Compensations and Benefits Essay examples

Submitted By saimmontakim
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Benefits and compensation of employees Saim Montakim Professor: Barbarann Ott Stony Brook University

Benefits and compensation of employees

Benefits and compensations are the rewards that the employees of an organization are entitled to due to their services they offer to the organization. Benefits and compensations are aimed at motivating employees to work hard and bring development and improvement in an organization. According to Reilly (2010), different organizations have different formulas used to award their employees whereas there are those organizations that do not award their employees at all. Contemporary issues that have emerged as far as benefits and compensation are concerned are the fairness at which employees are rewarded. The fairness, in this case, includes the reasons unto why employee is rewarded and not the other. In some organizations, employees are rewarded according to the degree of the achievement which is dictated by the policies that are put in place by the administration. In other organizations, on the other hand, the decision of benefit and compensation relies on the hands of few individuals who are at the top rank of the organization. This paper is aimed at looking some of the compensation and benefits of health workers who work in hospitals and other health care centers.
Salary is one of the major employee compensation in almost all of the organizations. Different organizations reward their employees through salaries in different ways and after a different period. There are those organizations that pay their salaries after a period of a month whereas there is such which pay at the end of every fifteen days. In hospitals, acceding to Liang (2013) there are two factors that influence the amount one will earn and after what period. These two factors are: there are hospitals which base on managed care hospital reimbursement and Benefits and compensation of employees

those which align themselves to managed care provider reimbursement. Those that align themselves to the former can get salaries at the end of a month regardless of the services they offered after that period. The latter, on the other hand, must consider what services were offered and will only reward on ‘pay-for-service’ basis. Most of the hospitals align themselves to the latter as this is a better way to make sure that all the employees are productive and effective in the organization. Salaries as a form of compensation have been one of the most successful ways to get the best out of doctors and nurses. Health care providers always feel motivated whenever they are rewarded fairly. Hospitals which pay good salaries always get the best from their employees. Most employees always work at their best when they have enough to spend in their pockets. Hospitals which pay poorly on the other hand will have their patients poorly attended to since their employees will have divided attention towards their duties. It is thus advisable that all hospitals should award their employees and pay them well so that patients could be served well.
Apart from salaries, Thomanson et al (2001) asserts that employees in the healthcare organizations benefit from bonuses. Bonus cannot be the same for all the months as it depends with the season and the quantity and quality of work that was done by the employees. Bonuses are always used to motivate workers to endure hardships such as working over the weekend or during