This PPT is formed on the topic of wage differentials. it has a meaning, reasons, factors affecting it, types, and determinants of inter and intra industry wage differentials.
The document discusses various components of international compensation packages. It begins by defining compensation and its objectives. It then covers principles of compensation, approaches in different countries, factors influencing compensation amounts, and theories of compensation. The document also discusses base salary, incentives, allowances, taxes, retirement benefits, and other typical components of an international compensation package. It notes challenges around managing compensation globally due to exchange rates, cost of living differences, and other complexities.
This PPT contains about wage differentials or compensating differentials. it is an HR concept. it has meaning, reason, factors, types, and determinants of inter and intra industry wage differential.
This document provides an overview of compensation management. It discusses that compensation includes both direct monetary benefits like salary as well as indirect non-monetary benefits. An effective compensation system is designed based on factors like job analysis and market surveys. It is an important part of human resource management that helps motivate employees and improve organizational performance. The various components, types, and importance of compensation management are outlined.
Wage and salary administration aims to establish a scientific pay structure to avoid conflicts between employers and employees regarding fair compensation. It should consider economic, psychological, legal and growth factors. In India, wages are not fixed systematically due to poverty, unemployment and population issues. Time-rate and piece-rate wages each have benefits and drawbacks for workers and employers. Developing an effective pay system involves job analysis, evaluation, surveys, establishing pay grades and structures, and monitoring for adjustments.
This document discusses compensation management and various components of employee remuneration. It covers direct compensation including base pay, incentives, and benefits, as well as indirect compensation such as job context, responsibilities, and growth prospects. It also discusses concepts related to wages, including minimum wage, living wage, fair wage, and different types of wages. Components of the wage structure and factors influencing wage and salary administration are also summarized.
This document discusses compensation management and wage determination. It covers topics such as objectives of compensation, types of compensation (base compensation like wages and salaries vs. supplementary compensation like benefits), factors that influence wages, and methods of wage fixation. The key methods of wage fixation discussed are collective bargaining, wage boards, job evaluation, pay commissions, and arbitration/adjudication.
Compensation plays a key role in organizations by attracting capable employees, motivating superior performance, and retaining employees over an extended period of time. It helps create a strong human resource base that enhances productivity, efficiency, and quality. A suitable compensation plan is critical for achieving the right human resource infrastructure with skilled employees in the right jobs. Compensation also plays an important role in retaining top talent, motivating employees to maintain high standards, and boosting morale to achieve goals.
The document discusses compensation management and defines compensation as all forms of financial returns, tangible services, and benefits that an employee receives during employment. It outlines different components of compensation including basic wages, incentives, and benefits. The objectives of compensation planning are discussed as well as theories of wage determination such as traditional theory based on market forces and theory of negotiated wages through collective bargaining. Different types of wages like time rates, piece rates, and minimum wages are also summarized.
The document discusses various components of international compensation packages. It begins by defining compensation and its objectives. It then covers principles of compensation, approaches in different countries, factors influencing compensation amounts, and theories of compensation. The document also discusses base salary, incentives, allowances, taxes, retirement benefits, and other typical components of an international compensation package. It notes challenges around managing compensation globally due to exchange rates, cost of living differences, and other complexities.
This PPT contains about wage differentials or compensating differentials. it is an HR concept. it has meaning, reason, factors, types, and determinants of inter and intra industry wage differential.
This document provides an overview of compensation management. It discusses that compensation includes both direct monetary benefits like salary as well as indirect non-monetary benefits. An effective compensation system is designed based on factors like job analysis and market surveys. It is an important part of human resource management that helps motivate employees and improve organizational performance. The various components, types, and importance of compensation management are outlined.
Wage and salary administration aims to establish a scientific pay structure to avoid conflicts between employers and employees regarding fair compensation. It should consider economic, psychological, legal and growth factors. In India, wages are not fixed systematically due to poverty, unemployment and population issues. Time-rate and piece-rate wages each have benefits and drawbacks for workers and employers. Developing an effective pay system involves job analysis, evaluation, surveys, establishing pay grades and structures, and monitoring for adjustments.
