Philippine School of Business Administration

826 R. Papa St. Sampaloc, Manila

Members:

Cuevas, Anthony
Dalisay, John Vincent
Igot, Kristelle
Laguerta, Marvin
Tiempo, John Gabriel
Vergara, Jana
Villa, Aaron James

Submitted to:
Prof. Lim
Table of Contents
Introduction............................................................................2
Company Background................................................................3
Mission and Vision....................................................................5
History................................................................................... 6
Compensation.........................................................................7
Benefits...............................................................................10
Conclusion...........................................................................16
References............................................................................ 17

2
Introduction

In the Philippines, as companies reorganize to gain competitive edge,

human resources plays a key role in helping companies deal with a fast-changing
environment and the greater demand for quality employees. Human resources
(HR) is the company department charged with finding, screening, recruiting and
training job applicants, as well as administering employee-benefit programs.

A human resources department is an essential, if not critical, component

of any business regardless of the organization's size. It is primarily focused on
maximizing employee productivity and protecting the company from any issues
that may arise from the workforce. HR responsibilities include compensation and
benefits, recruitment, firing and keeping up to date with any laws that may affect
the company and its employees.

The HR departments of large companies have been moving away from

traditional personnel, administration and transactional functions since the start of
the 20th century. These functions are increasingly outsourced to free the
department to recommend and implement meaningful and value-adding
programs that impact the business in positive ways. Functions typically
outsourced include payroll administration, employee benefits, recruitment,
background checks, exit interviews, risk management, dispute resolution, safety
inspection and office policies.

In CF Sharp Holdings, human resources are strategic partners in

recruitment, management, development, motivation, engagement, discipline and
separation of employees. Policy formulation, implementation, review and
monitoring. It provides functional and specialized support and system to foster
compliance with employment and labor standards. It provides guidance and
assistance on areas of Corporate Social Responsibility.

3
Company Background

C.F. Sharp Holdings Inc. (CFSHI) was incorporated in August 1995

following a massive reorganization of then C.F. Sharp & Co. (founded in 1937).
After this reorganization, previous divisions were spun off into autonomous
companies C.F. Sharp Holdings Inc. (Holding Company), C.F. Sharp Crew
Management Inc. (Manning Agency), C.F. Sharp Shipping Agency (Liner
Agency), Commercial Freight Services Inc. (Freight Forwarding), Sharp Travel
Service Inc. (Travel Agency), Sharp Maritime Security Training Services Inc.
(Maritime Training) and Competitive I.T. Solutions Inc. (I.T. Services). CFSHI is
the parent company of the CF Sharp Group. CFSHI provides business
operations support and direction for all companies of the Group. CFSHI is
comprised of Executive, Finance, Corporate Services (HR and Admin) and Legal.
C.F. Sharp Holdings Inc. is manned by a dedicated team of professionals headed
by Mr. Jon B. Rocha, Chairman & President.

CFSHI is the parent company of the CF Sharp Group. CFSHI provides

business operations support and direction for all companies of the Group. CFSHI
is comprised of Executive, Finance and Corporate Services (HR and Admin). C.F.
Sharp Holdings Inc. is manned by a dedicated team of professionals headed by
Mr. Jon B. Rocha, Senior Vice President and Chief Operating Officer.

C.F. Sharp Group was established in 1937 by Don Antonio V. Rocha and
Mr. Chester F. Sharp after deciding to venture out on their own in the shipping
industry. In the 1960's, Don Antonio bought out the interests of Mr. Sharp and the
company became a 100% Filipino owned corporation. A decade later, day to day
management of the company was turned over to his sons.

4
Mission and Vision

Mission

Being a leader in the fields of Crewing, Travel, Freight Forwarding,

Brokerage, Air Cargo, Airline GSA, Maritime Training, I.T. Service and Trading.

Vision

C.F. Sharp is staying true to its vision of becoming the preferred Service
Provider by consistently delivering global quality services that always exceeds
client expectations and requirements.

Location

Casa Rocha, 290-292 General Luna St, Intramuros, Manila, Philippines

5
History

The C.F. SHARP GROUP was established in 1937 when Don Antonio V.
Rocha, President of Manila Shipping Inc., General Agent in the Philippines for
States Steamship Corporation and Mr. Chester F. Sharp, Owners Representative
of States Steamship, decided to venture out on their own in the shipping industry.

