Presenting to:

Ms. Sanam Pathan

Presented by:Group No: 3

Mr. Muhammad Owais (8530)Mr. Hasan Ahmed Fiaz (8526)Mr. Syed Sameer Abbas (10593)Mr. Muhammad Ahsan Alam Khan (10013)Mr. Syed Salman ul Hassan (10541)Ms. Tooba Tariq Butt (11690)

Presentation Outline…

Introduction of Compensation & Benefits

Compensation Metrics

Compensation Administration Process

Incentive Systems

Employee Benefits Programs

Realization of Compensation and

Benefits in GEO TV Network

What is compensations?

Compensation is a systematic approach to providing monetary value to employees in exchange for work performed. Compensation may achieve several purposes assisting in recruitment, job performance, and job satisfaction.

Compensation Philosophies

•Entitlement Philosophy▫Assumes that individuals who have worked

another year are entitled to pay increases, with little regard for performance differences.

•Pay-for-Performance Philosophy▫Requires that compensation changes

reflect individual performance differences.

Components of a Compensation System

12–6

Compensation Approaches

Typical Division of HR Responsibilities: Compensation

HR Metrics for Compensation

Typical Components of Expatriate Compensation

Market Competitiveness and Compensation

Lead the Market

Lead the Market

Lag the Market

Lag the Market

Meet the Market

Meet the Market

Paying for higher qualified, more productive workers.

Paying for higher qualified, more productive workers.

Attempting to balance employer costs and the need to attract and retain employees.

Attempting to balance employer costs and the need to attract and retain employees.

Paying all that the firm can afford. Taking advantage of the abundant supply of potential employees in a loose labor market.

Paying all that the firm can afford. Taking advantage of the abundant supply of potential employees in a loose labor market.

Competency-Based Pay

Maintenance ofCompetencies

Maintenance ofCompetencies

Limitations(How many?)

Limitations(How many?)

PricingCompetencies

PricingCompetencies

TrainingTraining

Competency-Based Pay Systems

Competency-Based Pay Systems

Individual vs. Team Rewards

Distribute variable rewards at the team levelDistribute variable rewards at the team level

Make system simple and understandable.Make system simple and understandable.

Using Team-Based Reward SystemsUsing Team-Based Reward Systems

Use skill-based pay for the base.Use skill-based pay for the base.

Maintain a high degree of employee involvementMaintain a high degree of employee involvement

Equity Considerations in Compensation

Compensation Administration ProcessCompensation Administration Process

Job Analysis and Evaluation

•Job Analysis▫Collection of information about jobs to

produce job description.

•Job Evaluation▫Formal, systematic means to identify the

relative worth of jobs. ▫Evaluating every job in the organization on:

Knowledge, skills, abilities, efforts and working condition.

Job Analysis and Evaluation Cont’d

•Without job evaluation HR cannot develop a rational approach to pay

•Job evaluation is conducted by specially trained personnel called job analysts.

Methods of Job Evaluation

•The most common method of job evaluation are:▫Job Ranking▫Job Grading▫Factor Comparison▫Point system

Job Ranking

• Specialists review the job analysis information and then rank each job according to its relative importance in comparison with the other jobs in the firm.

• Simplest and least precise method.

• These rankings do not differentiate between jobs in terms of their relative importance.

• This method ensure that more important jobs are paid more.

• Pay levels may be inaccurate.

Job Grading

•Each job is assigned a grade by matching standard descriptions with each job’s description.

•Most important jobs are paid more but lack of precision can lead inaccurate pay levels.

Factor Comparison

•Critical or compensable job factors of each jobs are compared.

•Each factor is compared one at a time with the same factor of other key jobs.

•Separate evaluations are combined to determine relative importance of each job.

Factor Comparison

•Factor comparison method involves following steps▫Determine the critical factors.▫Determine key jobs▫Apportion current wages for key jobs▫Place key jobs on factor comparison chart▫Evaluate other jobs

Point System

•This system uses points to evaluate compensable factor of each job.

•Point system is more precise method because it can handle more detail.

Point System

•Point system involves following steps▫Determine critical factors▫Determine the level of factors▫Allocate point to subfactors▫Allocate points to levels▫Develop the point manual▫Apply the point system

Pay Surveys

•Collection of data on compensation rates for workers performing similar jobs in other organization.

• Benefit▫An indirect compensation given to an employee or

group of employees as a part of organizational membership.