This document discusses compensation management and various components of employee remuneration. It covers direct compensation including base pay, incentives, and benefits, as well as indirect compensation such as job context, responsibilities, and growth prospects. It also discusses concepts related to wages, including minimum wage, living wage, fair wage, and different types of wages. Components of the wage structure and factors influencing wage and salary administration are also summarized.
This document discusses compensation management and wage determination. It covers topics such as objectives of compensation, types of compensation (base compensation like wages and salaries vs. supplementary compensation like benefits), factors that influence wages, and methods of wage fixation. The key methods of wage fixation discussed are collective bargaining, wage boards, job evaluation, pay commissions, and arbitration/adjudication.
Compensation plays a key role in organizations by attracting capable employees, motivating superior performance, and retaining employees over an extended period of time. It helps create a strong human resource base that enhances productivity, efficiency, and quality. A suitable compensation plan is critical for achieving the right human resource infrastructure with skilled employees in the right jobs. Compensation also plays an important role in retaining top talent, motivating employees to maintain high standards, and boosting morale to achieve goals.
The document discusses compensation management and defines compensation as all forms of financial returns, tangible services, and benefits that an employee receives during employment. It outlines different components of compensation including basic wages, incentives, and benefits. The objectives of compensation planning are discussed as well as theories of wage determination such as traditional theory based on market forces and theory of negotiated wages through collective bargaining. Different types of wages like time rates, piece rates, and minimum wages are also summarized.
Compensation Management importance and factors influencing compensationalisdq550
Compensation is what employees receive in exchange for their work, including both monetary and non-monetary benefits. It is important for both motivating employees and reducing costs for organizations. Many factors influence compensation, including external factors like the labor market, cost of living, unions, and laws, as well as internal factors like the organization's compensation policies, ability to pay, job analyses, and individual employee performance. Effective compensation systems can help organizations attract, retain, and motivate talented staff.
This document discusses compensation and wage theories. It provides an overview of different types of compensation including direct and indirect compensation. It also covers various wage concepts like minimum wage, living wage, and fair wage. Several theories that seek to explain how wages are determined are outlined, including the subsistence theory, wage fund theory, surplus value theory, residual claimant theory, marginal productivity theory, bargaining theory, and behavioural theory. The goals of compensation administration are noted as designing a cost-effective pay structure to attract, motivate and retain competent employees.
Executive compensation consists of salary, bonuses, stock options, and other benefits provided to executives in exchange for their services to an organization. It aims to attract, retain, and motivate skilled executives through sufficient pay that takes into account performance, government regulations, and tax law. Compensation typically includes short-term pay like salary and bonuses as well as long-term pay like stock options and restricted stock to align executive interests with shareholders and company performance over time. Common forms of compensation include cash, deferred compensation, retirement packages, and perks.
the role of state in industrial relations , role of state in IR jagannath ojha
The document discusses the role of the state in industrial relations. It defines industrial relations as the complex interrelations among managers, workers, and government agencies. The key roles of the state are to improve the standard of living through legislation, promote industrial growth while considering labor, act as an impartial umpire in disputes, protect the interests of labor, sustain industrial harmony, support increased production, and properly implement legislation.
This document provides an overview of industrial relations. It defines industrial relations as the relationship between employees and management. The major stakeholders in industrial relations are labor, employees, government, vendors, trade unions, and customers. The objectives of industrial relations are to establish sound relationships between workers and management, prevent conflicts and strikes, raise productivity, and promote industrial democracy. Important approaches to industrial relations include the psychological, sociological, and human relations approaches. The document also discusses perspectives, problems, measures to improve relations, methods to settle disputes, and relevant acts in India.
The document discusses the 3-P Compensation Concept which includes Pay for Position, Pay for Person, and Pay for Performance. Pay for Position bases pay on the job requirements rather than individual skills. Pay for Person links pay to individual skills, competencies, and market demand. Pay for Performance provides financial rewards based on performance assessments against individual, team, or organizational goals.
