Indirect Compensation

What is Indirect Compensation?

 

‘Indirect Compensation’ refers to all the non-monetary benefits provided to an employee. It can include everything from additional benefits to long-term pension funds.

 

Also termed as ‘casual employee benefits, these benefits can be provided to the employee in different ways. Some of the common examples of indirect compensation include phone and internet services, laptop, company car, health insurance, annual holiday packages, gym memberships, etc.

 

They help in making the employee feel valued, thereby increasing their loyalty towards the company as well as helping in encouraging their productivity and boost retention rates.
Indirect compensation also helps in employee engagement by making the employee understand that they are valued as well as making them realize that the company values their relationship with the individual.

More HR Terms

Conversion Rate

What is Conversion Rate ? Businesses develop and maintain websites to fulfil their commercial goals. ‘Conversion Rate’ refers to the rate of people who fulfil

Wellness Program

What is Wellness Program ?    The term ‘Wellness Program’ refers to a strategy applied by individuals who take up healthy lifestyle initiatives to stay

Human Relations Movement

What is Human Relations Movement ? The ‘Human Relations Movement’ refers to the movement by sociologist George Elton Mayo, who suggested in the 1930s that

Contact Us

Contact Us

We use cookies on our website to provide you with the best experience.
Take a look at our ‘privacy policy’