c) COMPANY REMUNERATION

1) Remuneration is any type of compensation or payment received by an individual or

employee as payment for services or work they perform for an organization or company. A
Company Corporation is a legal entity created by an individual, shareholder, or
shareholders, for the purpose of operating for profit. Companies are allowed to enter into
contracts, sue and be sued, own assets, pay federal and state taxes, and borrow money
from financial institutions. This includes any basic salary received by employees, along with
other forms of payment that arise during their employment, which includes expense account
funds, bonuses, and share options Employee Share Ownership Plan (ESOP) Employee
Share Ownership Plan (ESOP) refers to the plan employee benefits that give employees
ownership in the company. Employers allocate a percentage of the company’s shares to
each eligible employee at no upfront cost. The division of shares may be based on the
employee's salary scale, conditions.

The amount of remuneration a person receives and its form depends on a number of
factors. First, it should be noted that the value and type of remuneration will vary depending
on the value of the employee to the company. Taking into account things like an individual’s
employment status (full -time versus part -time) and whether they are in an executive -level
position or are entry -level members of the company makes a significant difference in
calculating the final amount. Also, remuneration can vary depending on how an individual is
normally paid, which means, whether they are a salaried employee Salary Calculator This
salary calculator can be used. The first type of remuneration is salary remuneration.

In this case study, the issue related to remuneration is to show the remuneration of the
company when a family member is a director of the board and wants to ask for an increase
in salary or allowances. In this case, the board of directors plays a very important role.
Salary remuneration or allowances should be given in accordance with the duties of the
board of directors. The board of directors should not increase remuneration if the
remuneration committee does not agree. .The effect of this situation is that it will cause
dissatisfaction from other employees and will also cause losses to the company in the future.
The company should avoid dissatisfaction or envy in order to manage the company ethically
and have company value.
2) The implementation of the remuneration system for employees is intended so that all
organizational stakeholders can improve their professionalism and performance, which in
turn can improve service performance to the community. The purpose of implementing the
remuneration system is to motivate employees to have a high commitment to work by
complying with all applicable rules and regulations, building a solid work team,
demonstrating the performance expected by the organization and encouraging employee
motivation to build organizational competence on an ongoing basis. Remuneration is usually
one of the most sensitive issues in a company. To minimize this issue is where remuneration
decisions are seen as unfair.

The suggested answer to this quote is to advise company owners not to put family members
on the payroll if they don’t work at the company or can’t make contributions to the business.
In a start -up or family business, everyone does the work and nothing is missed. But here it
is there will be a lot of conflicts.next, make sure everyone has roles and responsibilities
stated and very clear.Set the title, job function and compensation of each person no matter
who.Then, make sure you have performance reviews for family and non -family workers.In
addition, think twice about offering a contract to a supplier who is a relative. Don’t confuse
family decisions and business decisions.It is a bad idea to turn personal expenses, such as
family vacations, into business expenses. This is a perfect example of meeting the needs of
a family with business resources.Finally, a company should engage with its employees to
address and resolve grievances in order to reach a compromise and be mutually acceptable.