All forms of pay allowances or rewards to employees in educational institutions are signified as:
All forms of pay allowances or rewards to employees in educational institutions are signified as:
Options:
(a) Allowances
(b) Reward
(c) Bonus
(d) Compensation
✅ Correct Answer: (d) Compensation
Explanation:
Compensation refers to the total financial and non-financial benefits provided to employees in return for their services. In educational institutions, compensation includes salaries, allowances, bonuses, incentives, fringe benefits, and other rewards given to teachers and staff. It is a comprehensive term that covers all forms of payments and benefits.
Compensation plays a vital role in motivating employees, improving job satisfaction, and retaining qualified staff. A fair and attractive compensation system enhances productivity and organizational efficiency. In educational administration, compensation policies are carefully designed to ensure equity, transparency, and motivation.
Unlike allowances or bonuses, which are only parts of compensation, compensation is a broader concept that includes all monetary and non-monetary rewards. PPSC frequently tests such terms from educational administration and human resource management.
10 PPSC-Related Facts:
- Compensation includes salary and benefits.
- It motivates employees.
- Ensures job satisfaction.
- Helps retain skilled teachers.
- Includes financial and non-financial rewards.
- Allowances are part of compensation.
- Bonuses are performance-based compensation.
- Important in HR management.
- Promotes organizational efficiency.
- Common topic in educational administration MCQs.