The Role Of Human Resources In Creating Total Rewards

The Role Of Human Resources In Creating Total Rewards That Meet Employ

The role of human resources in creating total rewards that meet employees' wants and needs is important for attracting talent, retaining top performers, promoting employee satisfaction, and much more. Communicating total rewards offerings to top talent assists with understanding the value of all the monetary and non-monetary rewards an organization provides. From benefits to compensation, what total rewards do you value most? Is there anything from the readings in Module Five and Six that stood out to you as something you would love in an organization? Before you begin, review the examples of total rewards packages from various companies in the Resources section of this module.

Then, for your initial post, address the following: Identify three different examples of compensation or benefits that would matter most to you when considering a job offer. Be sure to explain why each would be important to you. Identify three examples of compensation or benefits that would not matter to you when considering a job offer. Explain why. Finally, respond to at least two of your peers by assuming the role of an HR professional at a company trying to create a total rewards program.

Specifically, be sure to address the following: How could you use the information your peers shared about how they rank various benefits to inform the decisions you make in designing, implementing, and managing a total rewards program? What other factors will influence how you perform your HR functions related to total rewards? Textbook : Fundamentals of Human Resource Management , Chapter 14 opens in new window , sections LO 14.6, LO 14.7, LO 14.8, and LO 14.9 In these sections, you will learn how organizations can use benefits to match employees’ wants and needs, how to choose the contents of an employ benefits package, how to design and administer benefit programs, and how to effectively communicate the nature and value of benefits to employees.

As you read, consider the following: Why is it beneficial to match benefits to an employee’s wants and needs? What do HR professionals need to consider when choosing benefits for a total rewards program? Why? Why do legal regulations affect the design and administration of total rewards? Why is the way that HR professionals communicate the nature and value of benefits important?

Reading : Rethinking Total Reward Strategies opens in new window In this article, you will explore how employees’ diverse and changing preferences directly impact the administration of total rewards. As you read, consider the following: Why do total rewards impact employee retention? What are current trends in employees’ preferences for total rewards offerings? How and why are total rewards mixed and matched to meet workforce needs? Reading : How an Employee Assistance Program Benefits Your Company opens in new window An Employee Assistance Program is an employee benefit program that assists employees with personal and professional needs to improve their wellness, job performance, emotional well-being, and mental health.

This article dives deeper into the value of these programs and explores relevant trends. As you read, consider the following: What is the role of HR professionals in managing employee assistance programs? Why is it important to engage employees in implementing an employee assistance program? Why is it beneficial to design an employee assistance program that encompasses wellness, job performance, emotional well-being, and mental health options? Examples of Total Rewards Packages The following list is a collection of total rewards packages from three different organizations. These resources will help you complete the discussion in this module. IBM Benefits and HR Programs opens in new window VMware Benefits opens in new window The University of Texas at Austin My Total Rewards opens in new window

Paper For Above instruction

Introduction

Creating comprehensive and attractive total rewards packages is a fundamental responsibility of human resources departments, as they directly influence employee recruitment, retention, motivation, and satisfaction. Total rewards encompass both monetary and non-monetary benefits, and understanding employees’ preferences in these areas is crucial for designing effective programs. This paper explores the key aspects of total rewards from an employee perspective, analyzes how HR professionals can leverage this knowledge in benefits design, and examines contemporary trends affecting total rewards strategies.

Personal Preferences in Compensation and Benefits

When considering a job offer, certain compensation and benefits stand out as most significant to me. First, a competitive salary is essential, as it directly impacts my financial stability and reflects the value placed on my skills and experience. A fair and transparent base salary reassures employees of their worth within the organization and influences job satisfaction.

Second, health and wellness benefits are crucial. Access to comprehensive health insurance, mental health support, and wellness programs contribute to overall well-being, reducing stress and absenteeism. As mental health awareness increases, benefits like Employee Assistance Programs (EAPs), counseling services, and wellness initiatives become increasingly valuable (Wang & Chen, 2022).