After a secret meeting in Tokyo, Japan with Mr. Masao Doi, President of
Daido Lines, which later on became Japan Lines, the Company was formed on
November 23, 1937 and immediately began doing business as the newly
appointed general agent of Daido lines in the Philippines. The Company initially
concentrated on booking sugar export cargoes for its principals vessels and thus
the famous and well-known cable address SUGARCRAFT was registered. The
outbreak of World War II in 1941 brought to a standstill all the shipping activities
of the Company in the Far East. Only the San Francisco office remained open. In
1945, after the end of the war, the Company immediately resumed the operations
of its Manila office and opened its branch offices in Japan under a special permit
issued by the Supreme Commander of Allied Forces in Japan, Gen. Douglas
MacArthur.

This was followed shortly by the opening of additional branch offices in

Korea, Singapore, Malaysia and Hong Kong. In the 1960s, Don Antonio V.
Rocha bought out the interests of Mr. Chester F. Sharp and the Company
became a 100% Filipino owned corporation. A decade later Don Antonio retired
and turned over the day to day management of the Group to his sons. Today, the
C.F. SHARP GROUP has expanded from its original business of Liner and
Husbanding Agencies, to being a leader in the fields of Crewing, Travel, Freight
Forwarding, Brokerage, Air Cargo, Airline GSA, Land-based Recruiting and
Training.

6
Compensation

Difference between compensation and benefits

Both the factors are important in motivating employees for doing their work and
paying them for the services they are doing for the company. However, there is a
slight difference between compensation and benefits.

Compensation is completely related to the money which is being paid to an

employee i.e. salary. bonuses etc.

On the other hand, Benefits are the non-monetary incentives given to

employees like health benefits for which the employee doesn't have to pay.

In C.F. Holdings, employees are paid twice a month at intervals not exceeding 16
days.

Workdays/Working hours

Regular workdays are Mondays through Fridays however there are some
companies within the group whose nature of business require employees to
report on Saturdays, either half or whole day.

Monday Friday: forty (40) hour work-week with equivalent 262

business/working days per year Monday Saturday (half day): forty-four (44)
hour work-week with 288 business/working days per year
Monday Saturday (whole day): forty-eight (48) hour work-week with 314
business/working days per year

The following are the formulas for computing Daily/hourly rate:

1. For employees working 5 days a week from Mondays through Fridays (8 hours
excluding 1 hour lunch break. 40 hours per week)

Daily Rate = Monthly Compensation x 12 (months in a year) 262 (days in a year)

Hourly Rate = Daily Rate

8 hours per day

Example:
Daily Rate = Php 10,000 x 12

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262 Daily Rate = Php 458.02

Hour Rate = Php458.02 8

Hourly Rate = Php 57.25

Overtime Pay

Overtime pay refers to the additional compensation for work performed beyond
(8) hours of continuous work for each day.

Coverage
All rank and file employees with a minimum overtime work of 2 hours. Overtime
Pay Rates

1. Overtime pay on an ordinary day 125%

2. Overtime pay on rest day or on special holiday 130%

3. Overtime pay on a rest day which falls on a special day 150 %

4. Overtime pay on a regular holiday - 200%

5. Overtime pay on a rest day which falls on a regular holiday 260%

Example: Using PHP 404.00 as basic daily rate and 47.75 as basic hourly rate.

1. Overtime pay on an ordinary day50.5 + (25 % of 50.5) = 50.5 + (0.25 x

50.5) 50.5+12.63 = Php 63.13 OT/hour

2. Overtime pay on rest day or on special holiday 50.5 x 1.3 = Php 65.65
OT/hr
In excess of 8 hours=65.65 + 30% of (OT per hour on that day =65.65) =65.65 +
(0.3 x 65.65)=Php 85.35 OT/hr

3. Overtime pay on a rest day which falls on a special day 50.5 x 1.5 = Php
75.75 OT/hour
In excess of 8 hours=75.75 + 30% of (OT per hour on that day = 75.75) =75.75 +
(0.3 x 75.75)=Php 98.48 OT/hour

4. Overtime pay on a regular holiday 50.5 x 2 = Php 101 OT/hour

In excess of 8 hours=101 + 30 % of (OT per hour on that day = 101) =101 + (0.3

8
x 101)=Php 131.30 OT/hour

5. Overtime pay on a rest day which falls on a regular holiday 50.5 x 2.6 =
Php 131.30
In excess of 8 hours=131.30 + 30 % of (OT per hour on that day = 131.30)
=131.30 + (0.3 x 131.30)=Php 170.69 OT/hour

Night Shift Differential

It refers to the additional compensation of ten percent (10%) of an employees

regular wage for each hour of work performed between 10:00 p.m. and 6:00 a.m.

