C236 Compensation and Benefits Study
Guide
Define Total Rewards
All forms of pay and compensation, tangible benefits, and other intangible rewards that an
organization provides.
How are these three elements of total rewards connected?
The three forms of rewards cash, benefits and intangibles act in concert to influence employee
behavior.
Brainpower
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List an example of an employee benefit.
Retirement Plan
List an example of an intangible benefit.
meaningful work and rewarding relationships
Who will this course help?
While the course has obvious value for the Compensation and Human Resource Manager, it
also is very relevant for every individual working in an organization today.
,How will this course help HR Managers?
This course will prepare you for one of the many roles that you will play in an organization. This
course will help you see how your total rewards strategy fits with your business strategy and the
other facets of your HR systems such as staffing, recruiting, and training.
How will this course help all careers outside of HR?
No matter your role in an organization, you are impacted by the rewards systems used in an
organization. This topic will help you understand those reward systems to better see how your
pay is determined, what benefits are being offered, and how those rewards are determined. This
understanding can then help you either appreciate or seek to change those rewards to better
meet your needs in the employment deal.
Define cash compensation.
Monetary pay that employees receive in exchange for their work.
What is base pay?
Salary or hourly wages
What is variable pay?
Can include performance-based rewards such as bonuses and commissions, as well as
longer-term equity rewards such as stock options. Rewards that vary as performance varies.
What is the first and foremost outcome of a Total Rewards System?
The first and most prominent objective of a Total Rewards System is to direct organizational
activities toward higher performance.
Define the concept of Organizational Citizenship Behaviors.
Represent those value-creating activities in which employees engage but which are not part of
their job.
What is an example of an Organizational Citizenship Behavior?
Employees who go beyond their defined responsibilities to help a colleague at work contribute
significantly to an organization's success.
What three areas contribute to the overall performance of an organization?
, Employee performance, team performance, and Organizational Citizenship Behaviors (OCBs)
each contribute to the overall performance of the firm.
What can Organizational Performance include?
Effectiveness at meeting customer needs, new product creation, and gains in market share,
profits, and other measures of financial return on the firm's assets.
Explain the different categories of Total Rewards outcomes.
*The second category of outcomes by which Total Reward Systems are evaluated is Attraction
and Retention. A primary function of organizational rewards is to attract the employees that the
organization needs to do business.
*The third category of results deals with the employees' reactions to the Total Rewards System,
namely perceptions of Fairness and Satisfaction. These perceptions are important because
when employees perceive that the reward system is fair and are satisfied with it, they are less
likely to leave the organization.
How are Cost and Efficiency related to the outcomes of the rewards System?
Because people-related expenses make up a significant portion of the expenditures for many
organizations, the levels of these expenditures have a big impact on the bottom line. In that
sense, reward systems must be monitored to keep these costs under control. At the same time,
however, it is important to remember that the reward costs are an investment in an asset
(Human Capital) and a product or service (Performance), and simply reducing the cost without
consideration for its impact on performance or future performance capabilities would be
misguided.
What additional items are a part of the benefits package?
Vacations, holidays, personal excused absences, and other opportunities for not working are
regarded as part of the benefit package.
What are the different types of shift differentials?
Overtime, Shift Pay (nights), Hazard Pay, On call Pay, Call Back Pay, Geographic Differentials,
Holiday and Weekend Pay
What is the Fair Labor Standards Act?
The Fair Labor Standards Act (FLSA) of 1938 is commonly referred to as the Wage and Hour
Law or FLSA. It sets minimum wage standards, overtime pay standards, and child labor
restrictions. FLSA is administered by the Wage and Hour Division of the Department of Labor,
Guide
Define Total Rewards
All forms of pay and compensation, tangible benefits, and other intangible rewards that an
organization provides.
How are these three elements of total rewards connected?
The three forms of rewards cash, benefits and intangibles act in concert to influence employee
behavior.
Brainpower
Read More
Previous
Play
Next
Rewind 10 seconds
Move forward 10 seconds
Unmute
0:01
/
0:15
Full screen
List an example of an employee benefit.
Retirement Plan
List an example of an intangible benefit.
meaningful work and rewarding relationships
Who will this course help?
While the course has obvious value for the Compensation and Human Resource Manager, it
also is very relevant for every individual working in an organization today.
,How will this course help HR Managers?
This course will prepare you for one of the many roles that you will play in an organization. This
course will help you see how your total rewards strategy fits with your business strategy and the
other facets of your HR systems such as staffing, recruiting, and training.
How will this course help all careers outside of HR?
No matter your role in an organization, you are impacted by the rewards systems used in an
organization. This topic will help you understand those reward systems to better see how your
pay is determined, what benefits are being offered, and how those rewards are determined. This
understanding can then help you either appreciate or seek to change those rewards to better
meet your needs in the employment deal.
Define cash compensation.
Monetary pay that employees receive in exchange for their work.
What is base pay?
Salary or hourly wages
What is variable pay?
Can include performance-based rewards such as bonuses and commissions, as well as
longer-term equity rewards such as stock options. Rewards that vary as performance varies.
What is the first and foremost outcome of a Total Rewards System?
The first and most prominent objective of a Total Rewards System is to direct organizational
activities toward higher performance.
Define the concept of Organizational Citizenship Behaviors.
Represent those value-creating activities in which employees engage but which are not part of
their job.
What is an example of an Organizational Citizenship Behavior?
Employees who go beyond their defined responsibilities to help a colleague at work contribute
significantly to an organization's success.
What three areas contribute to the overall performance of an organization?
, Employee performance, team performance, and Organizational Citizenship Behaviors (OCBs)
each contribute to the overall performance of the firm.
What can Organizational Performance include?
Effectiveness at meeting customer needs, new product creation, and gains in market share,
profits, and other measures of financial return on the firm's assets.
Explain the different categories of Total Rewards outcomes.
*The second category of outcomes by which Total Reward Systems are evaluated is Attraction
and Retention. A primary function of organizational rewards is to attract the employees that the
organization needs to do business.
*The third category of results deals with the employees' reactions to the Total Rewards System,
namely perceptions of Fairness and Satisfaction. These perceptions are important because
when employees perceive that the reward system is fair and are satisfied with it, they are less
likely to leave the organization.
How are Cost and Efficiency related to the outcomes of the rewards System?
Because people-related expenses make up a significant portion of the expenditures for many
organizations, the levels of these expenditures have a big impact on the bottom line. In that
sense, reward systems must be monitored to keep these costs under control. At the same time,
however, it is important to remember that the reward costs are an investment in an asset
(Human Capital) and a product or service (Performance), and simply reducing the cost without
consideration for its impact on performance or future performance capabilities would be
misguided.
What additional items are a part of the benefits package?
Vacations, holidays, personal excused absences, and other opportunities for not working are
regarded as part of the benefit package.
What are the different types of shift differentials?
Overtime, Shift Pay (nights), Hazard Pay, On call Pay, Call Back Pay, Geographic Differentials,
Holiday and Weekend Pay
What is the Fair Labor Standards Act?
The Fair Labor Standards Act (FLSA) of 1938 is commonly referred to as the Wage and Hour
Law or FLSA. It sets minimum wage standards, overtime pay standards, and child labor
restrictions. FLSA is administered by the Wage and Hour Division of the Department of Labor,
