Discussion
Each and every medium and big business organization deals with a vast number of workers across the globe. The MNCs who are running business globally are also dealing with diversified employees from different culture and background. Engaging the workers with the business process and outcomes is the main objective or goal of an organization. But it can be seen that in the business process organization uses to face the challenges related to understanding the needs and requirements of workers. The role of a business does not only limit to the production, marketing and sales, rather prioritizing the workers along with other stakeholders is necessary to take into consideration. This research has chosen the topic about compensation where it plays a crucial role in terms of engaging workers in the business operations and activities. This research will start with discussing about the issues or challenges that the organizations are facing in the business environment in terms of not taking care of their workers. Often due to not getting satisfied with the business policies, culture and workplace environment, workers use to leave an organization. But nowadays it can be seen that due to not getting the basic needs of workers fulfilled, workers from different fields are finding opportunities to other organizations.
The concept of compensation started from a longer period of time in order to keep the workers encouraged and motivated within the workplace. In the past time, people were having less expectation compared to the current generation people because of diversify opportunities and business functionalities. There is a common belief that, employees will have higher satisfaction if they are provided with higher compensation. But according to the functionalities of HRs, it has been found that it is not always true that higher compensation can only satisfy workers. Rather they expect to have the same amount fairly and equally among all (Westjet.com, 2022). The context of compensation follows when an individual performs out of box and that cannot be the same like other. Therefore, if that person is giving their best for the growth of the organization, then that person is expecting to get the equal amount of compensation according to effort (Khudhair, Rahman and Adnan 2020). That is where the issue lies where employees within an organization is having their own perception of internal equity and if they believe that they are getting underpaid then there can be a reducing in the level of performance. The role of compensation is quite huge not only motivating the workers to work for personal and professional development but it can also have negative side when there will be less compensation based on the performance level (Lee and Song 2019). The issues that can arise are such as a greater number of sick leaves, increasing rate of absenteeism, excessive work breaks, lock of focus on work, tardiness and many more other factors.
Managing the concept of compensation to engage the workers is one of the critical tasks that is managed by HR professionals within an organization. Not providing right pay to the right people often increases the conflict among the workers. Often it can be seen that people who are working less are getting high compensation compared to those who are really working hard for the organization (Khan 2018). That is where worker find biasness and their desire to work for the organization for a longer period of time reduces. In addition to that, it can also be said that the higher authority people are getting higher compensation compared to lower level of hierarchy also discourage the workers to not engaging with effectiveness in the business operation. A business can only run with effective and adequate level of skilled and talented workers. Now, if an organization cannot retain those with the help of compensation and rewards program, then that can be considered as a huge loss for the performance and productivity within the workplace. Competition among the worker can be increased with the process of compensation but that should not be done in such way so that it reduces the desire among the workers to give their best for the organization (Miah 2018). If an organization does not make their workers feel that they are the asset of the organization, then in terms of engagement factors it cannot satisfy the organizational goal. Therefore, with effective compensation management an organization can make sure about engaging the workers in different activities for business and personal development process.
Challenge of Compensation
Compensation is a systematic approach in which monetary value is generated to the employees in return of the task being performed. As a result, compensation might attain a purpose in recruitment, job satisfaction as well as performance in a job. Employee engagement is a significant measure that determines profitable results (Abdullah and Othman 2019). West Jet focuses on people that is fundamental for the success for the airline. In such an industry, it is largely commoditized and recognizes the essential aspect of how they align with the core values. Through commitment of people, building on the success of people and taking care of the business is essential for constant growth and is one of the key elements for expansion of success.
As such West Jet’s compensation strategy is to limit the fixed component by making payments below the market base linked with corporate performance. Upon planning for use, the long-term goal lies in zero injuries at the workplace and how they are helping to enhance fuel efficiency at the workplace. West Jet employees are typically connected with making connection with the workforce (Siddiqi and Tangem 2018). The employees at West Jet typically engage with in creating an environment of sustainability from both inside and outside the workplace. As a result of compensation, this performance evaluation is initiated on work related matters that can be impaired from personal relationship that is disclosed to the leader.
In most cases, one does not receive benefit from business transaction beyond compensation. Acquiring any form of personal benefit in purchase of products can be utilized for purchase by the company. The personal relationship is in influencing judgements over matters related to hiring as well as performance evaluation. In most cases there are no additional benefits received from purchase of the products that can take advantage in the form of personal gains. Upon perceiving impaired vision, one needs to enclose relationship with leaders for the people representative department. In such a case receiving any kind of information from business transaction helps to resolve conflicts that might be occupant. Competition became stiff for encouraging constant flights that provides a boost for customer experience (Kurdi and Alshurideh 2020). In this aspect, the destination is a boost to customer convenience for affordable services to the staffs.
