BUS FPX 4043 Assessment 6 A Competitive Pay and Benefits Plan

Student Name

Capella University

BUS-FPX4043 Compensation and Benefits Management

Prof. Name

Date

Compensation Philosophy

The compensation philosophy of Folly Faces LLC is designed to attract, retain, and motivate potential employees while prioritizing fairness and transparency. Effective communication is integrated with compensation strategies to align with the company’s values and business objectives, fostering long-term operational and financial growth. Upholding equality for all employees is a cornerstone reflected in our compensation policies and practices.

Compensation and Benefits Effectiveness

The adequacy of the compensation and benefits package is crucial for attracting and retaining talent. Compensation includes wages, salaries, bonuses, and commissions, while benefits serve as incentives and contribute to overall employee satisfaction. A well-structured compensation plan can mitigate costly turnover repercussions, directly impacting company revenue (Stahm, 2022).

Compensation: A Competitive Pay and Benefits Plan

Folly Faces LLC offers a competitive pay and benefits plan, including a full-time, exempt position for face painters with a starting annual salary of $32,000, inclusive of incentive pay. Base pay, the foundation of compensation, excludes taxes and additional benefits and is protected against discrimination by federal laws such as the Equal Pay Act of 1963 and Title VII of the Civil Rights Act of 1964 (Facts About Equal Pay and Compensation Discrimination, 1997).

Base Benefit Plans

Employee benefit plans encompass health, wellness, financial and retirement, time-off, and work-life balance initiatives. These include health insurance, retirement savings plans, paid time off, and flexible work arrangements (Haan, 2023). Mandated benefits in Ohio, such as workers’ compensation and unemployment insurance, are obligatory for employers (Haan, 2023).

Discretionary Benefits

While not legally mandated, discretionary benefits enhance employee satisfaction and well-being. Folly Faces LLC provides discretionary benefits such as student loan assistance, tuition reimbursement, and family party booking discounts to boost morale, facilitate skill advancement, and alleviate financial burdens for employees (Admin, 2022).

Major Laws

Compliance with federal, state, and local laws governing compensation and benefits is paramount. Folly Faces LLC is committed to adhering to all relevant regulations to ensure fairness and equity in its compensation practices (Summary of the Major Laws of the Department of Labor, n.d.).

Trends

Companies are adopting innovative approaches to employee benefits in response to evolving workforce dynamics. Key trends include rising healthcare costs, concerns about mental health, and regulatory considerations associated with remote work arrangements (6 Key Trends Influence Employee Benefits in 2023 | BenefitsPRO, 2023).

Conclusion

Folly Faces LLC aims to establish itself as a successful and esteemed entity in its industry by offering a competitive compensation and benefits package supplemented with discretionary perks. This approach seeks to cultivate a loyal and motivated workforce poised for sustained growth.

References

Admin, C. (2022). Discretionary employee benefits 101. Higginbotham.

Connecteam. (2023, June 8). What is Base Pay?

Facts about equal pay and compensation Discrimination. (1997, January 15). US EEOC.

BUS FPX 4043 Assessment 6 A Competitive Pay and Benefits Plan

Haan, K. (2023, August 2). Employee Benefits In 2023: The Ultimate Guide. Forbes Advisor.

Stahm, H. (2022). How compensation impacts your business. Payscale.

Summary of the major laws of the Department of Labor. (n.d.). DOL.

6 key trends influence employee benefits in 2023 | BenefitsPRO. (2023, January 27). BenefitsPRO.

BUS FPX 4043 Assessment 6 A Competitive Pay and Benefits Plan