Question 1

A manager can best control the cost of unemployment insurance by ________.
A)eliminating supplemental pay benefits for part-time employees
B)documenting the poor performance of dismissed employees
C)establishing a pooled paid leave plan for workers
D)investigating all workers' compensation claims

Accepted Answer

B)Firms aren't required to let everyone they dismiss receive unemployment benefits-only those released through no fault of their own.The main rule is to keep a list of written warnings to help demonstrate that the dismissal resulted from the person's inadequate performance.

Question 2

The Comprehensive Omnibus Budget Reconciliation Act requires the government to provide health insurance to terminated or retired employees and their families through the Medicare system.

Accepted Answer

The Consolidated Omnibus Budget Reconciliation Act requires most private employers to continue to make health benefits available to separated employees and their families for a time,generally 18 months after separation.The former employee must pay for the coverage.

Question 3

If an employee is injured at work due to a blatant disregard for company safety policies,the company is not required to pay workers' compensation.

Accepted Answer

For workers' compensation to cover an injury or work-related illness,one must only prove that it arose while the worker was on the job.It does not matter that he or she may have been at fault.

Question 4

Pooled paid leave plans combine sick leave,vacation,and personal days into a single leave pool and have been blamed for increasing employee absenteeism.

Accepted Answer

Pooled plans lump together sick leave,vacation,and personal days,and they have been shown to reduce employee absences.

Question 5

Which condition must be met for an injured employee to receive workers' compensation benefits?
A)The injury occurred during an overtime or nighttime shift.
B)The employee was wearing adequate protection.
C)The injury was not the fault of the employee.
D)The employee was injured while on the job.

Accepted Answer

D)For workers' compensation to cover an injury or work-related illness,the worker must only prove that it arose while on the job.It does not matter if the worker was at fault or if protective gear was worn.

Question 6

Athena,a sales representative,was terminated from her position at Ross Manufacturing.On Athena's last day of work,she was given a check for $5,000.What did Athena most likely receive from Ross Manufacturing?
A)disability pay
B)annual bonus
C)severance pay
D)unemployment insurance

Accepted Answer

C)Many employers provide severance pay,a one-time separation payment when terminating an employee.Most managers expect employees to give notice if they plan to quit,so it seems equitable to provide severance pay when dismissing an employee.

Question 7

According to surveys,what will most employers do in response to the Patient Protection and Affordable Care Act?
A)decrease the time allowed for family leave
B)decrease workers' compensation benefits
C)increase employee contributions for dependents
D)increase sponsorships of retiree medical coverage

Accepted Answer

C)A survey suggests that employers plan to make substantial changes to their health care programs in response to the Patient Protection and Affordable Care Act.For example,68% plan to boost employee contributions for dependents;26% plan to end employer sponsorship of retiree medical coverage;and 33% plan to reward or penalize employees based on measurable criteria such as cholesterol levels.

Question 8

Women affected by pregnancy and childbirth are eligible for the same benefits as disabled employees.

Accepted Answer

The Pregnancy Discrimination Act requires employers to treat women affected by pregnancy,childbirth,or related medical conditions the same as any employee not able to work,with respect to all benefits,including sick leave and disability benefits,and health and medical insurance.

Question 9

Why do employers provide severance pay to employees? What should firms consider when designing a severance plan?

Accepted Answer

The answer of Why do employers provide severance pay to...

Question 10

Why is controlling workers' compensation costs important? How can costs be controlled by employers?

Accepted Answer

The answer of Why is controlling workers' compensation costs important?...

Question 11

Which of the following is NOT a true statement about the Family and Medical Leave Act?
A)The law applies to all public and private employers regardless of size.
B)Eligible employees have worked for the employer for at least one year.
C)Leave may be taken for personal illness or the birth of a child.
D)Eligible employees must be granted up to 12 weeks of leave.

