Unit of competency Outline
Date retreived
23/07/2026 12:59 AM AWST
23/07/2026 12:59 AM AWST
Whilst all efforts are made to provide accurate and timely information from the relevant source/documentation, please be aware that the information supplied may not be the most current version. The accuracy of the detail has not been confirmed by the Department and therefore should not be relied upon without first confirming the contents.
Manage remuneration and employee benefits
Manage remuneration and employee benefits
Unit of competency
National Code
BSBHRM505B
BSBHRM505B
State Code
D4863
D4863
TGA Status
Replaced
Replaced
DTWD Status
Replaced
Replaced
State Implementation and Classification
Approved Date
29/10/2014
Field of Education
080303 - Human Resource Management
Original Release Date
29/10/2014
Nominal Hours
60
Description
This unit describes the performance outcomes, skills and knowledge required to implement an organisation's remuneration and benefit plans. It incorporates all functions associated with remuneration, including packaging, salary benchmarking, market rate reviews, bonuses and the legislative aspects of remuneration and employee benefits.No licensing, legislative, regulatory or certification requirements apply to this unit at the time of endorsement.
Notes
Elements and Performance Criteria
1. Develop organisation's remuneration strategy
- 1.1. Analyse strategic and operational plans to determine the scope of remuneration and benefits plans
- 1.2. Undertake research on current practice, recent developments and legislative parameters for the remuneration strategy
- 1.3. Develop options for consideration by relevant managers
- 1.4. Present options showing the link to organisational strategic objectives
- 1.5. Ensure remuneration policies and incentive plans are agreed and recorded
- 1.6. Ensure that organisation is positioned as an employer of choice and regarded as a desirable workplace
2. Implement remuneration strategy
- 2.1. Research occupational groups to determine those which are industrial agreement based
- 2.2. Access or undertake market rates surveys regularly to ensure the organisation's required level of competitiveness for particular occupational groups is maintained
- 2.3. Align remuneration and benefits plans with performance management system
- 2.4. Ensure that employees receive at least their minimum entitlements according to organisational policies and legal requirements
- 2.5. Ensure salary packages comply with organisational policies and legal requirements, including fringe benefits tax (FBT) and superannuation
- 2.6. Ensure incentive arrangements, if included, comply with the organisation's remuneration strategy
3. Review and update remuneration strategy
- 3.1. Consult managers and employees about the effectiveness of the remuneration strategy
- 3.2. Amend strategy and plans as necessary to meet organisational policies and legal requirements
RANGE STATEMENT
The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.
Remuneration and benefits may include:
allowances
annual leave
bonuses or incentives
competency-based progression
employee share plans
ex gratia payments
expense reimbursement
family and carer's leave
flexible work arrangements
fringe benefits
leave without pay
long service leave
motor vehicle
salaries and wages
share options
sick leave
special leave
study leave
superannuation.
Employer of choice may include:
ability to attract and retain high performing staff
flexible and inclusive work environment supported by the chief executive officer and managers
policies and practices that discourage harassment or discrimination
reputation for good workplace relationships, a culture of trust and good pay and conditions
reputation for being fair, flexible, innovative and engendering employee engagement
training and development programs that encourage people to plan and follow a career pathway.
Market rate surveys may include:
data from remuneration specialists
general community surveys
industry salary benchmarking
surveys conducted by the organisation.
Salary packages:
may include payment arrangement where the total remuneration and benefits payable to an employee are calculated as total cost of employment, including:
salary
allowances
motor vehicle
superannuation
fringe benefits
do not include payroll tax or workers compensation insurance.
Incentive arrangements may include:
commission
bonuses
share plans
share options
gain sharing
profit sharing.
The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.
Remuneration and benefits may include:
allowances
annual leave
bonuses or incentives
competency-based progression
employee share plans
ex gratia payments
expense reimbursement
family and carer's leave
flexible work arrangements
fringe benefits
leave without pay
long service leave
motor vehicle
salaries and wages
share options
sick leave
special leave
study leave
superannuation.
Employer of choice may include:
ability to attract and retain high performing staff
flexible and inclusive work environment supported by the chief executive officer and managers
policies and practices that discourage harassment or discrimination
reputation for good workplace relationships, a culture of trust and good pay and conditions
reputation for being fair, flexible, innovative and engendering employee engagement
training and development programs that encourage people to plan and follow a career pathway.
Market rate surveys may include:
data from remuneration specialists
general community surveys
industry salary benchmarking
surveys conducted by the organisation.
Salary packages:
may include payment arrangement where the total remuneration and benefits payable to an employee are calculated as total cost of employment, including:
salary
allowances
motor vehicle
superannuation
fringe benefits
do not include payroll tax or workers compensation insurance.
Incentive arrangements may include:
commission
bonuses
share plans
share options
gain sharing
profit sharing.
EVIDENCE GUIDE
The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.
Overview of assessment
Critical aspects for assessment and evidence required to demonstrate competency in this unit
Evidence of the following is essential:
compliance with the legal aspects of managing remuneration and benefits
application of remuneration strategies for different occupational groups and circumstances
application of awards and agreements to structure remuneration processes
application of the requirements of the Australian Taxation Office in relation to income tax, superannuation reporting, FBT and bonus payments.
Context of and specific resources for assessment
Assessment must ensure access to appropriate documentation and resources normally used in the workplace.
Method of assessment
The following assessment methods are appropriate for this unit:
assessment of reports on remuneration models and approaches
direct questioning combined with review of portfolios of evidence and third-party workplace reports of on-the-job performance by the candidate
review of research undertaken on current practice, recent developments and legislative parameters for the remuneration strategy
review of remuneration options developed for consideration by relevant managers
oral or written questioning to assess knowledge of legislation and the taxation system.
Guidance information for assessment
Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended.
The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.
Overview of assessment
Critical aspects for assessment and evidence required to demonstrate competency in this unit
Evidence of the following is essential:
compliance with the legal aspects of managing remuneration and benefits
application of remuneration strategies for different occupational groups and circumstances
application of awards and agreements to structure remuneration processes
application of the requirements of the Australian Taxation Office in relation to income tax, superannuation reporting, FBT and bonus payments.
Context of and specific resources for assessment
Assessment must ensure access to appropriate documentation and resources normally used in the workplace.
Method of assessment
The following assessment methods are appropriate for this unit:
assessment of reports on remuneration models and approaches
direct questioning combined with review of portfolios of evidence and third-party workplace reports of on-the-job performance by the candidate
review of research undertaken on current practice, recent developments and legislative parameters for the remuneration strategy
review of remuneration options developed for consideration by relevant managers
oral or written questioning to assess knowledge of legislation and the taxation system.
Guidance information for assessment
Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended.
Replaces
| State Code | National Code | Title | Type |
|---|---|---|---|
| D0738 | BSBHRM505A | Manage remuneration and employee benefits | Unit of competency |
Replaced By
| State Code | National Code | Title | Type |
|---|---|---|---|
| AUK49 | BSBHRM505 | Manage remuneration and employee benefits | Unit of competency |
| State Code | National Code | Title | Type |
|---|---|---|---|
| D164 | BSB50207 | Diploma of Business | Qualification |
| D168 | BSB50607 | Diploma of Human Resources Management | Qualification |
| J520 | BSB50613 | Diploma of Human Resources Management | Qualification |
| W755 | TAE50310 | Diploma of International Education Services | Qualification |
| J515 | SIS50712 | Diploma of Sport and Recreation Management | Qualification |