Employee Benefits Has Been Increasingly Article Critique

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(Koen 2011, pp. 61 -- 62)

The piece of literature that was written by Shreman (2006), talks about how employee benefits will vary from one location to the next. Once there is a merger or acquisition, this could be when the employee compensation structure will change. The reason why, is because one company is purchasing the other. This will have an effect on the value of certain investments that the staff will be receiving. At the same time, this is an indication that previous obligations will be adjusted to reflect what is happening with the parent company. This means that in some cases, employees will be receiving greater amounts of benefits. While at other times, this is a sign that there could be a reduction in these benefits. The information from this source is important, because it is an indication that the firm could have a number of different issues they are dealing with: surrounding changes in the industry or their underlying financial position. As a result, this means that various forms of compensation could change. (Sherman 2006, pp. 10 -- 36)

Furthermore, Pride (2010) discusses the impact of employee benefits by looking at Google. In this case, he found that the company is offering a number of different compensation packages that go above and beyond that of competitors. To include: free lunches, discounts on vacations / entertainment, an in house physician, flexible time to determine what projects they want to work on, health insurance, stock options, free child care and bonuses that are based on performance. These different elements are important, because they have allowed Google to be able to maintain their competitive advantage in an industry that is constantly changing. Part of the reason for this, is because they encourage someone to seek out ways to help the company improve upon: the various products and services that they are delivering. At the same time, it helps them to adapt to changes that are taking place inside the industry. Over the course of time, this basic approach has allowed Google to be able to find and retain some of the best talent in the world of technology. The information from this source is useful, because it is illustrating how taking this kind of approach will help an organization to be able to maintain the highest levels of motivation at all times. Once this occurs, it means that employees are willing to do more to help the firm succeed. This is the point that they can be able to more effectively adjust to changes that are taking place in the sector and within the workplace. (Pride 2010, pg. 246)

Clearly, the research that was examined is indicating that corporations will offer its employees benefits to: improve the underlying levels of motivation and in addressing regulatory requirements. However, those entities that are the most successful will provide compensation packages that go above and beyond what their competitors have. Over the course of time, this gives them the ability to adapt to changes in the marketplace. While at the same time, it helps them to be able to retain key talent. These elements are important, because they are illustrating how the overall benefits plan will play a major role in determining how successful a company will be in the future. As a result, this is indicating that it will have a long-term impact on a wide variety of organizations.


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