...Employee Benefits Employee benefits is very important benefit that every employee should be looking at when it comes time to search for a job. Many companies offer a lot of employee benefits, however; there are some that are more important than others. When the organization is developing and planning their benefit package, there is information that is very important for the planning process and then there is other information that is not as important when it comes to the planning process. The most important information when it comes to planning process for employee benefits would be compensation(2014). You have to have a good compensation package for your employees based on their experience, education, and knowledge. When employees are searching for jobs, one of the first things they want to know is how much they will be making per an hour or if it is salary, the employee will want to know how much their salary is going to be. So that would be one of the most important things to consider when planning for the process of employee benefits. The second most important thing when a company is planning for employee benefits would be medical insurance. Most companies offer health insurance, dental insurance, vision insurance, and prescription coverage. Now a days, every person has to have health insurance due to the Obama care so that is why the medical insurance is one of the most important things to plan when planning the employee’s benefits process. Medical insurance is...
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...We are pleased to announce the opportunity to participate in a new job employee benefit that will not only benefit employees but the community. The office to which each employee belongs to has collected a list of organizations that are looking for volunteers. The list given is not the only means of volunteer work, but other options that are already in progress or a personal idea is optional as well. It is understandable that many already participate in community service, but this is an opportunity to be paid while doing so. As you all are well aware of, strengthening community is what we strive for and our greatest cause. That being said, everyone will not be able or will not want to participate. Further details are below: Non-participants People who choose not to participate will work and be paid for the same number of hours as before. Benefits Group participants will be featured in company publications. Absences (Volunteer or Compensation Work) Be sure to clear ANY planned absences with supervisors during regular business hours. Participants * Employee can spend 1 hour working with a charitable on nonprofit group for every 40 they work. Employees will be paid for this work, so their salaries will not fall. * Supervisors are responsible for ensuring that essential business services are covered during business hours. Hours of Volunteer Work * 1 hour per week * 2 hours every other week * Half- day each month *Volunteer hours cannot...
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...Employee benefits Depending on the business, meeting employer business goals may be highly dependent on having the right human capital and keeping workers satisfied and motivated. Often, attraction and retention of employees are key business issues. The discussion of employer goals for retirement benefits below and the data provided demonstrate that employers are viewing the provision of these benefits as a key business issue, with attraction, retention and being competitive being the three top goals. Employee benefits help attract and retain good employees. For many individuals, the availability of satisfactory health benefits is essential if they are to consider employment, and health benefits are often a consideration in leaving jobs as well. This may change in 2014, after the implementation of the Affordable Care Act. Employers can improve the net welfare of their employees through offering benefits. Employee benefits are often tax-effective, so that a dollar spent on benefits gets more than a dollar of value for employees. Benefits provided on a group basis are generally more cost-effective than individual insurance. In addition, group purchase allows all employees to be covered, not just those in good health. Well-structured and -managed defined benefit plans generally get better investment returns than many defined contribution participants, and allow more dollars of retirement benefits to be delivered per dollar paid in. Benefits paid as guaranteed life income allow...
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...offer their employees benefit packages as part of their total compensation program. Often these benefit packages range in value from 30 to 40 percent above the employee’s base salary. A very interesting question is: Why don’t companies simply pay their employees 30-40% more salary and have the employee select their own benefits? Based on some research and my own experience, I believe that there are four main reasons that employers provide benefits programs to their employees. The four reasons are: - Lower cost – The main reason that employers offer its employees benefits programs lies in the following quote: “A decade ago, many employers adopted benefit plans, in lieu of paying cash, simply for the tax benefits.” (Smith, 2007) According to the article, there is a significant difference in the tax collected on salaries compared to the tax collected on the same value of benefits. - Incentives – Many employees offer benefit programs as a way of enticing people to join their organization. A healthy benefit package is equally as important as salary dollars. - Work satisfaction - Staff are happier with an employer paid and managed benefit program. This type of program reduces stress on employees by taking over the responsibility of benefit program design. - Staff morale – Happier staff means greater staff morale which means more productivity. There are many reasons that employers might offer their employees company managed and paid benefit programs. While the...
