Compensation is the remuneration received by an employee in return forhis/her contribution to the organization. It is an organized practice thatinvolves balancing the work-employee relation in the organization.How does Compensation play a role in H.R Dept:
Compensation is an integral part of human resource management whichhelps in:
Motivating the employees,
Retain the employees
Converting employees to experts in the organization
Converting a employee into a asset in terms of his contribution to thecompany
Bringing more quality work as the output and building a strong workforce
Helps to increase the Retention level in the organization.
Thus this is very important role today in the competitive market, wherethere are more need of employees who are experts in industries for hugecompensations.
Hence the measures adopted by the HR should be effective andcompetent when compared to the competitors.