Human Resource Benefit Package

HumanResource Benefit Package

HumanResource Benefit Package


Inthe current context of human resource management, the inception,management and control given to employees is very critical. Thestructure of compensation plan for each employee determines rate ofemployee turnover. When human resource department of any organizationis instituting the overall benefit plan for the employees, there aremany factors that come into play. In the first instance, they mustmeet the government rules and regulations on labor laws andcompensation plans (Wu,Bacon, &amp Hoque, 2014).Additionally, the benefit package for each employee in theinstitution should be in line with stipulations of the labororganizations in the country. In coming up with a strategic visionand mission of a company, much attention should be given to theemployee benefit as it affects the cost benefit analysis of thecompany. The role of the management in ensuring high profitability ofthe firm is very critical here. Hence the human resource departmentshould ensure that they regulate the costs in order to meet theobjectives of the firm (Paillé,Chen, Boiral, &amp Jin, 2014).The HR department and the company strategic managers have to come upwith a compromising situation where there should be a balance betweenthe employee welfare that increases the cost of labor and theprofitability of the firm. This research paper is a masterpiece ofcreating an understanding on some of the vital aspects HR benefitspackage and how its inception affects the working environment of thefirm as well as those of the stakeholders of the same.

Employeebenefits are those non-salary compensations given to the employees bythe firm and are optional in nature. they are usually given to theseemployees in addition to the normal salaries and wages they get fromfirm. Some of these benefits include disability income protection,daycare, retirement benefits, tuition reimbursements, group insurance(dental, health, vision, life etc.), the non-paid and paid leave,flexible working arrangements and the funding for education. thedesign and the implementation of the benefit plans are instituted inaccordance with the policies of the company (Berman,Bowman, West, &amp Van Wart, 2015).There are various rules and regulations that the government has putin place to encourage the inception of the benefits to the employeesof the firm. The labor unions acts have various acts that support theneed for the company to compensate their employees in the best waypossible. Lastly, the inception of the benefits must be in line withthe organization’s mission, strategy, values and culture. Thispaper unveils the real analysis of the HR benefits in context ofvarious tenets of company regulations and how it affects the variousstakeholders at hand. The company put into context here is Coca-ColaCompany where the HR department objectives analysis is done with keenattention to meeting the overall strategy of the firm. The mainresearch question here is the impact that the federal laws, companypolicies, and union regulations have on the inception of the employeebenefits with companies.

Alignmentto The Company Values, Mission and Strategy

Thecontext of company values, mission, vision and strategy, inception ofa profound employee benefit plan is very essential. The main missionCoca-Cola Company is to refresh the whole world in body, mind andspirit. To motivate moments of happiness and optimism through theiractions and beverage brand and actions. From the mission, above, itis evident that the welfare of the customer is at the center ofstrategy of the company (Butts,Casper, &amp Yang, 2013).To meet this mission, one most important thing that the company mustdo is to ensure that they create a conducive working environment forthe employees. In so doing, they have to institute a state of artbenefit plan for the staff to that affect. One of the areas that thefirm has invested in the retirement benefit scheme. The management iswell aware of that the employees are quite cautious about their andthose of their loved ones. The retirement benefit scheme for theemployees is an assurance that they are safe and that the companyvalue their future as well. Additionally, the firm has extensivelyprovided training for its employees by giving them the funding fortheir education. the acquisition of skill motivates and gives theemployees the optimism to work as they get knowledgeable and growwith the firm as well. The fact that the company strategy is toensure high levels of commitment to work is in line with the benefitsthey offer. In addition to the funding education, the firm has alsoinvested in the daycare which allows the employees to stay committedto their work as they feel part and parcel of the working team and itreduces the advent of discrimination as well (Kehoe,&amp Wright, 2013).

TheFederal and Labor Union Regulations

Inthe context of the federal laws, there exists instances wherebenefits to the employees are encouraged by the government to begiven to the employees by the firms. According to the OccupationalSafety and Health Act,it is stipulated that the company has to provide a workingenvironment that reduces the chances of any safety and health riskswithin the firm. In this regard, the company has decided to offergroup insurance to its employees which covers dentals, vision andother health problems that the employee might be encountering (Kehoe,&amp Wright, 2013).The firm therefore has the obligation to cover its employees againstany health risks and by doing this, it creates a platform where theemployee benefits are offered appropriately. These stipulations arealso outlined in the HealthInsurance and Accountability Act(HIPAA) (UNITED STATES DEPARTMENT OF LABOR. 2014). It is important tonote that non-adherence to the federal laws is very critical as itwill make the company go into a loss due to legal expenses. In orderto avoid such incidences, the firm would have the best way ofinstituting a proper benefit plan that will not only enhance theemployee commitment but it will also ensure that the company’sreputation is maintained on a good level (Claxton,Rae, Panchal, Damico, Whitmore, Bostick, &amp Kenward, 2013).

