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Variable pay is a flexible and performance-based part of total compensation that can greatly influence employee motivation and contribute to the success of the organization. It is a compensation system where part of an employee's earnings is tied to their individual performance, team success, or the organization’s overall outcomes, unlike ...
Compensation can be fixed and/or variable, and is often both. Variable pay is based on the performance of the employee. Commissions, incentives, and bonuses are forms of variable pay. [2] Benefits can also be divided into company-paid and employee-paid. Some, such as holiday pay, vacation pay, etc., are usually paid for by the firm. Others are ...
In a recent study conducted by the Center for Concept Development, three of five respondents agree that a cash payment is perceived to be part of an employee's total compensation package and not as part of an incentive program. [10] Additionally, cash is quickly forgotten as many participants tend to spend it on everyday items or use it to pay ...
Short-term incentives can also take other forms, namely, fringe benefits, employee benefits and paid expenses (perquisites). Common fringe benefits can vary from meal plans to health insurance cover, retirement plans, company cars and even interest-free loans for the purchase of housing. Fringe benefits are also often tax deductible for the ...
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Enbridge's target is to pay out 60% to 70% of its stable earnings in dividends. That enables it to retain a meaningful percentage of its cash flow to fund expansion projects. The company also has ...
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