Staffing recruitment and selection of INTERNATIONAL HUMAN RESOURCES MANAGEMENTAparrajithaAriyadasa
In staffing in international business, HR managers must determine when or where to expatriation. Expatriate workers are frequently assigned to key positions in overseas operations. Human resource managers must also decide on the issue of compensation. The compensation of expatriate workers must be examined along with compensation of local workers and the compensation of workers in the home country. Differences in compensation packages have significant implications on staffing success, expatriate performance and business performance. HR managers must also address the issue of repatriation. Repatriation happens when the worker needs to come back to the home country, usually to continue working for the company. Repatriation also happens when the expatriate worker retires. These issues have significant effects on the perspectives and performance of expatriate workers and local workers, and the effectiveness of IHRM in staffing.
In this presentation, we will discuss the characteristics of systematic promotion policy, principles, types and meaning of Transfer, promotion and demotion.
To know more about Welingkar School’s Distance Learning Program and courses offered, visit:
http://www.welingkaronline.org/distance-learning/online-mba.html
The document defines compensation as all rewards earned by employees, including direct financial compensation like pay and bonuses, indirect financial compensation like benefits, and non-financial compensation like career development. It outlines the objectives of a compensation policy as creating a sense of recognition and fairness for employees. The document then describes the six step process for developing a compensation policy, including defining issues, selecting elements, analyzing positions, determining salaries, pay increases, and comparing to the market.
Performance management of international employeesUnifiers mlac
Performance management is a process that enables multinational enterprises (MNEs) to evaluate and continuously improve individual, subsidiary, and corporate performance against defined goals and targets. However, managing performance across borders presents unique constraints for MNEs, including issues with non-comparable data, volatility in different environments, and variable levels of maturity between subsidiaries. Effective performance management requires consideration of both quantitative goals as well as qualitative attributes, and balancing global standardization with local responsiveness.
The document discusses various aspects of wage and salary administration. It outlines objectives like recruiting employees and controlling payroll costs. It discusses principles like external equity, job evaluation, and maintaining competitiveness. Factors that determine wage structures include cost of living, productivity, and prevailing wages. Different types of wages like minimum, fair, and living wages are defined. Advantages and disadvantages of time wages and piece wages are provided. Guidelines for effective incentive plans emphasize linking pay to performance and clear communication. Key labor laws governing wages in India like the Minimum Wages Act, Payment of Wages Act, and Payment of Bonus Act are also summarized.
This document discusses compensation management. It defines compensation as the monetary and non-monetary value provided to employees in exchange for work. Compensation has objectives like recruiting qualified employees, increasing morale, and rewarding performance. Compensation has direct elements like base pay and bonuses, and indirect elements like insurance and retirement programs. Non-monetary compensation enhances satisfaction and relationships. Compensation is important for job descriptions, analysis, and structure. Factors affecting compensation include external factors like the economy and internal factors like compensation policies and an organization's ability to pay.
The document discusses compensation and incentives. It defines compensation as something given in return for work, often money. Incentives encourage extra effort and are a performance-linked reward. Effective incentives plans are developed with worker input, guarantee minimum wages, are easy to understand and provide equal opportunity to earn more. Common incentives include bonuses, merit pay, sales commissions, profit sharing, and stock options plans. Incentives can be individual, organization-wide, or group-based.
Fringe Benefits ppt by Mr. K.V.Samapth PavanSampath Pavan
This document discusses fringe benefits provided to employees. It defines fringe benefits as monetary and non-monetary benefits given to employees during and after employment that are connected to employment but not directly related to their job contributions. Examples include use of a company car for personal use, cheap loans, free health insurance, and cleaning services. The objectives of fringe benefits are to improve employee morale, motivate performance, provide security, and retain employees. Types of fringe benefits include paid time off, health benefits, retirement benefits, and welfare facilities.
The document discusses employee benefits and services. It provides definitions and examples of benefits like paid time off, health insurance, retirement plans. It explains that benefits are used to attract, retain, and motivate employees. The document also covers factors that influence benefit decisions, common types of benefits, and some potential issues with benefits programs.
Recruitment is the process of searching for prospective employees and stimulating them to apply for jobs in an organization. It involves recruitment planning, strategic development, searching, screening, and evaluation and control. Selection ensures an organization has the right number and kind of people in the right place at the right time. The selection process includes preliminary interviews, selection tests, employment interviews, background investigations, selection decisions, physical examinations, job offers, contracts of employment, and evaluating the selection program. Together, recruitment and selection are fundamental HR processes for building an organization's human resource capacity and delivering quality service.
