Designing a Competitive Compensation and Benefits Plan

This paper presents a comprehensive compensation and benefits strategy for Fishers, a mid-sized manufacturing company facing high employee turnover and below-market compensation perceptions. The plan addresses market-based pricing by benchmarking against industry competitors and introducing flexible benefits tailored to generational differences between Baby Boomers and Millennials. The strategy incorporates traditional benefits (health insurance, retirement plans, paid time off) alongside voluntary programs (wellness, tuition reimbursement, adoption assistance) and applies Herzberg's motivation-hygiene theory to drive employee engagement through meaningful work and career development. The integrated approach aims to reduce turnover, attract qualified talent, and align compensation with the company's stated mission of satisfying employee and consumer needs.