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...Sentara Healthcare Benefits Packages Rodger Walker, Student # 4121227 American Military University Professor Jennifer Halsey Compensation and Benefits (HRMT 412) 06/22/12 Introduction I chose to use Sentara Healthcare as my subject organization for this paper. Sentara Healthcare is an acknowledged leader in patient safety and quality innovation. Founded in 1888 as the Retreat for the Sick in Norfolk, Virginia, Sentara has ranked for more than a decade among the nation's top integrated healthcare systems by Modern Healthcare magazine and is the number one most integrated health care system for the last two years (Sentara). Sentara, a not-for-profit health system, operates more than 100 sites of care serving residents across Virginia and northeastern North Carolina. The system is comprised of 10 acute care hospitals, including seven in Hampton Roads, one in Northern Virginia, nursing and assisted-living centers, a 3,680-provider medical staff, and three medical groups with 618 providers. Another reason I chose Sentara Healthcare for my subject is that the organization offers one of the most diverse and comprehensive benefits packages I have ever seen. Body Sentara offers a Flexible Benefit Plan (FBP) that allows employees to choose from numerous grouped plan options, or employees can pick and choose individual benefits. Employees have the option of choosing health coverage including medical insurance, dental insurance, or vision insurance. For other health...
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...Memo In this memo, is a brief summary of what is included in the comprehensive employee benefit package for hotel managers for the year of 2012. This memo will also cover other positions under hotel manager. The employees, who receive a copy of this memo, will receive a benefit package in the mail within the next seven to ten days in the mail. In the benefit package, employees will find an introductory letter that will explain what is in the benefit package. The first thing I want to inform the employees of is that not many of the benefits from the past have been changed, but some benefits have been implemented to help provide more benefits to our employees. The first new benefit is a flexible spending account for the managers. This flexible spending account will allow the managers to buy accommodations to better suit the hotel guest. Any manager will be able to buy a need for a hotel guest like different shampoos or any other need a guest may need. There will be more allowable sick time for employees, which mostly around the flu season, we understand that many employees get sick or their kids get sick. This is a family environment and we understand that family is important. Paid vacation days will be given to the employees that have been with the company for a total of one year. The first year of employment will be a one week paid vacation, two years will be ten days and three years will be two weeks. The employee that is ready for vacation time must ask...
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...Business School Department of Business System NEW ADVANCES IN BUSINESS 12-13TYAABSS007-3: INNOVATIVE MOTIVATION IN ECONOMIC CRISIS: THE FLEXIBLE BENEFITS SCHEMES BY Mai Ngoc Nguyen 1215894 An assignment submitted in partial fulfillment of the assessment for the New Advances in Business (12-13TYAABSS007-3) unit March 2013 * Contents Contents 2 EXECUTIVE SUMMARY 3 LIST OF FIGURES 3 LIST OF TABLES 3 1 Introduction 4 2 Literature review 6 3 The economic crisis and the transition in methods of motivation: The need for an innovate benefits package 9 3.1 Impacts of the economic crisis on employees and employers 9 3.2 The transition in methods of motivation: The need for an innovative benefits package 12 3.3 The traditional benefits package and its motivating effectiveness 14 4 The flexible approach to benefits provision in a gloomy economy 16 4.1 Effectiveness of the flexible benefits schemes in motivation 17 4.2 Factors affecting the motivating effectiveness of the flexible benefits schemes 18 4.3 Current issues influencing the adoption of the flexible benefits schemes 20 5 Conclusion 21 APPENDIX - Changes in the British WorkForce 22 REFERENCES 23 FURTHER READING 27 * EXECUTIVE SUMMARY In recent years, in the UK, both employees and employers have to bear negative impacts from the recession, especially employees with their financial difficulties and diverse needs. It is more important than ever for motivation. However...
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...Employee Benefits Offering benefits to an employee is always beneficial to both the organization and the employee. The benefits offered are essential to the livelihood of the employee in a way that they feel comfortable both at home with their families as well as at work. Therefore, benefits offered by an organization become a deciding factor in whether the employees are satisfied or whether they will stay in the organization. The law has clearly outlined some benefits that the employee must receive, and there are others that are at the discretion of the employer (Samuel Estreicher, 2010). Compensation of workers and their social security is a mandatory benefit whereas medical covers and retirement benefits are optional. It is worth noting that failure to adhere to those outlined by law has severe implications to the organization which can lead to heavy penalties. Below the paper has outlined several examples of benefits. Social Security Fund It is the obligation of every employer to register their employees under the social security fund. In this scheme, the employee is required to contribute money for their later benefits from the government. Subsequently, the employer is also required to pay a portion of the amount in form of taxes. The employee can later receive retirement benefits from this fund (Mamorsky, 2014). Compensation of workers Employers should comply with the employment and labor laws that guard the employees. These laws prevent the employees from discrimination...