Coverage
All rank and file employees

13th Month Pay

All employers are required to pay employees thirteen-month pay, regardless of
the nature of their employment and irrespective of the methods by which their
wages are paid, provided they worked for at least one (1) month during a
calendar year. Law gives thirteenth-month pay given to employees not later than
December 24 of every year.

9
Benefits

In general, Benefits are indirect and non-cash compensation paid to an

employee. Some benefits are mandated by law (such as social security,
unemployment compensation, and workers compensation), others vary from firm
to firm or industry to industry (such as health insurance, life insurance, medical
plan, paid vacation, pension, gratuity).

In C.F. Holdings, the benefits are the following:

GOVERNMENT MANDATED BENEFITS

Social Security System (SSS)

The Social Security System administers social security protection to workers in

the private sectors. Benefits:

Sickness - The sickness benefit is a daily cash allowance paid for the number of
days a member is unable to work due to sickness or injury.

Disability - The new SSS Disability program is a re-designed disability program

that implements the revised manual of disability assessment. The new program
adopts the World Health Organizations (WHO) definition of disability that states
as any restriction or lack (resulting from impairment) of ability to perform an
activity in the manner or within the range considered normal for a human being.

A member who suffers partial or total disability with at least one monthly
contribution paid to the SSS prior to the semester of contingency is qualified.

Retirement - It is a cash benefit either in monthly pension or lump sum paid to a

member who can no longer work due to old age.

Maternity - The maternity benefit is a daily cash allowance granted to a female

member who was unable to work due to childbirth or miscarriage.

10
Death and Funeral - It is a cash benefit either in monthly pension or lump sum
paid to the beneficiaries of a deceased member.

(Note: In addition to what is provided by law the company grants free funeral
services and coffin to a deceased regular employee. )

PhilHealth

This program underscores the importance for government to give priority to

health as a strategy for bringing about faster economic development and
improving quality of life.

Benefits:

Inpatient coverage:
PhilHealth provides subsidy for room and board, drugs and medicines,
laboratories, operating room and professional fees for confinements of not less
than 24 hours. Please refer to the table of rate ceilings/maximum allowances for
inpatient coverage.

Outpatient coverage:
Day surgeries, dialysis and cancer treatment procedures such as chemotheraphy
and radiotheraphy in accredited hospitals and free-standing clinics.

Special benefit packages:

Coverage for up to the fourth normal delivery Newborn Care Package
TB treatment through DOTS
SARS and Avian Influenza Package Influenza A (H1N1) Package

Pag-IBIG/HDMF

The birth of the Home Development Mutual Fund (HDMF), more popularly known
as the Pag-IBIG Fund, was an answer to the need for a national savings program
and an affordable shelter financing for the Filipino worker.

Pag-IBIG Fund offers the following programs and services: Provident/Savings

Benefit

Pag-IBIG overseas Programs Pag-IBIG Housing Bonds Provident Loan

Housing Loan

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Pag-IBIG II membership under this program is voluntary. This is to give Pag-
IBIG I members another savings option that would provide them with a higher
yield. Members whose monthly gross income exceeds Php 5,000 may contribute
and save a minimum of Php 500 per month.

Paternity Leave

Paternity leave is granted to all married male employees in the private sector,
regardless of their employment status. The purpose of this benefit is to allow the
husband to lend support to his wife during her period of recovery and/or in
nursing her newborn child.

The paternity leave shall be for seven (7) working days for the first four deliveries
of the employees lawful wife with full pay.

Solo Parent Leave

Solo parent leave is granted for all solo parent employees with at least one year
of service whether continuous or broken. The solo parent leave is for one (1)
working day, with full pay.

The employee must present a valid Solo Parent Identification Card issued by
DSWD to have an annual credit of one day parental leave.

