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Running head: BENEFITS AND REWARDS 1 Benefits and Rewards The University of Arizona Global Campus HRM 650: Managing a Global and Diverse Workforce

Benefits and Rewards One way for a company to retain its employees is by offering them a benefits and rewards package. Recognizing employees and offering them rewards for specific behavior should be ongoing and effective. If a company only offers rewards on an occasional basis, the workplace motivation factor will not exist, and it will be hard to retain and engage employees. A successful rewards strategy “boosts employee productivity, increases satisfaction to customers and raises employee retention” (Kannan, 2016, p. 1). Consequently, managers in the human resource field must develop reward programs that give employees what they crave. Employees do not just find employment with a company that will help them succeed; they will find a company that helps them succeed with an excellent benefits package. If a company does not have a benefit and rewards package, there is a high chance that an applicant will decline the opportunity to work there. Thus, benefits and rewards packages include everything that HR needs to influence, hire, and retain top employees. Compensation Employees expect a certain compensation level to be happy, regardless of where they work or where the company is located. There are two options specifically looked at when it comes to compensation plans that help keep employees happy in the workplace.

1. Fixed pay: “Fixed pay is sufficient for an employee to live comfortably” (Financial Express, 2005, para. 2). Fixed pay is the smallest sum that one anticipates, and employees usually call this their base pay. When it comes to the fixed pay plan, it is based “on the philosophy of the organization which must be competitive to attract and retain more employees” (Kannan, 2016, p. 1).

In today’s world, companies are always competing with one another for employees. In April of 2020, “India posted 200,000 job openings in just a four-week timeframe, and 80,000 of those jobs were only entry-level positions” (Sindwani, 2020, para. 1). Companies must think of creative ways to get employees in the door and keep them there. Companies must think out of the box and research to find what their employees want and what future employees will want. Creating a plan now will help in the recruitment and retention process. Rewards and Benefits for India Employees Globalization makes it hard to keep top employees because of the constant competition. Organizations must remember that when a work environment changes, they also need to change to fit the new normal. To hedge diversity, they should ensure to make its benefits and rewards package unified and in-line with the company's short-term and long-term market goals (Bwowe & Marongwe, 2018). The strategy created must be communicated with the employees and looked at often to make sure it still attracts top talent. To continue to attract top Indian talent, companies should offer a flexible benefits bundle. As stated earlier, a flexible bundle allows employees to choose from specific offerings that work best for them and their life. The flexible benefits bundle fits Indian employees best because not everybody wants the same thing. An 18-year-old employee might want to focus more on tuition reimbursement than saving up for retirement. A 45-year-old employee may want more vacation time to spend with family instead of tuition reimbursement. Giving employees the option to choose helps keep them in the door and is a great talking point when recruitment is in the picture. When employers offer a flexible benefits plan, it is more likely to attract top talent (Thomas & Lazarova, 2014).

When it comes to how compensation is offered will depend directly on the job. Employees hired for production work, fast food, waitress, and other lower-skilled jobs will be paid hourly. Employees who are working in higher-skilled jobs such as human resources and management, for example, will be paid a salary. However, all employees are eligible to receive incentive pay. Regardless of what position an employee works, if they go above and beyond to do something that betters the company, incentive pay is always an option that is based on management discretion. Benefits, rewards, and compensation plans in India continue to evolve. Companies are now starting to value employees, and with this comes the flexibility of the rewards and benefits package. According to TeamLease (2018), these flexible benefits are becoming extremely popular because of the “better tax benefits, personalization, and higher perceived value on employees” (p. 24). It is crucial to remember that as time goes on, the needs of employees change. Companies must continue to benchmark to remain competitive and improve their strategy as time goes on. Conclusion Regardless of where a company is located, a rewards and benefits plan must consider what employees want. Indian employees, for the most part, want the same thing that American employees want. They want to work in a company that offers good pay, benefits, and rewards. Companies must compete for employees daily, from low skilled to high skilled. To remain competitive, they must stand out. Even if a company cannot afford to pay their employees the best wage, they can still offer the competitive benefits that make employees interested in working for their business. Taking into account what employees look for in a career and using that to their advantage is the best way to recruit and retain employees in any business.