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Business LibreTexts

6.1: Goals of a Compensation Plan

  • Page ID
    8264
  • Learning Objective

    1. Be able to explain the goals of a compensation plan.

    So far, we have discussed the process for strategic plan development and the recruitment and selection process. The next aspect of HRM is to develop compensation plans that will help in the recruitment and retention of employees. This is the topic of this chapter.

    Figure 6.1

    6.1.0-791x1024.jpg

    The goal of a compensation plan is not only to attract people, but to retain them.