Compensation and Benefits

Compensation and Benefits

Introduction

Organizations and job descriptions are getting complicated due to the variability and challenges being presented to the organization. Companies can option for making flat structures and it can save a good amount of cost for the company. Companies can also benefit from making flat teams and promote collaborative work. Not every organization can have the same type of structure and companies have evolved in the deciding structures specific to their organization. Multi level structure provides the recognitions to employees for their individual experience, qualification and talent. It stimulates the urge in employees to put positive efforts for climbing the career ladder. The job roles, responsibilities and expectations are communicated to the employees. We will be exploring the salary structure of software engineers. The salary and job description of level 1, level 3 and level 3 software engineers will be evaluated. We will be analyzing the concept of job structure in the light of the details of job description of all levels of engineers. We will be using this information in developing a pay structure. The benefits are a motivating factor for employees and they provided added value besides the salary to the employees. We will be evaluating the numerous benefits provided by employers and exploring the underlying reasons for its offering by employers. We will analyze the value it brings to the employees. We will examine effectiveness of the employee benefits when used as form of compensation.

Discussion

Analysis of Job Structures of Software Engineers (Module 6)

We have obtained the following job descriptions from the Salary.com website.

Software engineer I

The job roles are responsible for numerous programming and software development related task. The academic qualification required is Bachelors degree in relevant field and experience in the related area sought is 0-2 years. This position will not be required to make decisions.

Salary

The minimum salary as per United States national level is $49, which the highest pay can go up to $70,084. The median salary including bonus as achieve $59,484. It contains $702 as bonuses.

Benefits

The total benefits are composed of 29.5% of $84,347 of total compensation. The social security comprises of 5.4%, 401K/403B 2.7%, Disability 0.5%, Healthcare 7.7%, Pension 4.5% and time off 8.7%.

Software engineer II

Software engineer II is one level senior position from software engineer I. It has same academic qualification requirement but the level of experience required appreciates to 2-4 years. It also requires the individual to show some management skills as well self direction and creativity.

Salary

The minimum salary as per United States national level is $59,300 and the highest pay can go up to $90,826. The median salary including bonus as achieve $74,094. It contains $ 1,193 as bonuses.

Benefits

The total benefits are composed of 28.3% of $105,026 of total compensation. The composition of benefits is approximately the same.

Software engineer III

Software engineer III is the senior position from software engineer II. It has same academic qualification requirement but the level of experience required appreciates to 4-6 years. It also requires the ...