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1.

UAE companies mostly implement broad banding although it has limitations, however do
you support it or do you support job sharing or flexible work in UAE?
Broad branding is the best of the three keeping in mind the employer is assured of value in the
money he uses to pay for labour. As the compensation is based on skills, knowledge and
performance, the job environment among others. In Job sharing in as much as two people do the
work of one person productivity is not assured why should two people do that which one can do,
lastly looking at flexible time there are cases where you may have an emergency but the
employee will be having his or her flexitime which will not be good for business.
2. Discuss the strengths and weaknesses of the following methods for establishing base pay
in international contexts: home country-based pay, headquarters-based pay, and host
country-based pay.
Which incentive might work better for each method?
Home country-based pay helps a company maintain a relative level of compensation as it would
have in the home country, headquarter based pay ensures that the pay is uniform in all areas of
operation. Host country based pay ensures merit and proper integration in the company as all workers are
paid almost the same regardless of nationality. Home country based pay can disadvantage an employee
who goes to a country with high costs of living than their home country ,headquarter based pay doesnt
account difficulties encountered in some work locations and home country based pay is a disadvantage
as some time expatriates are charged more in income tax this will eat into their salaries. For each method
it is good to ensure that the employee is not at any disadvantage.
3. Do a research on Emirates Airline and discuss the followings
a) Who are the key players in setting executive compensation? Detail their
different roles.
b) Read the chapter 13 specifically when it talks about Securities and Exchange
Commission (SEC). Try to provide your opinion if a similar entity such as SEC
exists in UAE, how then does SEC affect the executives roles in emirates
airline?
4. Health insurance plans are to be compulsory in UAE :
a) What benefits to both employees and employers this may bring?
It helps protect the employees and employers from any unforeseen costs that can result from
health care due to the case of illness or emergency that takes place during the time the employee
is at work by providing them with minimum impact in terms of the costs that does arise.
b) What are the main things to be considered when contracting with insurance
companies?
The reputation of the insurance company. Is the financial state of the company sound
and have they operated for a long period of time.
You need to know whether they cover prescription drugs.
The amount of premium charged by the insurance provider.
The number of Doctors and hospitals covered by the insurance company the more the
better.
The types of illnesses and emergencies covered.

5. Read Case Study (Is it Time to Hire a Compensation Expert)
a) Do you think EasySpa would benefit from hiring a compensation professional? How?
Yes it would benefit the company .A compensation professional will ensure that the employees are
compensated adequately and the company is also paying for the services they render equally. This
will lead to satisfied employees who will work harder and diligently making the company to offer the
best services in the process making handsome profits.
b) How can Jay convince the CEO to hire a compensation professional?
With a compensation professional the company will be able to match the skills, performance, job
environment and job description against the money paid by the company. Which will reduce instances
of overpaying. It will also work in motivating the employees to work harder helping the company to
make more profits.



6. Watch the YouTube and try to give example of companies in Dubai who lead the market
and companies who trailing the market (market followers). Explain why they are doing so.
remember, companies in Dubai have different pay structure based on the business they
are in.
http://www.youtube.com/watch?v=2ELeeYkImEk
7. Read in the subject text book "Strategic Compensation" By J oseph J . Martocchio
Appendix 2009-10 Salary Budget Survey United States Page 187 and answer the followings
a) What are the question to be changed in this survey to suits UAE market?
Question 3 which asks that please indicate the industry that best describes your organization using the
three diagram America Industry Classification System (NAICS) code .This should be changed to a
question that asks for the classification system code that is used in the UAE for the classifications of
industries.

b) What are the steps a company should follow in order to obtain a valid data?
Have a clear scope of the area that data will be collected i.e. know people to involve in the study.
Choose or formulate a research instrument to use for the study for example questionnaires.
Test the research instrument chosen in a Feasibility study
Clean the research instrument that is make changes where necessary from what you experience
in the feasibility studies.
Finally undertake the actual study.

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