Employee Benefits

Public organizations hold the keys to employee benefits that can increase the life experience of the employee while working for an employer. Compensation in employment sectors called direct compensation including (salaries and wages) and benefits should be included in all public sector organizations. Yet, the variety of many employee benefits expands beyond the common knowledge of our local communities. In fact, work experience surveys look at the acknowledgement of employees in the work place, work-life balance, culture, development, and environmental contributions that the employers make annually. Benefits by all organization through workers compensation, social security, and unemployment insurance, health care benefits ( health insurance, dental insurance, vision insurance, and long -term care) time-off benefits and life insurance.




Mandatory Benefits

Workers compensation is financial protection for employees who are injured on the job or while performing a job-related activity. Medical expenses, cost of any rehabilitation treatment, lost wages due to the injury, death benefits for surviving family members (similar to insurance claims) are mandatory benefits for workers who are usually in highly volatile positions.

Workers compensation coverage can be purchased through the state workers compensation fund, organization might purchase workers compensation for the employee, coverage through a private insurance company and large organizations might choose to self-insure employees.

Social Security

The federal Old Age, Survivors, Disability and Health Insurance Program ( OASDHI) created by the Social Security Act of 1935 included the retirement income ("old age"), survivor income (for surviving dependent family members of employees who have contributed into social security), disability income, and health care benefits (Medicare). The Social Security programs are financed by contributions of employee and employer current taxes collected pay for current recipients. Any surplus is invested in federal government bonds held in the social security Trust Fund and guaranteed by the U.S. government. Monthly benefits are received by the employee who meets the minimum requirements for their salary class. Medicare is available for people 65 or older that usually use their social security income.

Unemployment Insurance was created by the Social Security Act of 1935. People can be denied when discharged for misconduct or fraud, quit willingly, or refuse to look for work while receiving unemployment.


Commonly provided benefits

Health care uses factors like access to a better plan through your spouses' employment. (Traditional plans, Health maintenance organizations, Preferred provider organizations , and health savings accounts)


Traditional Health Care Plans

Employee pays 20% and insurance company pays 80% of the medical cost

Health maintenance organizations

HMOs limit individuals selection of health care professionals. They offer employees to pay a small copay and few or no deductibles for approved health care providers Employees may be required to cover the full cost of their services if the employee/ individual chooses a noncovered facility. HMOs is a type of health care that is preventative for the individuals health and wellbeing.

Preferred Provider Organizations (PPO)

Individuals receive health care coverage through a network of providers similar to an HMO yet PPOs are able to keep costs down by negotiating agreements with approved / non approved facilities. Many PPOs will allow a nonapproved facility yet individuals will still pay a higher percentage of the costs.

Health savings accounts

Employees can create a health savings account which allows the funds to be set aside pre-tax. Withdraw funds for qualified health care expenses and can give the employee peace of mind that they are saving their money for their long term health investments. To qualify you must be in a high-deductible low-premium health care plan yet new legislations have decided to understand the new changes to the types of health savings accounts.

Dental Insurance

Preventative and diagnostic services, basic services, major service and orthodontics. The state has a life time maximum usually apart of or separate from the health care organization. Braces through a orthodontics have a life time insurance coverage and the rest must be paid by the employee or individual. Basic state of Florida packages grant $1,500 for the life time insurance and out of pocket costs for a typical braces packages is $6,500 or more.

Vision

Vision in 2011 was one of the lowest coverages by employers with only 82% of public organizations granting this type of insurance to employees. Vision insurance covers annual eye exams and eye glasses.

Long term care insurance

This type of insurance helps people with daily living due to illness or disability. Premiums are generally paid entirely by the employee but employers subsidize the premiums. Organizations can receive tax benefits for premiums.

Health Care Costs

These costs are covered by worker contribution and employer contribution annual health insurance premium costs (family & individual). Usually, Public employers pay less than a private or nonprofit employer.



Applicable Legislation

Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA) was landmark legislation that allows employees to continue health care coverage after employment is over (unemployment) 18 months - 36 months of Health Care Coverage during which 2% administrative fees apply. (2012) Employee pays 35% of the costs of health care and 65% is reimbursed to the HCP for tax credits in 2012.

Patient Protection and Affordable Care Act of 2010

Coverage of dependents up to age 26 whether or not the dependent is full-time student, disabled or married. Rescinding health care coverage unless engaged in fraud or intentional misrepresentation of information requiring coverage of preexisting conditions. The program created automatic enrollment for organizations with more than 200 full-time employees and grants preventative case services. This legislation requires health insurance coverage to be affordable and adequate to employees or pay "Employer Shared responsibility" payment. Since this legislation, there have been countless changes and modifications that work to increase health care coverage for employees and all Americans who need affordable health care insurance.

Time off Benefits

Vacation and sick leave and paid holidays are apart of a public organizations time off benefits. Paid vacation days are not a required benefit in the US although 93% of organizations provide a form of paid vacation days to their full time employees.

Applicable Legislation

Family and Medical Leave Act of 1993 (FMLA) gives employees time to balance work and family life 12 weeks of unpaid leave for a dependent or yourself. This type of leave is used when a serious health condition or for birth, adoption, or placement of a child 12 months after birth. (2012) In Loco parentis allows for a leave of absence regardless of legal or biological relationship.

Life Insurance

Coverage by employer or general coverage (supplemental life insurance plans will lower rates than personal life insurance policy.

Education Benefits

Programs that eliminate or decrease the amount employees have to pay for their educational goals. The employee must provide proof of completion with an adequate performance to receive the tuition reimbursement grade at or above the minimum standard.



Flexible Spending Accounts

Pre-Tax dollar savings for medical and dental care accounts or child care in flexible spending accounts. The money is used as a "trust fund" throughout the year. Unspent funds are returned to the plan at the end of the treatment or health care plan.

Employee Assistance Programs (EAPs)

To provide assistance to employees resolving problems (financial planning, legal assistance, family counseling, adoption assistance, childcare assistance, and drug and alcohol treatment programs.

Wellness Programs

The wellness programs provide on-site gyms, or subsidize gym memberships. Incentives to encourage employees to use health and wellness centers. reductions in health insurance costs to bonuses for completing specific aspects of the wellness program.

Child Care Assistance

Flexible spending accounts (FSA) is used to pay for child care cost using pre-tax dollars thus saving employees money. Some organizations provide in office child care services like having a day care in office or able to bring your child to work.

Elder Care Assistance

Provide information for resources and referrals that can be useful for long term elder care assistance. These programs also give time off (paid or unpaid) for elderly family members that need personal assistance for employees. The benefits for this programs is that it helps productivity, balances home and work life, and decreases absences.

Alternative Work Arrangements

Work arrangements that have a compressed work week, flextime, job sharing and telecommuting. Many compressed work week schedules are in a 4/10, 9/30, or 3/36 break down of days and hours worked. Flextime has the ability to give a work-life balance when the employee needs time for other work related items or personal items. Job sharing splits one job position between 2 or more workers and gives the employer a variety of workers with new perspectives. Telecommunication allows workers to continue job duties at a remote location.


Overall, the various types of employee benefits goes on depending on the public organization (federal, state, local governments), private company, or non-profit. These employee benefits will help your personal life and any family members that are included in these types of assistance.



2 views0 comments