Landslide Limousines Compensation Structure
Compensation and Benefits Strategies Recommendations
Jared B. Mathews, Joanna Brown, Laura Wegener, Daniel Preston
HRM/531
April 20, 2015
Janis White
Compensation & Benefits Strategies Recommendations
As a newly starting firm, Mr. Stonefield must take care to properly define and record an equitable pay structure and benefit package that will allow him to be both competitive and profitable. The limousine company that Mr. Stonefield is planning to begin, will be named “Landslide Limousine” and will fall under various rules and regulations that govern the transportation industry on both the federal, state and local levels. In order to properly formulate a useful, detailed plan we have performed some market research including an evaluation of benefits and compensation packages available to competitive firms in the area. Once that evaluation was completed, we were able to formulate a benefit and compensation structure that will support the success of the both the business and its employees.
Market Evaluation
In 2014, the hourly mean wage for Texas taxi drivers and chauffeurs was $11.51 with an annual mean wage of $23,940; the hourly median wage was only $10.62 with an annual median wage of $18,330 (annual wages include tip revenue) (Bureau of Labor Statistics, 2015). Employment within the industry per 1,000 jobs was 1.112. Limousine companies in Austin, TX are offering a base hourly pay plus generated tips for both full and part-time employees (Capital City Limousine, 2015). Capital City Limousine (2015) is offering $15 per hour but the driver only keeps a portion of their generated tips. There is no mention of insurance benefits packages as a part of the staff’s compensation.
Compensation Structure
Mr. Stonefield will need to define the job description, qualifications and experience required by the drivers he employs as well as for any office personnel he will be needing. Once he does this, we recommend applying a pay scale ranging from entry level pay to
Jared B. Mathews, Joanna Brown, Laura Wegener, Daniel Preston
HRM/531
April 20, 2015
Janis White
Compensation & Benefits Strategies Recommendations
As a newly starting firm, Mr. Stonefield must take care to properly define and record an equitable pay structure and benefit package that will allow him to be both competitive and profitable. The limousine company that Mr. Stonefield is planning to begin, will be named “Landslide Limousine” and will fall under various rules and regulations that govern the transportation industry on both the federal, state and local levels. In order to properly formulate a useful, detailed plan we have performed some market research including an evaluation of benefits and compensation packages available to competitive firms in the area. Once that evaluation was completed, we were able to formulate a benefit and compensation structure that will support the success of the both the business and its employees.
Market Evaluation
In 2014, the hourly mean wage for Texas taxi drivers and chauffeurs was $11.51 with an annual mean wage of $23,940; the hourly median wage was only $10.62 with an annual median wage of $18,330 (annual wages include tip revenue) (Bureau of Labor Statistics, 2015). Employment within the industry per 1,000 jobs was 1.112. Limousine companies in Austin, TX are offering a base hourly pay plus generated tips for both full and part-time employees (Capital City Limousine, 2015). Capital City Limousine (2015) is offering $15 per hour but the driver only keeps a portion of their generated tips. There is no mention of insurance benefits packages as a part of the staff’s compensation.
Compensation Structure
Mr. Stonefield will need to define the job description, qualifications and experience required by the drivers he employs as well as for any office personnel he will be needing. Once he does this, we recommend applying a pay scale ranging from entry level pay to