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...Common Employee Benefit Plans . Primary Categories of Benefit Plans • Legally Required Benefits 1. Workers Compensation offers insurance benefits to employees who become ill or are injured at work. This insurance is different in every state and is dictated at the state level. In addition, some states require employers to purchase disability insurance. 2. Unemployment Insurance provides compensation to employees who lose their job for no fault of their own. It is different in every state and is mandated at the state level. The first step is to register the business with the state’s workforce agency and that is where you’ll learn what the state requirement is. 3. Social Security Taxes are required to be paid on employees. The current rate for SS tax is 6.2%, which both the employee and the employer pays, plus an additional 1.45% for Medicare tax. 4. Family and Medical Leave is a benefit that is sometimes confusing for employees. What the Family and Medical Leave Act (FMLA) requires is for the employer to provide 12 weeks of unpaid time off to employees during a 12 month period of time. The leave protects the employee from losing their job to care for themselves or an immediate family member, including the birth of a child or child care. The leave is unpaid unless the employer offers paid leave as part of an optional benefits package. 5. COBRA Benefits are required for employers with 20 or more employees who are subject to the Consolidated Omnibus...
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...Compensation & Benefits Devry University Compensation Definition Compensation is defined as the amount of total monetary and non-monetary pay to an employee from an employer in return for work performed as directed in the job description (Heathfield). Compensation can also be thought of as direct financial compensation, indirect financial compensation, and non-financial compensation. Compensation is the reason why millions of people go to work every day. Some forms of monetary compensation can include payments such as profit sharing, bonuses, overtime pay, sales commissions, and checks. Then there are the forms of non-monetary compensation that could include things like a company-car or a company-paid house. For example, in the military we have company-paid housing. Some people might not think of the military as a company but many companies have modeled their staffing just like ours and we have forms of monetary and non-monetary compensation as well. Overview of Compensation Philosophy A good compensation philosophy shows an employers’ commitment to how much it values its employees. It gives employees something to reference when talking about pay during any type of negotiations. Its purpose is to attract the best candidates and to motive and retain its current employees. In order to ensure that a company can attract, retain, and motivate its employees it compensation plan must contain the following components: base pay, incentive pay, and benefits. A good compensation...
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...Employers provide two types of benefits namely those required by law like social security and workers compensation and discretionary benefits ones offered to compensate employees such as insurance covers and retirement benefits (Martoccio, 2011). When planning employee benefits, organizations consider factors such as the role that the benefits play in attracting and retaining employees, how they impact on driving employee commitment, how it communicates the organizations recognition of employees personal and family life, the benefits competitiveness in comparison to other employers and how the benefits impact on profitability and appropriate levels of staffing (Turner, 2011). Employers seek to lure in and retain employees. Employees carefully consider the benefits in addition to the pay that an organization offers before accepting job offers. Reports suggest employees rank other factors such as the location, security of tenure, its impact on personal and family life, opportunities for career growth and the work environment lower than benefits and pay considerations in employment decision making (Lineberry & Trumble, 2000). Some of the benefits that employers consider vital include medical plans, retirement plans, employer matched retirement savings plan, paid vacation time and holidays, sick leave and short term disability among others (Lineberry & Trumble, 2000). In designing benefits programs, employers also take note of the fact that the benefits play a role in encouraging...
