5: Employee Compensation and Benefits Due Week 10 and worth 250 points This assignment consists of two (2) sections: a narrative and a PowerPoint presentation. You must submit two (2) sections for the completion of this assignment. Label each file name according to the section of the assignment it is written for. Imagine that you have just been hired by a new company as the director of the HR department. You have been tasked to hire a new secretary for the department and to develop an employee compensation and benefits package that will be used for that position upon hire. Develop a PowerPoint presentation to present this information to your Vice President. Go to the Bureau of Labor Statistics' (BLS) Website, located at www.bls.gov, for information regarding organizations and pay in your geographical area. Section 1: Narrative Write a two to three (2-3) page paper in which you: Choose the type of organization for which you are designing the package. Develop an employee compensation and benefits package for this new position. Support your ideas for the compensation/benefits package. Use at least three (3) quality academic resources in this assignment. Note: Wikipedia and other Websites do not qualify as academic resources. Section 1 of your assignment must follow these formatting requirements: Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions. Include a cover page containing the title of the assignment, the student's name, the professor's name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length. Section 2: Presentation Create a twenty (20) slide PowerPoint presentation in which you: 4. Provide an overview of the employee compensation and benefits package that you developed in the narrative portion of this assignment. 5. Determine if the employee will be exempt or nonexempt and discuss how overtime will be handled. 6. Suggest other benefits that might be considered within the next few months to enhance employee performance and provide job motivation. 7. Provide information on how government regulations will influence the compensation. 8. Examine data from two (2) organizations listed in the BLS Website with packages similar to yours, focusing on salary, compensation, and benefits in order to convince upper management that your package should be accepted and implemented. 9. Describe how the competitive compensation and benefits package will align with the HRM strategy. The specific course learning outcomes associated with this assignment are: Design training and development systems to improve employee performance. Develop competitive compensation and benefits packages that align with HRM strategy. Use technology and information resources to research issues in strategic human resource development. Write clearly and concisely about strategic human resource development using proper writing mechanics. Grading for this assignment will be based on answer quality, logic / organization of the paper, and language and writing skills, using the following rubric. Points: 250 Assignment 5: Employee Compensation and Benefits Unacceptable Fair Proficient Exemplary Below 70% F 70-79% C 80-89% B 90-100% A Criteria Section 1: Narrative 1. Choose the type of organization for which you are designing the package. Did not submit or incompletely chose the type of organization for which you are designing the package. Partially chose the type of organization for which you are designing the package. Satisfactorily chose the type of organization for which you are designing the package. Thoroughly chose the type of organization for which you are designing the package. 2. Develop an employee compensation and benefits package for this new position. Support your ideas for the compensation/benefi ts package. Weight: 15% Did not submit or incompletely developed an employee compensation and benefits package for this new position. Did not submit or incompletely supported your ideas for the compensation/benefi ts package. Partially developed an employee compensation and benefits package for this new position. Partially supported your ideas for the compensation/benefi ts package. Satisfactorily developed an employee compensation and benefits package for this new position. Satisfactorily supported your ideas for the compensation/benefi ts package. Thoroughly developed an employee compensation and benefits package for this new position. Thoroughly supported your ideas for the compensation/benefi ts package. 3. 3 references No references provided Does not meet the required number of references; some or all references poor quality choices. Meets number of required references; all references high quality choices. Exceeds number of required references; all references high quality choices. Partially provided an overview of the employee compensation and benefits package that you developed in the narrative portion of this assignment. Satisfactorily provided an overview of the employee compensation and benefits package that you developed in the narrative portion of this Thoroughly provided an overview of the employee compensation and benefits package that you developed in the narrative portion of this assignment. Weight: 5% Weight: 5% Section 2: Presentation 4. Provide an overview of the employee compensation and benefits package that you developed in the narrative portion of this assignment. Did not submit or incompletely provided an overview of the employee compensation and benefits package that you developed in the narrative Weight: 5% portion of this assignment. 