Compensation management in international contextkoshyligo
This document discusses key components of international compensation packages. It outlines base salary, allowances like cost of living allowance and housing allowance, benefits, and approaches to compensation. The three main approaches are the budget system, local going rate system, and balance sheet/home net system. The balance sheet approach aims to maintain the same net income and living standard in the host and home countries through adjustments to the compensation package. International taxation is also addressed, outlining tax protection and tax equalization approaches.
This document discusses executive compensation, including its meaning, features, and common components. Executive compensation packages typically include a base salary, allowances, incentives, and perquisites. Companies determine compensation based on external competition, internal equity, and pay for performance. Packages may include salary, bonuses, equity compensation, and benefits like healthcare. Public sector executive pay is often lower than comparable private sector roles.
Pay commission and their role in wage revision in indiajpbbk
The document summarizes the role and history of pay commissions in India. It discusses the seven pay commissions that have been established so far to make recommendations on salaries and pay structures for government employees. Key details provided include the timeline and recommendations of each commission. The document also outlines important demands from the 7th Pay Commission, including a minimum pay of Rs. 18,000 per month and a 16% increase in basic salary.
Compensation Management importance and factors influencing compensationalisdq550
Compensation is what employees receive in exchange for their work, including both monetary and non-monetary benefits. It is important for both motivating employees and reducing costs for organizations. Many factors influence compensation, including external factors like the labor market, cost of living, unions, and laws, as well as internal factors like the organization's compensation policies, ability to pay, job analyses, and individual employee performance. Effective compensation systems can help organizations attract, retain, and motivate talented staff.
This document discusses compensation and wage theories. It provides an overview of different types of compensation including direct and indirect compensation. It also covers various wage concepts like minimum wage, living wage, and fair wage. Several theories that seek to explain how wages are determined are outlined, including the subsistence theory, wage fund theory, surplus value theory, residual claimant theory, marginal productivity theory, bargaining theory, and behavioural theory. The goals of compensation administration are noted as designing a cost-effective pay structure to attract, motivate and retain competent employees.
Executive compensation consists of salary, bonuses, stock options, and other benefits provided to executives in exchange for their services to an organization. It aims to attract, retain, and motivate skilled executives through sufficient pay that takes into account performance, government regulations, and tax law. Compensation typically includes short-term pay like salary and bonuses as well as long-term pay like stock options and restricted stock to align executive interests with shareholders and company performance over time. Common forms of compensation include cash, deferred compensation, retirement packages, and perks.
the role of state in industrial relations , role of state in IR jagannath ojha
The document discusses the role of the state in industrial relations. It defines industrial relations as the complex interrelations among managers, workers, and government agencies. The key roles of the state are to improve the standard of living through legislation, promote industrial growth while considering labor, act as an impartial umpire in disputes, protect the interests of labor, sustain industrial harmony, support increased production, and properly implement legislation.
This document provides an overview of industrial relations. It defines industrial relations as the relationship between employees and management. The major stakeholders in industrial relations are labor, employees, government, vendors, trade unions, and customers. The objectives of industrial relations are to establish sound relationships between workers and management, prevent conflicts and strikes, raise productivity, and promote industrial democracy. Important approaches to industrial relations include the psychological, sociological, and human relations approaches. The document also discusses perspectives, problems, measures to improve relations, methods to settle disputes, and relevant acts in India.
The document discusses the 3-P Compensation Concept which includes Pay for Position, Pay for Person, and Pay for Performance. Pay for Position bases pay on the job requirements rather than individual skills. Pay for Person links pay to individual skills, competencies, and market demand. Pay for Performance provides financial rewards based on performance assessments against individual, team, or organizational goals.
