MHR 523 Chapter Notes - Chapter 10: Job Sharing, Global Atmosphere Watch, Canada Pension Plan
28 Jun 2018
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MHR Chapter 10 - Employee benefits and services
Most employers make benefits an important part of the total compensation package
and use it increasingly as a tool to attract, motivate and keep key personnel
Pay is called direct compensation - based on critical job factors
Benefits and services are indirect compensation - usually extended as a condition of
employment and not directly related to performance
To solve social problems and provide security for interdependent wage earners,
governments rely on the support of employers (tax treatment)
Companies must offer some benefits if they re to be able to recruit successfully in
the labour market
Indirect compensation may reduce fatigue, discourage labour unrest, satisfy
employee objectives, aid recruitment, reduce turnover, and minimize overtime costs
Employees usually seek employer-provided benefits and services because of lower
costs and availability
Legally require benefits and services are imposed upon organizations by the
government - employers must comply with the law and its procedures
Canada pension plan (CPP) - a mandatory, contributory and portable pension plan
applicable to all employees and self-employed persons in Canada, except those
working for the federal government
Contributory plans - benefits that require the employer to contribute to the
cost of the benefit
Portability clauses - allow accumulated pension rights to be transferred to
another employer when an employee changes employers
Employment insurance (EI) - a program to help alleviate the financial problems of
workers in Canada during the transition from one job to another
Workers’ compensation acts - compensation payable by employers collectively for
injuries sustained by workers in the course of their employment
Health insurance plans - health and medical insurance provided by provincial
government with assistance from the federal government
Voluntary benefits
Insurance benefits
Life insurance
Health-related insurance
Salary continuation plans
oShort term disability plan - a benefit plan crediting a number of
days to be used as sick leave
find more resources at oneclass.com
find more resources at oneclass.com
Document Summary
Mhr chapter 10 - employee benefits and services. Most employers make benefits an important part of the total compensation package and use it increasingly as a tool to attract, motivate and keep key personnel. Pay is called direct compensation - based on critical job factors. Benefits and services are indirect compensation - usually extended as a condition of employment and not directly related to performance. To solve social problems and provide security for interdependent wage earners, governments rely on the support of employers (tax treatment) Companies must offer some benefits if they re to be able to recruit successfully in the labour market. Indirect compensation may reduce fatigue, discourage labour unrest, satisfy employee objectives, aid recruitment, reduce turnover, and minimize overtime costs. Employees usually seek employer-provided benefits and services because of lower costs and availability. Legally require benefits and services are imposed upon organizations by the government - employers must comply with the law and its procedures.
