Exam 11: Employee Benefits

Long-term disability plans normally provide a disabled employee with 90-100 percent of their pre-disability income.

The Conference Board of Canada has concluded that it is not possible to contain the cost of employee benefit programs.

Which of the following is based on the theory that work-related accidents and illnesses should be considered a cost of doing business and that employees should not bear the costs of their treatment?

Childcare, eldercare and extended leave policies are all examples of employee services.

To reflect the social changes Canada is facing, employers are increasingly tailoring their benefits programs to be family friendly.

Scenario 11.2 Bradshaw, Petrilli & Blake Inc. (BPBI)is a Canadian financial planning firm that provides financial advice for companies across Canada and the United States. The firm offers employees great benefits and excellent salaries. Its workforce is composed of predominantly "generation Y" employees. These employees are very tech-savvy, achievement focused, and, most importantly, family centric (they value flexible schedules and work-life balance). While they understand the demands of the job, they often get caught between the needs of the organization's clients and their family responsibilities, especially as related to their children. Currently, there is little flexibility if employees want to attend to family needs during work hours. BPBI is now looking into ways of helping its employees better meet these dual needs. -Refer to Scenario 11.2. Which of the following is NOT a family-friendly benefit that will help BPBI develop and maintain work-life balance?

What does vesting guarantee?

Employee benefits typically represent 40 percent of total payroll costs to employers.

Legally required employee benefits amount to about 12 percent of the benefits packages that Canadian employers provide. Which benefit is not required?

Which of the following is NOT a benefit of family-friendly programs?

Online benefits programs allow employees self-service freedom and availability virtually any time.

Health care benefits are considered "discretionary" because employers are not required by law to provide them.

What is the approximate cost of benefits as a percentage of total payroll cost in Canadian organizations?

What are holiday pay, sick leave, and vacation pay examples of?

At the present time, employers are required to provide pension plans to all full-time employees.

Which of the following is NOT necessary for an organization to consider when developing its benefits program?

A large portion of an organization's total payroll is devoted to employee benefits and this figure has risen over the past few decades. Which of the following has NOT contributed to this increasing cost?

Canadian organizations are expected to continue to implement a wider variety of employee benefits and services.

Employee assistance programs (EAPs)help employees mainly with relocation costs.

Scenario 11.1 Canadian Fasteners is a Mississauga-based packing firm that packages nuts, bolts, and screws for various Canadian furniture companies across the country. The company has been growing at a rapid rate in the past couple of years. Previously, all HR-related functions were extremely informal or almost nonexistent. With the rising turnover, and a constant struggle to retain employees during the company's rapid growth, Canadian Fasteners has decided to implement an HR system that not only will assist with the recruitment and selection process, but also will help to administer a pension and benefit program. The newly promoted HR manager is excited about the company's future and is looking forward to the new challenges, but hopes efforts to more effectively capture and retain the right talent will be worth it, as turnover has caused the firm to lose one of its biggest clients. -Refer to Scenario 11.1. Canadian Fasteners must ensure that the benefits it offers employees are fulfilling the legal requirements. Which of the following is not legally required?