Impact of a Younger Workforce on Compensation System, Lecture notes of Management Accounting

Download Impact of a Younger Workforce on Compensation System and more Lecture notes Management Accounting in PDF only on Docsity! C236 As a result of focusing your recruitment efforts on attracting recent university graduates, your workforce has become younger. What impact does this change have on your compensation system?       a. It needs to offer more cash and family benefits.   b. It needs to adopt a new managerial strategy.   c. It needs greater focus on pension plans and retirement income.   d. It needs to adopt a job evaluation system. Impact of Younger Workforce on Compensation System The shift towards a younger workforce, particularly recent university graduates, can have several implications on your compensation system. Here's a brief analysis of the options you've provided: a. It needs to offer more cash and family benefits. While younger employees may appreciate higher cash compensation, family benefits may not be as attractive to them, especially if they are single or do not have children. b. It needs to adopt a new managerial strategy. A younger workforce might necessitate a change in managerial strategy, but this doesn't directly impact the compensation system. However, the compensation system could be adjusted to incentivize behaviors that align with the new strategy. c. It needs greater focus on pension plans and retirement income. Younger employees, particularly recent graduates, are often less focused on long-term benefits like pension plans and retirement income. They might be more interested in immediate benefits and opportunities for career growth. d. It needs to adopt a job evaluation system. A job evaluation system is beneficial regardless of the age of your workforce. It helps ensure that compensation is fair and aligned with the value each role brings to the organization.