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The human resource employee benefits and compensation programs are built upon the in-depth evaluation of each position and the determination of its value within the construct of the organization. Job analysis is a critical component in this process. Another major part is market pricing, which assumes that the pay set by the employers is an accurate reflection of a job’s worth. Both parts are important to ensuring that equity in pay and compensation exists. In the event that equity and fairness are not always met for compensation and benefits, this could lead to employee dissatisfaction and retention problems. It is therefore incumbent upon the organization to correct any inequities.
This discussion has three parts, as follows:
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