Importance of the Benefit Package for Employees

Importance of the Benefit Package for Employees A benefits package is necessary for the well being of employees in an organization. Employee benefits can be defined as non-monetary rewards which employees gain apart from their salaries and wages. These benefits are meant to improve the quality of life of employees working in an organization.Advertising We will write a custom proposal sample on Importance of the Benefit Package for Employees specifically for you for only $16.05 $11/page Learn More Some of the benefits offered will be either mandatory or discretionary. Mandatory benefits are benefits which an employer has an obligation to provide to his employees as stipulated by the law. Discretionary benefits are those benefits an organization offers its employees out of its own volition. The benefits packages offered will fall in the two categories. They are meant to improve the welfare of all employees working in this organization. The first category of benefits to be offered will be in form of retireme nt benefits. These benefits are mandatory by law because the government values social security of all working people. All employees in the firm employed on a permanent contract are required to remit monthly payments in specific retirement schemes. Employees will have a specific amount of money deducted from their monthly earnings depending on the amount of salary each individual earns. The money will be held in a pension fund from which an employee will be able to obtain his savings upon retirement. Health insurance is important because workers need to have adequate medical cover whenever they fall sick. Workers who have families will have four of their nuclear family members covered by the health scheme. Employees’ salaries will be deducted and the funds obtained will be remitted to health service providers. This benefit is mandatory because an organization with healthy employees has the ability to produce high levels of output. Sick employees will be granted sick leave to a llow them to get treatment. The company will also offer maternity leave to pregnant female employees. Health benefits will improve the living conditions of employees that work in this firm. Housing benefits will also be offered to all employees in the organization. These benefits are discretionary. The criteria to be used will influenced by the level of status an employee holds in the organisation. Employees in a specific pay grade will be offered a uniform housing allowance every month on top of what they earn. All employees will get additional monetary compensation on top of the salaries they earn monthly.Advertising Looking for proposal on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More A transport allowance will be offered to interns at the organization to help them reduce their commuting expenditure. This is a discretionary allowance which will ease the burden of commuting costs on interns about to become f ull time employees. Employees will be encouraged to join optional life insurance plans with various insurance providers. These plans will be easily transferable and will offer compensation depending on the length of time an employee is willing to subscribe to them. The insurance plans offered will yield annual interest depending on the amount of premiums an employee contributes. An insurance risk cover for employees working in hazardous environments will be introduced. The company will also implement safety measures which guarantee the wellbeing of employees. Employees who get injured accidentally while performing their duties will be offered monetary compensation for injuries sustained. This benefit will only apply to employees who get injured inside the company. They will have to provide evidence that shows the injuries they sustained were accidental. The compensation offered will be commensurate to the type and severity of the injury suffered. Employees who are found to have used intoxicating substances in the form of alcohol and drugs at the work station will not qualify for compensation. Other benefits to be offered will depend on the individual situation of each employee. These benefits will be offered depending on the performance appraisals of each employee in the company. There will also be benefits that will be offered to employees going through difficult times to help them recover and continue with their duties at work. These benefits make the organization to be responsive to the needs of its employees. The recruitment and staffing policy in the organization will focus on hiring competent individuals who are suitable for the organisation’s staffing needs. The organization will be divided into four departments all of which will coordinate closely. These departments are: finance, sales and marketing, production and human resource. The production department is critical for the company’s survival and it will have the largest number of staff . The sales and marketing department will also need several support staff that will represent the company in its target markets. The finance and human resource departments do not require large personnel teams.Advertising We will write a custom proposal sample on Importance of the Benefit Package for Employees specifically for you for only $16.05 $11/page Learn More The company is to be headed by a Managing Director who will oversee the operations of all departments headed by their respective managers. This position fits a person with a long term growth strategy for the firm and good leadership skills. The finance department will be under the finance manager who will be responsible for computing and analyzing financial issues in the firm. A person with good book keeping skills combined with good financial analytical skills will be suitable for this position. Seven accountants and an IT officer working under him will be responsible for maintaining and updatin g the firm’s financial records. The production department will be headed by a production manager. This will suit a person with effective technical knowledge on suitable equipment and production processes to be used by the organization. The production manager will be responsible for planning work shifts for staff under his department. He will liaise with the marketing department to determine the level of output which needs to be produced to satisfy existing demand in the market. He will work with three line managers who will supervise support staff in the firm. The support staff will be operating production machines. Employees in this department will be offered a risk cover because of the hazards they are exposed to in their working environment. The human resource department will be headed by a human resource manager. A person with a thorough understanding of labour issues and efficient human resource practices will be suitable for this position. The human resource manager wil l be responsible for recruitment, staffing and preparing organizational procedures to be followed by the firm’s employees. He or she will work closely with other support staff including front office staff, drivers, secretaries and security officers. These employees will assist the organization to run its operations smoothly. A marketing manager will watch over sales and marketing functions in the organization. A person that can effectively analyse existing market opportunities and their potential will be suitable for this position. He will be responsible for initiating marketing strategies and plans that help to increase the company’s market share.Advertising Looking for proposal on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More He will be assisted by sales executives who will be liaising with distributors to meet the set sales targets. Sales executives will also be required to conduct market research to gather important information and data which reveal more about the market. The recruitment criteria for employees to fill these positions will be influenced by their skills, suitability and experience. All recruited candidates will have to undergo rigorous interviewing processes to determine their suitability. The finance, production and marketing departments need employees who have college education. The interviewed employees will have to do aptitude tests to evaluate their skills, personalities and knowledge. Employees selected to work in production will undergo induction programs to make them conversant with technical procedures involved. The organization has a clear communication structure which all employees are required to follow when they are performing their duties. Cafeteria plans will be included i n the benefits policy being formulated. Employees will be able to purchase meals during lunch and tea breaks. The cafeteria program will be subsidized and employees will pay a small fee for the service which will be deducted from their gross salaries. There will be schemes that reward employees who surpass established performance parameters. These individual incentives will be influenced by impressive performance outcomes. These employees will be given bonuses, holiday benefits and gifts to motivate them. A study leave paid for by the company will be offered to talented employees who desire to acquire more skills and knowledge in their areas of expertise. In conclusion, these benefits will help to improve the welfare of all employees who work in the organization. All employees will be made aware of these policies to make them conversant with organizational procedures.