Compensation
A Balanced Approach
First Edition
Beverly J. DeMarr
- Ferris State University, USA
Vicki Taylor
- Shippensburg University
Claudia J. Ferrante
- United States Air Force Academy
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Go to College Publishing WebsiteDescription
Compensation: A Balanced Approach covers compensation systems and practices through theory and application. Each chapter looks at compensation from both the employer and employee perspective, giving students a more holistic understanding of the role total rewards play in an organization. Authors Beverly J. DeMarr, Vicki Fairbanks Taylor, and Claudia J. Ferrante help students develop the ability to think critically and ethically about compensation decisions and their effects on both employers and employees.
Contents
Preface
Preface
Acknowledgements
Acknowledgements
About the Authors
- 1. Total Compensation
- Nature Of The Employment Relationship
- Perspectives On The Importance Of Compensation
- From Total Compensation To Total Rewards
- Worldatwork Total Rewards Model
- The Unintended Consequences Of Pay
- Ongoing Challenges: Pay Equity
- Overview Of The Book
- Summary
- Key Terms
- Discussion Questions
- 2. Laws Affecting Compensation
- Fair Labor Standards Act
- Prevailing Wage Laws
- Anti-Discrimination Laws
- Legal Compliance
- Summary
- Key Terms
- Discussion Questions
- 3. Compensation Strategy and Objectives
- Shifting Focus From Shareholders To Stakeholders
- Types And Levels Of Strategies
- Using Compensation Strategically
- Compensation Objectives
- Influences On Compensation Strategy
- The Impact Of Compensation Strategy On Behavior
- Matching Compensation Strategy To The Organization’s Business Strategy
- Compensation As A Competitive Advantage
- Summary
- Key Terms
- Discussion Questions
- 4. Bases of Pay, Variations, and Differentials
- Pay Structures: Defining The Value Of Jobs
- Human Capital Theory: Determining The Value Of Employees
- Job-Based Pay
- Person-Based Pay
- Variations On Job- And Person-Based Pay
- Compensating Differentials
- Efficiency Wage Theory
- Sorting And Motivational Effects Of Differentials And Bases Of Pay
- Reservation Wage
- Summary
- Key Terms
- Discussion Questions
- 5. Establishing an Internally Equitable Compensation System
- Internal Equity
- Job Analysis
- Competency Modeling: An Alternative to Traditional Job Analysis
- Job Evaluation: Determining The Relative Value Of Jobs Within An Organization
- Alternatives To Job Evaluation
- The Role Of Ai In Creating An Internally Equitable Compensation System
- Market Pricing
- Summary
- Key Terms
- Discussion Questions
- 6. External Equity And Designing A Market-Competitive Pay Structure
- Creating A Market-Competitive Pay Structure
- Analyzing External And Internal Factors Influencing A Market-Competitive Pay Structure
- Determining The Competitive Pay Policy
- Collecting Market Data
- Integrating The Internal Job Structure With The External Market Data
- Establishing Pay Grades And Pay Ranges
- Multiple Salary Structures
- Market-Based Pay Structure: An Alternative To A Market-Competitive Pay Structure
- Summary
- Key Terms
- Discussion Questions
- 7. Rewarding Individual Performance
- Motivating Employees Through Incentives
- Measuring Performance
- Performance Appraisal Methods
- Merit Pay
- Bonuses
- Commission
- Piecework
- Standard Hour Plans
- Summary
- Key Terms
- Discussion Questions
- 8. Rewarding Group Performance
- Types Of Groups
- Measuring Group Performance
- Challenges In Rewarding Group Performance
- Types Of Rewards
- Gainsharing Plans
- Profit Sharing
- Incentive Stock Options
- Employee Stock Ownership Plans
- Nonfinancial Group Incentives
- Summary
- Key Terms
- Discussion Questions
- 9. Legally Required Benefits
- Legally Required Employee Benefits
- Social Security
- Unemployment Compensation
