The paternalistic concept aimed to gain cooperation and goodwill of the dependent members of the company family.
fringe benefits
_______ are anything that is not covered by regular salaries and wages.
Benefits
______ are additional compensations that employees receive regularly at intervals stipulated in the company policies and guidelines.
Benefits
2 Measurement and Qualification for Benefits
a. Length of Service
b. Retirement Benefits
Employees with one year of service are entitled to five days mandatory leave per year.
Length of Service
Employees gain an additional two-day leave per year of service, not exceeding 15 days.
Length of Service
Employees may initially enjoy five days sick leave after one year of service, increasing by one day per year until they reach 15 days.
Length of Service
Some companies pay retirement benefits beyond the Social Security System (SSS).
Retirement Benefits
Usually, employees are paid 15 days for every year of service.
Retirement Benefits
Athletic and recreational programs are company benefits aimed at developing _________ and boosting employee morale.
esprit de corps
2 The Classification of Benefits
- Statutory Benefits
- Company Benefits
These are benefits mandated by law such as:
a. 13th month pay — given half in June and half in December
b. Five-day incentive leave
c. Birthday leave
d. Maternity leave with pay for married women
e. Paternity leave with pay when the husband’s wife gives birth
f. Pag-IBIG Fund — housing loans through employer-employee contributions
g. Medicare Fund — for medical expenses of employees and dependents
h. Social Security Benefits — retirement, pension, death, burial, disability, employee compensation in case of accident in the performance of work
i. Cost of living allowance
Statutory Benefits
These are benefits granted by the company outside of those mandated by law.
Company Benefits
These benefits could be through a collective bargaining agreement or those given unilaterally by management.
Company Benefits
This benefits are?
a. Vacation leave with pay — varies from company to company
b. Sick leave with pay
c. Bereavement leave
d. Hospitalization plan
e. Sickness and accident insurance plan
f. Life insurance and pension plans
g. Christmas and mid-year bonus
h. Housing equity assistance
i. Educational plan
j. Recreational and fitness facilities
Company Benefits
Profit-sharing is an incentive plan under which an employer agrees to share with employees a specified portion of the net profits of the business earned within a fiscal period or over a given period.
Profit-Sharing Plans
3 Types of Plans
- The Cash Plan
- The Deferred Distribution Plan
- The Purchase Plan
Also known as the current distribution plan
The Cash Plan
This provides for payment of the employees’ share in the profit in cash based on their salary or wage.
The Cash Plan
This program establishes a trust fund to provide employees with future payment.
The Deferred Distribution Plan
The distribution of profits is withheld until the employee’s retirement, death, or disability.
Under this plan, participating employees are permitted to purchase — often through payroll deductions — shares of company stock, either at or below the prevailing market price or at par value.
The Purchase Plan
