Comprehensively define the term broadbanding explain

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comprehensively define the term “broadbanding” explain the advantages and disadvantages of broadbanding give a “yes” or “no” answer and substantiate your answer with a logical discussion of the facts the answer must be logical briefly discuss the components of the resuts-sharing programme discussed in the case study compare profit sharing and gainsharing clearly indicate the differences between profit sharing and gain sharing explain the steps in designing a gainsharing plan ASSIGNMENT 03 This assignment must NOT be sent to the University. Assignments 03 and 04 are the same for both semesters. Read the following paragraph and then answer the questions. WHAT’S THE USE OF NEGOTIATION IF YOU’RE GOING TO PAY US LESS? A medium-sized business specialising in the manufacturing and distribution of corrugated cardboard gift boxes and storage containers has just completed wage negotiations with the union representatives of their staff. The wages settled upon are: A basic salary of R 30 000,00 per annum, excluding a 13 th cheque. A 13 th cheque equivalent to one month’s salary payable pro rata in the birthday month. A pension fund - 8% of annual salary, half to be contributed by the employee, half by the employer. A hospital insurance fund - 10% of annual salary, half to be contributed by the employee, half by the employer. An across-the-board increase of 8%, effective from the following month. In addition to this, a 2% salary increase for staff who have worked at the company for longer than three years. This is the first time the employer has been involved in union negotiations; until now, the workplace was not unionised. The employees are dissatisfied with this settlement, because the pension and medical aid deductions will leave them with less money in hand at the end of each month. They are also dissatisfied with the across-the- board increase because, in the past, increases were linked to performance and the better performers used to get higher increases. Instead of the 13 th cheque, the company also used to award two performance bonuses during the year - one at the financial year end (in June) and the other at Christmas.
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28 Susan Smith, the owner of the company, is, however, very happy since this settlement will decrease her labour costs and therefore increase profits. QUESTIONS 3.1 A compensation system should not only contain labour costs, but should also aim at achieving other goals. Identify and briefly discuss these goals. (10) 3.2 Which of the goals are not addressed by the negotiated compensation strategy? Substantiate your answer. (5) 3.3 Explain how the policies and techniques in the pay model can assist the organisation in the case study to achieve all the goals of a compensation system. (35) Total [50] Assessment criteria You must do the following to complete this assignment successfully: carefully study the relevant study unit identify and briefly describe the objectives of a compensation system investigate the information in the case study
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