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Compensation Components Offered At A Foreign Work Essay

Compensation Components Offered at a Foreign Work Site The compensation components offered to an employee of a U.S. company with the opportunity to take a job at a foreign work site availed through some form of an insurance plan. An important set of components is always non-insurance based and provides income to the employees at a foreign work site. These benefits can be classified into three major segments:

Loss of job income continuation

Disability income continuation

Accident and health protection

Liability and property protection

A special set of services and benefits known as prerequisites (Henderson, 2006).

All the categories contain various compensation components with various features given to an employee of a U.S. company with the opportunity of working at a foreign work site.

Disability income continuation

Disability can be categorized as temporary, singular, partial, or total. When the employee is unable to work because of some health related problem or an accident, disability income and continuation payment helps the employee marinating his/her current lifestyle without major changes. A number of income continuation components offer monthly or weekly payments in lieu of normal earned pay check (Goel, 2008). There are eleven components available in disability income continuation plans.

I. Long-term disability

II. Short-term disability

III. Employee's compensation

IV. Social security

V. Non-occupational disability

VI. Retirement plans

VII. Group life insurance

VIII. Dismemberment and accidental death

IX....

Supplemental disability
X. Sick leave

XI. Loss of job income continuation (Henderson, 2006)

These plans help the employee during the shorter periods of unemployment due to contract termination or layoff. This group has eight main compensation components

I. Short-time compensation program

II. Job contract

III. Severance pay

IV. Individual account plan

V. Guaranteed income streams

VI. Guaranteed annual income

Deferred income

An employee of a U.S. business with the opportunity of working at a foreign work site desires to with financial security after completing a successful work life. Over the years, the employee will soon establish several compensation components to help meet future financial goals and accumulate capital.

I. IRA, Keogh and 401 (k) plans

II. Supplemental executive retirement plans

III. Simplified employee pension plans

IV. Social security

V. Qualified retirement plan; stock bonus plan, profit-sharing plan and pension plan

VI. Stock purchase plan

VII. Deferred income plans

VIII. Stock grant

IX. Stock option plan

X. Executive and supplemental group life insurance plans (Goel, 2008).

Accident and health protection

The employee with the benefits will be given various insurance services. This will be helpful to the immediate family members in maintaining normal living standards when unusual health-related adversities occur. These plans relate to medical care covering surgical, medical, and hospital bills accruing from an illness…

Sources used in this document:
References

Henderson, R.I. (2006). Compensation management in a knowledge-based world (10th ed.). Upper Saddle River, NJ: Prentice Hall.

Goel, D. (2008). Performance appraisal and compensation management: A modern approach. New Dehli: Prentice-Hall of India.
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