Human Resource Management Managing Employee Benefits CHAPTER 13
Human Resource Management Managing Employee Benefits CHAPTER 13 Robert L. Mathis | John H. Jackson | Sean R. Valentine 14 e © 2014 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.
Benefits Indirect reward given to an employee or group of employees for organizational membership © 2014 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.
What can we say about benefits? Expensive Confusing Underappreciated Necessary Our reputation Some mandatory Become permanent © 2014 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.
Can or should you take benefits away? © 2014 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.
Benefit costs average 30% to 35% of base payroll BIG NUMBER! © 2014 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.
Benefit costs Limited How pool of $ to spend do we spend it? What Cost do employees value? of the benefit What it will return in terms of recruiting, reputation, retention © 2014 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.
How do we know what employees value? ASK!!! © 2014 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.
Benefit Trends Public sector worker benefits will increase but will come under closer scrutiny and possibly decrease. The number of part time positions will increase and full time will decrease Baby Boomers will work longer and retire later. Phased retirement will increase. More flexible and cafeteria benefit plans © 2014 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.
Example of cafeteria Plan Each employee gets $1000 per month Spend on benefits Health care plan 1 $500 Health care Plan 2 $400 Life insurance Child care $ 300 $ 200 If more than $1000 pay difference If less than $1000 receive more in pay check © 2014 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.
Example of cafeteria plan Everyone receives same monetary value of benefits (split of benefit pool) Flexible for those who want more or less Coverage changes with life phase Employees appreciate benefits because they pick them Company can count of stable budget of $1000 per employee per month © 2014 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.
Benefit Trends More direct employee involvement in benefit administration with internet use Broadening of benefit plans to include domestic partners and other groups Deductibles More child care and elder care programs Proliferation More in health care will increase of wellness programs and better communications of benefits Benefits costs will increase © 2014 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.
Benefits should be important to you. They should be part of your company selection criteria for your career. © 2014 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.
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