Deck 11: Benefits

Question 1

Larger organizations spend less on voluntary benefits than do companies with fewer employees.

Answer 1

False

Question 2

SAS's motto is: "Treat employees as if they make a difference to the company and they will."

Answer 2

True

Question 3

Research has found that nearly half of Baby Boomers are at risk of not having enough retirement resources to pay for basic expenses and uninsured medical costs.

Answer 3

False

Question 4

The Employee Retirement Income Security Act of 1974 (ERISA) is a state law that protects employees' retirement benefits from mismanagement.

Question 5

According to Jim Goodnight,CEO of SAS,services that keep employees motivated,loyal,and doing their best work are an investment,not an expense.

Question 6

Average turnover in the grocery industry is about 2 percent.

Question 7

By law,organizations with a certain number of employees must offer Social Security,unemployment insurance,workers' compensation,FMLA leave,and COBRA health coverage.

Question 8

Because health insurance benefits can differ across companies,it is a good idea to analyze the cost of health plans offered by different employers as well as what they cover when deciding where to work.

Question 9

In 2011,U.S.organizations spent an average of 19 percent of an employee's annual salary on voluntary benefits and 11 percent on leave pay benefits.

Question 10

Customary benefits are benefits are so commonly provided that they are viewed as an entitlement by employees.

Question 11

Flexible work arrangements allow employees to work a nontraditional work day.

Question 12

Presenteeism occurs when an employee physically comes to work but does not function at his or her full potential.

Question 13

Vesting can be a detriment to employee retention.

Question 14

Employee stress costs organizations more than $300 billion annually in productivity,absenteeism,and turnover as well as higher medical,legal,and insurance expenses.

Question 15

The Takeda Oncology Company benefits plan includes an unlimited sick-pay policy that says,"If you are sick,stay home until you feel better."

Question 16

Optional benefits include free food,exercise facilities,and telecommuting.

Question 17

Benefits frequently account for 30 to 40 percent of an employee's total compensation.

Question 18

The cost of health insurance is of little concern to many employers.

Question 19

Flexible spending accounts are considered customary benefits.

Question 20

SAS pursues a competitive advantage based on the theory that happy employees lead to happy customers.

Question 21

The goal of an organization that offers the benefits of housing,relocation,and transportation allowances is to __________________.

A) attract recruits
B) decrease absenteeism
C) increase family security
D) increase retirement security

Question 22

Offering benefits that maximize ____________ improves organizational effectiveness.

A) pay
B) cost
C) their value to employees
D) time off

Question 23

A flexible benefits plan can be funded by the employer,employee,or both.

Question 24

Total compensation is also called __________.

A) indirect compensation
B) direct compensation
C) total rewards
D) total guarantee

Question 25

In 2011,U.S.organizations spent an average of __________ percent of an employee's annual on leave pay benefits.

A) 5
B) 9
C) 11
D) 13

Question 26

The most effective benefit programs are those that are the most generous.

Question 27

In 2011,U.S.organizations spent an average of __________ percent of an employee's annual salary on mandatory benefits.

A) 5
B) 9
C) 16
D) 19

Question 28

Understanding the __________ you value the most can also help you better evaluate prospective employers.

A) work arrangements
B) benefits
C) qualities
D) talents

Question 29

An organization's culture and values are not influential in the level and mix of benefits it provides.

Question 30

Many people are willing to accept lower pay in exchange for valued _________.

A) coworkers
B) benefits
C) management
D) organization status

Question 31

A flexible benefits plan gives employees a set amount of credits or dollars to allocate among different benefits options provided by the employer.

Question 32

Employee __________ have been shown to be positively related to firm productivity and employee satisfaction.

A) concerns
B) benefits
C) performances
D) demands

Question 33

Companies use __________ to attract and retain employees,and sometimes to compensate for offering lower pay than their competitors.

A) benefits
B) tricks
C) managers
D) strategy

Question 34

Employee benefits are considered __________.

A) nonwage compensation
B) wage compensation
C) salary
D) total rewards

Question 35

The combined value of direct and indirect compensation is an employee's _________.

A) total compensation
B) pay guarantee
C) pay offer
D) total guarantee

Question 36

Nonwage compensation or rewards given to employees are called __________.

A) employee benefits
B) employee rewards
C) total payments
D) total rewards

Question 37

When salary budgets are tight,or when the hiring market is competitive,providing better __________ than competitors can help organizations attract and retain top employees.

A) vacations
B) salaries
C) benefits
D) signing bonuses

Question 38

Employee stress costs organizations more than __________ annually in productivity,absenteeism,and turnover as well as higher medical,legal,and insurance expenses.

A) $900,000
B) $700 million
C) $300 billion
D) $ 10 trillion

Question 39

In 2011,U.S.organizations spent an average of __________ percent of an employee's annual salary on voluntary benefits.

A) 5
B) 9
C) 16
D) 19

Question 40

Flexible benefit plans maximize the value of the benefits received by each employee.

Question 41

Disability insurance is considered a(n) __________ benefit.

A) mandatory
B) customary
C) optional
D) special

Question 42

The most important benefits objectives in __________ are increasing employee productivity and increasing employee job satisfaction.

A) India
B) Mexico
C) Australia
D) the United Kingdom

Question 43

The most important benefits objectives in __________are controlling health and welfare benefits costs,increasing employee productivity,and helping employees make better financial decisions.

A) India
B) Mexico
C) Australia
D) the United Kingdom

Question 44

The goal of an organization that offers the benefits of greater 401(k) match,financial planning seminars,and long-term care insurance is to __________________.

