BENEFITS AND COMPENSATION Human Resource Management College of Public and Community Service University of Massachusetts at Boston ©2008 William Holmes.

BENEFITS AND BENEFITS AND COMPENSATIONCOMPENSATION

Human Resource ManagementCollege of Public and Community Service

University of Massachusetts at Boston©2008 William Holmes

1

WHAT ARE BENEFITS?WHAT ARE BENEFITS?

Rewards having financial value

Not direct financial compensation

Usually indirectRelated to membership statusNot related to productivity

2

MANDATED BENEFITSMANDATED BENEFITS

Social SecurityUnemployment CompensationWorkers’ CompensationFamily & Medical Leave

3

SOCIAL SECURITY BENEFITSSOCIAL SECURITY BENEFITS

Old AgeSurvivorsDisabilityMedicarePaid by Employees

and Employers

4

UNEMPLOYMENT COMPENSATIONUNEMPLOYMENT COMPENSATION

Applies to Terminations Without Cause

Minimum 26 Weeks (sometimes more)

Tax Paid by Employers

5

WORKERS COMPENSATIONWORKERS COMPENSATION

Job-related IllnessJob-related AccidentCovers Pay and Health CareEmployer PaidPayments Depend on Work

Experience

6

FAMILY AND MEDICAL LEAVEFAMILY AND MEDICAL LEAVE

Family and Medical Leave Act of 1993Applies to Private Employers with 50+

Employees and all Government Employers12 weeks unpaid12 months prior workIncludes health insuranceIncludes right to return to work

7

VOLUNTARY BENEFITS: 1VOLUNTARY BENEFITS: 1

Payment for Time Not WorkedHealth CareLife InsuranceRetirement PlansDisability Protection

8

VOLUNTARY BENEFITS: 2VOLUNTARY BENEFITS: 2

Employee Stock Options (Profit Corporations Only)

Supplemental Unemployment Benefits

Employee ServicesPremium Pay

9

PAYMENT FOR TIME NOT WORKEDPAYMENT FOR TIME NOT WORKED

VacationSick DaysPersonal DaysSabbaticalsJury DutyMilitary ServiceBereavement

10

HEALTH CARE BENEFITSHEALTH CARE BENEFITS

Providers—CI, HMO, PPO, POS, EPO,

Consumer Control—EP, DCP, HSA, FSA

Add-ons—Major Medical, Dental, Vision, Long-Term Care

Eligibility Varies

11

RETIREMENT PLANSRETIREMENT PLANS

Defined Benefit PlanDefined Contribution Plan401(k) PlansCash Balance Plan457 Plans (Deferred

Compensation)Automatic Savings AccountsSSA

12

EMPLOYEE SERVICES: 1EMPLOYEE SERVICES: 1

Relocation ExpensesChild CareEducationFood ServiceFinancial Service

13

EMPLOYEE SERVICES: 2EMPLOYEE SERVICES: 2

Legal ServiceScholarshipClub membershipsRecreation

14

COMPENSATIONCOMPENSATION

15

COMPENSATION FACTORSCOMPENSATION FACTORS

OrganizationalLabor MarketJobEmployee

16

ORGANIZATIONAL FACTORS IN ORGANIZATIONAL FACTORS IN COMPENSATIONCOMPENSATION

Compensation PoliciesOrganizational PoliticsAbility to Pay

17

LABOR MARKET FACTORS IN LABOR MARKET FACTORS IN COMPENSATIONCOMPENSATION

Compensation surveysExpediency/Job RecruitersCost of LivingUnion ContractsEconomyLegislation

18

JOB FACTORS IN COMPENSATIONJOB FACTORS IN COMPENSATION

Job AnalysisJob DescriptionJob EvaluationJob Pricing

19

EMPLOYEE FACTORS IN EMPLOYEE FACTORS IN COMPENSATIONCOMPENSATION

PerformanceSkill RequirementsSeniorityExperienceOrganizational Position

MembershipOrganizational PoliticsLuck

20