Topic > The Importance of Employee Compensation - 1727

According to Soergel (1), paying employees during leave is a difficult issue as employers find it unfair to provide financial benefits to workers even when they are not providing their services. Employee leave is a crucial issue for organizations especially now that the law obliges them to provide sick leave not only to mothers but also to fathers. With more and more employees opting for jobs that offer paid sick and maternity/paternity leave, the question that requires attention is whether proposed labor laws and policy reforms can adequately meet employee expectations. Compared to salary increases, employees have a strong preference for paid leave. Therefore, this is another dynamic in the labor management industry that qualifies the observation that benefits outside of salary are critical factors determining worker motivation and retention. However, the bitter truth that employers have to bear is that none of the workers express a willingness to see a pay cut even with the increase in other benefits outside of the salary (Soergel 1). Cohen (par. 1-5) found that companies, especially those operating as private entities, have made great strides when it comes to the compensation of their top managers. Recent trends in the field of human resource management show the spread of the practice of rewarding workers from top managers to rewarding the work and performance of employees at all levels of employment. The reason for such broad reward programs is the inculcation of a performance culture that drives improved organizational outcomes (Cohen para.