Page 81 - HUMAN RESOURSE MANAGEMENT IN HOSPITALITY INDUSTRY

Remuneration packages or compensation is a
method of assigning monetary value to employees
in exchange for their services. Employers must
have a compensation organisational structure as a

tool to attract workers and retain the best
performance of their employees. As the HR
manager, the main objective is to ensure that

organization pay their employees correctly and on
time because compensation may be used to:

Recruit and retain qualified employees.
Increase or maintain morale/satisfaction of

employees.
As a tool for reward and encourage high
performance.

Achieve internal and external equity.
Reduce turnover and encourage company
loyalty.

The amount and type of remuneration received by

an employee it depending on how valuable an
employee is to the organization, such as depend on
the level of management, whether they are in an
executive-level position or are an entry-level

member of an organization make a significant
difference in calculating the final amount.