Question: Develop a compensation plan for an organization that promotes both internal and external pay equity.
Identify the components of direct and indirect compensation.
Direct and Indirect Compensation
Organizations must make strategic and tactical decisions regarding a complete compensation and benefit package to ensure recruitment and retention of employees who perform well in their positions.
- Discuss the purpose of compensation and benefits from the organization's viewpoint.
- Provide examples of strategic and tactical recommendations that an HR specialist might make to senior leaders with regard to direct and indirect compensation.