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Delivering benefits (case study) - Essay Example

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One of the most important aspects of giving benefits to employees is making choice available to them, because that frees individuals of what they might otherwise see as a restricting factor on them. This has many advantages, firstly it gives employees more choice and hence…
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Delivering benefits (case study)

There are two parts to a compensation package of any employee in any company, one is the motivation factor and the other is the maintenance factor and need. Motivation factors relate to the benefits such as job security, need for recognition, need for responsibility and other such related factors. The maintenance factor is one where employees need such as economic, social and physical needs. Benefits falls in this category and employees expect benefits, where benefits are not present employees may be dissatisfied.
The absence of motivational factors greatly increase the expectation of maintenance factors of employees and it might be true vice versa as well, but what is more important is that corporations realize the needs for such benefits and make them readily available for all of the employees so that employee motivation levels do not go down and the corporation has no difficulty in the retention of employees because maintenance factors play a huge role when people decide if they want to switch jobs or not. At times there have been cases where people have worked at organizations only because the benefits that are being offered are great, another factor to consider is that these benefits should be customized to the needs of the employees because if that is not the case then it would not make any sense to offer such benefits.
It is very important that FedEx uses group plans and gives options to its employees because that is the only effective way to reduce rising health care costs, which is one of the most important factor that employees look at before deciding whether or not to accept the job opportunity.
2. Prevention is better than cure; this stands true in the case of FedEx and every other company that offers such advantages to its employees, since the rising costs of health care has put it beyond the reach of many companies it is advised that companies work towards prevention of work related ... Read More
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