as insurance. Direct payments based on increments of time or based on performance: time more common, eg. Blue-collar and clerical workers receive hourly or daily wages: managers/ web designers more salaried and paid weekly, monthly, or yearly, sales commissions tie pay to sales. Many pay plans combine time-based pay and incentives. Factors that affect a pay plan decision include: strategic policy considerations, equity, legal and union considerations. Co(cid:373)pe(cid:374)satio(cid:374) pla(cid:374) should first ad(cid:448)a(cid:374)(cid:272)e fir(cid:373)"s strategi(cid:272) ai(cid:373)s. Should have an aligned reward strategy: creating a compensation package that produces employee behaviors needed to achieve competitive strategy. Many employers formulate a total rewards strategy to support their broader strategic aims.