West Jet ensures that employees are recruited on the basis of their good employment relations as union replacement. The challenge of absenteeism is experienced for the employees at the airline industry. However, the company ensures that quality training is achieved for enabling understanding of diversifying decisions and how they are able to operate at same level to that of managers. As a result, the company is managed from the bottom up wherein employees perform their duties through inference on personnel department (Alshammari 2020). The management team at West Jet implies that coordination with airline companies can help in meeting favourable competes in the market through use of low prices and short distances in flexible tickets. West Jet encouragement of continuous flights is a boost to customer experience to be flexible onto their jobs as and when need arises.
Particular Challenge Experienced by West Jet
West Jet’s applicability for understanding of the culture is about empowerment as well as engagement for leading a culture that embraces on the things in adopting collaborative style. In this manner, involvement of the people and taking early decisions is affected upon them. The challenge in the level of absenteeism is experienced from the employees within the airline industry (Olson et al. 2018). However, in such a case West Jet strategy for acknowledging rewards and creativity is proved conductive for the delivery of services. Employees are considered to be operating at a same level in order to start applicability from personnel department. The process of recruiting new employees is in creating necessary solutions for specific problems promoted through mutual cooperation at high performance levels.
For employers, compensation can be intimidating as employees determine the value of the position brough forward to the job. In this aspect, this position will help in bringing the basic skill set needed for provision of the specialized work. Having determined the particular skill set helps to consider how much time and energy is needed therein. On being competitive in nature, attracting the best information helps to provide a good idea of what a new recruit is likely to expect at West Jet. In order to do this reliability on the software and appropriate consideration of the data is needed therein (Utomo 2022). It needs to be ensured that benchmarks for particular size and similarities by the company can be addressed in order to understand the details and applicability of the role.
Set on a pay range can help to determine the minimum and maximum pay that the company is willing to provide and determine the maximum valuation that the company is willing to pay. In this aspect, inclusion of ranges in job descriptions and providing a competitive advantage is denominated from attracting top candidates. Based on candidate affordability, one might not be able to sustain its position in future purpose (Otoo and Mishra 2018). Offering a salary that one care barely afford is in making a feasible aspect to the pay range. On the other hand, consideration of perks and benefits is another significant component in compensation package. Thinking about the common benefit is in attaining health insurance as well as accounts on retirement (Lahouel et al. 2021). Establishing benefit program is necessary for availability of budget for spending on benefits.
Depending on type of personality, employers are to be flexible in making negotiations. Proper comparison in compensation and enhancement of relationships goes with staffs as it can be intimidating for the staffs. By using these best practices feeling confident and offering right practices helps to attract the best employees. Trying to compromise and improving relations can help to develop sustainability in relationships (Gunessee, Subramanian and Ning 2018). This is a positive characteristic as it helps to denominate negotiation with being comfortable in working for the company. By means of compromise and improving relationships compensation comparison helps to make them feel more confident and offer the right quality to the employees. Employees are to negotiate in offering attractive benefits and perks for the workplace attractive to that of employees. Establishing a proper benefit program is implied for maintaining the available budget for spending on the benefit levels (van Hooijdonk and Liebrecht 2021). On the other hand, depending on the personality type, one needs to expect new hires for being capable in remaining flexible for negotiations. Through comparison of compensation, utilizing the best practices implies feeling confident about offering right salary for the employees. Employees at West Jet needs to try to compromise with the ability of enhancing relationships with the staff. Utilising best practices can help employees feel more confident for offering the right salary for the best employees (Gunessee, Subramanian and Ning 2018). In this aspect, enhancing relationships can compromise onto affordability and bring favourable results.
Conclusion
This research has been elaborated about the role of compensation in the engagement of workers where it has been found that lack of adequate compensation process and distribution can contribute to the negative side of the business. The demotivation and discouragement can increase if the workers found that they are not getting enough compensation or rewards according to their level of performance. This can result in less productivity and less development to the business organization. Thus, to ensure or prevent from the issues, there are different kinds of managerial approaches and methods have been discussed in the above research. It has been found from the research that, equal distribution of compensation, based on the performance level can increase the motivation among the workers which will help them to engage within the business process for the business development.
References
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