Compensation And Benefit Systems Implemented At A Major United States Company Research Proposal

Length: 5 pages Sources: 5 Subject: Education - Computers Type: Research Proposal Paper: #46076019 Related Topics: Massage Therapy, Hybrid Cars, Employee Turnover, Google
Excerpt from Research Proposal :

¶ … Fun is Good

The Benefits of Google Inc.

The benefits and compensation system for Google Inc. is both varied and complex. It offers many options for the worker at Google Inc. And is meant to increase employee retention rates within the company. Compensation and benefits systems enable leaders to generate and maintain a chance for an effective mechanism that stimulates a culture of self-empowerment, creative modernization, and self-motivating employees. Google is among the top companies in promoting self-motivation and innovation within its employee pool leading to its continual success and high profits.

Google Inc. has become one of the top 100 companies in the world with profits increasing since its formation in 1998 and its first public offering in 2004. Ever since the mid-2000's, Google has received a steady wave of success. "Companies like Cisco Inc. And Google Inc. have structured their leadership to provide the best environment to motivate their employees with intrinsic and extrinsic rewards." (Cook 1) With the success however, comes the misses. Amidst high employee satisfaction comes high employee turnover. Although the company values its employees and tries to create a healthy work environment, some articles say Google Inc. has a high employee turnover rate due to competitive offers from rival companies and startups. That still doesn't ruin their reputation as one of the nation's top-producing companies. "They have become top-producing companies that develop some of the best products that have shaped our world, have taught us how to find information, and have taught us how to learn and see things differently." (Cook 1) Thanks to their compensation and benefits package for its employees, Google Inc. became one of the top companies to work for and when polled, Google Inc. employees expressed a high satisfaction rating.

The 84% satisfaction rating comes from: "Free gourmet food all day, the best health insurance plan anywhere, five months' paid maternity leave, kindergartens and gyms at the workplace, the freedom to work on one's own projects 20% of the time, even death benefits." (Bershidsky 1) Employees literally have better benefits at Google than they would if they paid for it themselves. That is why people are dumbfounded when reviewing the information pertaining to the high turnover rate within the company's employee pool. Bershidsky suggests it comes from the mentality of the youth hired from the generation Y group. "No matter how satisfied these highly marketable young minds may be, no matter how much they enjoy the free meals and hybrid car subsidies, they will jump ship as soon as they get bored or get a better offer elsewhere." (Bershidsky 1)

Regardless of employee turnover rates, an organization or company like Google Inc. must make the maximum profit long-term through attracting the best talent out there and retaining them even it is short-term. Google has had continued success in maintaining steady or even increasing profits and through their rigorous entry testing, ensure they are getting top talent to work for them. When they gain the top talent, the company does everything it can to motivate them. The company's now famous rewards has made them the best place to work for since 2009. "Google, Inc. was ranked by Fortune magazine as the best place in the U.S. To work in 2009, and it has reached another zenith by becoming the most popular Web site." (Cook 1)

The company makes most of its profits through delivery of online advertisements. Its primary revenue bases are Google Adwords and Adsense. They have company offices and locations throughout the world and deals a brand portfolio of web-based merchandises and services, which are categorized into six categories: ", applications, client, Google GEO, Google Mobile and Android, Google Checkout, and Google labs." (Cook 1) With six categories and a growing number of people utilizing the various areas Google markets...


Brin and Page did not want their company to feed into the traditional 1980's mantra of "greed is good." For them drama in the workplace was unacceptable. They wanted a comfortable and positive work environment for their employees. The mecca they formed, called the Googleplex, became a place where the most talented employees congregated and brainstormed on concepts that were and are innovative and trend-setting. Google Inc. formed an incubator where philosophies had and have room to grow and evolve into profitable and popular successes. The founders held firm to the belief that the best talent out there will be attracted to the best rewards and will feel motivated to try their best in any area of work they have in the company as long as they are treated well and work in a positive environment.

One of the biggest rewards Google offers its employees is flexibility. They offer employees the chance follow concepts that test the status quo and destroy archetypes. Instead of the late "greed is good" mantra, Google, Inc.'s CEO, Erin Schmitt, uses "fun is good" as the company's main principle and states that the challenge of work should be in itself a fun activity. Putting their employees first through providing an exceptional work environment leads to higher overall productivity. The CEO of Google Inc. states: "We realize and celebrate the variety of needs our employees have, and that this diversity demands flexibility and individually directed support. Our main priority is to offer a unique and customizable program that can be tailored to the particular needs of every individual." (Google 1)

"Google, Inc. provides a standard package of fringe benefits, but on top of that are first-class dining facilities, gyms, laundry rooms, massage rooms, haircuts, carwashes, dry cleaning, commuting buses -- just about anything a hardworking employee might want." (Cook 2) Google understands the needs of the workers to perform their job responsibilities and their everyday routines. That's why Google relies on providing both intrinsic and extrinsic rewards to help workers feel like they can work and successfully fulfill their personal and daily goals. Google knows motivation is not solely seen in pay incentives, but also in how the company shows it cares for its employees. They understand decent company culture is correlated to company success that is why Google sought the opinion and expertise of a Culture Czar.

"Google, Inc.'s CCO, Chief Culture Czar, Stacy Sullivan, is devoted to one thing -- make Googlers happy. One way of maintaining Google, Inc.'s culture and keeping employees happy is administering the best perks and rewards." (Mills 1). Google Inc. has traditional extrinsic benefits such as free medical and dental benefits, a varied offering of 401k plans, flex spending accounts, insurance, vacation packages, even but they also have other benefits. These benefits are unique to Google Inc. And fall under a modern category of extrinsic. They include: maternity benefits up to six and a half months off at around 100% pay. "In addition, new mothers and fathers get Take-Out Benefits to help make things easier. They are provided with expenses up to $500 for take-out meals during the first three months that they are home with their new baby." (Cook 2) In the Gift Matching Program, another form of benefits for employees, Google provides back-up child care equaling donations of up to $3,000 per year from eligible employees to non-profit organizations.