Staffing recruitment and selection of INTERNATIONAL HUMAN RESOURCES MANAGEMENTAparrajithaAriyadasa
In staffing in international business, HR managers must determine when or where to expatriation. Expatriate workers are frequently assigned to key positions in overseas operations. Human resource managers must also decide on the issue of compensation. The compensation of expatriate workers must be examined along with compensation of local workers and the compensation of workers in the home country. Differences in compensation packages have significant implications on staffing success, expatriate performance and business performance. HR managers must also address the issue of repatriation. Repatriation happens when the worker needs to come back to the home country, usually to continue working for the company. Repatriation also happens when the expatriate worker retires. These issues have significant effects on the perspectives and performance of expatriate workers and local workers, and the effectiveness of IHRM in staffing.
In this presentation, we will discuss the characteristics of systematic promotion policy, principles, types and meaning of Transfer, promotion and demotion.
To know more about Welingkar School’s Distance Learning Program and courses offered, visit:
http://www.welingkaronline.org/distance-learning/online-mba.html
The document defines compensation as all rewards earned by employees, including direct financial compensation like pay and bonuses, indirect financial compensation like benefits, and non-financial compensation like career development. It outlines the objectives of a compensation policy as creating a sense of recognition and fairness for employees. The document then describes the six step process for developing a compensation policy, including defining issues, selecting elements, analyzing positions, determining salaries, pay increases, and comparing to the market.
Performance management of international employeesUnifiers mlac
Performance management is a process that enables multinational enterprises (MNEs) to evaluate and continuously improve individual, subsidiary, and corporate performance against defined goals and targets. However, managing performance across borders presents unique constraints for MNEs, including issues with non-comparable data, volatility in different environments, and variable levels of maturity between subsidiaries. Effective performance management requires consideration of both quantitative goals as well as qualitative attributes, and balancing global standardization with local responsiveness.
The document discusses various aspects of wage and salary administration. It outlines objectives like recruiting employees and controlling payroll costs. It discusses principles like external equity, job evaluation, and maintaining competitiveness. Factors that determine wage structures include cost of living, productivity, and prevailing wages. Different types of wages like minimum, fair, and living wages are defined. Advantages and disadvantages of time wages and piece wages are provided. Guidelines for effective incentive plans emphasize linking pay to performance and clear communication. Key labor laws governing wages in India like the Minimum Wages Act, Payment of Wages Act, and Payment of Bonus Act are also summarized.
This document discusses compensation management. It defines compensation as the monetary and non-monetary value provided to employees in exchange for work. Compensation has objectives like recruiting qualified employees, increasing morale, and rewarding performance. Compensation has direct elements like base pay and bonuses, and indirect elements like insurance and retirement programs. Non-monetary compensation enhances satisfaction and relationships. Compensation is important for job descriptions, analysis, and structure. Factors affecting compensation include external factors like the economy and internal factors like compensation policies and an organization's ability to pay.
The document discusses compensation and incentives. It defines compensation as something given in return for work, often money. Incentives encourage extra effort and are a performance-linked reward. Effective incentives plans are developed with worker input, guarantee minimum wages, are easy to understand and provide equal opportunity to earn more. Common incentives include bonuses, merit pay, sales commissions, profit sharing, and stock options plans. Incentives can be individual, organization-wide, or group-based.
Fringe Benefits ppt by Mr. K.V.Samapth PavanSampath Pavan
This document discusses fringe benefits provided to employees. It defines fringe benefits as monetary and non-monetary benefits given to employees during and after employment that are connected to employment but not directly related to their job contributions. Examples include use of a company car for personal use, cheap loans, free health insurance, and cleaning services. The objectives of fringe benefits are to improve employee morale, motivate performance, provide security, and retain employees. Types of fringe benefits include paid time off, health benefits, retirement benefits, and welfare facilities.
The document discusses employee benefits and services. It provides definitions and examples of benefits like paid time off, health insurance, retirement plans. It explains that benefits are used to attract, retain, and motivate employees. The document also covers factors that influence benefit decisions, common types of benefits, and some potential issues with benefits programs.
Recruitment is the process of searching for prospective employees and stimulating them to apply for jobs in an organization. It involves recruitment planning, strategic development, searching, screening, and evaluation and control. Selection ensures an organization has the right number and kind of people in the right place at the right time. The selection process includes preliminary interviews, selection tests, employment interviews, background investigations, selection decisions, physical examinations, job offers, contracts of employment, and evaluating the selection program. Together, recruitment and selection are fundamental HR processes for building an organization's human resource capacity and delivering quality service.
