issue of equal employment opportunity & issue in compensation policy

Topic: Issue of EEO & Issue in Compensation policy

Guidance By:

Majmudar Sir

Prepared By:

Jay Raval

Submitted To:Department of Business Administration,

Bhavnagar University Bhavnagar

Subject: I.H.P.P

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Learning Objectives

Meaning of EEO

Briefly review and discuss major anti-discrimination laws.

Increase awareness of workplace harassment,

Learn techniques for identifying and preventing workplace discrimination, harassment, and retaliation.

EEO

Equal Employment Opportunity means equal access to jobs and benefits and services for all employees and prospective employees in the workplace.

EEO aims to ensure fair and equitable outcomes in all areas of employment which relate to recruitment, selection, access to information, supervision and management.

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Discrimination Direct discrimination is any action that specifically excludes a

person or a group of people from a benefit or opportunity, or significantly reduces their chances of obtaining it, because a personal characteristic irrelevant to the situation is applied as a barrier.

Indirect, covert, or systemic discrimination are rules, practices and decisions that appear neutral, but in fact significantly reduce the chance of an individual `from obtaining a benefit or opportunity.

For example, an employer who says they need a person over 180cm tall to do a job may discriminate against women and some ethnic groups who are less likely to be this height.

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Anti-Discrimination Laws

Title VII of the Civil Rights Act of 1964 (Title VII): Is the major law prohibiting discrimination in employment. Title VII prohibits discrimination based on race, Gender, color,

religion, national origin, and retaliation.

The Equal Pay Act of 1963 (EPA): Protects men and women who perform substantially equal

work from Gender-based wage discrimination.

The Age Discrimination In Employment Act of 1967 (ADEA): Protects employees and job applicants who are 40 years of

age or older from employment discrimination based on age.

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Anti-Discrimination Laws The Rehabilitation Act of 1973:

Applicable sections prohibit discrimination in employment against qualified individuals with disabilities.

Also, requires employers to provide “reasonable accommodation” to qualified individuals with disabilities who are employees or applicants for employment.

The Civil Rights Act of 1991:

Provides the right to a jury trial and monetary damages in cases of employment discrimination.

Genetic Information Nondiscrimination Act of 2008

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Anti-Discrimination Laws

The NO FEAR ACT (became effective on October 1, 2003):

Prohibits discrimination and retaliation against workers for participating in the EEO process or whistle-blower activities.

Requires agencies to train employees and post statistical data on EEO complaints on agency’s public website.

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Workplace Harassment Defined Harassment is any unwelcome verbal or physical conduct based on

race, color, religion, national origin, age, disability or retaliation that is sufficiently offensive to alter the conditions of the victim’s employment. This standard is met when:

Workplace harassment Psychological harassment Racial harassment Religious harassment

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Way of Harassment

Verbal (unwelcome comments, yelling, offensive jokes or stories);

Visual (offensive pictures, photos, cartoons, posters, calendars, magazines or objects);

Physical (unwelcome touching, hugging, stroking, or suggestive gestures); and

Written (unwelcome letters, notes or e-mails of a personal nature).

EEO policy in various company

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EEOC headquarter

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1-800-669-4000

•The Commission has filed nearly 90 lawsuits alleging religious and national origin discrimination involving the Muslim, Sikh, Arab, Middle Eastern and South Asian communities, many of which involved harassment.

EEOC carry out their work through their headquarters offices in Washington, D.C. and through 53 field offices serving every part of the nation.

EEOC will continue their efforts to eliminate discrimination in the workplace by enforcing federal anti-discrimination laws and educating employers and employees about their rights and responsibilities.

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Issues in compensation Policy

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Compensation Policy

Compensation is a systematic approach of providing monetary value to employees in exchange for work performed. It may be help to achieve several purposes, such as recruitment, job performance and job satisfaction.

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Types of compensation

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Types of compensation Description about each type

Direct compensation Money, popularly known as basic salary or wage, (gross pay), overtime work and holiday premiums, bonus base on performance, profit sharing etc.

Indirect compensation Life, accident, health insurance, pension, pay for illness.

Non-monetary compensation

It does not include tangible value. This includes job security, flexible hours, and opportunity for growth, praise & recognition, task enjoyment, friendship etc.

Graphic OrganizerGraphic Organizer

Chapter 8 • Beginning a New Job Succeeding in the World of Work

INCENTIVEPLANS•Bonuses

•Stock options•Profit sharing

BENEFITS•Health insurance•Paid vacations

PAYMENT•Salary

•Hourly wages

•Retirement plan•Convenience benefits

•Overtime•Commission

Employee CompensationEmployee CompensationEmployee CompensationEmployee Compensation

Analysed items 2004House Rent Allowance 97Gratuity 95Housing Loan 91Medical reimbursement/ allowance 90Insurance 89Leave Travel allowance 87Variable Bonus 85Conveyance allowance 84Superannuation 61Car Loan 54Social/ Sports club membership 51Incentive/ Sales Commission 44Medical check-up 39Fixed Bonus 33Other allowances 26Flexible benefit plan 16

Companies providing benefit (%)

Overview of Employee Benefit Scenario In India

Employee Employee CompensationCompensation

Employee Employee CompensationCompensation

SalarySalary Allowances Allowances & Bonus& Bonus

Employee Employee BenefitsBenefits

Overview of Employee Benefit Scenario In India

Employee BenefitsEmployee Benefits

MandaMandatorytory

VoluntVoluntaryary

ProvideProvident nt

FundFundGratuityGratuity

Personal Personal AccidenAcciden

ttMediclaMedicla

imim

Leave Leave EncashmEncashmentent

Life Life InsuranInsuran

cece

Super-Super-annuatiannuati

onon

Employee Benefits

Why benefits? Types of benefits

Legally required benefitsSecurity and retirement benefitsHealth coverage

Why Benefits?

Legal requirements Employee attraction and retention Non-taxable compensation to employee Employer can often purchase at more

favorable rate Employee morale, well-being

Legally Required Benefits

Workers’ compensation Social security Overtime Pay Continuation of health coverage

Workers’ Compensation: Coverage Paid by employer What is covered:

Total disability, temporary or permanent (up to 400 weeks, or until age 65 for permanent disability)

Survivor’s benefits Medical expenses (employer selects; includes psychologists ) Rehabilitation

Permanent disability payments integrated with Social Security

Social Security: Overview

Benefits for:RetirementDisabilitySurvivors (lump sum and monthly payments)

Based on contributions from employers and employees

Security and Retirement BenefitsSecurity benefits Social Security Life insurance Long-term disability

coverage Long-term care

benefits

Retirement benefits Social Security Defined benefit plans Defined contribution

plans 401(k) plans ESOPs

Overtime Pay

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Overtime is the amount of time someone works beyond normal working hours. Normal hours may be determined in several ways:

1. by custom (what is considered healthy or reasonable by society),

2. by practices of a given trade or profession,

3. by legislation,

4. by agreement between employers and workers or their representatives.

Health Coverage

The basic issue: cost containment Basic medical coverage Other coverage

Mental health Vision Dental

Wellness programs

Compensation salary structure in Pipavav

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Breakup of cost to company (CTC):

Description(This part is mandatory)

Basic Some percentage of CTC

HRA House rent allowance is optional component paid monthly

P.F. Some percentage of basic

Transport allowance

Some amount is fixed by company.Washing allowance

Special allowance Remaining amount to be consider as a special allowance

Total CTC

Issues in compensation Policy

Fair compensation

Retain current employee for a long time

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Thank You…

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