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    Components of Employee Remuneration Aniket

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    anikettt
    The document discusses the components of an employee's remuneration package. It includes 5 main components: 1) Wages/salary which is the basic payment and depends on factors like job, seniority. 2) Incentives to encourage productivity. 3) Fringe benefits which are additional monetary benefits like PF, gratuity, insurance. 4) Perquisites for managers like company car, club membership. 5) Non-monetary benefits like a comfortable work environment and welfare facilities. The document also briefly describes two systems of wage payment: time rate and piece rate systems.

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    Components of Employee Remuneration Aniket

    Uploaded by

    anikettt
    11K views2 pages
    The document discusses the components of an employee's remuneration package. It includes 5 main components: 1) Wages/salary which is the basic payment and depends on factors like job, seniority. 2) Incentives to encourage productivity. 3) Fringe benefits which are additional monetary benefits like PF, gratuity, insurance. 4) Perquisites for managers like company car, club membership. 5) Non-monetary benefits like a comfortable work environment and welfare facilities. The document also briefly describes two systems of wage payment: time rate and piece rate systems.

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    The document discusses the components of an employee's remuneration package. It includes 5 main components: 1) Wages/salary which is the basic payment and depends on factors like job, seniority. 2) Incentives to encourage productivity. 3) Fringe benefits which are additional monetary benefits like PF, gratuity, insurance. 4) Perquisites for managers like company car, club membership. 5) Non-monetary benefits like a comfortable work environment and welfare facilities. The document also briefly describes two systems of wage payment: time rate and piece rate systems.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    11K views2 pages

    Components of Employee Remuneration Aniket

    Uploaded by

    anikettt
    The document discusses the components of an employee's remuneration package. It includes 5 main components: 1) Wages/salary which is the basic payment and depends on factors like job, seniority. 2) Incentives to encourage productivity. 3) Fringe benefits which are additional monetary benefits like PF, gratuity, insurance. 4) Perquisites for managers like company car, club membership. 5) Non-monetary benefits like a comfortable work environment and welfare facilities. The document also briefly describes two systems of wage payment: time rate and piece rate systems.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 2

    Components of Employee

    Remuneration/Compensation Package:
    The remuneration packets of an employee includes wages/salary
    ,incentives, fringe benefits , perquisites and finally non-monetary
    benefts.
    Details of Components of Employee Remuneration/compensation
    package:
    1.wage/salary: Wage is the payment given to employee by the
    employer. The wage rate is decided by the employer .Wage is the
    hourly-rate of pay while salary refers to monthly rate of pay.
    Salary includes allowances and also annual increment. Salary
    payment is not uniform to all employees it depends upon nature of
    job, responsibilities, merits available, status , seniority of the
    employee. Wages are linked with the cost of living of the
    employee in which income tax and p.f are deducted.
    2.incentives:Incentives are addition to regular wage
    payment.incentives depend on productivity,sales,profit,cost
    reduction efforts etc. The purpose behind incentives is to
    encourage/motivate employees to take more interest in the work
    and according to the results get the incentives. As incentives are
    payments by results.
    3.fringe benefits: These are monetary benefits provided to
    employees. These includes:(a)provident
    fund,(b)gratuity,(c)medical care,(d)hospitalization
    payment,(e)accident relief,(f)healthand group
    insuarance,(g)subsidized canteen facility,(h)Recreation facility
    and(i)provision of uniforms to employees.
    4.Perquites:there are special benefits offered to
    managers/executives. The purpose is to retain competent
    executives by offering them special benefits. It
    includes(a)company car for travelling (b)club membership (c)paid
    holidays (d)furnished house/accommodation (e)stock option
    schemes, etc
    5.Non-monetry benefits: They include comfortable working
    conditions, impartial promotions, support to workers facing special
    problems, provision of welfare facilities to employees.

    System of Wage payment:


    There are two basic system of wage payment. These are (a)
    Time Rate system and (b) Piece Rate system
    (A)Time Rate System
    Meaning of time rate system/Time Wage System:
    Time rate system or time wage payment

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