Accepted Answer

A)The law applies only to employers with 50 or more employees.To be eligible for leave under the FMLA,the employee must have worked for the employer for at least a total of 12 months and have worked for 1,250 or more hours in the past 12 consecutive months.

Question 12

Legally required benefits,such as unemployment insurance,are more costly to employers than health insurance.

Accepted Answer

Employee benefits account for between 33% to 40% of wages and salaries (or about 28% of total payrolls);legally required benefits (like unemployment insurance)are the most expensive benefits costs,followed by health insurance.

Question 13

Employees frequently use sick leave to take care of family problems and personal issues.How can firms address this costly problem?

Accepted Answer

The answer of Employees frequently use sick leave to take...

Question 14

What is the primary cause of rising unemployment tax rates?
A)outsourced workers
B)unsafe workplaces
C)executive perquisites
D)economic recessions

Accepted Answer

D)Unemployment tax rates are based on an employer's rate of terminations.During an economic recession,employers must release workers to remain financially intact,and this causes the rates to rise.

Question 15

The American Disabilities Act makes it illegal for employers to discriminate against women by providing benefits of a lower amount or duration for pregnancy,childbirth,or related medical conditions.

Accepted Answer

The Pregnancy Discrimination Act requires employers to treat women affected by pregnancy,childbirth,or related medical conditions the same as any employee not able to work,with respect to all benefits,including sick leave and disability benefits,and health and medical insurance.

Question 16

Portability makes it easy for employees who leave one firm to work for another firm to take their accumulated pension funds with them.

Accepted Answer

Portability-making it easier for employees who leave the firm prior to retirement to take their accumulated pension funds with them-is enhanced by switching from defined benefit to defined contribution plans.

Question 17

Employee benefits account for about over one-half of wages and salaries.

Accepted Answer

Benefits are a major expense for most employers.Employee benefits account for 33% to 40% of wages and salaries (or about 28% of total payrolls);legally required benefits (like unemployment insurance)are the most expensive single benefit cost,followed by health insurance.

Question 18

Supplemental pay benefits provide employees with time off with pay for jury duty,vacations,funerals,and military responsibilities.

Accepted Answer

Pay for time not worked-also called supplemental pay benefits-is the most costly benefit because of the large amount of time off that most employees receive.Common time-off-with-pay periods include holidays,vacations,jury duty,funeral leave,military duty,personal days,sick leave,sabbatical leave,and maternity leave.

Question 19

A primary benefit of 401(k)plans is that payments made by employees into the plan are pre-tax,so the employee pays no tax on those dollars until after he or she retires or withdraws the money.

Accepted Answer

Payroll deductions for 401(k)plans are pre-tax,so the employee pays no tax on those dollars until after he or she retires (or removes the money from the 401(k)plan).

Question 20

Which group contributes to workers' compensation funds?
A)employers
B)state governments
C)federal government
D)insurance providers

Accepted Answer

A)Every state has its own workers' compensation law and commission,and some run their own insurance programs.However,most require employers to pay for and carry workers' compensation insurance with private,state-approved insurance companies.Neither the state nor the federal government contributes any funds for workers' compensation.

Quiz 11: Pay for Performance and Employee Benefits

A manager can best control the cost of unemployment insurance by ________.

The Comprehensive Omnibus Budget Reconciliation Act requires the government to provide health insurance to terminated or retired employees and their families through the Medicare system.

If an employee is injured at work due to a blatant disregard for company safety policies,the company is not required to pay workers' compensation.

Pooled paid leave plans combine sick leave,vacation,and personal days into a single leave pool and have been blamed for increasing employee absenteeism.

Which condition must be met for an injured employee to receive workers' compensation benefits?

Athena,a sales representative,was terminated from her position at Ross Manufacturing.On Athena's last day of work,she was given a check for $5,000.What did Athena most likely receive from Ross Manufacturing?

According to surveys,what will most employers do in response to the Patient Protection and Affordable Care Act?