Discuss the below:
Discuss the key components of an international compensation program. Give an example of one of these components and how it has affected a company of your choice. Be mindful of the Academic Integrity Policy.
Dowling, Peter, Marion Festing, and Allen D. Engle. International Human Resource Management. 6th ed., Pg. 217-221. Andover: Cengage Learning, 2013.
Dominique
The key components are:
Base salary- this is the primary amount received before any overtime, bonuses or incentives are paid out.
allowances- this contains 6 different ones from cost-of-living, housing, home leave, education, relocation and spouse assistance.
benefits- this includes everything that's optional with the employment package such as health care, pension plans, life insurance, child allowance & stock enrollment.
Recently the financial institution that I work for notified us of the new benefits open enrollment. We have to go in a re-elect all of our health care coverage, optional life insurance plans & 401K investments for the upcoming new year. The catch is the premiums are changing based on your annual salary. In some areas it went up & in some it went down. Also, a major change that's taking effect the first of the new year is payroll will change from twice a month to every 2wks. To some, like myself it's a good thing because I prefer to know exactly when I'm getting paid oppose to having to wait until the 15th & 30th then to others it's not a good idea because they feel that their annual salary will not be divided like it use to be therefore their checks won't equal out the same. Since there's nothing we can do about it, time will tell when we get our first paychecks in January.