This document discusses compensation policies and programs. It outlines policies for determining salaries and benefits for new employees, supervisory salary adjustments, and pay plan conversions. It also discusses compensation in the private sector, including financial compensation like salary, wages, incentives and benefits, as well as non-financial compensation. Potential issues with compensation policies are identified, such as lack of benchmarking, profit sharing, time off benefits, and work-life balance. Various wage theories are also covered. Recommendations are made to improve compensation programs and total rewards.

1. Welcome to our Presentation

2. Compensation Policies
Determination of Salary and Benefits for New Employees Policy
Supervisory Salary Adjustment Policy
Pay Plan Conversion Policy
Transfer of Employees Policy
Promotions
Step Progression

3. Compensation in private sector
Financial compensation:
• Salary.
• Wages.
• Incentives.
• Fringe benefits.
• Dearness allowance.
• Medical allowance.
• House rent allowance.
• Gratuity.
• Retirement benefits.
Non-financial compensation:
 Dignity.
 Recognition.
 Working condition.
 Social status.
 Achievement.

4. Potential Lacking’s of compensation policy
 Benchmarking Activities For Compensation
 Profit Sharing And Stock Ownership Programs
 Time Off Benefits
 Group Compensation Policy
 Education Benefits
 Work/Life Benefits
 Health And Wellness

5. Benchmarking Activities For Compensation
the annual review of employee’s performance has
undertaken by compensation committee and
compensation program manager to determine best
performer

6. Profit Sharing And Stock Ownership
Programs
 EMPLOYEES BUY STOCK IN THEIR COMPANY THROUGH PAYROLL
WITHHOLDING
 PROFIT-SHARING PLANS PAY THE MONEY DIRECTLY TO EMPLOYEES
EACH YEAR IN THE FORM OF CASH

7. Time Off Benefits
 EMPLOYEES CAN ENJOY UP TO 3 WEEKS OF VACATION AFTER THE FIRST
YEAR, 4 WEEKS AFTER FIVE YEARS, 5 WEEKS AFTER TEN YEARS AND 6
WEEKS WITH 20 PLUS YEARS OF SERVICE. THE COMPANY ALSO
PROVIDES 14 PAID HOLIDAYS.

8. The Reason Potential lacking’s of
compensation
 Work-life imbalance
 The job did not meet expectations
 Employee misalignment
 Feeling undervalued
 Decision-making ability is lacking
 People skills are inadequate
 Organizational instability

9. Wage Theories
 Subsistence Theory
 Wage Fund Theory
 Marginal Productivity Theory
 The Residual Claimant Theory
 Employment Theory

10. Compensation wage theory followed
in private sector

11. Recommendation
 Assess your maturity and invest for improvement.
 Focus on outcomes for improving workforce performance.
 Replace outmoded technology to increase efficiency.
 Plan program for total compensation management
 Offering More Than Just a Paycheck