FINANCIAL REMUNERATION - SUPERMARKET DIVISION OF METROMART JOINT STOCK COMPANY 1.1 Overview of the company''''s supermarket personnel in the period of 2019-2021 1.1.1 Personnel fluctuation
ANALYSIS AND ASSESSMENT OF THE CURRENT STATUS OF
Overview of the company's supermarket personnel in the period of 2019-2021
Figure 1.1: Human resource fluctuation of supermarket sector of the company, 2019-2021
(Source: Human Resources Department) Through Figure 1.1, the total personnel of the supermarket sector of the company in the period of 2019-
2021 of Metro Mart Joint Stock Company has fluctuations in labor force in each year,
In general, the number of employees quitting their jobs in 2019 2021 has a significant decline in – the lowest level compared to the number of employees reported at the beginning of the year, the number of new recruits, and the number of employees reported at the end of the year In contrast, the number of year-end reports increased significantly, and almost accounted for the highest proportion from 2019 to 2021 compared to the number of employees reported at the beginning of the year, the number of new recruits and the number of employees quitting their jobs The number of employees reported at the beginning of 2019 was 87 people, but by 2020 the number almost doubled compared to 2019 to 156 people, the number of employees reported the difference in
2019-2020 was 69 people However, in 2021, the number of reported workers increased only slightly by 10 people Besides, the number of new recruits was 79 people in 2019, but they decreased significantly to only 20 people in 2021, a difference of 59 people Not only that, but the number of employees also quitting their jobs accounted for the lowest rate of 10 people in 2019, and the number of people quitting their jobs only increased slightly by 6 people in 2021 In particular, the period from 2019 2021 is the outbreak of the Covid epidemic, most companies – will reduce staff salaries or even dismiss employees to meet financial worries and only retain key employees or employees who actively quit from many subjective and objective factors In general, Metro Mart Joint Stock Company in the Covid years has a small number of employees leaving their jobs, proving that the company has a very good remuneration policy for employees and business leaders to expand recruitment to inexperienced workers; at the same time pay more attention to policies, Attractive salary and bonus, good working environment, attractive remuneration policies to ensure epidemic safety to retain human resources On the other hand, the company operates in the field of essential necessities for the people, so the Covid epidemic did not have much impact on the company According to Mr Ho Ngoc Khuong (2021) during the Covid years, the company also increased revenue higher than the market in the first 6 months of 2021 with an estimate of more than VND 1800 billion, equivalent to nearly 112% of the plan Ensure strong financial resources, meet the necessary and sufficient conditions for employees However, the number of employees reported at the end of the year increased significantly from 2019 – 2021, but at this time, enterprises still lack about 25% of human resources in ensuring normal operation of production and business activities
1.1.2 Human resource structure of supermarkets in the period of 2019-2021 1.1.2.1 Structure of supermarket personnel according to qualifications
Figure 1.2: Summary chart of human resource structure of supermarket sector by professional level, 2019 2021– (Source: Human Resources Department)
The level of personnel at the company is mostly unskilled workers (accounting for over 50%) With a convenient supermarket chain, Metro Mart needs many employees like this to arrange, supply goods, take care of and meet customer needs Although the proportion of unskilled employees decreased gradually over the years (from 77.44% to 68.09%), it still accounted for more than half of the human resource structure of the supermarket sector The proportion of college labor force accounts for the second in the human resource structure of the supermarket sector and gradually increases over the years, the year from 2019 to 2021 increased by 1.11% (from 15.38% to 16.49%) This group of workers mainly takes on the positions of assistants and shift leaders in the company The proportion of university-educated employees in the company's human resources division tended to increase more strongly than the group of college-educated workers (up 3.25%) However, it accounts for the lowest proportion of the structure, and this group of workers often takes on supermarket management or regional management positions These are positions that require high education and many years of experience, so the number of these positions will also be less than the positions below
Figure 1.3: Summary of human resource structure of supermarket sector by age, 2019-
Figure 1.4 Summary of the personnel structure of the supermarket sector by percentage of age in the period 2019-2021 (Source: Human Resources Department)
