Compensation And Benefits Of Compensation

1275 Words Apr 13th, 2016 6 Pages
Compensation & Benefit

The compensation and benefits department is usually responsible for

the transparency in the compensation practices in the organization and keeping

the internal fairness of the total cash. The compensation and benefits has to

supervise the development of new compensation components and keeping the

general rules for the design of the compensation component.

The compensation and benefits department is responsible for the personnel

expenses budget of the organization. The compensation and benefits department

sets the standards for the individual salary increase, the mass salary review and

the rules for the bonus payout as the organization keeps the financial stability

and the planned personnel expenses budget is kept.

The compensation and benefits department has special processes to monitor the

external job market as it can set the right compensation policy, which is

compliant with the approved compensation strategy. The compensation and

benefits department is responsible for the extensive monitoring of the market and

designing the new compensation components inspired by the HR Best Practices

in the compensation area.

The compensation and benefits department is always closely attached to the

development of the new compensation components, which support the

performance and effectivity of the organization. It co-operates with the different

business units and it aligns their requests into the general rules for the…
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