Effective Compensation and Benefits Policy Helps Organization to Motive Its Employees - Essay Example

Some of the payments that are included in compensation are rewards, checks, profit sharing, sales commission and bonuses (Kleiman, 2003). The attraction of quality employees can lead to better results and eventually higher productivity. Compensation strategy includes a reward system which is based on the employee performance on the workplace. The application of this policy helps to motivate employees to attain higher goals (Blazey, 2013). Effective retention strategy is also part of the compensation policy in the organization.

This strategy helps employees to remain committed to the organization to build a successful career. Benefits policy can also help the organization to attract the best employees for the organization. Some of the necessary benefits plans of organization are to focus on employee needs, increase employee satisfaction and motivate existing employees by keeping them healthy (Henderson, 2002). Some of the benefits provided by the organization are retirement benefit, insurance policy, sick leave, income protection on disability, vacation leave and substitute work engagements.

Conclusion The application of compensation and benefits can help the organization to increase revenue which can lead to effective customer service interaction and high productivity.