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Question: Articulate the considerations that you would need to explore to effectively design an indirect compensation system
Background: J&B is a high-end clothing store with 3 locations in Downtown and 2 Uptown stores in British Columbia. The J&B vision is to "support a life of luxury, right down to your socks". The 2 goals include:
Growth through expansion in apparel, perfumes, and lifestyle productsImpeccable brand alignmentThere are currently 18 staff in total: 6 full-time sales associates, 9 part-time sales associates and 3 store managers.
The owners, Jayden and Bess, have received constructive employee feedback about the indirect compensation. Feedback has suggested that the indirect compensation does not value employee health and wellbeing. Employees have expressed concern that they are paying out of pocket for dental and extended health coverage. They have also expressed concern about the minimum vacation and minimum sick time provided. Currently, Jayden and Bess offer all employees mandatory (legislated) benefits and a clothing discount for the store.
Scenario
Jayden and Bess have hired you as a compensation consultant to provide advice on a new indirect compensation system.
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