5. Determine if the employee will be exempt or nonexempt and discuss how overtime will be handled. Did not submit or incompletely determined if the employee will be exempt or nonexempt and did not submit or incompletely discussed how overtime will be handled. Partially determined if the employee will be exempt or nonexempt and partially discussed how overtime will be handled. Satisfactorily determined if the employee will be exempt or nonexempt and satisfactorily discussed how overtime will be handled. Thoroughly determined if the employee will be exempt or nonexempt and thoroughly discussed how overtime will be handled. Did not submit or incompletely suggested other benefits that might be considered within the next few months to enhance employee performance and provide job motivation. Partially suggested other benefits that might be considered within the next few months to enhance employee performance and provide job motivation. Satisfactorily suggested other benefits that might be considered within the next few months to enhance employee performance and provide job motivation. Thoroughly suggested other benefits that might be considered within the next few months to enhance employee performance and provide job motivation. Did not submit or incompletely provided information on how government regulations will influence the compensation. Partially provided information on how government regulations will influence the compensation. Satisfactorily provided information on how government regulations will influence the compensation. Thoroughly provided information on how government regulations will influence the compensation. Did not submit or incompletely examined data from two (2) organizations listed in the BLS Website with packages similar to yours, focusing on salary, compensation, and benefits in order to convince upper management that your package should be accepted and implemented. Partially examined data from two (2) organizations listed in the BLS Website with packages similar to yours, focusing on salary, compensation, and benefits in order to convince upper management that your package should be accepted and implemented. Satisfactorily examined data from two (2) organizations listed in the BLS Website with packages similar to yours, focusing on salary, compensation, and benefits in order to convince upper management that your package should be accepted and implemented. Thoroughly examined data from two (2) organizations listed in the BLS Website with packages similar to yours, focusing on salary, compensation, and benefits in order to convince upper management that your package should be accepted and implemented. Weight: 10% 6. Suggest other benefits that might be considered within the next few months to enhance employee performance and provide job motivation. Weight: 10% 7. Provide information on how government regulations will influence the compensation. assignment. Weight: 15% 8. Examine data from two (2) organizations listed in the BLS Website with packages similar to yours, focusing on salary, compensation, and benefits in order to convince upper management that your package should be accepted and implemented. Weight: 15% 9. Describe how the competitive compensation and benefits package will align with the HRM strategy. Weight: 10% 10. Clarity, writing mechanics, and formatting requirements Weight: 10% Did not submit or incompletely described how the competitive compensation and benefits package will align with the HRM strategy. Partially described how the competitive compensation and benefits package will align with the HRM strategy. Satisfactorily described how the competitive compensation and benefits package will align with the HRM strategy. Thoroughly described how the competitive compensation and benefits package will align with the HRM strategy. More than 6 errors present 5-6 errors present 3-4 errors present 0-2 errors present Grading for this assignment will be based on answer quality, logic / organization of the paper, and language and writing skills, using the following rubric. Points: 250 Assignment 5: Employee Compensation and Benefits Unacceptable Fair Proficient Exemplary Below 70% F 70-79% C 80-89% B 90-100% A Criteria Section 1: Narrative 1. Choose the type of organization for which you are designing the package. Did not submit or incompletely chose the type of organization for which you are designing the package. Partially chose the type of organization for which you are designing the package. Satisfactorily chose the type of organization for which you are designing the package. Thoroughly chose the type of organization for which you are designing the package. 2. Develop an employee compensation and benefits package for this new position. Support your ideas for the compensation/benefi ts package. Weight: 15% Did not submit or incompletely developed an employee compensation and benefits package for this new position. Did not submit or incompletely supported your ideas for the compensation/benefi ts package. Partially developed an employee compensation and benefits package for this new position. Partially supported your ideas for the compensation/benefi ts package. Satisfactorily developed an employee compensation and benefits package for this new position. Satisfactorily supported your ideas for the compensation/benefi ts package. Thoroughly developed an employee compensation and benefits package for this new position. Thoroughly supported your ideas for the compensation/benefi ts package. 