Assignment: Compensation Plan
Purpose:
Through the completion of the three-part Compensation Plan Project, students will create a compensation plan for a position in a hypothetical organization. To be effective, they will evaluate the strategic implications various compensation philosophies have on an organization. They will also analyze the various forms of employee benefits and the key components of constructing a benefits compensation plan. In addition, students will evaluate the impact the Fair Labor Standards Act (FSLA) and other laws have on the compensation practices of an organization.
Pay-for-Performance and Employee Benefits
Continuing with the same position discussed, determine recommendations for individual pay within the scope of pay-for-performance.
(200-300 words) Discuss how you will link the hypothetical organization's strategy to pay-for-performance and performance management. Include the following in your discussion:
The behaviors that are most important based on the corporate goals.
How you will ensure equity and fairness in the pay-for-performance plan.
How you will ensure compliance with existing laws.
(400-500 words) Outline the pay-for-performance plan for this position. Include a discussion on each of the following types of plans and whether or not they are appropriate for this position in this organization:
Short term pay-for-performance plans
Team incentive plans
Long-term incentive plans
(100-150 words)
Describe how you will use performance appraisals in compensation decisions.
Discuss the use of performance metrics.
Determine the philosophy for merit guidelines.
Continuing with the same position discussed, determine an employee benefits plan. (200-300 words) Discuss the components to be considered in your overall benefit plan. Include the following in your discussion:
Employer factors such as total compensation costs, cost of benefits, competitor offerings, role of benefits, and legal requirements.
Employee factors such as equity/fairness and personal needs.
How you will manage cost containment.
(100-150 words) Provide a checklist that ensures you are including all legally required benefits.
(400-500 words) Discuss your design options and choices for a legal and balanced approach to employee benefits. Include in your discussion the four primary categories of employee benefits:
Retirement and savings plans
Life Insurance
Medical benefits
Miscellaneous benefits
Format your assignment according to the give formatting requirements:
1. The answer must be double spaced, typed, using Times New Roman font (size 12), with one-inch margins on all sides.
2. The response also includes a cover page containing the title of the assignment, the course title, the student's name, and the date. The cover page is not included in the required page length.
3. Also include a reference page. The references and Citations should follow APA format. The reference page is not included in the required page length.