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...Employee Benefits MFRS 119 define employee benefits as to prescribe the accounting and disclosure by employers for employee benefits. Thus, it replaces MASB Approved Accounting Standard IAS 19 Accounting for Retirement Benefits in the Financial Statements of Employees. The major changes from old IAS 19 are set out in the Basis for Conclusions. The Standard does not deal with reporting by employee benefit plans (see FRS 126 Accounting and Reporting by Retirement Benefit Plans ). From MFRS 119, there are four categories of employee benefits to be identified which are: (a) short-term employee benefits, such as wages, salaries and social security contributions, paid annual leave and paid sick leave, profit-sharing and bonuses (if payable within twelve months of the end of the period) and non-monetary benefits (such as medical care, housing, cars and free or subsidised goods or services) for current employees; (b) post-employment benefits such as pensions, other retirement benefits, post-employment life insurance and post-employment medical care; (c) other long-term employee benefits, including long-service leave or sabbatical leave, jubilee or other long-service benefits, long-term disability benefits and, if they are payable twelve months or more after the end of the period, profit-sharing, bonuses and deferred compensation; and (d) termination benefits. 3.1 Accounting Policy Used on MFRS 119 Employee Benefits for AZRB AZRB act or implement the employee benefits based on...
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...Question One Week Eight: Discussion 1: “Employee Benefits.” Students will respond to the following: Discuss how benefits contribute to an overall compensation plan. The total wage cost of an employee to the organization is far more than the pay rate of that employee. Likewise, the total compensation reward of the employee exceeds his or her take-home pay. Total compensation consists partly of the pay of the employee and partly of a set of other rewards that are loosely called benefits. The addition of these items to the compensation package considerably complicates all aspects of the administration of compensation --from the compensation strategy to the implementation of the plan. Benefits are unlike base pay in that they are awarded for different objectives, they are not periodically given, they are oftentimes deferred rather than current, and they require different types of administration. Since pay and benefits together make up the wage costs of the organization, there is a trade-off between direct pay and benefits. This is an extremely important point and helps to explain some of the lack of wage increases in the US (Atchison, T. J., Belcher, D. W. & Thomsen, D. J., 2010). . Benefits are a hodgepodge of programs that provide employees with a number of forms of rewards beyond their wages. Besides fringe benefits, this area has been called such things as indirect compensation, wage supplements, non-wage benefits, social wages, supplementary employee remuneration...
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...Assignment: Employee Benefit Dolphinette Williams HRM/240 November 21, 2010 Karen M. Wilson MEMO TO: Upper Management FROM: Dolphinette Williams RE: Employee Benefit Package DATE: November 21, 2010 I propose this benefit package plan for all current and new hire employees. Offering these benefits will keep the talent we have and recruitment of new talent will be easier. Because the company is a small company we will have to consider the cost of each benefit for the company. I suggest that each of the benefits recommended in this package have thoroughly been researched and the cost would be minimum for the company, keeping in mind what would be cost effective for our employees too. I recommend that we offer an HMO plan, because this plan cost the company less and less out of pocket money for our employees. The company would pay the cost for the employees and the employees would pay a cost to insure their family members. I recommend that we offer the employee two weeks paid vacation after one full year of employment with the company. We would offer an additional week after five years of service with the company. Employees should give a two week notice to get approval for vacation time. Employees should be allowed to carry over one week of vacation time not accumulating more than four weeks of vacation in any given year. I would also recommend four hours of sick leave accrual for every 40 hours worked in a pay period. Sick leave is recommended because employees...
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...Team B Employee Benefits Policy Business Writing GEB 3213 Fall 2014 Blue Waves Consulting Employment Policy According to Johnny Laurent, the Vice president and general manager for Sage North America “The best way for a company to increase competitiveness is to invest in the employees.” (Sage HRMS, n.d., para 2). Why are some companies succeeding while others are going out of business? What are the extraordinary difference between a struggling company and a successful organization? Perhaps, the question that needs to be asked is what defines the soul of a company? The answer is its people. Individuals are the principal assets of every organization. For most businesses, the workforce is considered largest expenditure in resources. At Blue Waves Consulting LLC, we truly believe that our employees are the most important elements that provide success to the organization. This is the reason why our organization is taking into account of the employee related expenses as solid investments, which can yield a healthy return for the future of the company. We call this investment the Return on Employee Investment (ROEI). This type of investment will assist a company in providing the best possible work environment in attaining the employee and their allegiance to the firm. The utilization of ROIE will bolster the company’s effectiveness, competitive edge, profit and success. The workforce today is confronted with changing economic trends, such as the implementation of the Patient...
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