A complete 360 degree shift in the way organizations function and carry out their businesses in spite of the deadly hit of the pandemic which has almost wipeout most of the businesses due to global lockdown worldwide. In Covid-19 pandemic there is greater focus on skills and talent then just ordinary jobs. People are forced people to rethink about their quality of life. Employees want to be valued and rewarded for their inputs and contribution. There’s also a greater focus on team performance. The uses of AI and automation to understand what engages and disengages employees is going to continue. Keeping the above factors in consideration the present study analyzed the effects on compensation and benefits of the organizations and the way they are realigning it with the new normal. A survey was conducted on 50 employees working in a private sector organization in Mumbai and found that there is need to revise and add the covid-19 coverage in the medical policies of the organizations. Also, the organizations need to provide monetary and non-monetary benefits to their employees. Most of the respondents suggested that along with pay for performance there should be reimbursement of the salary cut held during the pandemic. Also work-from home should be given as an option to all employees as a safety measure. Due to changes in way employees perceive their jobs is evolving having value creation for business and having a revolutionary change in work environment in the global business scenario, employers have brought about fundamental change in how compensation and benefits can be delivered.

KEYWORDS: Compensation, Salary Restructuring, Reimbursement, Results in Only Work Environment.