3. 3 references No references provided Does not meet the required number of references; some or all references poor quality choices. Meets number of required references; all references high quality choices. Exceeds number of required references; all references high quality choices. Partially provided an overview of the employee compensation and benefits package that you developed in the narrative portion of this assignment. Satisfactorily provided an overview of the employee compensation and benefits package that you developed in the narrative portion of this Thoroughly provided an overview of the employee compensation and benefits package that you developed in the narrative portion of this assignment. Weight: 5% Weight: 5% Section 2: Presentation 4. Provide an overview of the employee compensation and benefits package that you developed in the narrative portion of this assignment. Did not submit or incompletely provided an overview of the employee compensation and benefits package that you developed in the narrative Weight: 5% portion of this assignment. 5. Determine if the employee will be exempt or nonexempt and discuss how overtime will be handled. Did not submit or incompletely determined if the employee will be exempt or nonexempt and did not submit or incompletely discussed how overtime will be handled. Partially determined if the employee will be exempt or nonexempt and partially discussed how overtime will be handled. Satisfactorily determined if the employee will be exempt or nonexempt and satisfactorily discussed how overtime will be handled. Thoroughly determined if the employee will be exempt or nonexempt and thoroughly discussed how overtime will be handled. Did not submit or incompletely suggested other benefits that might be considered within the next few months to enhance employee performance and provide job motivation. Partially suggested other benefits that might be considered within the next few months to enhance employee performance and provide job motivation. Satisfactorily suggested other benefits that might be considered within the next few months to enhance employee performance and provide job motivation. Thoroughly suggested other benefits that might be considered within the next few months to enhance employee performance and provide job motivation. Did not submit or incompletely provided information on how government regulations will influence the compensation. Partially provided information on how government regulations will influence the compensation. Satisfactorily provided information on how government regulations will influence the compensation. Thoroughly provided information on how government regulations will influence the compensation. Did not submit or incompletely examined data from two (2) organizations listed in the BLS Website with packages similar to yours, focusing on salary, compensation, and benefits in order to convince upper management that your package should be accepted and implemented. Partially examined data from two (2) organizations listed in the BLS Website with packages similar to yours, focusing on salary, compensation, and benefits in order to convince upper management that your package should be accepted and implemented. Satisfactorily examined data from two (2) organizations listed in the BLS Website with packages similar to yours, focusing on salary, compensation, and benefits in order to convince upper management that your package should be accepted and implemented. Thoroughly examined data from two (2) organizations listed in the BLS Website with packages similar to yours, focusing on salary, compensation, and benefits in order to convince upper management that your package should be accepted and implemented. Weight: 10% 6. Suggest other benefits that might be considered within the next few months to enhance employee performance and provide job motivation. Weight: 10% 7. Provide information on how government regulations will influence the compensation. assignment. Weight: 15% 8. Examine data from two (2) organizations listed in the BLS Website with packages similar to yours, focusing on salary, compensation, and benefits in order to convince upper management that your package should be accepted and implemented. Weight: 15% 9. Describe how the competitive compensation and benefits package will align with the HRM strategy. Weight: 10% 10. Clarity, writing mechanics, and formatting requirements Weight: 10% Did not submit or incompletely described how the competitive compensation and benefits package will align with the HRM strategy. Partially described how the competitive compensation and benefits package will align with the HRM strategy. Satisfactorily described how the competitive compensation and benefits package will align with the HRM strategy. Thoroughly described how the competitive compensation and benefits package will align with the HRM strategy. More than 6 errors present 5-6 errors present 3-4 errors present 0-2 errors present Running head: HUMAN RESOURCE 1 Compensation and benefit packages for the HR secretary position Professor Jack Huddleston Strayer University Gail A Reedy HRM530 Submission date HUMAN RESOURCE 2 Introduction Basically, employee compensation is