Based on Figure 1.3 and Figure 1.4, the proportion of workers from 18 years old to 25 years old and from 25 years old to 30 years old increased year by year while the proportion of workers over 35 years old decreased In particular, the proportion of workers from 18 to 25 years old accounts for the most, at this age are young workers who are new to the profession, so they are often very passionate, creative in work and have good health, but they still lack practical experience Next is the age group from 25 to 35 At this age, although they are not as young as the age of 18 to 25, they have somewhat accumulated experience through working time, this is the main stage of their career, when they are both skilled and healthy Finally, there is the workforce over 35 years old, this is a workforce that has been with the business for a long time, so they are the ones with the most work experience and seniority, they have skills over a long period of time working but their health is not equal to that of young people and at the same time they also face difficulties than having to keep up with changes and new trends
From 18 to 25 From 25 to 35 Over 35
Through the table above, we can see that the majority of the company's employees are young workers, this is completely reasonable because the working environment of the supermarket requires health and communication, openness with customers along with agile working style Thus, the above personnel structure with mostly young people is suitable for the company and working environment
Figure 1.5: Summary of human resource structure of supermarket sector by gender, 2019-
Figure 1.6: Summary of human resource structure of supermarket sector by gender by percentage, 2019-2021 (Source: Human Resources Department)
From chart 1 5 and chart 1.6, showing that the proportion of female employees is accounting for a larger number than men with an average of more than 55.6% of the company's employees being women and the proportion of female employees tends to gradually increase from 48.72% (in 2019) to 63.30% (in 2021), whereas the proportion of male employees is tending to decrease gradually from 51.28% (in 2019) to 36.70% (in 2021), thereby showing that the company's work environment and nature will be more suitable for women This is a gendered labor structure that is quite suitable for the situation of the company The higher proportion of female workers than men indicates the need for meticulousness, care and decency in the work process, which women sometimes perform better than men At the same time, the remuneration policy for men is not high, so the attraction of male workers is limited.
Current status of financial remuneration of supermarkets at MetroMart Joint Stock Company
The company's salary distribution regulations will be the basis for employees to be paid Based on the basic salary, it can be determined how the employee will have to deduct insurance, how much allowances and allowances must be spent on that employee according to the Labor Code 2019 a Regulations on wages in the company
According to Decree 90/2019/ND-CP, the regional minimum wage for employees working at enterprises is stipulated as follows:
This Decree applies to employees working under labor contracts in accordance with the provisions of the Labor Code 2019 Therefore, the basic salary that the company pays for the position of supermarket staff is 4,420,000 VND/month (the company's business location in zone 1), in accordance with the law
Article 26 of the Labor Code 2019 stipulates that the salary that the company must pay to the probationary employee will be agreed upon by the two parties but must reach 85% of the salary at the official position of that job or more And as a probationary supermarket employee, Metro Mart will pay a salary equal to 100%, which is equal to the salary of a full-fledged supermarket employee Other positions are also paid 90% of the official salary by Metro Mart, which is already higher than the law on wages payable to probationary employees
The salary that Metro Mart pays employees when working at night, working on holidays, Tet or overtime is fully in accordance with the policy of the law Specifically, employees working at night (shift from 22h00 - 06h00) will be paid 150% (1.5 times higher than the salary of 1 official working day) Employees who work overtime during the day (shift from 06h00 - 22h00) on weekdays will be paid 150% of the salary of the official shift, holidays (including weekly holidays and paid holidays) will fluctuate at 200% - 300% compared to public holidays/ Tet will be 300% compared to the official salary Similarly, for the night shift (from 22h00 to 06h00), weekday overtime will receive a salary of 200% - 210% of the official salary, holidays will be 300% and overtime on holidays/ Tet will receive a salary equal to 390% of the official salary b Payroll calculation process, payroll scale
Pursuant to Article 93, the Labor Code under Decree 49/2013/ND stipulates that employers must develop wage scales, wage tables and labor norms as a basis for recruitment and use and must publicly announce them before applying at the workplace However, there will be no specific regulations on the steps in a salary calculation process or payroll scale, what form the salary tier must follow, how much each salary tier must increase Wages will have 3 ways of increasing (progressive increase, steady increase and recession increase) The company has developed a payroll scale to apply to the supermarket sector That will be the basis for the recruitment department to follow to negotiate with candidates according to each title accordingly And according to the payroll scale (table 2.6), all 5 groups of positions have a similar number of salary levels And for each position, through each review and evaluation, the salary will be increased by 5% (applicable to all different positions in the supermarket sector) compared to the basic salary This steady salary increase shows that positions in the supermarket sector are relatively easy to find in the market, so Metro Mart does not need to apply a progressive increase to retain employees to stay with the company c Payroll calculation form
