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Costco Pay and Benefit

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PAY AND BENEFITS There are five major components of job satisfaction, one being monetary benefits (Ghillyer 2010). According to Ghillyer (2012) an employee’s behavior towards their pay may affect their work performance. The issue that arises with employee motivation is that management is unable to satisfy all (Ghillyer 2010). This becomes an even larger problem when employees being joining unions, resigning and being frequently absent (Ghillyer 2010). The according to Weissmann (2012), employees at Costco’s main competitor, Wal-Mart, are paid notoriously low and below the industry average. Consequently, many of them are part of a union and hold strikes known as “Black Friday Strike”, to fight against their job dissatisfaction. …show more content…

For this reason, opportunities for development are not only offered to long-standing employees, but also t. Figure ONE: Comparison Table | Cost Co | Wal-Mart(Including Sam’s Club) | Difference | Employee Starting Rate | $11 | $10 | $1 | Wage after 5 years | $19.50 | $12.50 | $7 | Health Benefit Costs paid for | 82% | 50% | 32% | Profit per Employee | $10,623 | $7,428 | $3,195 | McArdle, M 2012, 'Why Can 't Walmart Be More Like Costco?’, The Daily Beast, 26 November, viewed 13 May 2013, Figure TWO: Movements in Market Price (listed share price) Yahoo Finance (2013) Costco Wholesale Corporation share price data 2008-2012, Yahoo Finance, viewed 13 May 2013 Figure THREE: Equity Theory Applied for Costco Ruggeri, A 2009, ‘Jim Sinegal: Costco CEO Focuses on Employees’, US News, 22 October, viewed 20 April 2013, Reference Costco Wholesale Corporation 2012, Annual Report 2012, Costco Wholesale Corporation, viewed 19 April 2013, Frey, C 2004, 'Costco 's love of labor: Employees ' well-being key to its success ', Seattlepi, 28 march, viewed 20 April 2013, Weissmann, J 2012, 'Who 's Really to Blame for the Wal-Mart Strikes? The American Consumer ', The Atlantic, 22 November, viewed 20 April 2013, Costco Wholesale 2013, Costco Employee Benefit Program Annual Open Enrolment 2013, Costco Wholsale, viewed 20 April 2013, Costco Wholesale 2011, Costco Employee Benefits Program Summary

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