- Workers’ Compensation
- Family And Medical Leave Act (FMLA)
- Uniformed Services Employment And Reemployment Rights Act (USERRA)
- Patient Protection And Affordable Care Act (ACA)
- Additional Legal Requirements
- Summary
- Key Terms
- Discussion Questions
- 10. Voluntary Benefits
- Legal Requirements
- Employer-Sponsored Retirement Plans
- Health Insurance Alternatives
- Paid Time Off
- Other Miscellaneous Benefits
- The Importance Of A Needs Assessment
- Flexible Benefits/Cafeteria Plans
- Managing The System
- Summary
- Key Terms
- Discussion Questions
- 11. Compensation of Special Groups
- Sales
- Supervisors
- Contingent Workers
- Directors
- Executives
- Unionized Workers
- Two-Tier Pay Plans
- Part-Time
- Summary
- Key Terms
- Discussion Questions
- 12. International Compensation
- Data Sources
- National Differences And Requirements
- Categories Of International Workers
- Expatriate Pay And Benefits
- Cost Containment
- Repatriation
- International Assignments: Pros And Cons
- Summary
- Key Terms
- Discussion Questions
- 13. Compensation System Administration
- Managing Compensation Communication
- Pay Transparency
- Addressing Employee Fairness Concerns
- Managing Compensation Costs
- Evaluating Effectiveness: Audits, Metrics, And Employee Feedback
- From Metrics to Analytics
- Managing Change
- Summary
- Key Terms
- Discussion Questions
- 14. Compensation in Context: Putting It All Together
- Putting The Pieces Together
- Careers In Compensation
- The Future Of Compensation
- Work-Life Balance
- Making It Personal
- Summary
- Key Terms
- Discussion Questions
Appendix: Responsible Furniture Industries, Inc. (RFI)
Appendix: Responsible Furniture Industries, Inc. (RFI)
Additional materials
Description
Compensation: A Balanced Approach covers compensation systems and practices through theory and application. Each chapter looks at compensation from both the employer and employee perspective, giving students a more holistic understanding of the role total rewards play in an organization. Authors Beverly J. DeMarr, Vicki Fairbanks Taylor, and Claudia J. Ferrante help students develop the ability to think critically and ethically about compensation decisions and their effects on both employers and employees.
Contents
Preface
Preface
Acknowledgements
Acknowledgements
About the Authors
- 1. Total Compensation
- Nature Of The Employment Relationship
- Perspectives On The Importance Of Compensation
- From Total Compensation To Total Rewards
- Worldatwork Total Rewards Model
- The Unintended Consequences Of Pay
- Ongoing Challenges: Pay Equity
- Overview Of The Book
- Summary
- Key Terms
- Discussion Questions
- 2. Laws Affecting Compensation
- Fair Labor Standards Act
- Prevailing Wage Laws
- Anti-Discrimination Laws
- Legal Compliance
- Summary
- Key Terms
- Discussion Questions
- 3. Compensation Strategy and Objectives
- Shifting Focus From Shareholders To Stakeholders
- Types And Levels Of Strategies
- Using Compensation Strategically
- Compensation Objectives
- Influences On Compensation Strategy
- The Impact Of Compensation Strategy On Behavior
- Matching Compensation Strategy To The Organization’s Business Strategy
- Compensation As A Competitive Advantage
- Summary
- Key Terms
- Discussion Questions
- 4. Bases of Pay, Variations, and Differentials
- Pay Structures: Defining The Value Of Jobs
- Human Capital Theory: Determining The Value Of Employees
- Job-Based Pay
- Person-Based Pay
- Variations On Job- And Person-Based Pay
- Compensating Differentials
- Efficiency Wage Theory
- Sorting And Motivational Effects Of Differentials And Bases Of Pay
- Reservation Wage
- Summary
- Key Terms
- Discussion Questions
- 5. Establishing an Internally Equitable Compensation System
- Internal Equity
- Job Analysis
- Competency Modeling: An Alternative to Traditional Job Analysis
