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Meaning Of Remuneration

Referencing Styles : MLA | Pages : 1

Remuneration refers to the compensation or payments received in turn of employment or service. The most common form of remuneration is base pay. It is the rate of initial compensation that a worker receives in exchange of the service. The payment excludes the extra lump sum compensation like overtime pay or bonuses. Remuneration also include any form of bonus it any other economic benefits that an executive or employees receive during period of employment. Bonus indicates any form of financial compensation, return or reward over and above the expected payment of the employee.

Remuneration is basically the monetary rewards that a worker receives. These rewards however can take different forms. In some cases, employees receive a salary while in some other cases payment is done by hour. Commission computed as a percentage of total sales and received for sales position is also one form of remuneration. Many services in hospitality and food industry depend on tips as their basic payment is less than the minimum wage. Another form of remuneration is the deferred compensation. In this case, earning of an employee sets aside for some later date. Retirement plan is an example of deferred remuneration.

Remuneration also include benefits other than salary that an employee receives from the company. This can come in form of health insurance, facility to use mobile device provided by office, use of company’s car, gym membership and such other. If a worker gets injured or become disables during employment hours, then the worker is entitled to receive workers’ compensation.
   

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