HRPR 301 Compensation and Benefits:Case Of Michelle Company

You are an employee working for Michelle Company. Would you prefer to be compensated with an Individual Performance Pay Plan or with a Group Performance Pay plan? Explain your answer. 

Your answer must include 2 different reasons for your choice and a complete explanation of each of those reasons. 

Answer:

Compensation and benefits: Individual pay performance plan or group performance pay plan

As an employee of Michelle Company, I would like to work on individual performance pay plan. It will help me in knowing my areas of excellence and weaknesses. I will like to get the reward for my abilities rather than relying on other abilities. It will be easy for me to compare the pay of other employees. Comparing does not mean getting demotivated rather than it means motivation. By doing this, I will develop the skills and apply new techniques for doing work in order to reach the desired goal. Individual compensation plan over the group compensation plan helps in knowing the capabilities of me. By considering this, it will assist the other embers to see the capability to do varied task in the organization. I will prefer this plan because it will clearly witness my part of contribution in the organization. Whatever the outcome is, it will reveal the correct and accurate contribution from my side. I think that group compensation ensures all the employees same in the organization. It is true that all employees have the right to treated equally but I think capable one should get the high pay in return for its performance. Similarly, this principle I would like to apply for me while working as an employee of Michelle Company. It will also help me in getting a fair pay because pay based on group must have some sort of discrimination. It will lead to better productivity in me, as the reward for my part of performance will belong to me.

Secondly, I believe that “quality is better than quantity.” I personally believe that while working a team and getting reward according to that does not reveal the capabilities of each of the employees. Besides this, individual performance plan will help me in working hard due to the tendency to work well than others work. There is a level of competition by getting pay according to the individual outcome. As per my perception, quality work can come from working individually. Individual performance plan will always motivate me to think for creative idea so that I will be recognised for that too. Besides compensation, it provides the several benefits in the organization such as status, appreciation for creative or innovative performance. Besides this, it will provide the high pay to high achievable employees. I would always like to pay for my contribution and creative that I do in the organization. Pay for my performance will help me to getting my salary a bit quicker than the group pay performance plan. It is easy to give the pay of one individual for its contribution. It will also avoid the low pay for the poor performance of other members. In this way, individual performance plan is better to earn a fair pay for working in the organization.