Case study (just want different idea)

Expanding Benefits Plan

You have got to be kidding me! Alex struggled to keep his voice from rising. Havent I given enough? Do you think Im made of money?

Rebecca stood up and quietly closes Alexs office door. She figured there was no need for everyone to hear this argument. As she sat back down in her chair, she attempted to sound calm although she was feeling a bit nervous. Alex often got excited, but on this day he seemed especially agitated. This was not a good sign.

She said, Im sorry. I am simply trying to look at every part of the employee experience. I know that the changes weve made to the compensation program are going to be expensive, but theres more need to be done.

Alex took a deep breath to steady himself before he responded. I thought if we did some work on the compensation issues then our employees would be satisfied. Now youre telling me that we need to revamp the benefits program, too? We already have great benefits. Why do we need more?

Choosing her words carefully, Rebecca said we have indeed made some major strides in improving our compensation system, and I know the employees have responded well. But, as I told you before, money is not enough.We have to work on the whole system to keep our employees engaged and motivated. There are number of facets for a strategic human resources plan, and the compensation system is just one. Benefits are another. We got some pretty clear indicators from our benefit audit and I think some adjustments are in order. Do you want to hear what Im thinking, or should I come back another day? Or we should ask Selina to join us. She can help us determine whats reasonable. Rebecca liked the idea of bringing in Selena, a person who was known for being analytical and even-tempered.

Alex shook his head Let me hear what you have to say. I dont want to wait. We can loop in Selena later.

Modern Benefits and Services

Rebecca nodded, gathering here courage to forge ahead. She knew it might be a bumpy ride. She said, Well, right now we have a pretty good benefits plan. It covers dental, pre-scription drugs, life insurance and educational assistance. This is all fine, but, to be honest, its king of the bare minimum. Employees these days, especially in this industry, expect more. As you know, some of our employees have worked at our tech companies,or they have friends who work at other progressive companies. Naturally there are some comparisons being drawn across the workplace. When that happens, Im afraid we seem to usually be on the low side of equation. Through the benefits audit, it became clear that our employees are aware that we are not in the line with the marketplace.

Rebecca could see Alex was about to interrupt her, so she put up a hand and continued, I know what youre going to ask. There are asking for things like game room, Friday Sunday parties, and napping pods for, for starters.

Shaking his head from side to side, Alex said, Napping pods? They want to nap at work? Now I know you are joking. He looked around the room. Did you set up a camera in here, Rebecca? Is this a practical joke? Why would I want people to nap at work? I want people to work at work! He threw his hands upin the air exasperated.

Rebecca waited a beat before she responded. She had been afraid he was going to react this way. Alex thought everyone should love working as much as he did.

She said, Maybe the napping pods are not a good idea for us. I dont know about that. What I do know is we want our employees to feel that we are giving them an overall pay and benefits plan that is good as or better than what theyll get at other companies. We really need to look at expanding our plan so that you and Selina think its reasonable, and the employees think it is fair compared to what others are getting. We dont have to go with every suggestion that comes our way. There are lots of options out there The good news is that some of them dont cost a lot of money. But we want to stay positive. Lets be strategic about this!

Expanding the Benefits Plan

1. Design an extended benefits plan for WEC. Consider paid time off befits, employee services, as well as emerging services and trends. (Hint: Think of specific interest groups and what might be solved with a cafeteria style approach).
2. Explain how your outlined plan could impact the organization in both the short and long term.
3. Alex expressed he thought the compensation issues were already addressed. Please describe the difference between direct and in-direct compensation. Rebecca indicated money is not enough please elaborate on this statement.
4. How does Rebeccas initiatives relate to the three roles of indirect compensation?