Third, opportunities for professional growth, such as training, development, and career advancement, are vital. These benefits signal the organization’s investment in employee development, enhance engagement, and promote long-term retention (Kim & Lee, 2021).

Benefits that Hold Less Significance

Conversely, some benefits do not considerably influence my job decision-making. For instance, flexible work arrangements, while beneficial, are less critical if other compensation and developmental opportunities are compelling. Flexibility is increasingly valued, but it is often secondary to base pay and benefits that address immediate needs (Smith & Brown, 2020).

Another less influential benefit is corporate discounts. While they offer some savings, they do not significantly impact the decision to join or remain with an organization. Such perks are considered extras rather than core components of total rewards (Johnson, 2019).

Additionally, long-term incentives like stock options are less immediately relevant unless I have a long-term commitment with the company. Short-term, tangible benefits outweigh potential future gains for many employees (Lee & Patel, 2020).

Designing a Total Rewards Program as an HR Professional

Understanding individual employee preferences, such as those I have outlined, is critical for HR professionals designing a total rewards program. By collecting data on what employees value most, HR can tailor offerings that enhance engagement and retention. For example, if many employees prioritize health benefits, organizations should expand or enhance wellness programs and mental health support.

Furthermore, HR professionals should consider legal regulations, organizational budget constraints, and workforce demographics when designing benefit packages. Complying with laws such as the Affordable Care Act and ensuring non-discriminatory practices are essential to maintaining organizational integrity and avoiding legal penalties (Riley, 2021).

Communication also plays a vital role. Clearly articulating the value of benefits through various channels ensures employees recognize and appreciate their total rewards. Effective communication strategies can improve utilization and satisfaction, leading to higher engagement and loyalty (Thompson & Williams, 2022).

Influencing Factors in HR Decision-Making

Aside from employee preferences, other factors influence HR decisions in total rewards management. Economic conditions, industry standards, and organizational financial health determine the scope of benefits available. Additionally, technological advancements enable innovative benefits delivery, such as online portals and virtual wellness programs (Martinez, 2023).

Organizational culture also impacts benefits design. For example, a values-driven organization may emphasize sustainability and social responsibility benefits, such as volunteer time off or environmentally focused programs. Ethical considerations, diversity, and inclusion goals further shape benefits offerings to meet the diverse needs of the workforce (Garcia & Singh, 2022).

Conclusion

Effective management of total rewards requires HR professionals to understand employees’ wants and needs, comply with legal requirements, communicate benefits effectively, and adapt to evolving workforce preferences and external factors. Tailoring benefits not only attracts top talent but also fosters engagement, loyalty, and overall organizational success. As workforce dynamics shift, a strategic and flexible approach to total rewards remains essential for HR practitioners aiming to optimize organizational performance.

References

• Garcia, S., & Singh, R. (2022). Diversity and inclusion in employee benefits: Strategies and best practices. Journal of Human Resources Management, 34(2), 112-130.
• Kim, J., & Lee, H. (2021). Linking professional development to employee retention: A review of best practices. Human Resource Development Quarterly, 32(4), 342-360.
• Johnson, M. (2019). The impact of perks and incentives on employee engagement. HR Today Journal, 45(3), 22-28.
• Lee, S., & Patel, R. (2020). Incentive designs and employee motivation: A comprehensive review. International Journal of Human Resource Management, 31(7), 922-940.
• Martinez, A. (2023). Technology-enabled benefits delivery: Innovations and challenges. Benefits and Compensation Review, 39(1), 45-53.
• Riley, T. (2021). Legal considerations in benefit plan design. Employment Law Journal, 48(5), 180-190.
• Smith, A., & Brown, L. (2020). The evolving landscape of flexible work arrangements. Workforce Trends Quarterly, 16(2), 98-105.
• Thompson, K., & Williams, D. (2022). Communicating employee benefits effectively. Journal of Organizational Communication, 36(1), 67-85.
• Wang, Y., & Chen, Z. (2022). Employee mental health and wellness programs: Trends and best practices. Journal of Workplace Psychology, 45(4), 273-290.