Introduction to Compensation Management and Employee Rewards
Overview:
Introduction:
Compensation management involves designing and implementing fair and strategic pay structures to attract, motivate, and retain talent while ensuring alignment with organizational objectives. It encompasses salary, incentives, and benefits tailored to recognize employee contributions effectively. Employee rewards, on the other hand, focus on providing additional recognition, both monetary and non-monetary, to reinforce positive behaviors and drive performance. This training program is designed to introduce participants to the foundational principles of compensation management and provide tools to design fair and motivating compensation plans.
Program Objectives:
At the end of this program, participants will be able to:
-
Identify the fundamental principles of compensation management.
-
Design competitive and equitable compensation structures.
-
Explore legal considerations and compliance in compensation.
-
Develop skills in managing compensation surveys and market data.
-
Effectively align compensation strategies with organizational goals.
Targeted Audience:
-
HR professionals.
-
Employees in the HR department.
-
Managers or supervisors.
-
Business owners and entrepreneurs.
Program Outlines:
Unit 1:
Introduction to Compensation Management:
-
Definition and Importance of Compensation.
-
Components of Compensation: Base Pay, Bonuses, and Benefits.
-
Key Factors Influencing Compensation Decisions.
-
Compensation and Organizational Strategy Alignment.
-
Role of HR in Compensation Management.
Unit 2:
Compensation Structure and Design:
-
Job Analysis and Job Evaluation methods.
-
Methods of developing Pay Grades and Salary Bands.
-
Market-Based Pay vs. Internal Pay Equity.
-
How to design Pay Scales and Structures.
-
Compensation Philosophies: Merit-based, Skill-based.
Unit 3:
Legal Aspects of Compensation:
-
Fair Labor Standards Act (FLSA) and Wage Laws.
-
Equal Pay Act and Gender Pay Equity.
-
Overtime and Minimum Wage Regulations.
-
Tax Implications of Compensation.
-
Compensation Compliance and Audits techniques.
Unit 4:
Performance-Based Compensation:
-
Types of Performance-Based Pay: Bonuses, Incentives.
-
Setting Performance Metrics for Compensation.
-
Pay for Performance Model.
-
Linking Performance to Compensation.
- Tools for evaluating the Effectiveness of Performance-Based Pay.
Unit 5:
Benefits and Total Rewards:
-
Employee Benefits: Health, Retirement.
-
Frameworks for designing a Benefits Package.
-
Importance of implementing Non-Monetary Rewards and Recognition Programs.
-
Trends in Employee Benefits and Total Rewards.
-
Effective techniques for communicating Total Rewards to Employees.