- Job Evaluation: Determining The Relative Value Of Jobs Within An Organization
- Alternatives To Job Evaluation
- The Role Of Ai In Creating An Internally Equitable Compensation System
- Market Pricing
- Summary
- Key Terms
- Discussion Questions
- 6. External Equity And Designing A Market-Competitive Pay Structure
- Creating A Market-Competitive Pay Structure
- Analyzing External And Internal Factors Influencing A Market-Competitive Pay Structure
- Determining The Competitive Pay Policy
- Collecting Market Data
- Integrating The Internal Job Structure With The External Market Data
- Establishing Pay Grades And Pay Ranges
- Multiple Salary Structures
- Market-Based Pay Structure: An Alternative To A Market-Competitive Pay Structure
- Summary
- Key Terms
- Discussion Questions
- 7. Rewarding Individual Performance
- Motivating Employees Through Incentives
- Measuring Performance
- Performance Appraisal Methods
- Merit Pay
- Bonuses
- Commission
- Piecework
- Standard Hour Plans
- Summary
- Key Terms
- Discussion Questions
- 8. Rewarding Group Performance
- Types Of Groups
- Measuring Group Performance
- Challenges In Rewarding Group Performance
- Types Of Rewards
- Gainsharing Plans
- Profit Sharing
- Incentive Stock Options
- Employee Stock Ownership Plans
- Nonfinancial Group Incentives
- Summary
- Key Terms
- Discussion Questions
- 9. Legally Required Benefits
- Legally Required Employee Benefits
- Social Security
- Unemployment Compensation
- Workers’ Compensation
- Family And Medical Leave Act (FMLA)
- Uniformed Services Employment And Reemployment Rights Act (USERRA)
- Patient Protection And Affordable Care Act (ACA)
- Additional Legal Requirements
- Summary
- Key Terms
- Discussion Questions
- 10. Voluntary Benefits
- Legal Requirements
- Employer-Sponsored Retirement Plans
- Health Insurance Alternatives
- Paid Time Off
- Other Miscellaneous Benefits
- The Importance Of A Needs Assessment
- Flexible Benefits/Cafeteria Plans
- Managing The System
- Summary
- Key Terms
- Discussion Questions
- 11. Compensation of Special Groups
- Sales
- Supervisors
- Contingent Workers
- Directors
- Executives
- Unionized Workers
- Two-Tier Pay Plans
- Part-Time
- Summary
- Key Terms
- Discussion Questions
- 12. International Compensation
- Data Sources
- National Differences And Requirements
- Categories Of International Workers
- Expatriate Pay And Benefits
- Cost Containment
- Repatriation
- International Assignments: Pros And Cons
- Summary
- Key Terms
- Discussion Questions
- 13. Compensation System Administration
- Managing Compensation Communication
- Pay Transparency
- Addressing Employee Fairness Concerns
- Managing Compensation Costs
- Evaluating Effectiveness: Audits, Metrics, And Employee Feedback
- From Metrics to Analytics
- Managing Change
- Summary
- Key Terms
- Discussion Questions
- 14. Compensation in Context: Putting It All Together
- Putting The Pieces Together
- Careers In Compensation
- The Future Of Compensation
- Work-Life Balance
- Making It Personal
- Summary
- Key Terms
- Discussion Questions
Appendix: Responsible Furniture Industries, Inc. (RFI)
Appendix: Responsible Furniture Industries, Inc. (RFI)
Additional materials
Reviews
Compensation
A Balanced Approach
December 2024 | 424 pages | Sage US
| Format | Published Date | ISBN | Price |
|---|
Compensation: A Balanced Approach covers compensation systems and practices through theory and application. Each chapter looks at compensation from both the employer and employee perspective, giving students a more holistic understanding of the role total rewards play in an organization. Authors Beverly J. DeMarr, Vicki Fairbanks Taylor, and Claudia J. Ferrante help students develop the ability to think critically and ethically about compensation decisions and their effects on both employers and employees.
