1) Laws passed after the Great Depression mandating benefits

2) large group insurance in companies instead of individual coverage

3) employer differentiation that differs based on company's objectives

4) reduce current tax obligation based on income

1)Family-friendly policies

2) social insurance

3) pay for time not worked

4)retirement

5)private group insurance

SS covers old-age insurance, unemployment insurance, survivors' insurance, disability insurance, hospital insurance and supplementary medical insurance. Benefits are granted after retirement.

1) to offset lost income during involuntary employment (fired),

2) to help unemployed workers find new jobs,

3)to provide an incentive for employers to stabilize employment (lower tax for less layoffs, higher tax for more layoffs),

4) and to preserve investments in worker skills by providing workers with income during short‑term layoffs.

Unemployment offers relief to find suitable work and alleviate the process of finding new position that fits person's experience.

1) prior attachment to workforce

2)Available for work

3)seeking work

4) was not discharged for cause, or voluntary turnover, or not involved in labor dispute

Worker's compensation is a benefit coverage for workers who get injured on the clock, and/or families of workers who die on the job.

Based on "no-fault" liability and the Benefits covered are:

disability income, medical care, death benefits, and rehabilitative services.

Offered at the discretion of employer

not required by law

expensive (COBRA)

Defined benefits guarantee retirement benefits and rewards longevity and higher rates of pay; there is minimal risk for employees with defined benefits.

Defined contributions has not benefit level upon retirement and transfers investment risks onto the employee to manage money wisely; payouts are unknown and unsure because investments are made on the stock market which can be unpromising due to money not being insured.

Cliff: after a certain period of time, all benefits are granted ( 5 years of service).

Gradual: employees are vested for 3-7 years with 20% vested in their 3rd year and thereafter

vacation: leave of absence during travel time

sick leave: offered in circumstances of poor health

two separate entities that allow time off with full pay offered; caps for both to reduce hoarding

To reduce family-work conflict, employers work towards offering alleviation through FMLA. This keeps the job position for when the employee returns from leave.

§Applies to organizations with 50 or more employees within a 75-mile radius.

§Applies to childbirth or adoption; care for a seriously ill child, spouse, or parent; or for an employee's own serious illness.

 --child care services are granted, assisted in financial assistance of child care services, and subsidized on-site child care offered

§Employees are guaranteed the same or comparable job when they return to work.

§Employees with less than a year of service or those who work less than 25 hours a week are not covered.

DISADVANTAGES include misuse and abuse by poor workers with substance abuse issues ( migraines or asthma are prevalent excuses)

Shift costs to employees through

deductibles: amount individual pays before insurance,

coinsurance: insurance pays % and individual pays %,

and copays: amount paid upon service.

HMO- designed to keep people out of the doctor; 

focus on preventive care and outpatient treatment;

requires employees to use only HMO services;

provides benefits on a prepaid basis.

HMOs pay physicians and other healthcare workers on a flat salary basis to reduce incentives to increase costs

PPO- contract provides health care at reduced fees; 

they do not provide benefits on a prepaid basis;

employees often are not required to use just the PPOs.

Employers will provide incentives to use PPOs;  

tend to be less expensive than traditional health care but more expensive than HMOs.

Employee wellness programs (EWPs) focus on changing health behaviors that may lead to future health problems.

2 classes are passive and active.

Passive programs use little or no outreach to individuals and provide no ongoing motivational support.

Active programs assume that behavior change requires not only awareness and opportunity, but also support and reinforcement.

There are 3 models of program designs: health education, physical fitness facilities and follow-up models,

Follow-up model is most effective in reducing risk factors than health education and physical fitness centers. This can be determined through active support and reinforcement that encourages motivation in healthy life changes.

What is the Patient Protectice and Affordable Care Act?

All employees: enrollment package, intranet, paycheck attachments, summary plan descriptions

Local employees- meetings

remote employees- teleconference meetings

supervisors- emails

regional managers- webcasts

Flexible spending accounts allow employees to personalize their benefits package.

Advantages- employees are more appreciative and aware or benefits plan, better match of benefits to employee's needs increasing satisfaction and retention, cost reduction, pretax contributions to help cover healthcare costs, takehome pay increases 

Disadvantages- administrative costs, adverse selection, must be used during the year or reverted back to employer

Sex- companies cannot require women to pay more than men in their retirement

Age- companies cannot discriminate against workers over 40 in pay or benefits

Disability- people with disabilities recieve equal access to health coverage as other employees