COMPANY SPONSORED BENEFITS

No of
Type of leave Criteria
days

All regular employees with one year of service

(maximum of 3 can be used as emergency leave),
Vacation Leave 15
convertible to cash upon resignation (except Senior
Managers and up)

All regular employees with one year of service,

Sick Leave 10 convertible to cash at year end(except Senior
Managers and up).

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Birthday Leave 1 for all regular employees

Company all female regular employees with one year of service (

45
Maternity Leave aside from SSS Maternity Benefit)

every Official business done outside Metro Manila that

Rest Day OB 1
consumes more than 12 hours

Bereavement for all regular employees, death of family member up

5
Leave to 2nd civil degree by affinity or consanguinity

2 for all employees with at least 6 months of continuous

Special Leave
months aggregate employment service

Battered
10 All women employees
Womans Leave

Metro Manila or the National Capital Region (NCR) is the metropolitan region
encompassing the City of Manila and its surrounding areas in the Philippines. It is
composed of 16 cities namely Manila itself, Caloocan, Las Pinas, Makati,
Malabon, Mandaluyong, Marikina, Muntinlupa, Navotas, Pasay, Pasig,
Paranaque, Quezon City, San Juan, Taguig, Valenzuela, and the municipality of
Pateros.

Life and Accident Insurance

All regular and probationary employees are insured under a non-contributory

Group Accidental Death and Dismemberment Insurance Plan. The amount of
insurance varies, according to the level of your position grade.

Each employee is requested to fill-up and/or update an insurance coverage form

to assign their beneficiaries. Any changes in beneficiaries must be officially
enrolled with the insurance provider to take effect.

Hospitalization Insurance

All regular employees are covered under a non-contributory Health Maintenance

Organization (HMO) provider while employees will have the prerogative to enroll

13
their dependents on their own account. The premium for dependents will be
salary deductible in equal installments for 6 months. The amount of insurance
varies, according to the level of

your position grade. This includes dental benefits. Dependents insurance

coverage will be the same or a grade lower than that of the principal employees.
Hierarchy of dependents shall be followed.

For married employees, eligible dependents qualified to apply are:

a) Legal spouse up to 65 years old; and
b) Legitimate, legitimated, legally adopted children, 15 days to 21 years old in
order of age (eldest to youngest in that order).

For single employees, eligible dependents qualified to apply are:

a) Parents up to 65 years old; and
b) Brothers and/or sisters 15 days to 21 years old, in order of age (eldest to
youngest in that order).

Medical Benefits

1. Pre-employment medical examination ( reimbursable after 6 months)

2. Minor emergency treatment by the Company Nurse.

3. First Aid medicines (available at the company clinic)

4. Reimbursement of medicines with prescription for those regular

employees receiving total compensation of

PHP 17,900 and below.

5. Annual Physical Exam for all regular employees.

Perfect Attendance

All regular and probationary employees are eligible for perfect attendance
provided that they did not incur any late, absences and undertime. Employee will
receive Php 200 per month, Php 500 for 3 consecutive months, Php 2,000 (for 12
months straight, from December to November) with perfect attendance. Those
employees with vacation leaves filed on time are also included/eligible for perfect
attendance.

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Meal Allowance

The company recognizes the needs of its junior officers (except for CF Sharp
Crew Management employees in which meal allowance is integrated to the
salary) on instances when they need to render extra time beyond their regular
work schedule to accomplish certain tasks. Therefore, a meal allowance is
hereby provided to compensate extra time rendered by such employees.

Coverage
All junior/senior supervisors, assistant managers and managers.

Weekday: 3 hours PHP 350 (30 mins inclusive break), Weekend/Holiday: 2

hours PHP 350 (exclusive of break),

4 hours PHP500 (exclusive noon break)

Company Sponsors the following Year Round Sports and Recreational

Programs

For employees to develop good camaraderie and physical fitness, the company
sponsors tournaments and other sports activities. This provides an opportunity
for all employees not only to realize sportsmanship but as well as team building.

Company sponsors the following: Bowling

Badminton Basketball Darts Jackstone

Salary Loan

C.F. Sharp Group has an arrangement with certain banks and other accredited
institutions for granting of salary loans to qualified employees. Interest rates are
lower than the prevailing industry rate.

Per Diem

The policy applies to official business/travel that shall consume at least one
working day. The policy entitles all employees of the company on official travel as
assigned by appropriate managers or heads of units a per diem and/or travel
allowance.

