Compensation Strategies

Table of Contents

Executive Summary 3

Introduction 5

Research Findings 6

Health Benefits 6

Retirement Planning 7

Employee Rewards and Incentives 8

Recommendations 10

Conclusion 11

References 12

Executive Summary

We need to re-evaluate our current employee package. Our compensation strategy needs an entire tune-up. We do not offer competitive benefits that will entice the type of employees we want working for our company on a long-term basis. A new, improved, and luring employee benefit package will help set us apart from our competition. Our current benefits policy includes: Paid vacation for salaried employees only after 1 full year of continuous service, paid sick days for salaried employees only after 1 full year of continuous service, medical and dental only to all employees after 6 months of continuous service, holiday dinner for corporate employees and their spouse/domestic partner. We can improve these areas and add some other options to our current employee package, Our current health benefits are through an HMO, which is the best option at this time. Perhaps in the future when we have become a 500+ employee company we can look at the other option, a PPO coverage with an additional option to include an HSA account. Our current HMO plan provides coverage with a small co-payment and a 20/80 % coverage with a $1000 annual deductible. The only way I can see right now to improve our health benefits option is to add vision coverage and also make it more affordable to add the employee's spouse and/or family. In today’s economy, more and more of the candidates looking for stable and promising employment are looking into their future. These types of employees want a retirement plan; they want to know that they are working at a company that cares about its