Metro Mart calculates payroll by performing timekeeping The company has applied technology to record workers' working hours This will bring high accuracy and convenience in summarizing the employee's working day per month In terms of salary calculation, there are many different calculation methods in the market such as timed payroll, product-based payroll, turnover
9 payroll and stock payroll The salary calculation at Metro Mart Joint Stock Company is the way to calculate salary over time This calculation will be based on the actual working time of the employee and the initial basic salary agreement between them and the company to calculate the actual working day wage that the employee will receive That money plus allowances, allowances, overtime, after deducting payables (usually personal income tax) will produce the actual salary received by the employee This is an easy-to-understand, easy-to-apply payroll calculation and does not need to be chased by the number of products d Payment method
Employees’ salaries are always guaranteed by Metro Mart on schedule for the purpose of ensuring the lives of employees Salaries paid through both cash deposits and ATM transfers show the flexibility of the company e Regulations related to salary increases
The employee's salary will be considered to increase at 2 times, in 05 and 11 months depending on the time of signing the labor contract The company will rely on business results, work ethic, capacity as well as level of dedication to decide whether to increase the individual's salary or not And the conditions for a salary increase have also been specified by Metro Mart This will be the basis for showing fairness in the company Each employee will receive a salary increase if the prescribed conditions are met
Like other businesses in the market, Metro Mart offers a variety of incentives in the form of bonuses In particular, the attendance bonus is 500,000 VND/month for individuals who comply with the rules, go for 26 working days, and do not go late, leave early Depending on productivity, everyone will be rewarded with an additional 0.5% in real sales, and if the supermarket meets the target, it will be rewarded In addition, there is a 13th month salary, year-end salary, and Holiday/Tet bonus according to the State's regulations Female employees will be rewarded with International Women's Day and Vietnamese Women's Day A variety of bonuses like this is to motivate and encourage the spirit of employees at work It is a way to keep employees in their company, avoiding job hopping
When the employee is eligible to work at the company after officially signing the labor contract The company makes insurance deductions for 100% of employees at the company with the deduction rate as prescribed by law
Figure 1.7: Regulations on insurance payment 01/01/2021- 01/06/2021 (Source: Human
Figure 1.8: Regulations on insurance deduction 01/07/2021- 30/09/2021 (Source: Human
Fee-paying enterprises Employees pay fees
Figure 1.9: Regulations on insurance deduction 01/10/2021- 31/12/2021
From table 1 7, 1 8 and 1.9 show that employees will be paid 21.5% by the company including social insurance, health insurance and unemployment insurance, the company is responsible for implementing insurance policies for employees During the period when the Covid-19 epidemic took place, which greatly affected businesses, the government issued Resolution 68 NQ-CP, from July 1, 2021, will reduce social insurance contributions for companies from 17.5% to 17%
In addition, reducing unemployment insurance premiums supports the company to overcome difficulties during the Covid-19 period Accordingly, employers are entitled to reduce the contribution from 1% to 0% of the monthly salary fund of employees subject to unemployment insurance Resolution 116/NQ-CP has many policies to support employees and employers affected by the COVID-19 pandemic from the unemployment insurance fund Accordingly, employers are entitled to reduce the contribution from 1% to 0% of the monthly salary fund of employees subject to unemployment insurance The 1% reduction in unemployment insurance contributions applies from October 1, 2021, to September 30, 2022 Thus, the company applied correctly
I N S U R A N C E Fee-paying enterprises Employees pay fees
When participating in insurance and still working at the company, employees will be entitled to other allowances: sickness allowance, maternity allowance, These allowances are paid by the social insurance agency, the company will represent and be responsible for reporting and ensuring the interests of employees
Thus, every month, enterprises must pay social insurance, health insurance and accident insurance to social insurance agencies in districts at the rate of 21.5% from January 1, 2021, to June 1, 2021, before the government's support period on Covid-19 and 20% after Resolution 68 NQ-CP
Evaluation of the remuneration policy of Metromart Joint Stock Company
Metro Mart Joint Stock Company is applying the form of salary payment according to most other businesses, which is calculated according to the salary coefficient plus allowances and bonuses This salary regime is simple, easy to calculate, easy to understand, bringing income to employees
The salary settlement of the Company is carried out according to the plan, quickly and accurately, every employee can understand the salary fund and how to distribute the Company's salary This helps the salary work to be open and transparent, all employees can be satisfied with the salary they receive