A) attract recruits
B) decrease absenteeism
C) increase family security
D) increase retirement security

Question 45

COBRA health coverage is considered a(n) __________ benefit.

A) mandatory
B) customary
C) optional
D) special

Question 46

Social Security is considered a(n) __________ benefit.

A) mandatory
B) customary
C) optional
D) special

Question 47

Unemployment insurance is considered a(n) __________ benefit.

A) mandatory
B) customary
C) optional
D) special

Question 48

The goal of an organization that offers an onsite daycare for kids and elders is to __________________.

A) decrease healthcare claims
B) decrease employee stress
C) improve employee skills
D) improve retention

Question 49

The goal of an organization that offers tuition reimbursement is to __________.

A) decrease healthcare claims
B) decrease employee stress
C) improve employee skills
D) improve retention

Question 50

The most important benefits objectives in __________ are attracting and retaining employees.

A) India
B) Mexico
C) Australia
D) the United Kingdom

Question 51

Creative benefits are considered a(n) __________ benefit.

A) mandatory
B) customary
C) optional
D) special

Question 52

The most important benefits objectives in __________ are retaining employees and controlling costs.

A) India
B) Mexico
C) Australia
D) the United States

Question 53

The goal of an organization that offers services that improve the employees' at-work experience (onsite oil changes,dry cleaning,food,massages,etc.) is to __________________.

A) decrease healthcare claims
B) decrease employee stress
C) improve employee skills
D) improve retention

Question 54

The goal of an organization that offers the benefits of a wellness program,flextime,and personal days is to __________________.

A) attract recruits
B) decrease absenteeism
C) increase family security
D) increase retirement security

Question 55

The most important benefits objectives in __________ are retaining employees and increasing employee productivity.

A) India
B) Mexico
C) Australia
D) the United Kingdom

Question 56

Family Medical Leave Act is considered a(n) __________ benefit.

A) mandatory
B) customary
C) optional
D) special

Question 57

The goal of an organization that offers the benefits of health,life,workers' compensation,and disability insurance is to __________________.

A) attract recruits
B) decrease absenteeism
C) increase family security
D) increase retirement security

Question 58

The goal of an organization that offers the benefits of wellness programs,a fitness center,health coaches,and free healthy lunches and snacks is to __________________.

A) decrease healthcare claims
B) decrease employee stress
C) improve employee skills
D) improve retention

Question 59

Life insurance is considered a(n) __________ benefit.

A) mandatory
B) customary
C) optional
D) special

Question 60

Workers' compensation is considered a(n) __________ benefit.

A) mandatory
B) customary
C) optional
D) special

Question 61

A workout facility is considered a(n) __________ benefit.

A) mandatory
B) customary
C) optional
D) special

Question 62

The __________ Act of 1935 established unemployment insurance.

A) Social Security
B) Workers' Compensation
C) Unemployment Insurance
D) FMLA

Question 63

A flexible spending account is considered a(n) __________ benefit.

A) mandatory
B) customary
C) optional
D) special

Question 64

An employee's earnings history determines his or her ____________ benefits level.

A) Social Security
B) workers' compensation
C) unemployment insurance
D) FMLA

Question 65

Domestic partner benefits are considered a(n) __________ benefit.

A) mandatory
B) customary
C) optional
D) special

Question 66

Health insurance is considered a(n) __________ benefit.

A) mandatory
B) customary
C) optional
D) special

Question 67

Employees and the employer both make mandatory contributions to__________.

A) Social Security
B) workers' compensation
C) unemployment insurance
D) FMLA

Question 68

Many experts are advising younger workers not to count on __________.

A) Social Security
B) workers' compensation
C) unemployment insurance
D) FMLA

Question 69

The __________ Act of 1935 provides retirement income to qualified workers and their spouses after working a certain number of hours.

A) Social Security
B) workers' compensation
C) unemployment insurance
D) FMLA

Question 70

__________ benefits are given to workers who become unemployed through no fault of their own.

A) Social Security
B) Workers' compensation
C) Unemployment insurance
D) FMLA

Question 71

Disability insurance is considered a(n) __________ benefit.

A) mandatory
B) customary
C) optional
D) special

Question 72

__________ replaces an average of 40 percent of an individual's preretirement income.

A) Social Security
B) Workers' compensation
C) Unemployment insurance
D) FMLA

Question 73

The goal of __________ is to preserve many other jobs that could be lost if these workers lost their income and spending power.

A) Social Security
B) workers' compensation
C) unemployment insurance
D) FMLA

Question 74

__________ taxes are withheld by the employer as a payroll tax on pay below a certain level.

A) Social Security
B) Workers' compensation
C) Unemployment insurance
D) FMLA

Question 75

__________ allows workers to maintain their consumption of basic goods and services during economic recessions.

A) Social Security
B) Workers' compensation
C) Unemployment insurance
D) FMLA

Question 76

A retirement plan is considered a(n) __________ benefit.

A) mandatory
B) customary
C) optional
D) special

Question 77

__________ benefits are based on a percentage of the individual's earnings over a recent 52-week period.

A) Social Security
B) Workers' compensation
C) Unemployment insurance
D) FMLA

Question 78

__________ provides temporary income during periods of involuntary unemployment.

A) Social Security
B) Workers' compensation
C) Unemployment insurance
D) FMLA

Question 79

An employee who voluntarily quits or is terminated for cause is not eligible for __________.

A) Social Security
B) workers' compensation
C) unemployment insurance
D) FMLA

Question 80

Free food is considered a(n) __________ benefit.

A) mandatory
B) customary
C) optional
D) special