Remuneration could be simply described as how much an employee will be compensated in return of their work. Yet, in HR management, this word is not a simple word because it will involve many parties and could play a big part in the achievement of company objective. Successfully running the function, HRM will help the company to develop fast.
Remuneration is usually comes in the package of salary and benefits packages. The benefits are varying from insurance to incentives to issuing company shares for the employee. The goal of devising a good remuneration is to maintain motivation and loyalty of the employees to increase productivity. On the other hand, company financial should be kept in a good balance. This is why remuneration is complex. Employees must want the remuneration to be huge while company should make it low to maintain a good balance in their finance. Giving too little may lead to reduce of productivity while giving too much will make the company suffered.
Continue reading “Remuneration – the Complex and Interesting Area in HR Management”