Table Of Contents:
- Preface
- Acknowledgements
- About the Authors
- 1. Total Compensation
- Nature Of The Employment Relationship
- Perspectives On The Importance Of Compensation
- From Total Compensation To Total Rewards
- Worldatwork Total Rewards Model
- The Unintended Consequences Of Pay
- Ongoing Challenges: Pay Equity
- Overview Of The Book
- Summary
- Key Terms
- Discussion Questions
- 2. Laws Affecting Compensation
- Fair Labor Standards Act
- Prevailing Wage Laws
- Anti-Discrimination Laws
- Legal Compliance
- Summary
- Key Terms
- Discussion Questions
- 3. Compensation Strategy and Objectives
- Shifting Focus From Shareholders To Stakeholders
- Types And Levels Of Strategies
- Using Compensation Strategically
- Compensation Objectives
- Influences On Compensation Strategy
- The Impact Of Compensation Strategy On Behavior
- Matching Compensation Strategy To The Organization’s Business Strategy
- Compensation As A Competitive Advantage
- Summary
- Key Terms
- Discussion Questions
- 4. Bases of Pay, Variations, and Differentials
- Pay Structures: Defining The Value Of Jobs
- Human Capital Theory: Determining The Value Of Employees
- Job-Based Pay
- Person-Based Pay
- Variations On Job- And Person-Based Pay
- Compensating Differentials
- Efficiency Wage Theory
- Sorting And Motivational Effects Of Differentials And Bases Of Pay
- Reservation Wage
- Summary
- Key Terms
- Discussion Questions
- 5. Establishing an Internally Equitable Compensation System
- Internal Equity
- Job Analysis
- Competency Modeling: An Alternative to Traditional Job Analysis
- Job Evaluation: Determining The Relative Value Of Jobs Within An Organization
- Alternatives To Job Evaluation
- The Role Of Ai In Creating An Internally Equitable Compensation System
- Market Pricing
- Summary
- Key Terms
- Discussion Questions
- 6. External Equity And Designing A Market-Competitive Pay Structure
- Creating A Market-Competitive Pay Structure
- Analyzing External And Internal Factors Influencing A Market-Competitive Pay Structure
- Determining The Competitive Pay Policy
- Collecting Market Data
- Integrating The Internal Job Structure With The External Market Data
- Establishing Pay Grades And Pay Ranges
- Multiple Salary Structures
- Market-Based Pay Structure: An Alternative To A Market-Competitive Pay Structure
- Summary
- Key Terms
- Discussion Questions
- 7. Rewarding Individual Performance
- Motivating Employees Through Incentives
- Measuring Performance
- Performance Appraisal Methods
- Merit Pay
- Bonuses
- Commission
- Piecework
- Standard Hour Plans
- Summary
- Key Terms
- Discussion Questions
- 8. Rewarding Group Performance
- Types Of Groups
- Measuring Group Performance
- Challenges In Rewarding Group Performance
- Types Of Rewards
- Gainsharing Plans
- Profit Sharing
- Incentive Stock Options
- Employee Stock Ownership Plans
- Nonfinancial Group Incentives
- Summary
- Key Terms
- Discussion Questions
- 9. Legally Required Benefits
- Legally Required Employee Benefits
- Social Security
- Unemployment Compensation
- Workers’ Compensation
- Family And Medical Leave Act (FMLA)
- Uniformed Services Employment And Reemployment Rights Act (USERRA)
- Patient Protection And Affordable Care Act (ACA)
- Additional Legal Requirements
- Summary
- Key Terms
- Discussion Questions
- 10. Voluntary Benefits
- Legal Requirements
- Employer-Sponsored Retirement Plans
- Health Insurance Alternatives
- Paid Time Off
- Other Miscellaneous Benefits
- The Importance Of A Needs Assessment
- Flexible Benefits/Cafeteria Plans
- Managing The System
- Summary
- Key Terms
- Discussion Questions
- 11. Compensation of Special Groups
- Sales
- Supervisors
- Contingent Workers
- Directors
- Executives
- Unionized Workers
- Two-Tier Pay Plans
- Part-Time
- Summary
- Key Terms
- Discussion Questions
- 12. International Compensation
- Data Sources
- National Differences And Requirements
- Categories Of International Workers
- Expatriate Pay And Benefits
- Cost Containment
- Repatriation
- International Assignments: Pros And Cons
- Summary
- Key Terms
- Discussion Questions
- 13. Compensation System Administration
- Managing Compensation Communication
- Pay Transparency
- Addressing Employee Fairness Concerns
- Managing Compensation Costs
- Evaluating Effectiveness: Audits, Metrics, And Employee Feedback
- From Metrics to Analytics
- Managing Change
- Summary
- Key Terms
- Discussion Questions
- 14. Compensation in Context: Putting It All Together
- Putting The Pieces Together
- Careers In Compensation
- The Future Of Compensation
- Work-Life Balance
- Making It Personal
- Summary
- Key Terms
- Discussion Questions
- Appendix: Responsible Furniture Industries, Inc. (RFI)
Recent Product Reviews:
The textbook offers a comprehensive view on Compensation systems that is unparalleled in the current market. Human motivation, the Pay Model process, and policy structures are interwoven into the complex fabric of Compensation in an expert fashion. Plus, a comprehensive case study offers students a concrete example of how these concepts contribute to this nuanced function in Human Resources Management.
Dr. Edward De La Torre, Ed.D, California State University, Fullerton
This textbook offers a practical review of compensation and its components. Not only does it touch on the employer but also provides information for the employee. The exercises and case studies assist in facilitation of the course and compensation concepts.
Shari Benson MA, SPHR, SHRM-SCP, University of LaVerne