1. Chapter 24 Rewarding and Developing Employees
©2008 Thomson/South-Western
Chapter 24 Rewarding and Developing Employees

2. Lesson 24.1 Compensation Planning
Goals
Describe several types of compensation systems and the reasons each is used.
Discuss important factors that affect pay levels in a business.
Chapter 24 Rewarding and Developing Employees

3. Chapter 24 Rewarding and Developing Employees
Compensation Plans
Time plan — pays a certain amount for a specified period of time worked
Performance plan — pays a percentage of volume of sales for which employee is possible
Commission plan
Piece-rate plan
Combination plan — provides a small wage or salary and adds incentive pay based on performance
Bonus
Chapter 24 Rewarding and Developing Employees

4. Chapter 24 Rewarding and Developing Employees
Legal Requirements
Minimum wage — it is illegal for employers to pay less than an identified pay rate to any employee
Compensation discrimination — employers must follow laws establishing fair levels of compensation
Chapter 24 Rewarding and Developing Employees

5. Lesson 24.2 Employee Benefits
Goals
Recognize how employee benefits add to the total compensation received.
Describe several ways companies can improve HR services while controlling costs.
Chapter 24 Rewarding and Developing Employees

6. Chapter 24 Rewarding and Developing Employees
Employee Benefits
Customary benefits
Insurance — health, vision, dental, life, disability
Retirement plans
Pension plans
Vacations and time off
Benefits required by federal and state laws
Chapter 24 Rewarding and Developing Employees

7. Chapter 24 Rewarding and Developing Employees
Employee Benefits
Hours of work
Flex-time
Job sharing
Other benefits
Profit-sharing plan
Cafeteria plan
Chapter 24 Rewarding and Developing Employees

8. Chapter 24 Rewarding and Developing Employees
Improving HR Services
Use of technology
Outsourcing services
Increasing value of human resources
Employment laws
Equal opportunity in employment
Improvements in the way HR services are provided and managed
Chapter 24 Rewarding and Developing Employees

9. Lesson 24.3 Improving Employee Performance
Goals
Describe the procedures for reviewing employee performance.
Discuss several important training needs of businesses.
Chapter 24 Rewarding and Developing Employees

10. Employee Performance Review
Performance review — process of assessing how well employees are doing their jobs
Formal reviews — once or twice a year, including review conference
Informal reviews — informal feedback, support, and encouragement
Chapter 24 Rewarding and Developing Employees

11. Planning Training and Development
Formal training — carefully planned instruction with a specific curriculum and instructor
Informal training — unstructured and unplanned instruction developed for specific situations or individuals
Chapter 24 Rewarding and Developing Employees

12. Chapter 24 Rewarding and Developing Employees
Types of Training
Basic skills
Occupational safety
Employee health and wellness
New-employee orientation
Awareness
Communication, employee development, and quality
Job skills
Chapter 24 Rewarding and Developing Employees