chapter 13 Flashcards
indirect financial and nonfinancial payments employees receive for continuing their employment with the company
benefits
benefits for time not worked such as unemployment insurance, vacation and holiday pay, and sick pay
supplemental pay benefits
provides benefits if a person is unable to work through some fault other than his or her own
unemployment insurance
provides pay to an employee when he or she is out of work because of illness
sick leave
provide for a guaranteed annual income in certain industries where employers must shut down to change machinery or due to reduced work
supplemental unemployment benefits
provides income and medical benefits to work related accident victims or their dependents regardless of fault
workers compensation
a prepaid health care system that generally provides routine round the clock medical services as well as preventive medicine in a clinic type arrangement for employees
health maintenance organization
groups of health care providers that contract with employers, insurance companies, or third party payers to provide medical care services at a reduced fee
preferred provider organizations
provides lower rates for the employer or employee and includes all employees, including new employees
group life insurance
federal program that provides three type of benefits: retirement income, survivors or death benefits, disability
social security
plans that provide a fixed sum when employees reach a predetermined retirement age or when they can no longer work due to disability
pension plans
a plan that contains a formula for determining retirement benefits
defined benefit pension plans
a plan in which the employers contribution to employees retirement savings funds is specified
defined contribution pension plan
instituting policies that enable employees to easily take their accumulated pension funds when they leave an employer
portability
a defined contribution planed based on section 401k of the internal revenue code
401k plan
plan in which employees contribute a portion of their earnings to a fund; the employer usually matches this contribution in whole or in part
savings and thrift plan
a plan in which a certain amount of profits is credited to each employees account, payable at retirement, termination, or death
deferred profit sharing plan
a qualified, tax deductible stock bonus plan in which employers contribute stock to a trust for eventual use by employees
employee stock ownership plan
plans under which the employer contributes a percentage of employees current pay to employees pension plans every year, and employees earn interest ont his amount
cash balance plans
signed into law by president ford to require that pension rights be vested and protected by a government agency, the pbgc
employee retirement income security act of 1975
established under erisa to ensure that pensions meet vesting obligations, also insures pensions should a plan terminate without sufficient funds to meet its obligations
pension benefits guarantee corporation
a type of offering by which employees ar encouraged to retire early, the incentive being liberal pension benefits plus perhaps a cash payment
early retirement window
a formal employer program for providing employees with counseling and or treatment programs for problems such as alcoholism
employee assistance program
benefits such as child care and fitness facilities that make it easier for employees to balance their work and family responsibilities
family friendly benefits
individualized plans allowed by employers to accommodate employee preferences for benefits
flexible benfits plan
a work schedule in which employees workdays are built around a core of midday hours, and employees determine, within limits, what other hours they will work
flex time
schedule in which employee works fewer but longer days each week
compressed workweek
allows two or more people to share a single full time job
job sharing
refers to a temporary reduction in work hours by a group of employees during economic downturns as a way to prevent layoffs
work sharing
