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

Compensation Approaches

126

Typical Division of HR Responsibilities: Compensation

HR Metrics for Compensation

Typical Components of Expatriate Compensation

Market Competitiveness and Compensation

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

Lag the Market

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

Lead the Market

Paying for higher qualified, more productive workers.

Competency-Based Pay
Limitations (How many?) Pricing Competencies

CompetencyCompetencyBased Pay Systems

Maintenance of Competencies

Training

Individual vs. Team Rewards

Using Team-Based Reward Systems TeamUse skill-based pay for the base. skillMake system simple and understandable. Distribute variable rewards at the team level Maintain a high degree of employee involvement

Equity Considerations in Compensation

Compensation 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:
x Knowledge, skills, abilities, efforts and working condition.

Job Analysis and Evaluation Contd

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 jobs 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.

Benefits
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.

Organizational Objectives

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

Pension Plans
Pension Plans
Retirement benefits established and funded by employers and employees.

Traditional Benefit Plans

Defined-benefit plans
x Employees are promised a definite pension amount based on age and length of service.

Defined-contribution plans
x Employer makes an annual payment to an employees account. x Benefit payout is determined by the financial performance of the employees retirement.

Pension Plans (contd)

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.
x Requires firms to offer retirement plans to all employees if offered to any employees. x Accrued benefits must be paid to departing employees. x Requires minimum funding for IRS approval and purchase of plan termination insurance.

Other Benefits
Credit Unions Purchase Discounts Stock Investment

FamilyFamily-Care Benefits

Relocation Expenses

FamilyFamily-Oriented Benefits

Benefits

Life, Disability, Legal Insurances

Social and Recreational

Educational Assistance

Family Medical Leave Act (FMLA)

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 12month 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.

Time-Off Benefits
Holiday Pay
Eligibility

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.

Vacation Pay
Eligibility and scheduling

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

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

GEO follows simple vertical hierarchy several Business

DH / BUH

Units and Departments

General Manager

Manager HR

Manager Finance

Manager Technical

Manager marketing

Manager Entertainment

Associate Manager

Associate Manager

Associate Manager

Associate Manager

Associate Manager

Staff

Staff

Staff

Staff

Staff

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

GEO Compensation Model

Job Analysis
Job Documentation

Job Rating

Prepare To Survey

Create Job worth

Conduct Survey

Reconcile Data Develop Pay Rates

COMPENSATION & BENEFITS (Har Rang GEO) (Har

TOP
G5 G4 G3 G2 G1
MD,President ,CEOs, COOs,

SENIOR
General Managers, Directors, Senior Executives

MIDDLE
Senior Managers, Deputy Managers, Assistant Managers

LOWER
Executives, Senior Offices, Offices

SUPPORT STAFF
Technicians, Office Boys, Drivers

GEO

s ti
Insurance
Travel Allowance

fit

Maternity Leaves

Gratuity

Loans

EOBI

Vacation and Holidays

Medical Allowance

Benefits for Women

Provident Fund

Family Support

Q&A