Also, the fact that Nostrums chief competitor provides lower benefits to its employees is not a good reason for Nostrum to deny an increase to its employees. Employee loyalty is an important asset to any company, and providing good pay and
good benefits are among the best ways to acquire it. Nostrum would be well advised to assure that its employees have little reason to seek employment elsewhere, and especially from its chief competitor.
Finally, one can infer from the surveys results that a full one-third of the respondents may have viewed the current benefits package unfavorably. If so, such widespread satisfaction would weaken the vice presidents argument. Lacking more specific information about how these other employees responded, it is impossible to assess the reliability of the surveys results or to make an informed recommendation.
In conclusion the vice presidents argument against implementing a benefits increase is unconvincing. To strengthen the argument, he must provide evidence that the increase in benefits would have a negative impact on the companys overall profitability. Additionally, he must provide more information about the manner in which the survey was conducted before we can determine the degree of employee satisfaction of the current benefits
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