Companies develop compensation and benefits programs to motivate and attract more employees. Later, the programs may become costly for the companies thus forcing the companies to drop the programs. Therefore, the evaluation of effective ways of sustaining these benefit and compensation programs is necessary when trying to help organizations remain competitive in the labor market. To stay competitive, the organizations should tailor the benefit programs to fit their needs and employ the use of technology to manage the programs’ costs.
First, the employers should customize their benefit and compensation programs to fit the needs their specific industry. This step helps the employer to be able to make the program solve the specific needs of the employees through flexible approaches that ensure a higher employee satisfaction (Snell & Bohlander, 2013). Thus, the benefit and compensation program will make the organization competitive through motivating the employees to work harder and feel satisfied with the organization’s compensation.
Further, the organizations should use technology to reduce expenditure on the benefits and compensation programs. For instance, the use of online technology would help the organization’s employees to get faster access to the benefit and compensation program services at a cheaper cost (Snell & Bohlander, 2013). Hence, the organization would have provided a better service at a cheaper cost, which would make the organization remain competitive in the labor market.
Indeed, organizations should tailor their benefit and compensation programs to fit their industry needs and consider the use of technology in the programs so as to remain competitive. This is important since the steps will enable the organization to comfortably employ enough competent employees who are searching for organizations with lucrative benefit program.
Reference
Snell, S., & Bohlander, G. W. (2013). Managing human resources (16th ed.). Mason, Ohio: South-Western; Andover: Cengage Learning.