For the minimum regional wage in Decree 141/2017/ND-CP, for employees working in enterprises operating in Region I, VND 4,180,000/month is applied from January 1, 2019 But the company applies Decree 90/2019/ND-CP when the enterprise operates in Region, I is VND 4,420,000/month This proves that the company applies a higher minimum wage in Region I than the current year, which brings good wages to employees Proving that the company has a very good salary policy
As a rule, the probationary salary must pay at least 85% of the official salary But companies have better wage policies, they are willing to pay 5% or even 15% higher, which is equivalent to 90% or 100% and depending on the nature of the job
Regarding salary payment based on many forms of salary according to the nature of work and pay associated with actual working days and salary coefficients creates fairness, encouraging employees to work more actively The simple form of time pay has the advantages of simplicity and ease of calculation, bringing stable income to employees The company applies salary payment according to the salary also ensures the distribution of wages and incomes corresponding to the budget, quality and efficiency of work performed by collectives and individual employees
Metro Mart was flexible in its allowance policy at the time of the Covid-19 epidemic Thanks to the allowances at that time, employees at the company did not fall into long-term job losses like in some other businesses Consumers are also provided with adequate food and necessities The allowance policy at that time showed that Metro Mart cared about its employees, and that care was also very effective in retaining employees by giving employees a sense of security
When the Covid-19 pandemic is controlled, the company still has other allowances for its employees For example, rice allowance, gasoline allowance, hygiene allowance These allowances not only meet the basic needs of employees, but also based on the characteristics of each job, offer an appropriate allowance plan These payments will partly support the lives of employees and also show interest in their employees, increasing competitiveness in the recruitment market
The rice allowance policy in shifts will ensure the quality of health, ensure nutrition for employees
According to the State's regulatory policies, employees are required to have insurance including health insurance, social insurance, and unemployment insurance (for employees working for 3 months or more) and stipulate monthly contributions as follows:
Source: METROMART Company From the table above, we can see that the company fully participates in compulsory insurance for employees and in which it contributes 21.5% of the total salary fund for employees and a total of 10.5% deducted from employee salaries Regarding the full participation of all types of insurance between the company and the employee to help employees be guaranteed health care benefits when they have health problems such as illness, illness or financial security when enjoying maternity and old age Therefore, the correct application of insurance is the advantage of the company
The benefits are fully implemented by the company These policies are diverse, openly implemented, clearly demonstrating the company's transparency and interest in the spiritual and material life of employees
In Resolution No 27-NQ/TW on reforming wage policies for cadres, civil servants, public employees, armed forces and employees in enterprises, it was affirmed that wage policy is a
25 particularly important policy of the socio-economic policy system Wages must really be the main source of income to ensure the lives of employees and their families; Proper wage payment is an investment in human resource development, creating motivation to improve labor productivity and working efficiency of employees, making an important contribution to progress and social justice, ensuring socio-political stability; promote and improve the quality of sustainable growth and development
The current wage policy still has many shortcomings when the salary does not meet the minimum living standards in urban areas, not close to the characteristics of occupation and labor characteristics of some industries Because the company's payroll must be based on the state's salary policy, it is inevitable that the company's current salary does not meet the living needs of employees For supermarket workers and supermarket shift managers, the workload and wages are not commensurate Despite the allowances, unsatisfied employees are still not satisfied with their salaries, thereby creating a sense of dissatisfaction in their position
- The differences between each employee's pay tier are not competing to maximize their efforts to emulate each other
The number of new employees leaving their jobs after a period of work is quite a lot, which shows that the salary policy compared to the workload is not really suitable to compete, stimulate and retain employees, and when employees have an unexpected job, the company's policy is to pay wages on the last 5 to 10 days of the month so it will inadvertently make it difficult for workers to pay for their lives
- The company's salary is paid in the last 5 to 10 days of the month, so for employees when there is an unexpected job or to make ends meet, it will inadvertently cause difficulties for them
