Employee Compensation and Benefits Assignment Example | Topics and Well Written Essays - 500 words

Employee Compensation and Benefits - Assignment Example In this case, subordinates like a secretary earns within the lower range. The wages will be paid every Sunday of every week and the amount of wages per worker will be reviewed annually based on the prevailing inflation rates of the country, performance measures and amount of profits earned in the company (Trani, 2003). Bonus payments will be paid to employees who perform exceptionally. The secretary will therefore earn a bonus if customers provide a positive feedback about her. Performance management system of the company will appraise the performance of the secretary annually and provide bonuses based on the performance rankings and ratings. The bonus will be provided in cash basis determined as a percentage of salary. The bonus is paid based on appraisal of the employee’s performance in terms of the speed of performing tasks, level of organisation during employee training, and how the secretary treats applicants when they come for interview. The employee benefits of the secretary will include healthcare benefits, disability insurance and retirement benefits, and will be paid to the secretary just like any other employee of the organization. 2.5 percent of secretary’s weekly wages will be deducted to cover for monthly premium of the employee’s healthcare and the remaining amount of monthly premium is paid by the business to cover for the secretary’s healthcare benefits (Goldman et al, 2005). If the secretary is not able to work on a short term basis due to disability, the business provides 50% of income (pre-disability wages) as part of her benefits package. This is based on the requirement of the Bureau of Labor Statistics’ fixed percentage earnings which requires 50%-70% of employee’s predetermined salary to be paid as disability insurance (Bureau of Labor Statistics, 2013). This will be paid every