What are components of the total compensation package for production workers

The response options are:

A). Annual base salary, teamwork bonuses, fringe benefits, and stock options

B). Weekly salary, fringe benefits, year-end bonuses tied to the number of non-defective pairs produced, and overtime pay

C). Hourly wages, fringe benefits, and overtime pay

D). Base wages, incentive payments per non defective pair produced, and overtime pay

E). Annual base pay, piecework incentives per pair produced, perfect attendance bonuses at best practices training programs, stock options, fringe benefits, and overtime pay

The correct answer is: D). Base wages, incentive payments per non defective pair produced, and overtime pay.

Explanation:

The term compensation is used to "designate everything that people receive in exchange for their work" as employees of a company. Of this that people receive for their work, a very important part is salary, incentives, when they exist, and benefits, both in cash and in kind. The other important part of the compensation corresponds to the satisfaction that the staff obtains, directly, with the execution of their work and the conditions in which it is performed.

The compensation of the personnel is integrated by two fundamental parts:

The first of these two parts corresponds to the salary; incentives, when they exist in the company; and the benefits granted to staff. This compensation component is generally identified as the "total (financial) compensation package," although it should be noted that it is only made up of cash payments and the benefits, services or benefits that personnel receive, which, finally, also represent an income equivalent (money) that undoubtedly contributes to raising the welfare and living standards of the employee and his family.

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