During the Covid-19 period, it is inevitable that enterprises must suspend to fight the epidemic or employees have to stop working due to the direct impact of the Covid-19 epidemic such as: employees perform isolation at the request of competent agencies; due to the workplace or residence being blocked at the request of the competent authority; because the enterprise or its division must suspend operations for epidemic prevention and control at the request of competent agencies; Because the enterprise or enterprise division cannot operate because the employer or other employees of the same enterprise or business division are in quarantine or have not returned to the business to work, the company must develop additional payroll for this case
- Develop payroll in case employees must suspend work due to Covid-19
Based on the salary policy of METROMART company, we can see that the business is facing some of the following problems:
- The salary policy is not suitable for the workload in some positions
- The differences between each employee's pay tier are not competing to maximize their efforts to emulate each other
- The company's salary is paid in the last 5 to 10 days of the month, so for employees when there is an unexpected job or to make ends meet, it will inadvertently cause difficulties for them
- Develop payroll in case employees have to suspend work due to Covid-19
PROPOSING SOLUTIONS FOR METROMART JOINT STOCK COMPANY 27
Salary solutions
- Develop payroll in case employees have to suspend work due to Covid-19
For work stoppage due to Covid-19, according to Official Letter No 264/QHLĐTL-TL dated 15.7.2021 of the Department of Industrial Relations and Wages, Ministry of Invalids and Social Affairs, in case the employee has to stop working due to the direct impact of the Covid-19 epidemic such as: the employee performs isolation at the request of the competent authority; due to the workplace or residence being blocked at the request of the competent authority; because the enterprise or its division must suspend operations for epidemic prevention and control at the request of competent agencies; because the enterprise or part of the enterprise cannot operate because the employer or other employees of the same enterprise or part of the enterprise are in quarantine or have not returned to the enterprise to work, the employee's salary during the work stoppage shall comply with Clause 3, Article 99 of the Labor Code, concrete: a) In the case of work stoppage of 14 working days or less, the agreed salary for work cessation shall not be lower than the minimum wage b) b) In case of having to stop working for more than 14 working days, the salary for work cessation shall be agreed upon by the two parties but must ensure that the salary for work cessation in the first 14 days is not lower than the minimum wage c) According to Decree 90/2019 on regional minimum wage, the minimum wage applicable to Region I is VND 4,420,000/month; Region II is 3,920,000 VND/month; Region III is: 3,430,000 VND/month; Region IV is: 3,070,000 VND/month HCMC HCMC is Region I (except Can Gio in Region II).
Material remuneration solutions
2.2.1 Application of the liability factor to wages
Let the company's regulations be voluntarily followed by employees Metro Mart needs to establish the wage coefficient The company can assess the sense of responsibility of employees through the following indicators:
• Whether employees strictly observe the discipline and discipline of the company, are responsible in their own work, take actions that affect their interests and the collective
• Responsible for work, do not violate the rules: 80 - 100 points
• Responsible for work, less violations of rules: 50 - 79 points
• Lack of responsibility for work often violates the rules: 0 - 50 points
Coefficient K = 1.1 if the individual scores between 80 - 100 points
Coefficient K = 1.0 if the individual scores between 50 - 79 points
Coefficient K = 0.9 if the individual scores between 0 50 points –
Assuming the employee's actual salary is 4,500,000 VND, and the personal score is 85, we will calculate the salary according to the responsibility coefficient:
Salary according to liability coefficient = Real salary received x individual score coefficient
The application of the K factor in the way of paying, employees will become more compliant with the company's regulations and policies Try harder in their work, be responsible and their sense will be better educated In addition, employees will also increase their own income
Metro Mart needs to regularly update the salaries that competitors in the same industry are paying their employees to set an appropriate salary for their employees If a competitive wage is
29 created, Metro Mart’s competitiveness in the labor market will also be increased In addition, employees will also feel that the salary provided by the company matches their capacity and contribution They will stick with their company for a longer time And salary tiers should have different increases, depending on the company's finances, consider whether to apply a progressive increase to some of your company's positions Especially positions where it is difficult to find personnel or in positions where employees are too good
If the business has not been able to increase the salary of employees, it can consider giving its employees a salary advances when there is a good reason This will help workers solve the difficulties they are facing now Sometimes they will lose focus at work due to facing external difficulties and giving them timely pay will help them regain their spirit to work better However, it is necessary to rely on the number of working days to allow employees to advance wages in accordance with the number of working days they have worked to avoid being taken advantage of (avoiding the application of wages and then immediately quitting their jobs).
