Compensation and Benefits Strategies Recommendations

Compensation and Benefits Strategies Recommendations

HRM/531 

November 25, 2013 

Abstract

Unemployment plays a big role in limousine driver retention (Mergent 2013). Since Austin’s unemployment rate (5.2 (BLS, 2013)) is below the national average (7.3 (BLS, 2013)) and even blow the Texas average (6.2 (BLS, 2013)), retaining drivers will be an issue for any company. For Landslide Limousine, choosing the right strategy for applying salaries and targeted benefits will be very important because of this challenging personnel retention environment. A strategic look at benefits implies that the benefits provided to employees will also help attain business objectives (Cascio, 2013).

In the current business lexicon, the expression “long-term” constitutes three years (Robbins & Coulter, 2012). Landslide Limousine has stated that one of its objectives is to increase revenue by 5% per year, over the next few years. Planning for this long-term objective requires a strategic look at many things. Some strategies to consider are customer service strategies, repair and maintenance strategies, and service pricing strategies. However, without drivers to safely, legally, and loyally provide the driving service, Landslide Limousine will have no need to determine what business strategies to employ because it will have no business. Therefore, let us explore some strategies for attracting and retaining competent and loyal workers; the compensation and benefits strategy.

Market Evaluation

In regard to Landslide Limousines attentiveness to market comparisons, the company’s strategy is most beneficial concerning identifying what the company is capable of affording. In the state of Texas, the average salary of a highly skilled limo driver in Texas is less at $22,760 per year (Suttle, 2013). To remain competitive as well as attract new highly skilled and qualified prospects the company’s plans must offer salaries competitive with the United States average....