MHR 523 Lecture Notes - Lecture 11: Personal Services, Life Insurance, Physical Therapy
Document Summary
Pension plan plans that provide income when employees reach a predetermined retirement age. Employee benefits indirect financial payments given to employees. They may include supplementary health and life insurance, vacation, pension, education plans and discounts on company products. Helps develop loyalty, increase ability to attract and retain employees but very expensive. Voluntary employer-sponsored benefits: group life insurance provided at lower rates for all employees; also accidental death and dismemberment, critical illness. Deductible the annual amount of health/dental expenses that an employee must pay before insurance benefits will be paid. There are two types of pension plans: defined benefit pension plan and defined contribution pension plan. Many companies provide personal services that most employees need at one time or another. Job related services: subsidized childcare, eldercare, subsidized employee transportation, food services, educational subsidies, family friendly benefits. Perquisites are usually given to a few top executives.