PER DIEM ACCOMODATIONS

RANK

15
 International Europe Local International Local

SVP and up $125 $150 Php 3,000 As charged As charged

AVP-VP $100 $125 Php 2,000 As charged As charged

Managers $75 $100 Php 1,000 Standard Room Standard Room

Supervisors $50 $75 Php 750 Standard Room Standard Room

Staff $50 $75 Php 500 Standard Room Standard Room

Car Plan

Management strives to adopt the best practices in the industry where it operates.
In line with this thrust, the company shall provide and maintain a car plan for
selected management positions as a tool of trade in the furtherance of their
duties and responsibilities.

Retirement Plan

The aim of this plan is to provide a retirement fund to be established by the

company. It is a non-contributory retirement plan for regular employees of CF
Sharp Group of Companies with at least 10 years of service. Please refer to the
table below for the vesting schedule of service and corresponding monthly basic
salary that will be credited.

Years of Service Percentage of Monthly Basic Salary

10 50%
11 55%
12 60%
13 65%
14 70%
15 75%
16 80%
17 85%
18 90%

16
19 95%
20 100%

Retirement Sample Computation

For employee with 10 years of service and with current basic monthly salary of
Php 20,000

10 years is 50 % of basic monthly salary multiplied by the number of years of

service.

Retirement Pay = (Basic Month Pay x 0.50) years of service = (20,000 x 0.50) 10

= Php 100,000.00

Sharp Baby

A regular employee whose legitimate child is born of normal delivery on the

anniversary date of the Company (November 23) shall be entitled to free
education from primary to college. In addition, the hospital expenses shall be
shouldered by the company. However, in cases when the child is born of normal
delivery nearest the anniversary date, within a week before ( November 16-22) or
after (November 24 30) the company shall then shoulder (50 %) only the
hospital expenses of both the mother and the infant. Separation of the parent
from the company by reason of his/her fault or voluntary resignation
automatically cancels the privileges not yet granted.

Trick or Treat Celebration

This is CF Sharps version of celebrating trick or treat for children of CF Sharp

employees with ages 12 years and below. Children proceed in costume from
each department asking for treats such as candies. Kids are also provided with
snack and will have the chance to win best in costume that best suits the theme
of the party.

Christmas Gifts for children of CF Sharp employees

17
As a part of CF Sharp Groups Christmas celebration, all children of CF Sharp
employees with ages 10 years and below will be receiving gifts from the
management as early as second week of December.

Conclusion

The human resource is important in every business because they are the
people who make up the workforce of an organization, business sector, or
economy. A human-resources department of an organization performs human
resource management, overseeing various aspects of employment and
employment standards, administration of employee benefits, and some aspects
of recruitment and dismissal.

CF Sharp Holdings, gives importance to its human resource department.

They are the strategic partners in recruitment, management, development,
motivation, engagement, discipline and separation of employees. Policy
formulation, implementation, review and monitoring. It provides functional and
specialized support and system to foster compliance with employment and labor
standards. It provides guidance and assistance on areas of corporate social
responsibility.

One of the biggest factors why people join companies is because of

compensation and benefits which is given to them. Apart from the company's
reputation and job profile, the money offered as a salary is pivotal in attracting
people to work for the organization. The more the compensation and benefits
offered to employees, the more is their loyalty, motivation to work and do well.
However, companies which offer lesser salaries see a high attrition rate and less
productivity from employees. All these factors help in making compensation and
benefits an important factor in managing workforce. Compensation and benefits
is an important aspect of HRM as it helps to keep the workforce motivated. It
helps give benefits to employees based on their performance and actions and
brings the best out the employees at workplace.

18
References

http://cfsharpgroup.com/c-f-sharp-holdings/

http://cfsharpgroup.com/home/

http://cfsharpgroup.com/companies

http://cfsharpgroup.com/services

http://cfsharpgroup.com/articles

http://cfsharpgroup.com/contact

https://en.wikipedia.org/wiki/Human_resources

http://www.businessdictionary.com/definition/human-resources.html

https://www.thebalance.com/compensation-definition-and-inclusions-1918085

http://www.ehow.com/info_8134569_meaning-compensation-benefits.html

http://www.jobstreet.com.ph/en/companies/493191-cf-sharp-holdings-inc

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