EMPLOYEE BENEFITS & SERVICES

Indirect compensation. Extended as condition of employment. Not related to performance.

Diff. betn Benefit & Service

Benefit applies to those items for which a direct monetary value can be ascertained. Service applies to those items for which direct monetary value cannot be ascertained.

OBJECTIVES

Increase commitment towards organisation. To attract & retain people. To provide a tax-efficient method of remuneration. and.

TO MOTIVATE EMPLOYEES????

BENEFITS NEED ANALYSIS

How much total compensation, including benefits , should be provided? What part should benefits comprise of the total compensation of individuals? What expense levels are acceptable for each benefit offered? Which employees should be given or offered which benefits? What is being received by the organisation in return for each benefit? How flexible should the package of benefits be?

BENEFITS COMMUNICATION

Within 90 days after employment. Personal benefits booklet/manual + oral presentation. Every year emp. Receive a benefits statements of his account. Continuing notices of provided benefits & services & topics of interest appear in all kinds of organisational communication devices.

EMPLOYEE BENEFITS

Disability Income Continuation Loss-of-job income continuation Deferred income Spouse or family income conti. Health & accident protection Property & liability protection Perquisites

Perquisites

Benefits & Services restricted to the CEO and small group of key officials who comprise the senior management In addition to the status relationship, perquisites provide benefits that are either not considered as earned income or are taxed at a modest level.

Pay for time not worked

Holidays Witness in court Civic Duty Leave Sick leave, personal leave, maternity/paternity leave, sabbatical leave Time off to vote Blood donation

Disability Income Continuation

Short-term Disability 26 weeks; ideally 7 days waiting period;50 -75% of emp. Base pay. Long-term Disability funded in conjunction with the pension plan of the organisation; 5075%; 2-5 years; else upto 65. Workers compensation Occupational disability insurance;ltd. Payment period. Travel Accident Insurance Payment start the first day after the mishap; flat percentage Sick Leave

Loss of Job Income Continuation

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To assist workers during short-term periods of unemployment. Major Components Unemployment insurance 50% of bas pay upto 66.7 % of the weekly wage;Conditions; Supplemental Unemployment Benefit Insurance Guaranteed Income Stream Workers who lose their jobs after 15 yrs of service receive 50% of their base pay until eligible for retirement

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Individual Account Plan Fund; payment to emp when work suspension occurs other than disciplinary layoffs or labour disputes Severance Pay very common; one time or series of payt.

Deferred Income

Social security Pension plan Stock bonus plan Profit-sharing plan Supplemental Executive retirement plans Group universal life plans

Spouse or family income protection

Life insurance Retirement plans Health-care coverage Travel accident insurance Social security & medicare Accidental death Tax sheltered annuity

Health & Liability protection

Preemployment physical test Periodic physical examination Second surgical opinions Premium

Property & Liability Protection

Group Auto Group Home- payment of premium through payroll deduction. Group Legal- legal advice; legal insurance plan Group Umbrella Employee Liability Insurance