1. 13-1 Dessler, Cole and Sutherland Human Resources Management in Canada Canadian Ninth Edition Chapter Thirteen Employee Benefits and Services © 2005 Pearson Education Canada Inc., Toronto, Ontario 13-1

2. 13-2 Government-Sponsored Benefits Employment Insurance (EI) Canada/Quebec Pension Plan (C/QPP) Workers’ Compensation Provincial Health Care Plans © 2005 Pearson Education Canada Inc., Toronto, Ontario

3. 13-3 Pay for Time Not Worked -vacations and holidays -short-term disability/sick leave -leaves of absence (paid and unpaid) -maternity/paternity/adoption leave -bereavement leave -sabbatical leave -pay on termination of employment © 2005 Pearson Education Canada Inc., Toronto, Ontario

4. 13-4 Insurance Benefits Life insurance Supplementary health care/medical insurance Long term disability Life insurance Supplementary health care/medical insurance Long term disability © 2005 Pearson Education Canada Inc., Toronto, Ontario

5. 13-5 Retirement Plans Defined Benefit Pension Plan contains a formula for determining retirement benefits Defined Benefit Pension Plan contains a formula for determining retirement benefits Defined Contribution Pension Plan employer’s contribution to the employees’ retirement fund is specified Defined Contribution Pension Plan employer’s contribution to the employees’ retirement fund is specified Pension Plans – Two Types © 2005 Pearson Education Canada Inc., Toronto, Ontario

6. 13-6 Employee Services Personal Services -credit unions -employee assistance programs (EAPs) Job-Related Services -subsidized childcare -eldercare -educational subsidies Personal Services -credit unions -employee assistance programs (EAPs) Job-Related Services -subsidized childcare -eldercare -educational subsidies © 2005 Pearson Education Canada Inc., Toronto, Ontario

7. 13-7 Executive Perquisites -loans -golden parachutes -financial counseling -company relocation benefits -limousines -executive dining room -concierge service …… -loans -golden parachutes -financial counseling -company relocation benefits -limousines -executive dining room -concierge service …… © 2005 Pearson Education Canada Inc., Toronto, Ontario

8. 13-8 Flexible Benefit Programs Advantages -choose benefits to suit individual needs -meet changing needs of workforce -increased employee involvement improves understanding -introduction of new benefits less costly (merely a new option) -cost containment: firm sets a dollar maximum Advantages -choose benefits to suit individual needs -meet changing needs of workforce -increased employee involvement improves understanding -introduction of new benefits less costly (merely a new option) -cost containment: firm sets a dollar maximum © 2005 Pearson Education Canada Inc., Toronto, Ontario

9. 13-9 Flexible Benefit Programs Disadvantages -employees make bad choices (not covered for predictable emergencies) -increased administrative cost -adverse selection: employees pick only benefits they will use (subsequent high benefit utilization increases cost) Disadvantages -employees make bad choices (not covered for predictable emergencies) -increased administrative cost -adverse selection: employees pick only benefits they will use (subsequent high benefit utilization increases cost) © 2005 Pearson Education Canada Inc., Toronto, Ontario

10. 13-10 Benefits Administration Outsourcing Use of technology Communication (especially pension) © 2005 Pearson Education Canada Inc., Toronto, Ontario