Compensation and benefits directly affect how well an employee performs in an organization and how motivated they are to come to work each day. They are critical in assessing whether or not an employee is satisfied with their job. It is, therefore, the responsibility of the Human Resource department to ensure that the remuneration and benefits provided to employees are sufficient to maintain a high level of morale. As a result, employees will feel appreciated, and the management will recognize their efforts. After all, a firm’s most valuable asset is its human capital. Examining the outcomes of numerous studies on the essential prerequisites for determining compensation benefits for a company’s employees will focus in this study. The research will focus on the multiple benefits that a person is entitled to if they work in any work environment.
The size of a company dictates the compensation and benefits it gives to its employees. People who work for an organization with more than 50 people must get more benefits. In the same way, employees who work a certain number of hours will have the same effect. They are the people who often treat part-time workers differently from full-time workers. Legally, businesses with fewer than 50 employees do not have to offer the same benefits as bigger ones. Everyone who works for a company has to get the same benefits legally (Kristal et al 278). It does not matter how big the company is or how many hours employees take to work. Protections like Social Security and Medicare, Federal Insurance Contributions, Unemployment Compensation, and Family Medical Leave are some examples of these (FMLA). Companies with 50 and above employees have to provide health insurance coverage that is at least as good as the minimum amount that the law requires.
The law protects workers and their families in the United States in the event of financial hardship or job loss due to illness, tragedy, or incapacitation. Payroll deductions for Social Security, healthcare, and the Federal Insurance Contributions Act are components of the tax that funds these programs and are all-inclusive in the tariff. As a result, they deduct a portion of the employee’s compensation, leaving the business to fund the remaining. According to the Bureau of Labour Statistics, employees’ health, earnings, and overall well-being are legally guaranteed. As a result, employers are responsible for paying for and providing this insurance to their employees. If an employee’s annual gross compensation exceeds $200,000, they are ineligible for Medicare wage base benefits.
Workers’ compensation and family medical leave are mandatory in Washington State for practically everyone employed. The number of hours worked and company size do not matter. They must always be there to help families care for themselves or others. Qualifying occurrences include military leave, sick family members, childbirth or adoption, and severe illness or injury (Thelen and Kathleen 16). When an employee takes a break and has earned enough hours to qualify, they make a percentage of their gross income while on leave. The compensation protects them against job loss or being replaced. Employees, therefore, cannot be fired or the salary withheld while on vacation. Non-union employees with non-negotiated collective bargaining agreements are not eligible (Flavin and Patrick 1080). In Washington, the employee works for 820 hours to qualify for paid leave. These hours can be at the place of employment or spread out over the year. Workers’ compensation protects an employee’s job if they get hurt at work and require time to heal. They can still get paid in part and have job security.
One of the most critical and divisive aspects of the legal system is the provision of health insurance benefits. Employers with employees over 50 must provide health insurance under the Affordable Care Act (ACA). The insured who prefer too expensive insurance and those who do not have it at all may find themselves paying for fines. As of January 1, 2019, individuals will no longer be required to carry a particular amount of health insurance (Berchick et al 502). Significant corporations are therefore required to provide the necessary coverage for a certain number of full-time equivalent employees. As a result, several businesses offer medical coverage to save money on taxes. In addition to annual physicals for men and women over a certain age, preventive health care includes wellness tests (Kristal et al 295). ACA-compliant providers should not face any penalties. Another non-compensatory benefit is the posting of signs outside of offices. These posters have policy numbers, whistleblower hotlines, and locations for reporting harassment or unfair work practices. For employees to seek help or report unethical conduct, banners are essential in every workplace.
Various elements, including the size and number of full-time employees and the company’s location, are considered when providing legally mandated benefits and coverage to employees. They may even be influenced by where the company is located. Individuals depend on these benefits for their well-being and the security of their jobs. Employees cannot perform at their best if they are anxious, sick, or unable to focus at work. Consequently, they must pay them well to keep them motivated at work.
Works cited
Berchick, Edward R., Emily Hood, and Jessica C. Barnett. Health insurance coverage in the United States: 2018. Washington, DC: US Department of Commerce, 2019.
Flavin, Patrick. “Labor Union Strength and the Equality of Political Representation.”British Journal of Political Science, vol. 48, no. 4, 2016, pp. 1075–1091., Web.
Kristal, Tali, et al. “Workplace Compensation Practices and the Rise in Benefit Inequality.”American Sociological Review, vol. 85, no. 2, 2020, pp. 271–297., Web.
Thelen, Kathleen. “The American Precariat: U.S. Capitalism in Comparative Perspective.”Perspectives on Politics, vol. 17, no. 1, 2019, pp. 5–27., Web.