Manage remuneration and employee benefits

Performance objective
Demonstrate the skills and knowledge required when consulting with managers and employees to review the effectiveness of a remuneration strategy and make amendments as required.

Assessment description
Develop a plan for reviewing and amending a remuneration strategy and evaluate the effectiveness of a remuneration strategy.

Case study: Exclusive Foods

Exclusive Foods have implemented the remuneration strategy and it has now been in place for three months.

As a result of harsher than expected sales losses due to the economic downturn which impacted on Exclusive Foods to a greater degree than anticipated, the organisation has decided to close two stores.

You have been asked to make amendments to the remuneration policy to accommodate this redundancy offer to employees.

Procedure
1. Research methods of reviewing a remuneration strategy.

2. Write a report on the purpose and methodology for reviewing a remunerations and benefits strategy covering the following areas:

a. Why is it important to review and amend remuneration and benefits strategies?

b. Who would you consult? How and why?

c. What methodology could you use? Include quantitative and qualitative measures.

d. What would you measure the effectiveness of the remuneration strategy against?

3. Develop a format and questions for a focus group or individual interview to determine the effectiveness of a remuneration strategy. Questions for the focus group or individual interviews should aim to determine:

a. the remuneration strategy for the person or group

b. employee satisfaction levels

c. market competitiveness

d. how effectively the remuneration strategy supports organisational goals.

4. Conduct the focus group/interviews using the questions designed in step 3. Write down the feedback obtained and use these responses as part of your written report.

5. Develop a written report outlining the amendments you would make to the remuneration and benefits strategy based on your research, interviews and analysis of the case study information provided.

Specifications
You must provide:

· a written report based on the questions in step 2 of the above procedure

· a list of questions used for the focus group or individual interviews

· a written report on what changes you would recommend to the remuneration strategy based on the research you conducted.

Your assessor will be looking for:

· a variety of methods for evaluating the effectiveness of a remuneration strategy

· explanation of how each method would be used and why you have included that method

· evidence of the following considerations:

· Which stakeholders of the organisation would you consult with? How and why?

· What will you be measuring your strategy against:

· organisational strategic and operational goals

· employee satisfaction levels

· management satisfaction levels

· legal requirements

· questions for the meeting or individual interviews that determine:

· the remuneration strategy for the person or group

· employee satisfaction levels

· market competitiveness

· how effectively the remuneration strategy supports organisational goals

· the written report includes arrangements for those employees affected by the change to the remuneration policy (redundancy) in regards to:

· award requirements (where applicable)

· ethical practices relating to remuneration and benefits strategies

· requirements of the Australian Taxation Office in regards to income tax, superannuation, fringe benefits tax and bonus payments

· summary of the research conducted into relevant legislation, for example, equal employment opportunity, diversity and anti-discrimination legislation

Candidate: I declare that this work has been completed by me honestly and with integrity and that I have been assessed in a fair and flexible manner. I understand that the Institute’s Student Assessment, Reassessment and Repeating Units of Competency Guidelines apply to these assessment tasks.

Signature: ___________________

Date: ____/_____/_____

BSBHRM505 Learner Instructions 3