Conpensation plans

Compensation is divide into 2:

1. Financial can be divide into two also such as direct and non direct
2. Nonfunctional can be divide into two also such as job and envelopment

example of it

• direct is salary,incentive, wages, overtime pay,bonus and commission
• non direct is employee insurance facility, Holiday, flexible, work schedule and insurance
• job is promoting, challenging and interesting job
• envelopment is get polish protection, friendly worker and safety work

By Davis-Bacon Act(1931) compensation is a law that sets pay rates for laborers employed by contractors working for the federal government.
By walsh healey Public contract Act(1936) compensation is a law that requires minimum wages and working conditions for employees working on any government contract amounting to more than $10,000

Objectives of Compensation :

• adequate
• equitable
• balanced
• cost effective
• secure
• incentive providing
• acceptable to the employee

by looking that we will get function :
Maximum work per weak = 40 hours( 7 hours for Monday until Friday and 5 hours in Saturday) if more than that will consider compensation so

compensation= 1.5 x full salary/Time work more

so you salary will be : salary + compensation