17.
Which of the following is true of employee compensation?
It is not influenced by the strategic policies of a company.
It excludes any form of pay arising from a person’s employment.
It is not influenced by legal and union considerations pertaining to a company.
It comprises indirect financial payments and direct financial payments.
Solution
Employee compensation means employer will pay something in terms of money or in terms of
benefits to employees for using their valuable services. This is including financial and non
financial benefits. Where financial benefits means bonuses, increments and non financial
benefits are like health insurance, life insurance, paid vacations etc..
In above question, the suitable answer is
It comprises indirect and direct financial payments
And remaining options are not suitable because
1. This compensation influenced by company policies, based on company policies only , , will
get various benefits
2.it includes any form of pay arising from a person\'s employment
3. Employee compensation always influenced by legal and unions of organisation, because their
duty is to provide best benefits to employees
So answer is fourth option.
17.Which of the following is true of employee compensationIt is.pdf
1. 17.
Which of the following is true of employee compensation?
It is not influenced by the strategic policies of a company.
It excludes any form of pay arising from a person’s employment.
It is not influenced by legal and union considerations pertaining to a company.
It comprises indirect financial payments and direct financial payments.
Solution
Employee compensation means employer will pay something in terms of money or in terms of
benefits to employees for using their valuable services. This is including financial and non
financial benefits. Where financial benefits means bonuses, increments and non financial
benefits are like health insurance, life insurance, paid vacations etc..
In above question, the suitable answer is
It comprises indirect and direct financial payments
And remaining options are not suitable because
1. This compensation influenced by company policies, based on company policies only , , will
get various benefits
2.it includes any form of pay arising from a person's employment
3. Employee compensation always influenced by legal and unions of organisation, because their
duty is to provide best benefits to employees
So answer is fourth option