Create motivation and competitive position with financial incentives
To offer competitive salaries, Metro Mart Corporation can research the salaries of other companies in the same industry Currently, Saigon Co.op, WinCommerce General Services Trading Joint Stock Company, and Mobile World Joint Stock Company can be strong competitors
Probationary salary: 5,241,100 VND/month plus other allowances
Average basic employee salary: 6,166,000 VND/month
• WinCommerce General Services Trading Joint Stock Company
Relatively decent income due to frequent overtime
• Mobile World Joint Stock Company: Basic salary (gross): 6,500,000 VND/person
Excluding allowances, benefits and working environment, compared to competitors, the basic salary of employees (7,500,000 VND/month) of Metro Mart is higher Therefore, the salary of enterprises in the industry is a factor that cannot be ignored when implementing a salary system construction project
• For basic salary: The company should maintain the application of a competitive basic salary because the difference compared to competitors is not too high, so it is both suitable for the company budget and creates a competitive advantage in the labor market
• Probationary period: The company can shorten the probationary period for employees who are able to meet the job requirements based on specific norms For example: Productivity regulations and allowable error rates, have a positive working attitude and do not violate company regulations
In fact, the wages of new workers have been increased slightly, but the cost of living has risen, creating a round of "price increases, wage increases" If the company only complies with the law to increase salary once a year, it will not really make a difference in financial remuneration policy To motivate employees, companies need to have good policies by being more proactive and diversifying salary increases
Based on the results of assessing the level of work efficiency achieved along with the time to contribute value to the organization, the company can divide into many different salaries increases Based on a general salary increase this year to calculate the salary increase as follows:
• Employees with seniority of 10 years or more: the highest increase of 11%
• Employees with seniority from 5-10 years: an increase of 10%
• Employees with less than five years of seniority: an increase of 8.5% This makes workers feel the difference between sticking with a job transfer to another environment From there, employees will stick with the organization longer than enterprises
2.4.1.2 Maintain a high 13th month salary bonus policy
The 13th month salary bonus at the company is usually higher than that of companies in the industry The bonus level depends a lot on the results of production and business activities The 13th month salary bonus coefficient has greatly encouraged employee morale In recent years, the company has been growing well (commented in chapter 1) According to the financial policy set by the company's board of directors, the 13th month salary for employees is at least 2.4 months' salary Therefore, the company needs to maintain this bonus higher than other companies in the industry The strategy of applying high year-end bonuses is a competitive advantage for the company and attracts the attention of employees in the labor market
2.4.2.1 Various forms of rewards and reprimands
To overcome the situation where employees come to work enough hours without creating outstanding value for the company, not dedicating all capacity Metro Mart needs to have a clearer and more specific policy on rewards and punishment
For example, when will attendance bonuses not be received? Individuals always go to work fully on time, but when working, they are not focused, not serious That proves this diligence does not create value for the company, sometimes even affecting customers and other employees Thus, the company does not need to reward these employees diligently
However, this policy needs to be reasonable, needs to be publicized throughout the company and assigns supervisors to control and ensure that each person receiving diligence rewards is true to their efforts This reward should be justified, unbiased regardless of position Only then can employees comply
In addition to rewarding punishment, there also needs to be ingenuity in both rewards and punishments In other cases, it is possible to carefully consider the extent of the employee's violation, whether it is a mild, moderate, severe violation, is the first time or repeat offenders many times to have appropriate penalties You can choose gentle warnings or written warnings or compensation cuts, depending on the extent of the mistake
2.4.3 Setting up a gasoline allowance ratio
In addition to jobs of a traveling nature such as managing supermarkets, operating areas Workers in other positions also need a travel allowance as there will be employees who are far from work and also need support In addition, gasoline prices are not fixed because there will be times when gasoline prices increase very high, if the allowance is only fixed as a number, it will not support much for workers Instead, Metro Mart can score allowances according to the formula:
% support level = fluctuation in gasoline prices/increase in gasoline allowance