categorized in wages and benefits. The base wage is that money paid to an employee an annual, monthly or hourly basis. The base salary will remain stable for relatively longer period of time and it only changes when adjustments are made through raises (Cambern, 2006). Employee benefits on the other hand include other rewards which are provided by an employer to an employee besides the base salary. Employee benefits can be either voluntary or compulsory depending on the jurisdiction area. Compulsory benefits are those which are required by the law while voluntary are those an employer is not bound legally to provide but through his or her own will makes the available. Organization type This is a profit oriented consultation organization. The organization has been in existence for the past 15 years. Compensation and benefits package for secretary position The management of ABC consultation organization is pleased to present to you total compensation statement underlining your total reimbursement package. The benefit program is intended to provide you with protection against financial devastation due to loss of work, illness, retirement, death or disability; since your well-being is of significance to us. Some of the benefits are mandated by the State or Federal legislation while other are made available by the company. Enclosed is the compensation and company-sponsored benefits to you. HUMAN RESOURCE 3 Cash compensation The table below is the lay out of the compensation of the HR secretary position. Table 1 Pay Salary Bonus Annual commission Total Amount $ 35, 000.00 $ 1, 500.00 $ 3, 680.00 $ 40, 180.00 Benefits Below is the table that will discuss the benefits package that is associated with the HR secretary position. Table 2 Benefits Medical insurance Dental insurance Vision insurance 401k retirement plan Short term disability Long term disability Social security Medicare Employee help plan Total Coverage Employee & family Employee & family Employee & family Company contribution $ 8, 350.52 $ 186.60 $ 50.84 $ 600.00 $ 0.00 $ 0.00 $ 2000.34 $ 1560.00 $ 0.00 $ 12748.30 Your contribution $ 1, 474.75 $ 1050.46 $ 153.13 $ 1000.00 $ 211.00 $ 162.77 $ 1890.00 $ 1200.50 $ 35.00 $ 7177.61 Tax savings estimation Our company will also offer you the opportunity of paying additional benefits with the pre-tax dollars. The program below will save you tax dollars if you choose to pay for such benefits. HUMAN RESOURCE 4 Table 3 Program Medical contribution Vision contribution Dental contribution 401k contribution Total Pre-tax contribution $ 2,263.47 $ 39.65 $ 1, 045. 26 $ 900.00 $ 42483.38 Tax savings $ 734.48 $ 13.36 $ 350.85 $ 300.00 $ 1398.69 The comprehensive compensation with the benefits perks are meant to ensure that the new HR secretary enjoys his or her moments in the position. The compensation and benefits package is in line with the internal compensation strategy and the external market conditions of the organization. The reason for this is that the organization will be able to attract a talented and qualified person for the position and keep him or her for long period of time. The ultimate goal of providing this comprehensive compensation and benefits package is make sure that the HR secretary is effective in his or her duties and that he or she is well motivated as well as be satisfied with the work. HUMAN RESOURCE 5 References Bryant, P., & Allen, D. (2013). Compensation, Benefits and Employee Turnover: HR Strategies for Retaining Top Talent. Compensation & Benefits Review. http://dx.doi.org/10.1177/0886368713494342 Cambern, J. (2006). Online Benefits Management Systems: An HR Evolution.Compensation & Benefits Review, 38(4), 65-70. http://dx.doi.org/10.1177/0886368706290229 Rogers, S., & Marcotte, S. (2010). Communicating Total Rewards. Scottsdale: WorldatWork Press. Smith, S., & Mazin, R. (2011). The HR answer book. New York: American Management Association. Compensation and benefits package HR secretary position By Gail A Reedy Professor Jack Huddleston Strayer University HRM530 Submission date Introduction Basically, employee compensation is categorized in wages and benefits. The base wage is that money paid to an employee on annual, monthly or hourly basis. The base salary will remain stable for relatively longer period of time and it only changes when adjustments are made through raises (Cambern, 2006). Cont.. Employee benefits on the other hand include other rewards which are provided by an employer to an employee besides the base salary. Employee benefits can be either voluntary or compulsory depending on the jurisdiction area. Compulsory benefits are those which are required by the law while voluntary are those an employer is not bound legally to provide but through his or her own will makes the available. Organization type This is a profit oriented consultation organization. The organization has been in existence for the past 15 years. Overview of compensation and benefits package The compensation of cash for the HR secretary position covers; salary, annual commission and bonus which totals to $ 40, 180.00. The benefits package associated with this position includes: medical insurance, vision insurance, dental insurance, 401k retirement plan, Medicare, short and long term disability security, employee help plan and social security. The medical, dental and vision insurances are covers the employee and his or her family. Pre-tax