Relective Practice Essay
The most important thing that I learnt in this course is the importance of employee benefits especially in acquiring competent and experienced employees. Employee benefits are seen by employees as an entitlement for their company membership. In the modern world, benefits are essential in the workplace for companies seeking to employ highly qualified employees. Some industries are highly competitive and therefore must compete for the most qualified potential employees. This means that businesses must be more responsive and creative in designing benefits plans. The more progressive an organization is, the more likely the chance they will offer a flexible structure to their employee benefits. Employers with limited and conventional plans may find it difficult to hire and retain the best workers.
I think that the most difficult element of compensation management to implement is discretionary employee benefits, especially that of part-time employees. As companies move to secure their financial stability through management of operational costs, many organizations are finding it difficult to decide the employee benefits to implement and the ones not to implement in order to save on costs. Due to the fact that discretionary employee benefits are not necessitated by law, many companies find it appropriate to save on this. However, this is not turning out to be effective given that some able companies are offering the benefits to their employees and therefore, placing other companies at a disadvantage.
The best way to apply the concepts learned in this course is to structure them in a way that they attract experienced employees. Salaries are not always enough in this day and age to recruit the best talent for your company. It is also important to provide an attractive benefits package. As well as a competitive salary, good benefits help to build a strong working relationship between employees and employers (Bhatia, 2010). Companies find that a strong benefits plan promotes improved work habits and can help to reduce employee turnover. Overall, it can decrease costs and gives employees an enhanced sense of security and belonging. Offering solid employee benefits is essential for any company that wants to be competitive as they can retain dedicated and hard-working staff members. When a business is able to reduce employee turnover they are not investing as much in hiring and training.
The business world is changing at bullet-train speed – technology, the global economy, increasing regulatory scrutiny, the looming talent crisis, and the recognition that mental illness is dramatically affecting the workplace. All of these are having a huge impact on the HR profession. The most important corporate resource over the next 20 years will be talent: smart, sophisticated business-people, who are technologically literate, globally astute, and operationally agile. This will mean that organizations will have to offer more employee benefits in order to attract the much needed talent. The cost of discretionary employee benefits such as paid time off, medical coverage, employee counseling, and other insurance policies is expected to go higher.
Bhatia, K. (2010). Compensation management. Mumbai: Himalaya Pub. House.