Google Inc. even offers help with extremely personal matter such Adoption Assistance. The company offers financial aid to the employees wishing to adopt a child. Including other legal matters, Google, will compensate employees up to $5,000 to use towards legal expenditures. The complimentary gourmet food mentioned earlier comes in the form of a free lunch and dinner that is prepared by gourmet chefs. The chefs generate a wide assortment of healthy and wonderful meals on a daily basis. Aside from the daily meals, Google also offers snack. Google's headquarters even have an on-site doctor and in certain locations, provides free shuttle transportation.

"At Google headquarters in Mountain View, there is on-site oil change, car wash, dry cleaning, massage therapy, gym, hair stylist, fitness classes and bike repair." (Cook 2) Google wants its employees to be health conscious and environmentally conscious. That is why the company will reimburse its employees up to $5,000 for the purchase of a hybrid car. Along with all these benefits, too many to list, and new ones being included on an annual basis, employees are also allowed the freedom they don't typically get in other jobs. That is where the intrinsic rewards come in.

The intrinsic rewards Google offers are: small work groups, no real hierarchy, and most importantly, purpose. Their hierarchical structure is flat to get the best out of an employee's creativity. Focus on…

Sources Used in Documents:

Works Cited

Bershidsky, Leonid. "Why Are Google Employees So Disloyal?" Bloomberg. Bloomberg, 29 July 2013. Web. 22 Feb. 2014. <>.

Cook, Joshua. "How Google Motivates their Employees with Rewards and Perks." HubPages., n.d. Web. 22 Feb. 2014. <>. "Datamonitor Research Store - Google Inc." Datamonitor | the home of Business Information. N.p., 2014. Web. 21 Feb. 2014. <>.

Glassdoor. "Google Salaries and Benefits." Glassdoor. N.p., n.d. Web. 22 Feb. 2014. <>.

Cite this Document:

"Compensation And Benefit Systems Implemented At A Major United States Company" (2014, February 24) Retrieved September 25, 2021, from

"Compensation And Benefit Systems Implemented At A Major United States Company" 24 February 2014. Web.25 September. 2021. <>

"Compensation And Benefit Systems Implemented At A Major United States Company", 24 February 2014, Accessed.25 September. 2021,

Purpose of

The documents we provide are to be used as a sample, template, outline, guideline in helping you write your own paper, not to be used for academic credit. All users must abide by our "Student Honor Code" or you will be restricted access to our website.

Related Documents
Quality Control Group Project Company Overview US
Words: 3903 Length: 15 Pages Topic: Business Paper #: 45929291

Quality Control Group Project Company Overview US Airways Group Inc. is one of the major U.S. airline companies that delivers air transportation services for cargo and passengers. The company is the 5th largest airline company in the United States as being measured by available seat miles and revenue passengers. The U.S. Airways Group was formed in 2005 through its merger with former U.S. Airways Group and American West Holdings. The company scheduled

Human Trafficking Analysis of United States and the World
Words: 10151 Length: 20 Pages Topic: Global Politics - World Affairs Paper #: 70798817

Human Trafficking: Comparative Analysis of Human Trafficking in the United States with the World Stephanie I. Specialized Field Project Human Trafficking is a very serious issue that affects every country around the world. Human Trafficking is also known as "Sex Trafficking," or "Modern Day Slavery," which reflects the primary reasons people are bought and sold today -- sex trade and involuntary labor. The Trafficking Victims Protection Act of 2000 (TVPA) defines sex trafficking as "the

Compensation and Benefits
Words: 2747 Length: 9 Pages Topic: Careers Paper #: 2699536

Compensation and Benefits The United States Postal Service (USPS) which has been experiencing periods of stagnant or declining revenue was discovered to have a large issue with their compensation and benefits system. It was discovered that the organization provides its employees with lucrative packages which are much higher than those offered by its private sector competitors. Most of the USPS employees are unionized and the unions have been able to negotiate

Compensation Management Explain the Job Characteristics Theory.
Words: 4841 Length: 16 Pages Topic: Careers Paper #: 21711666

Compensation Management Explain the job characteristics theory. How does it tie in with intrinsic compensation? Job characteristics theory was first introduced by Hackman and Oldham. Later on the basis of this theory, a job characteristic model was proposed which is also known as JCM. The theory focuses on five job attributes which helps in motivating the employees and make them feel satisfied at their job. The five job characteristics are as follows: Task

Compensation Practice
Words: 1756 Length: 6 Pages Topic: Business Paper #: 5415553

Compensation Practices at McDonald's McDonald's McDonald's is an American multinational fast food chain. It was established in 1940 by Richard and Maurice McDonald as a small BBQ restaurant. The current McDonald's started growing globally when a business man Ray Kroc purchased this entire fast food chain from the owners and began franchising it to private investors in the local and international markets. McDonald's is headquartered in Oak Brook, United States and currently

Compensation Management the Minimum Wage
Words: 7301 Length: 22 Pages Topic: Careers Paper #: 72607302

By bringing more locals into the overseas operation, the use of expats can be reduced. In addition, the cost of expats should be factored into the decision to enter a market. Major markets will still be profitable even with the presence of expats, but there are many marginal markets that may not be viable once expat costs are included (for example, where Malaysia may be profitable, adjacent Brunei may