Theproposition that the federal laws streamline the operations of thefirm should not be underrated. The economic player in the industrywould suffer if it is not regulated. The Government regulations suchas provision of a good working environment for the employee enhancesthe lives of the same. It now becomes the responsibility of the firmto adhere to these stipulations by providing the benefits toemployees and creating a uniformity in the regulatory framework.Labor unions are very important in ensuring that the employees’welfare is well addressed (Wagner,2013).These organization are very critical in determining the operations ofthe firm and its performance as well. The contractual agreement thatthe company have with the labor unions are deemed to be adhered toand hence they have to respect and honor these obligations. One ofthe labor union laws as contained in the Labor-ManagementReporting and Disclosure Act of 1959is that the employer has the obligation of ensuring that the welfareand safety of the employee is guaranteed. This connotation should bedisclosed to the labor union organization who should ensure that theyare indeed done. Due to this pressure from the labor unions, theemployer has the obligation to offer the employees benefits like thehealth insurance and daycare services to ensure that their welfare iswell attended (Alfes,Shantz, Truss, &amp Soane, 2013).

ApplicableHR Measurements

Evenin the attempt of offering the benefits to the employees, there arecost and benefits implications that the company face. One of them isthe cost of labor which is expected to increase. In the quest ofensuring that the strategy of the company is met, there are some ofthe benefits that the firm will accrue while they trying to offerthese benefits to the employees. High level of commitment to work isexpected from the employees due to the fact that they feel indebtedto the company for easing their burden of say health concerns(Claxton,Rae, Panchal, Damico, Whitmore, Bostick, &amp Kenward, 2013).Additionally, the benefits such as the disability income protectionreduces the rate of employee turnover that eventually improves theproductivity of the same as they grow in it. The employee benefitsalso have the effect of enhancing the reputation of the firm withkeen attention to their role spearheading corporation andcoordination of work relations and commitment to work.

Roleof HR Leadership

Intrying to implement to HR benefit plan, the HR leaders have acritical role in lobbying for the implementation of such project asthe management would perceive them as having a high cost implicationsto the company. It is the mandate of the leaders in the HRdepartments to come up with a well-informed benefit plan for theemployees and relay it to the top-level management (UNITED STATESDEPARTMENT OF LABOR. 2014). In this formulation, the leaders heremust be at a position to explain the cost-benefit analysis and give astring recommendation as why the benefit plan should be instituted.In this prospect, the leader must outline all the short and long termbenefit plan to the company. some of the benefits that the leader isexpected to relay to the top-level management is the notion ofbuilding the reputation of the firm and ensuring high level of longterm benefits (Snell,Morris, &amp Bohlander, 2015).Additionally, they would stress on the advent of reduction of theemployee turnover rate which enhances commitment to work and possiblestability and efficiency in workflows of the firm.

Limitationof The Research and Future Research Opportunities

Oneof the major limitation of this research is the fact that variousresearch materials have varied perspective on the cost implication ofthe employee benefits that research to require a more in depthanalysis on the same. The future research should focus on the need tocome up with a compromise on how to strike a balance between the costand benefits of the implementation of this package into theorganization.


Insummary, human resource benefits are at the center of the managementof the employees. a well-structured employee benefit package hasnumerous benefits. It helps in building the reputation of the firm,it reduces the rate of employee turnover and also ensures motivationand commitment of the employees to their work. The employee benefitpackage must be designed in such a way that it adheres to thecompany’s policies and strategic values. On the account of thefederals, it is the obligations of the firm to ensure that theyadhere to the Occupational Safety and Health Act and in so doing,they have to insure their employees against any health hazard toreduce any cost implications so far. The labor unions on the handhave contractual agreements that the employers must adhere to bycreating a conducive environment for working. All these regulationsprovide good grounds for inception of a good benefit plan. The HRdepartment has the obligation of ensuring that the benefit plan iswithin the limits of the company’s main strategic aims andobjectives.


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