• The percentage of support level will be a fixed number set by the company
• Gas price fluctuations: Based on current gasoline prices regulated by the state
In addition, everyone will have a different distance to the company, so Metro Mart needs to regulate the distance to see how much gas employees are supported during the commute Concrete:
• Support 10-12 liters of gasoline per month: Commute distance from 5-10 km
• Support about 15 liters of gasoline: Distance over 10km
In order to receive the allowance for the distance they travel, employees need:
• Register a permanent or temporary address for the company to determine the distance that the employee travels
• If there is a change of address, a change form is required to be submitted to the company
=> From the above 2 factors, the company determines the percentage that the company wishes to support to match the company's budget and build motivation for employees
Dress allowance means transferring one person's allowance to another The reason for doing this is that during the working time, there will be some employees in some departments who take some time off due to illness, illness, maternity, The workload backlog when this employee thinks will be handled by the rest of the department, so the company may consider transferring this leaver's allowance to the rest of the person as their workload has increased
• Employees will be more responsible for their work; they will feel fair in their work
Some other solutions
To understand the thoughts and aspirations of employees, thereby developing the best remuneration policies to retain employees, attract new employees and bring efficiency at work, the company should conduct surveys about their satisfaction with the company's remuneration regime The survey should be carried out regularly (1 time / year) From the statistical results of the survey, the company can better understand and grasp the aspirations of employees, know whether they are satisfied with the company regime or not, know what they need when working at the company and thereby understand their level of attachment to the company
Here are some suggestions for what the survey should have
1) Are you satisfied with your current salary?
2) How do you assess the company's salary compared to other supermarket companies?
3) Are you satisfied with the company's 13th month salary paid in the past year?
4) Are you satisfied with the bonus on holidays?
5) Are you satisfied with the performance bonus?
6) Are you satisfied with the company's attendance bonus?
7) What do you think about meals at work?
8) Is your income enough to spend in life?
9) Do you love what you do?
10) Are you satisfied with the working conditions at the company?
11) What do you think about your superiors' behavior?
12) How would you rate the behavior of your colleagues?
Depending on the actual performance of the company at the time of the survey, the survey department may add or remove some questions accordingly to be able to grasp the aspirations of employees
Creating pressure can have both positive and negative effects on workers
If we put too much pressure, it will cause stress for workers, affect their psychology, and can cause them to become depressed or quit their jobs However, if we put pressure in moderation, it will have a positive effect, making workers try harder and complete the job as required in the best way
To put pressure on workers, managers should regularly check in and ensure work is done as planned Managers should not be permissive but also not too harsh or difficult for employees, especially insulting words
When it is necessary to sanction violations of employees, management should proceed according to the company's rules in a reasonable manner The responsibility for weight penalties is carried out strictly, openly, and fairly, but should not be too strong to affect the psychology of employees
➢ The goal: adding rewards to various holidays, seniority bonuses, attendance bonuses will create the company's interest in employees to encourage morale so that they can have a lot of fun, they can be willing to dedicate themselves to working hard with the organization
- Seniority bonus: Bonus at the end of the year for those who have worked for the company for more than 5 years with the formula 1,500,000*number of years worked
- Creative bonus: for creative ideas, an incentive bonus of 200,000 VND will be given
The HR department will make a proposal board to the management, redesign the new bonus table In order for the proposal to be highly feasible, it is recommended to combine with the finance department to prove that revenue and profit in 2020-2021 have a strong increase compared to previous years and costs tend to decrease slightly and in 2022 this figure will also explode, and the above additional bonuses will not have a big impact on the profit of the business Offer additional benefits that can be created from the proposal: employees work harder, want to be with the company for a long time, have more fun and motivation to go to work, when they are most comfortable is also when they do their best work
- The result is in the spirit of passion for the work of employees
- The percentage of employees who stay with the company for a long-time increase
- Get lots of creative ideas that help your work.
