Employee benefits are the extra support
that employees receive from an organization other than the pay. Employee
benefit programs were introduced in the mid of 20th century, when
trade unions started to emerge organizations start to introduce benefit
programs to diminish impact of unionism (Vicky, n.d.),
companies wanted to reduce the conflicts and employee turnover, so they came up with
different types of employee benefits. Not only that, companies introduced many
employee benefits to attract the talents and increase the job satisfaction as
well (Virgin Pulse Wellness Glossary,
n.d.).
And following are some of the benefits that
an employee is entitled in the modern day.
Social
Security and pension plans: Social security is a
fund that is paid by the employer and sometimes a portion from employee’s
salary also deducted and paid to the authority which will be accumulated and
redeemed after the retirement. And the pension is a compensation that is paid
monthly by the government or by the employer to cover the expenses after
retirement (Friedberg, 2019).
Health Insurance: Many companies give health insurance for their employees to let
them work worry free about their health and most of the organizations give
health insurance to the dependants of the employees as well (Minnesota State, n.d.).
Free Day Care Service: Organizations offer this service to enable the employees to work
freely without worrying about their babies and they think this will reduce
female employee turnover.
Flexible Hours & More Vacation Time: Certain organizations offer flexible hours to retain the talents
and sometimes they are allowed to work from home as well. More vacation time
lets the employees to relax after a hectic work schedule, by this employers aim
to achieve productivity through job satisfaction (Virgin Pulse Wellness
Glossary, n.d.).
Paid Leaves & Paid Time Off (PTO): Such as maternity leaves, paternity leaves and sick leaves are
accounted as paid leaves to facilitate the employees and in certain
organizations employees are offered paid time off for social events such as
protests.
Bonus & Profit Shares: In order to appreciate the employees’ commitments throughout the
year, companies pay yearly bonuses or profit shares.
References
Friedberg, B., 2019. Retirement
Plans: Pensions vs. Social Security. [Online]
Available at: https://www.investopedia.com/articles/personal-finance/040116/retirement-plans-pensions-vs-social-security.asp
[Accessed 11 June 2019].
Available at: https://www.investopedia.com/articles/personal-finance/040116/retirement-plans-pensions-vs-social-security.asp
[Accessed 11 June 2019].
Minnesota
State, n.d. Types of Employee Benefits. [Online]
Available at: https://careerwise.minnstate.edu/jobs/benefittypes.html
[Accessed 11 June 2019].
Available at: https://careerwise.minnstate.edu/jobs/benefittypes.html
[Accessed 11 June 2019].
Vicky,
n.d. Employee Benefit Programmes: History, Growth and Types of Benefits. [Online]
Available at: http://www.yourarticlelibrary.com/employee-management/employee-benefit-programmes-history-growth-and-types-of-benefits/60365
[Accessed 11 June 2019].
Available at: http://www.yourarticlelibrary.com/employee-management/employee-benefit-programmes-history-growth-and-types-of-benefits/60365
[Accessed 11 June 2019].
Virgin
Pulse Wellness Glossary, n.d. Employee Benefits. [Online]
Available at: https://www.virginpulse.com/employee-benefits/
[Accessed 11 June 2019].
Available at: https://www.virginpulse.com/employee-benefits/
[Accessed 11 June 2019].
Employee benefits were introduced with the purpose of employee retention and attract best people To the organization. Employee motivate When benifits are received then their engagement with the job and finally Performance will increased. The cost invest on employee benifits in an investment.
ReplyDeleteIn general, indirect and non-cash compensation paid to an employee. Some benefits are mandated by law such as social security, unemployment compensation, and workers compensation, others vary from firm to firm or industry to industry such as health insurance, life insurance, medical plan, paid vacation, pension, gratuity etc. As you have explained well companies introduced many employee benefits to attract the talents and increase the job satisfaction,
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