As an Entry-level HR professional, you are asked to research a multitude of topics. Compensation topics, undoubtedly, are often difficult to ascertain. Organizations seek a level of privacy and are not as forthcoming with information. Thus, the Bureau of Labor Statistics is an excellent resource for current data. The purpose of this exercise is for you to gather data and create a projected three-year benefits budget. You will return your results in a Memo Style directed to your immediate supervisor, AKA and in this case, me.

Scenario

This morning was a Zoom call like no other. Elizabeth, our Chief Financial Officer, presented the Worst Case scenario for fiscal years 2021, 2022, and 2023. Sales are anticipated to fall another 20-30% for 2021. Our organization is not cash poor. However, declining sales will strain operating budgets. She is requesting HR generate a projected three-year indirect compensation budget. Below is an excerpt from our Employee Handbook. It describes benefit eligibility and the types of benefits offered. The employee contributions are not relevant for the projected budget, at this time.

Benefits

1. Retirement Plan (401k)

2. Medical Coverage (PPO)

3. Life and Accidental Death and Dismemberment Insurance

4. Travel Accidental Coverage

5. Vacation & Holiday Benefits

6. Sick Leave

7. Family and Medical Leave (FMLA)

8. Parking

9. Tuition Assistance Benefit

10. Employee Assistance Program (EAP)

11. Product Discounts

The EE count is broken down below first by EEO-1 grouping followed by the number of positions.

Executive Group (6 Positions)

Managerial Group (35 Positions and 3 Vacant)

Professional Group (87 Positions and 7 Vacant)

Administrative Support Group (26 Positions and 11 Vacant)

Sales Group (50 Positions and 0 Vacant)

Technicians Group (113 Positions and 26 Vacant)

1. Because our CompaRatio is ~ 1.00, use the BLS ECI/ ECEC data to generate a one-year and three-year indirect compensation budget estimation. You may assume the ECI Delta Change for the past three years will remain consistent. Report key numbers in the body of the Memo where you also explain your process for calculating the budget in paragraph and sentence format.

2. Insert your Memo and supporting documents