Chapter Six: Reward and recognition
There are many different ways in which employers pay for the tasks their employees perform. Managing this is now viewed as a specialist area, often known by the US terminology of “Compensation & Benefits” (comp & ben) since it includes the provision of remuneration beyond an individual’s basic pay.
Increasingly companies now look at their “total reward” package, which will include basic pay, variable pay and other benefits. Basic pay is contractual whereas variable pay and other benefits are often not. Some organisations provide their employees with a “total reward statement” each year to show the amount it has contributed as a result of their employment. This approach gives employees a sense of the ...