compensation

/ˌkɒmpɛnˈseɪʃn/
nounIntermediate
formal

Payment or reward for work done or for a loss suffered.

The company provided compensation to the employees who were affected by the layoff.

The workers received fair compensation for their labor.

⚖️Law
formal

In law, compensation refers to the act of giving something to someone to make up for a loss or injury.

The court ordered compensation to be paid to the victim's family.

💼Business
formal

In business, compensation can refer to the package of benefits and salary provided to an employee.

The company offers a competitive compensation package to attract top talent.

Collocations

fair compensationa reasonable amount of money or benefits given to someone for their work or for a loss sufferedcompensation packagea set of benefits and salary provided to an employee

Synonyms

Antonyms

Related Phrases

workers' compensationphrase
insurance that provides benefits to employees who are injured on the job

💡Pro Tip

Contextual understanding

Understanding the context in which 'compensation' is used is crucial to grasp its intended meaning.

Gold Rule

Collocation usage

When using 'compensation' in a sentence, consider common collocations like 'fair compensation' or 'compensation package' to convey the intended meaning effectively.

📖Word Origin

From Latin 'compensare', meaning 'to weigh together', from 'com-' (together) and 'pensare' (to weigh).

📝Usage Notes

The term 'compensation' is commonly used in various contexts, including business, law, and everyday conversation. It's essential to consider the context to understand the specific meaning intended.

Word Breakdown

com-
together
prefix
+
-pens-
to weigh
root
+
-ation
the act of
suffix
Noted on May 28, 2026ENEN