Compensation And Benefits Plan: Cybersecurity Liaison

Compensation

According to DeNisi & Griffin (2018), “Compensation is the set of rewards that organizations provide to individuals in return for their willingness to perform various jobs and tasks within the organization. It should be a result of a careful and systematic strategic process” (Ch. 9). The job of Cybersecurity Liaison is contracted out which means the typical classification system for job evaluation in the Air Force that groups jobs together by rank, does not apply. To implement a strategy that attracts the highest-quality employees and fosters a culture of elitism (DeNisi & Griffin, 2018, Ch. 9-1c), the Air Force offers to pay Information Technology Specialists (including Cybersecurity Liaison) above-market compensation.

Indeed (2019) found the average salary of Information Technology Specialists to be $117,302 per year based on 3,802 salaries submitted. The position of Cybersecurity Liaison in the Air Combat Operations squadron at Langley Air Force Base receives a starting salary of $125,500, well above the average salary reported by Indeed (2019). The U.S. Air Force recognizes the extensive background and qualifications employees must have for this position as well as the need for consistent professional development and tech training. By being the point of contact for all matters relating to squadron security and information assurance, the position of Cybersecurity Liaison is extremely important in helping to protect the security of our Federal government and should be compensated accordingly. (D3 Air and Space Operations, n.d.). The strategy to pay these employees above-market compensation is also used as a way to retain these valuable employees at the point a contract should be renewed (DeNisi & Griffin, 2018, Ch. 9-1c).

In addition to providing above-market compensation, another strategy to continually enhance performance is by way of merit-pay plans and bonuses. “Merit-pay plans are formal compensation plans that base at least some meaningful portion of compensation on merit” (DeNisi & Griffin, 2018, Ch. 14-3). Performance and contributions as Cybersecurity Liaison are recognized through merit-pay plans by annual salary increases administered during annual performance reviews. Unless the annual performance review shows considerable negative feedback, the merit-pay plan guarantees an annual salary increase of 3%. Employees are also offered bonuses if professional certifications that assist in career development are obtained.

Benefits Plan

According to DeNisi & Griffin (2018), “Benefits are the various rewards, incentives, and other items of value that an organization provides to its employees beyond wages, salaries, and other forms of financial compensation” (Ch. 9). Some benefits provided are those required by law but also include nonmandated, voluntary benefits that, along with compensation, help to attract and retain high-quality employees.

Mandated Benefits

Mandated benefits include Medicare, Social Security, unemployment insurance, Workers’ Compensation, health insurance under the Affordable Care Act, and family and medical leave. Based upon gross compensation, both employees and employers are required to contribute to the Medicare and Social Security funds (Paychex, 2018). Employers are responsible to pay premiums to the unemployment insurance fund, which is intended to provide basic assistance to those between jobs, and workers’ compensation insurance, which covers individuals who suffer a job-related illness or accident (DeNisi & Griffin, 2018, Ch. 9-5). For companies with 50 or more full-time employees, employers are required to offer adequate and affordable health coverage to their employees and their employees’ dependents, as well as 12 weeks of unpaid leave for family and medical reasons (Paychex, 2018). According to the U.S. Bureau of Labor Statistics, “legally required benefits provide workers and their families with retirement income and medical care, mitigate economic hardship resulting from loss of work and disability, and cover liabilities resulting from workplace injuries and illnesses” (2011).

Voluntary Benefits

The Cybersecurity Liaison is a full-time position that requires working 40 or more hours per week which means the employee is eligible for many additional benefits included in the comprehensive benefits package. Research has shown that these additional benefits can reduce stress and increase job satisfaction which in turn, increases productivity and reduces turnover (NCSF, n.d.).

Insurance. All employees become eligible for health, dental, and vision insurance on the first day of the month following their start date. Life insurance is offered to full-time employees only. Employees are insured at two times their base salary.

Educational Assistance. The Lumina Foundation found that offering educational assistance will enhance current and future job performance as well as reduce turnover (2016). The educational assistance program offered is based on employee tenure up to the following amounts: one year = $2,500 per calendar year, two to four years of service = $5,250 per calendar year, five or more years of service = $7,000 per calendar year. The employee must obtain a grade of “B” or better in the class/classes they have signed up for. We provide reimbursement for courses required for professional development and offer bonuses if additional professional certifications are obtained.

Flextime. Flextime is offered to all employees as a way to reduce stress and have more control over their work-life balance (DeNisi & Griffin, 2018, Ch. 14). Unless approved to telecommute, employees must be at work between the hours of 11 a.m. and 3 p.m.; it is up the employee to make up the rest of the work week in flextime (between 7 a.m. – 11 a.m. and 3 p.m. – 7 p.m.) so long as it adds up to at least 40 hours per week.

Vacation/Time-Off. In order to reward those who have been with the company for numerous years, paid vacation time will be determined based upon consecutive months of service. Each employee starts off with 10 days of paid vacation and with each 6 months working increases paid vacation days by 2. Up to 30 unused vacation days may be carried over to the next calendar year.

401(k) Plan. A 401(k) plan is available to all qualified employees and allows employees to save money on a tax-deferred basis (DeNisi & Griffin, 2018, Ch. 9-6a). Enrollment is permitted on a quarterly basis. We provide a “match” program, which includes a matching formula of 50% of contributions on the first 6% of an employee’s base salary.

Fitness Benefits. In order to reduce health care costs, reduce employee stress, and increase productivity at work, we provide employees with multiple fitness benefits options (Page, 2018). A gym is located on site for all employees to use and additional programs through Orange Theory Fitness can be found on the HR department website at a reduced price.

References

1. BLS. (2011). Program Perspectives on Legally Required Benefit Costs. Retrieved from https://www.bls.gov/opub/btn/archive/program-perspectives-on-legally-required-benefit-costs.pdf
2. D3 Air and Space Operations, Inc. (n.d.). RPA Unit Security Manager & Cybersecurity Liaison. Retrieved from https://www.appone.com/MainInfoReq.asp?ServerVar=d3airandspaceoperationsinc.appone.com&R_ID=1360999
3. DeNisi, A., Griffin, R. (2018). HR (4th ed.) [Cengage, MindTap].
4. Indeed. (July 27, 2019). IT Security Specialist Salaries in the United States. Retrieved on July 30, 2019 from https://www.indeed.com/salaries/IT-Security-Specialist-Salaries
5. Lumina Foundation. (2016). Talent Investments Pay Off. Retrieved from https://www.luminafoundation.org/files/resources/talent-investments-pay-off-cigna-full.pdf
6. NCSF. (n.d.). Employee Benefit Programs and Workplace Productivity in Challenging Economic Times. Retrieved from https://www.ncsf.org/enew/articles-employeebenefitprogramsworkplaceproductivitychallengingeconomictimes.aspx
7. Page, S. (December 27, 2018). 5 Reasons Why a Workplace Gym is a Good Idea. Retrieved from https://info.totalwellnesshealth.com/blog/5-reasons-why-a-workplace-gym-is-a-good-idea
8. Paychex. (May 21, 2018). What Basic Benefits Must a Company Provide Employees? Retrieved from https://www.paychex.com/articles/employee-benefits/employee-benefits-a-company-must-provide