• Strategic Perspectives on Benefits▫Benefits absorb social costs for health care and

retirement.▫Benefits influence employee decisions about

employers (e.g., recruitment and retirement).▫Benefits are increasingly seen as entitlements.▫Benefit costs average over 40% of total payroll

costs.

Benefits

-Reduce Fatigue-Aid recruitment-Discourage Labor unrest-Reduce Turnover-Satisfy Employee Objectives-Minimize overtime costs

Organizational Objectives

• Pension Plans▫Retirement benefits established and funded by

employers and employees.• Traditional Benefit Plans

▫Defined-benefit plans Employees are promised a definite pension amount

based on age and length of service.▫Defined-contribution plans

Employer makes an annual payment to an employee’s account.

Benefit payout is determined by the financial performance of the employee’s retirement.

Pension Plans

• Cash Balance Plans▫Benefits are based on an accumulation of annual

company contributions, expressed as a percentage of pay, plus interest credited each year.

• Employee Retirement Income Security Act (ERISA)▫Regulates pension funds to assure their soundness.

Requires firms to offer retirement plans to all employees if offered to any employees.

Accrued benefits must be paid to departing employees. Requires minimum funding for IRS approval and

purchase of plan termination insurance.

Pension Plans (cont’d)

Other Benefits

BenefitsBenefits

Relocation Expenses

Relocation Expenses

Life, Disability, Legal

Insurances

Life, Disability, Legal

Insurances

Educational Assistance

Educational Assistance

Social and Recreational

Social and Recreational

Family-Oriented Benefits

Family-Oriented Benefits

Family-Care Benefits

Family-Care Benefits

Credit Unions Purchase

Discounts Stock Investment

Credit Unions Purchase

Discounts Stock Investment

•Coverage▫Employers with 50 or more employees▫Employees who have worked at least 12 months

and 1,250 hours in the previous year.•Requirements

▫Employers must allow eligible employees to take up to a total of 12 weeks of unpaid leave in a 12-month period to attend to a family or serious medical condition.

▫Employees have the right to continued health benefits and the right to return to their job.

Family Medical Leave Act (FMLA)

• Holiday Pay▫ Eligibility

• Vacation Pay▫ Eligibility and

scheduling

• Leaves of Absence▫ Family Leave▫ Medical and Sick Leave▫ Military Leave▫ Election Leave▫ Jury-duty Leave▫ Funeral Leave

• Paid Time-Off (PTO) Plans▫ Combine all sick leave,

vacation time, and holidays into a total number of hours or days that employees can take off with pay.

Time-Off Benefits

How

GEO TV Network

realize Compensation and Benefits

GEO TV Network

Geo TV (trademarked GEO TV)

or Geo Television is a

Pakistani television network,

founded in May 2002 and

began test transmission on 14

August 2002, with regular

transmission beginning 1

October 2002.

GEO Hierarchy

Geo is an Urdu word meaning live

on.... CEO Mr. Mir Ibrahim

DH / BUH

General Manager

Manager HR

AssociateManager

AssociateManager

Staff

Manager Finance

AssociateManager

Staff

Manager Technical

Manager marketing

AssociateManager

Staff

AssociateManager

Staff

Manager Entertainment

Staff

GEO follows simple vertical

hierarchy several Business

Units and Departments

GEO HRM

Environment:• GEO offers a safe and secure work environment, competitive

compensation and benefits, employee incentives and recognition

Salaries in GEO: • Offers a competitive policy toward salaries for existing and future

positions.

• Based on a number of several factors, including but not limited to; education, experience and salaries in the industry are also an important factor

Job Documentation

Prepare To Survey

Conduct Survey

Create Job worth

Job Rating

Job Analysis

Reconcile Data

Develop Pay Rates

GEO Compensation Model

G5

•TOP

•MD,President ,CEOs, COOs,

G4

•SENIOR

•General Managers, Directors, Senior Executives

G3

•MIDDLE

•Senior Managers, Deputy Managers, Assistant Managers

G2

•LOWER

•Executives, Senior Offices, Offices

G1

•SUPPORT STAFF

•Technicians, Office Boys, Drivers

COMPENSATION & BENEFITS (Har Rang GEO)

GEO Compensation & Benefit Package

Insurance

Gratuity

Vacation and Holidays

Provident Fund

Family Support

Medical Allowance

Loans

Travel Allowance

Maternity Leaves

EOBI

Benefits for Women

Q & A