Managing Human Resources-HRMG 5000
Abstract The purpose of this case analysis is to provide analysis of various types of pay and benefit packages to enable companies to recruit and maintain employees and executives. In addition, this case analysis will aim at analyzing various pay systems and their effects on productivity and other components of the business.
In order for Paul to compare with the other area employers in terms of wages and benefits, he should background research of each company to see what they are offering to their employees. Once he have complied this information he then should schedule a town hall meeting with his employees after he cleared it with the board members. The town hall meeting would be for him to be able to gather the voice of the employee’s opinion of what are they looking for in a job at Plastec as far as wages and benefits. Once he receive this feedback then Paul should research what the economy is looking like in terms of healthcare coverage and costs, pensions, incentives, vacation and personal days, tuition funding program, and better wages. Most employees would love if there is an annual raise every year even if it is 1% raise. An incentive for the employees could be yearly short term incentive could be a great way to show appreciation to the employees or have an employee appreciation event for their employees. Besides money employees are more likely to stay where they are appreciated than to go somewhere where they will not be appreciated. Family is also a big factor in Plastec employees’ life so why not offer then about 160 combined hours of vacation and personal time paid to spend with their loved ones each year. Also offer them other options as far as flex options in case of emergencies, which will happen, they could take a few hours off and make them hours up on another day or that same day. Paul should also make sure he gets his employees a very impressive healthcare coverage package that they could select from with some reasonable pricing. The company should also match what the employee puts in pension up to 6% that would be a reasonable amount. In terms of the tuition funding program in order for the company to flourish they should set it up to where the employees can attend school and they would pay 8,000 per year and reimburse book payment to employees. This would help the employee to grow within the business and also save the company time and money from having to hire someone from the outside and then having to training on the company’s business and policy’s. Variable pay would be great motivation to get the team members at Plastec to stay with the company until retirement. It is always a best practice for a company to strategically offer benefits that compete with those of their competitors. Employees want to feel as though their hard work is being rewarded and that they are being compensated with pay incentives when they contribute work that is beyond their basic job requirements. Variable pay is always one of the best incentives to promote team success, employee excellence, and goal achievement. In order to create the desire and drive for employees to exceed their personal and team goals, benefits such as variable pay are necessary. Plastec could motivate their machine operators to stay with the company by offering bonuses for meeting goals and quotas monthly, quarterly, or annually. Outlining an incentive compensation plan will give employees a specific goal to reach in order to earn a specific amount in bonuses per month, per quarter, or per year. This will increase productivity and strategically increase the success of the team. Employees have proven to be money motivated due to personal and family needs and will work much harder when given a good reason to do so. Employees have financial needs such as purchases that they may want to make as well as