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Compensation and Benefit Systems: building market-competitive compensation systems (Coursework Sample)

Read 7&8 Discuss and explain the considerations when building market-competitive compensation systems. The book-“Strategic Compensation- a Human Resource Management Approach” 5th edition By. Joseph Martocchio source..
Considerations when building a market- competitive compensation system Compensation refers to the rewards offered to an employee in exchange for their services offered to the organization, in the form of direct non-financial compensation, indirect financial compensation and non financial compensation. An effective reward system leads to better productivity and competitiveness. Factors to consider include; Equity Internal equity will exist as a result of fairness in the rewards accompanying the responsibilities performed as compared to other employees performing similar tasks and responsibilities in the organization. Exte...
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