A salary is a periodic compensation paid to an employee by his/her employer in return for their obliged services. Normally, salary is given to an employee on a monthly, weekly or quarterly basis; depending on the terms mentioned in the employment contract. While the employer is bound to pay the employee his/her salary after every specific time period, it is solely up to the employer choose a person for the employment position. An employer, depending on the terms mentioned in the employment contract, holds the authority to dismiss an employee without any salary if there is any violation of the contract within the employee’s time employment period.
The history of employees working for salary starts from the Roam period when men used to work, go to war in exchange for food and shelter as a salary. With the passing of time, the type of salary that we know of was introduced during the commercial revolution of Europe and America during 1520 to 1620. As more and more industries were built to produce quality goods for the generals, more and more people signed up as employees in these factories with the assurance of getting paid after a specific interval, if the production level and quality of work is achieved and maintained. During that time most of the employees were paid by the hour or on a per day basis.
The amount of salary that an employer has to pay his/her employee at the end of each time period have to be mentioned specifically in the employment contract. Although in most cases an employment contract is written after both parties agree to the terms and condition, the employer have the right to deny the job or write to law against the employer if he/she finds that the salary amount is not what they agreed on before.
Depending on the company time and company culture, a company can pay their employee’s salary on an hourly or on a fixed basis. While the fixed salary remains constant for the employment period other variables like overtime payment and performance allowances are added to the salary at the end of a period. Depending on the employee’s total amount of overtime and performance level, the amount of salary might increase or decrease.
According to 2014’s latest survey, the highest paid people in the world are Doctors and Surgeons. According to that survey, most fresh doctors earn over $20,000 and more per year from their salaries alone. Other highest paid professionals include Mechanical engineer, information system managers and Natural Science Managers.