Compensation management in international contextkoshyligo
This document discusses key components of international compensation packages. It outlines base salary, allowances like cost of living allowance and housing allowance, benefits, and approaches to compensation. The three main approaches are the budget system, local going rate system, and balance sheet/home net system. The balance sheet approach aims to maintain the same net income and living standard in the host and home countries through adjustments to the compensation package. International taxation is also addressed, outlining tax protection and tax equalization approaches.
This document discusses executive compensation, including its meaning, features, and common components. Executive compensation packages typically include a base salary, allowances, incentives, and perquisites. Companies determine compensation based on external competition, internal equity, and pay for performance. Packages may include salary, bonuses, equity compensation, and benefits like healthcare. Public sector executive pay is often lower than comparable private sector roles.
Pay commission and their role in wage revision in indiajpbbk
The document summarizes the role and history of pay commissions in India. It discusses the seven pay commissions that have been established so far to make recommendations on salaries and pay structures for government employees. Key details provided include the timeline and recommendations of each commission. The document also outlines important demands from the 7th Pay Commission, including a minimum pay of Rs. 18,000 per month and a 16% increase in basic salary.
The Rules Do Apply: Navigating HR ComplianceAggregage
https://www.humanresourcestoday.com/frs/26903483/the-rules-do-apply--navigating-hr-compliance
HR Compliance is like a giant game of whack-a-mole. Once you think your company is compliant with all policies and procedures documented and in place, there’s a new or amended law, regulation, or final rule that pops up landing you back at ‘start.’ There are shifts, interpretations, and balancing acts to understanding compliance changes. Keeping up is not easy and it’s very time consuming.
This is a particular pain point for small HR departments, or HR departments of 1, that lack compliance teams and in-house labor attorneys. So, what do you do?
The goal of this webinar is to make you smarter in knowing what you should be focused on and the questions you should be asking. It will also provide you with resources for making compliance more manageable.
Objectives:
• Understand the regulatory landscape, including labor laws at the local, state, and federal levels
• Best practices for developing, implementing, and maintaining effective compliance programs
• Resources and strategies for staying informed about changes to labor laws, regulations, and compliance requirements
1. PRESENTED BY:
SAKSHI GARG
MBA FINAL YEAR
ROLL NO. =18844
UNIVERSITY=1801036
INTER AND INTRA INDUSTRY
WAGE DIFFERENTIALS
2. Meaning of Wage Differentials
Wage differential refers to the difference in wage rates
between workers in the same industry or in the
different industry.
It may be the difference in wages between workers
with different skills working in the same industry or
workers with similar skills working in different
industries or regions.
It is also known as Compensating Differential .
3. Reasons for Wage Differentials
Risk and Hazardous conditions
Education and Skill
Location
4. Factors influencing Wage Differential
Nature of work to be performed
Degree of skill and training to do a job
Demand and Supply position of
workers in the labour market
Relative bargaining strengths of
employees and employers
Regulatory systems of employment
Extent of unionization and its strength
Nature of the role and responsibilities
required
5. Types of Wage Differentials
Types of Wage Differentials
Employee’s
Character
based
Industry
based
Regional
based
Skill
Gender
Experience
Work Behaviour
Occupational
State based
Country
based
Geographical
Based
Intra-
Industry
Inter-
Industry
6. Intra Industry Wage Differentials
In the same plant or industry, the employer may pay
different compensation packages, based on –
Differences in the quality of work,
Quality of labour,
Imperfection in the market, and
Differences in efficiency of
plant or machinery.
7. Determinants of Intra Industry Wage
Differentials
Size of the organization
Financial success
Competitors
Market position
Automation
Leadership style
Compensation philosophy and policies
Culture
Stage of lifecycle
8. Inter Industry Wage Differentials
These differentials arise when workers in the same
occupation and in the same area at the same time
are paid different compensation packages in
different industries.
It reflects skill differentials.
9. Determinants of Inter Industry Wage
Differentials
Nature of industry
Knowledge
Turbulence in business environment
Technology
Skills and competencies
Quality of personnel
Sector
Competitive strategy