contribution and tax savings are under medical, dental, vision contribution, and 401k contribution. The total value for compensation will be $ 54, 326.99. Cash compensation Pay Amount Salary $ 35, 000.00 Bonus $ 1, 500.00 Annual commission $ 3, 680.00 Total $ 40, 180.00 Benefits package Benefits Coverage Company contribution Your contribution Medical insurance Employee & family $ 8, 350.52 $ 1, 474.75 Dental insurance Employee & family $ 186.60 $ 1050.46 Vision insurance Employee & family $ 50.84 $ 153.13 401k retirement plan $ 600.00 $ 1000.00 Short term disability $ 0.00 $ 211.00 Long term disability $ 0.00 $ 162.77 Social security $ 2000.34 $ 1890.00 Medicare $ 1560.00 $ 1200.50 Employee help plan $ 0.00 $ 35.00 Total $ 12748.30 $ 7177.61 Tax savings estimation Program Pre-tax contribution Tax savings Medical contribution $ 2,263.47 $ 734.48 Vision contribution $ 39.65 $ 13.36 Dental contribution $ 1, 045. 26 $ 350.85 401k contribution $ 900.00 $ 300.00 Total $ 42483.38 $ 1398.69 Employee overtime compensation The HR secretary will be nonexempt. For the overtime; the employee will be paid $ 27.34 per hour. He or she will be eligible for the overtime payment if he or she will have worked beyond the 40 hours within the week. Other benefits Within the next three months, the following additional benefits will be considered: federal employment insurance, life and AD&D insurance voluntary spouse life insurance. Together with the above, the HR secretary will enjoy the following voluntary employee benefits; end-of-year vacations and performance reward programs. Government influence on the compensation Most of the workers are classified as exempt or non-exempt depending on the work type and salary. According to the federal Fair Labor Standards Act (FLSA), it is a requirement for employees who work more than 40 hours to be paid overtime on top of the minimum wage unless they meet certain exemptions. For overtime, employees should be paid one and a half times their regular pay rate. This regulation, will dictate how we will compensate for the overtime. BLS website packages Internal compensation strategy Internal evaluations have been done to determine the appropriate for the job's base pay. This includes analysis of the current salary scale for lower level positions under which the HR secretary position falls. Current pay structure Job Level Salary Scale Range ($) Lower Level Salary Scale Median Current Average Percentage ($) Salary ($) of Median (%) 33,500 - 38,500 36,000 35,500 98.6 Cont. From the current pay structure above, the average base salary for a lower level staff member is $ 35, 500 per year. This represents 98.6 per cent of the organization's median of $ 36, 000. it implies that there is pay equity in the annual salary of the company for lower level jobs. Our salary of $ 35, 000 for the secretary position falls within the range meaning there is a high equity level. Cont. External factors We have considered statistics from the Bureau of Labor Statistics in regard to the base salary. According to this, the annual wage for secretarial jobs should be $ 35, 240. When compared to our company's mean annual wage of $ 40, 180, ours is close to the mean annual wage from the BLS. In fact, our company's is higher than the BLS Mandatory benefits The company has provided several mandatory benefits to the post. These include: Employee compensation; the HR secretary will be provided with the compensation insurance. This will shield him or her incase of any he or she will be injured while at work. Overtime pay; the employee will be paid for working over the recommended 40 hours. Cont.. insurance; Unemployment the company will pay the unemployment insurance tax Social security tax; the will also pay the social security tax proportionate to the rate paid by the employee Voluntary benefits The intern compensation program of the company will provide several voluntary benefits to the HR secretary. These benefits will include: eye and dental care, programs for rewarding the employees together with paid vacations at the end of the year. How competitive compensation and benefits package will align with HRM strategy Comprehensive compensation with the benefits perks are intended to ensure that the new HR secretary appreciates his or her moments in the position. The compensation and benefits package is in line with the internal compensation strategy and the external market conditions of the organization. Cont.. The reason for this is that the organization will be able to attract a talented and qualified person for the position and keep him or her for long period of time. The ultimate goal of providing this comprehensive compensation and benefits package will be to ensure that the HR secretary is effective in his or her duties and that he or she is well motivated as well as be satisfied with the work. References Bryant, P., & Allen, D. (2013). Compensation, Benefits and Employee Turnover: HR Strategies for Retaining Top Talent. Compensation & Benefits Review. http://dx.doi.org/10.1177/0886368713494342 Cambern, J. (2006). Online Benefits Management Systems: An HR Evolution.Compensation & Benefits Review, 38(4), 65-70. http://dx.doi.org/10.1177/0886368706290229 Rogers, S., & Marcotte, S. (2010). Communicating Total Rewards. Scottsdale: WorldatWork Press. Smith, S., & Mazin, R. (2011). The HR answer book. New York: American Management Association