chapter13-214812

4-

13

13-1

Benefits and Services

Human Resource Management 14th Edition, Global Edition

Gary Dessler

Copyright © 2015 Pearson Education Ltd.

4-

13-2

1. Name and define each of the main pay for time not worked benefits.

2. Describe each of the main insurance benefits.

3. Discuss the main retirement benefits.

4. Outline the main employees’ services benefits.

5. Explain the main flexible benefit programs.

Learning Objectives


4-

13-3

Introduction: The Benefits Picture Today

• Policy Issueso Whato Whoo New employeeso Moneyo Communication

The list of policy issues includes what benefits to offer and who receives coverage. Decisions also must be made regarding whether to include retirees in the plan and whether to deny benefits to employees during initial “probationary” periods. Employers must plan for how to finance benefits, cost-containment procedures, and how to communicate benefits options to employees.

4-

13-4

Name and define each of the main pay for time not

worked benefits.


4-

13-5

Pay for Time Not Worked

• Unemployment insurance• Vacations and holidays

o Legal aspects o Sick leaveo Cost-reduction tactics

• Tracking sick leave


4-

13-6

• Parental leave and the Family and Medical

Leave Act (FMLA)o FMLA guidelines

• Severance payo Guidelines

• Supplemental unemployment benefits

Pay for Time Not Worked


4-

13-7

Describe each of the main insurance benefits.


4-

13-8

Insurance Benefits (1)• Workers’ compensation

Workers’ compensation refers to the income and medical benefits provided in work-related accidents to the victims or their dependents, regardless of fault. Workers’ compensation can be monetary or medical or a combination. Monetary awards are based on a formula regarding the disability involved and the worker’s average weekly wages.

• Hospitalization, health, and disability insurano HMOs - A health maintenance organization is a medical

organization consisting of several specialists operating out of a community-based health care center

o PPOs - Preferred provider organizations (PPOs), a cross between HMOs and the traditional doctor/patient arrangement, are groups of health care providers that contract to provide medical care services at a reduced fee.


4-

13-9

Trends in Employer Health Care Cost Control

• Communication and empowerment• Wellness programs• Claim audits• Limited plans• Outsourcing• Other cost-control options


4-

13-10

Insurance Benefits (3)

• Long-term care• Life insurance• Benefits for part-

time and contingent

workers


4-

13-11

Discuss the main retirement benefits.


4-

13-12

• Social security• Pension plans

o 401(k) planso Other defined contribution planso Cash balance plans

• Pension planning and the lawo PBGCo Membership requirementso Vesting

Retirement Benefits


4-

13-13

• Pensions and early retiremento BENELOGICo Benefits web sites

Retirement Benefits


4-

13-14

Review

• Social security• Pension plans• Pension planning

and the law• Early retirement


4-

13-15

Outline the main employees’ services benefits.


4-

13-16

Personal Services and Family-Friendly Benefits

• Personal services - include credit unions, legal services, counseling, and social and recreational opportunities.

• Employee Assistance Programs (EAP) provide employees with counseling and/or treatment for problems such as alcoholism, gambling, or stress. Such treatment is totally confidential from the company. The company receives only general statistics, such as the number of employees who used the service annually, from the outside EAP firm.

• Family-friendly (work–life) benefitso Subsidized child careo Sick child benefitso Elder care

4-

13-17

Other Personal Services Benefits

• Educational subsidies• Domestic partner

benefits• Executive perquisites


4-

13-18

• The cafeteria approacho Types of plans

• Benefits and employee

leasing

Flexible Benefits Programs

Many businesses do not have the resources or employee base to support the cost of employee benefits. In such cases, employee leasing firms can come to the rescue and assume all or most of the employer’s human resource needs. The individual is employed by the leasing firm but costs are assumed by the organization that is using the leasing firm. Responsibilities such as performance and liabilities, however, belong to the leasing firm

4-

13-19

• Flexible work scheduleso Flextimeo Compressed workweekso Effectiveness o Workplace flexibilityo Other flexible work arrangements

Flexible Benefits Programs


chapter13-214812

Documents

benefits options

discretionary benefits

weekly benefits

main insurance benefits

main retirement benefits

main pay

various pay

main flexible benefit