When it comes to any large organization such as the GWC Valves company, having different total rewards programs for their employees is something that is almost mandatory. That is, if you want to attract qualified employees and retain the best employees. Total employment rewards are an integrated package of all rewards that are gained by employees arising from their employment.
There are five components of total rewards and these include either compensation, benefits, work-life programs, performance and recognition, and development and career opportunities. Compensation includes certain things such as wages, salaries incentives, commissions and bonuses which needs to be very attractive for applicants benefits can include indirect payments such as paid vacations, and employee insurance plans. Work-life programs means being able to have a flexible schedule or childcare ad even more. For performance and recognition, this can include organizations having a pay-for-performance program where the employees will get paid more based on what was accomplished. Every organization, especially larger ones, should allow their employees to move up and get promoted at sometime in their life if that’s what the employee wants. By having all of these total rewards, it allows your organization to succeed more and be more motivated.
There is an impact of rewards because the reason why most large organization have these rewards in the first place is to attract qualified potential employees, retain their current employees to reduce turnover rates, motivate and engage their employees by offering different rewards. According to A Global Workforce Study by Towers Perrin, for Canadians the number one competitive factor is base pay in attracting and retaining employees. Before settling for a job that you may be doing for years, you need to have different options and be able to pick which one fits your lifestyle the best and this is what the total rewards comes down to for most employees or applicants.