Financial compensation

Financial compensation means to pay money to a person or an organisation because they have suffered a loss. What was lost does not have to be money.  The word is most often used in cases of damages. It may also be used for other sorts of payments. Workers' compensation is paid  in many countries, where an employee has suffered an injury at work. Businesses may pay compensation if the product or service they sold has failed. Sometimes compensation is ordered by a court or an ombudsman.   It may be paid voluntarily to  improve the reputation of a business.

References

Category:Economics
Category:Legal terms