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Chapter 4-In class discussion With the facts you have below, describe the base p

ID: 418109 • Letter: C

Question

Chapter 4-In class discussion With the facts you have below, describe the base pay, performance pay and indirect pay you would include in the compensation system for this company. For indirect pay list three benefits you would offer. Explain your choices (consider the managerial strategy and behavioural framework) A. A company offers lawn maintenance and yard clean up services in the summer and snow removal services in the winter. It employs about 600 people at peak season (in the summer) and has branches in major cities across the Prairie provinces. B. A retail clothing chain offers personalized services and caters to upscale customers. I is located in major cities across Canada and employs approximately 600 sales staff. C. A computer software firm develops customized software for specialized applications for individual clients. Located near Ottawa, it employs about 1000 people.

Explanation / Answer

A) Base pay would be fixed and the employees are hired on contract basis.

Performance pay would be given based on the number of lawns and yards cleaned in a day.

Indirect Pay : Uniform, Incentives based on certain monthly target, and transportation allowances would be given.

B) Base pay would be fixed for all the sales staff

Performance pay would be given based on the number of satisfied customers served in a day.

Indirect Pay : Incentives based on certain monthly target set, Free Lunch, Uniform

C) Base Pay would be fixed

Performance pay based on the number of customised softwares developed and level of satisfaction of the customers achieved.

Indirect Pay : Employee Stock options, Mobile expenses, Bonus sharing.

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