Compensation Legislation: Employment Laws That Impact Compensation

Critique of Compensation Legislation Paper Name Institutional Affiliation Course Title Instructor Date Critique of Compensation Legislation Paper The government has a mandate to provide basic facilities to the public. Besides focusing on building infrastructure and amenities, it is critical for the government to provide employment to its citizens. Whether employees work for the state or in the private sector, there is a need to ensure fairness for parties, employers and employees. There are compensation laws guiding the process, and companies are required to adhere to them as they source for labor and expertise to fulfill their mission. According to Leed (2014), there are critical skills that leaders should possess for the success of every organization, including the ability to create and implement change where the leaders have the responsibility to inspire, innovate, develop others, and challenge the status quo with a long-term view. There are federal laws guiding employment and compensation in any organization. How employees earn and benefit from their employers is largely guided by the state to reduce issues of unfairness in the job market. Employment Laws That Impact Compensation The Fair Labor Standards Act (FLSA) dictates how big and small business giving wages and they set a minimum wage to guide everyone It has been at the rate of $7.25 per hour asides for the few states that have changed the figure for a higher minimum wage (United States Department of Labor, n.d). The laws as well gives terms and conditions for overtime pay which is usually 150% of the normal pay. The laws also adddress concerns over equal pay, ensuring both men and women receive equal amounts of money for same amount of work done by either gender. It guides on age limits and helps companies eliminate cases of child labor. It also guides on recordkeeping requirement to be observed by all employers (Unied States Department of Labor, n.d). The Equal Pay Act of 1963 provide that employers can pay using different scales for expertise and performance, but not on grounds of gender in cases where the work done by either of the gender is similar (U.S. Equality Emplyment pprtunty Cmmision, n.d). For a long time women have been discriminated and their fight for equality in the job market has resulted in such laws punishable if not adhered to. Lastly, the Consumer Credit Protection Act of 1968 gives special attention to wage garnishments. The Roles of Benefits in an Organization Benefits can cost the organization, but their impact are invaluable. Organizations also end up cutting on their recruitment, training, and succession costs since employees with good benefits are bound to be loyal to the organization reducing turnover and cases of absenteeism, as they are motivated to work (Robertson, 2007). Employees with benefits are satisfied with their working conditions and consequently there is increased productivity. Benefits are a motivational tool and the best way ...