Question

Why is Compensation Fairness and Equity important in the human resource management field?  

Answer 1

Explanation:

Human resource management is responsible for the implementation of HR and pays related policy of the company/organization. Compensation fairness and equity is a moral and motivation booster for the company. If HRM had not made sure about equity and fairness in compensation employees would leave or would be dissatisfied with the organization which in turn either increase employee turnover or lowered productivity. Unfair treatment will lead to many mental and physical health problems with employees in the organization. HRD's efficiency is based on how they lower employee turnover ratio and dissatisfaction of employees.