Compensation Culture

Compensation Culture

Compensation Culture

Introduction

Compensation Culture is the owners of all intellectual property rights in relation to this website and its content (including, but not limited to, all trademarks and copyright). Compensation culture describes a society in which it is acceptable for anyone who has suffered a personal injury to seek compensatory damages through litigation from someone connected with the injury, even when the injury is trivial or the connection is tenuous.

When one is considering taking the jump from for-profits to nonprofits, or vice versa, organizational philosophies and principles must be considered. Some aspects of both types of organizations that must be considered are pay, performance, "mission versus margin," accountability, safety nets, and culture. Compensation is more of a risk for for-profits while nonprofits have more flexibility in meeting quarterly or annual goals. While quarterly returns at for-profits create an urgency to meet margins and may create a materialistic edge, a strong commitment to the mission of the nonprofit is fundamental . Accountability for a nonprofit is tied to community leaders and those being served while at a for-profit organization, it is tied to stockholders, investment analysts and paid directors. The culture of an organization is also something that must be considered. It is more difficult to move from a nonprofit to a for-profit than vice versa. And as in major job decision, the compensation package must be considered. The idea of a compensation culture also creates a negative impression for those people who are genuinely injured through no fault of their own and who wish to exercise their rights. The compensation culture can also create unrealistic expectations from Claimants who may read highly publicised reports of people recovering vast sums of money for what appear to be trivial injuries. Compensation for a wrong is an inalienable right for the consumer and at the heart of the insurance business. The Access to justice Act has paved the way for speedier resolution of claims. However, the increasing volume of low-value personal injury claims and escalating legal costs mean that overall costs can outstrip compensation by over 100 per cent. Clearer guidelines must be introduced to ensure access to justice for all and a fair and balanced funding regime for personal injury cases .

Negligence

Negligence is the most important modern tort. In strict legal analysis, negligence means more than heedless or careless conduct, whether in omission or commission: it properly connotes the complex concept of duty, breach and damage thereby suffered by the person to whom the duty owed. The underlying idea in a negligence action is very simple. If the claimant's injuries result from behaviour that falls short of socially acceptable standards, then there should be compensation. If they do not, then the victim should bear the loss without compensation. Since carelessness is not generally criminal, the tort of negligence is the means by which the law attaches consequences to unacceptable behaviour .

The underlying idea in a negligence action is very simple. If the claimant's injuries result from behaviour that falls short of ...