Proposal for allowances and allowances
➢ Objectives: change the lunch allowance in difficult times everything becomes expensive, should also increase so that employees can get better, more nutritious meals, establish a hardship allowance fund deducted from the company's profits to ensure the lives of employees in need
- Increase lunch allowance from 20,000 VND/person to 30,000 VND/person
- Deduct 5% from the company's profits to establish an additional support fund in addition to the union fund
The Human Resources Department offers some companies with a lunch allowance at VND 30,000 and recommends to the management board to also increase this allowance for their employees, meals are a factor that directly affects the health as well as working capacity of employees Referring to the profit from the Finance Department, positive for recent years and this year continues to increase, the deduction of 5% of profit is not too difficult decision, reasoning that the life of employees has many difficulties and obstacles and the public budget cannot help everyone, Someone has made the decision to quit, if we keep wearing them, the turnover rate for this reason will be even higher
- Employee satisfaction and morale are improved
- Help many difficult situations, reduce the turnover rate for this reason
- Contribute to building the image of the company.
Welfare proposals
➢ Objective: Improve the working environment to ensure employees have the best working environment, new working ability to promote full productivity
- Upgrade the canteen, the diet is more diverse
- Open more gyms for employees to have fitness cards
The human resources department contacted the cafeteria to ask them to diversify the items in the canteen To be able to open more gyms, the HR department needs to consult the current finances of the company in the finance department to be able to come up with the most appropriate funding to present proposals to senior leaders to give examples of training and a very important thing in today's modern life, having a gym is considered a benefit that attracts young resources today The Board of Directors approves and will send through the project department to implement this plan
- The funding is in line with the financial capabilities of the company
Promotion issues 36 CONCLUSION
➢ Goal: The turnover rate in their 20s and 40s is very high, they are young, they are intellectual, they have health but no opportunities for advancement, causing them to lose motivation and quit The promotion path is indispensable to retain young people and
37 talents Regularly reviewing the evaluation of positions, if not done well, can give time off to make room for good people who can stay in their capacity The most important thing is to build a clear promotion roadmap, what skills are required at this level, what is required by higher levels And all information as well as the promotion of someone must be transparent and clear to avoid unnecessary grievances
- Develop a promotion roadmap for job positions
- All searches for senior positions, and promotions, must be fair and transparent
Human Resources Department contacts other departments such as: Information Technology, Engineering, Accounting, Business, Production, ask them about the professional requirements and eligibility requirements required for each position, different ranks, as well as the estimated time to be able for promotion Human resources will collect comments from departments, create a promotion roadmap for each job position to discuss with related departments and wait for the Board of Directors to approve When the proposal is approved, the recruitment is also renewed, adding a promotion path to the job description so that new and old people know clear goals
- The promotion route must be logical and must ensure the feasibility of each route
- Choose the right people for the respective positions
Whether a business thrives or not depends on the staff they hold, if there is a good team that cannot retain them, they will also find another place to work Remuneration policy is a factor that employees pay special attention to, good remuneration policies will attract talents and retain good people Metro Mart Joint Stock Medical Company understands this issue, has been having a compensation policy that is considered quite good for employees and will always improve it, to make their lives more comfortable and better when they are happy, they can be ready to devote themselves to the organization Always listen to the opinions as well as difficulties and obstacles of employees, refer to more policies from rival companies to be able to implement the best policy
1 New Legal Policy (2018), Officially with regional minimum wage applied from 01/01/2019, 25/05/2023, access the link: https://thuvienphapluat.vn/chinh-sach-phap-luat-moi/vn/thong-bao- van-ban-moi/email/22256/chinh-thuc-co-luong-toi-thieu-vung-ap-dung-tu-01-01-2019
2 Polytechnic Service (2022), Revealing details of Vinmart salesman salary, dated 25/05/2023, access the link: https://dichvubachkhoa.vn/tuyen-nhan-vien-vinmart-1662137775/