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Assignment 1 Name: Jolene Grof For Dr. Larry Byrd HRM533 Date: April 25, 2014 Geico Advantages to a Total Rewards Approach There are several advantages to using a total rewards approach to compensating the workforce. The top five are described in the text. The following paragraphs discuss the facets of the Geico total rewards program that align with these advantages: The first facet is increased flexibility. Gieco offers full-time employees the option to choose their medical plan from a variety of plans. The company also has a dental plan that will pay out benefits to any dentist in the country. This provides employees with great flexibility in choosing the right dentist for their needs. The…show more content…
Today’s workforce is not all the same and the older generation was more concerned with pay and benefits rather than flexible work hours or work/life balance programs. The company offers 20 different investment plans for 401k. The company also offers profit sharing, life insurance and accident insurance. By having the option to choose which benefits an employee wants to enroll in it helps the employee take control of their own benefits instead of the company offering a set plan that may or may not fit the needs of what an employee is looking for from their employer. By giving employees a choice it helps keep costs down instead of automatically enrolling employees in programs the employee feels they do not need at the present time. Total Rewards Strategy Geico needs a strategy that addresses all of these advantages. The company should follow the following strategy toward this end. Geico will provide a flexible total rewards plan that helps employees choose the benefits and options of these benefits that will best suit their needs. The plan will not only help to gain new, talented employees but keep the existing talent in order to increase profitability by lowering the cost of turnover. Geico will ensure that employee’s needs are met so that employee will feel a sense of loyalty and connection to the company ensuring the a reasonable return on the company’s
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