Benefits And Benefits Of Employees Essay examples
Benefits are over and above wages and salaries offering provided to employees as part of compensation. They can be called as fringe benefits, perquisites, non-financial benefits, and soft benefits. These have been offered since colonial times, but gained popularity during the World War. The government used it to attract people to join armed forces. Ever since then benefits have become integral part of compensation and have been used as a recruiting, retaining strategy for organizations. Initially benefits could be categorized as providing health care, pension, retirement, etc. but they have evolved so much that these are considered as traditional benefits and a few are mandated by law. The new range of benefits are so dynamic that they are difficult to categorize. Any offering by the firm that aids the workforce be it non-financial other than wages and salaries can be termed as non-traditional benefits. By non-financial it means although it is a cost to the company the benefit does not convert in actual dollar increment in the base pay of the employee. The benefit is in the service provided by the employer which make the employees life easier in order to be more productive.
In addition to the current challenging economic and business markets companies have to undoubtedly add ramifications of the Affordable Health Care Act in order to balance the benefits offered and its related cost. As per Bureau of labor statistics firms spend 68.5%…