Question: What are some of the goals of unemployment insurance?

Answer: to encourage employers to retain employees and not lay them off
to help unemployed workers secure new work
to financially support unemployed workers during unemployment

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Question: Passive employee wellness programs ____________.

Answer: offer limited or zero support to program participants

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Question: How can companies assess employee preferences for specific benefits?

Answer: through questionnaires
through focus group discussions
through interviews

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Question: To maximize their return on a benefits package, companies must _____________.

Answer: communicate benefits information effectively to all employees

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Question: A program that permits pretax employee contributions to be used to pay for uncovered health care expenses is called a(n) ___________ account.

Answer: flexible spending

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Question: What are some of the characteristics of employee wellness programs (EWPs)?

Answer: They work to lower the amount an employer must spend on employee health care.
They are often designed to target certain health care issues, such as high blood pressure.

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Question: Which of the following statements about communicating with employees about benefits is true?

Answer: Most employees do not fully understand what their benefits provide.

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Question: The unemployment insurance program is financed primarily though ___________.

Answer: federal and state taxes on employers

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Question: Of the following examples, who is eligible to receive unemployment insurance?

Answer: a person who is looking for work
a person who is ready to work
a person who has worked for a specific amount at a job

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Question: An employer's costs for workers' compensation insurance is based on which of the following factors?

Answer: the types of jobs its employees do
state where employer is located
safety rating of the employer

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Question: What is the acronym for government legislation that requires employers to permit employees to extend their health care coverage at group rates for up to 36 months following a "qualifying" event, such as a layoff?

Answer: COBRA

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Question: True or false: When employee payments entirely subsidize disability coverage, no federal tax is paid on the money paid out to the employee.

Answer: true

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Question: The largest portion of a retiree's income comes from ___________.

Answer: Social Security

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Question: What is a defined benefit plan?

Answer: It guarantees a specified retirement benefit level to employees based on their age, years of service, and earnings level.

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Question: In which type of retirement plan does an employee's account earn a predetermined interest rate?

Answer: a cash balance plan

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Question: The government's promise to workers that being a participant in a pension plan and working for a specific number of years ensures the right to receive a pension upon retirement is called _____________.

Answer: vesting rights

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Question: Company pensions are designed to encourage ___________.

Answer: employees to work for a company for a long time

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Question: What is the legal minimum of paid days off required for employees of U.S. companies?

Answer: no minimum

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Question: Which federal law mandates certain employers to provide 12 weeks of unpaid leave to employees to care for newborns, adopted children, and seriously ill relatives among other reasons?

Answer: the Family and Medical Leave Act

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Question: How can employers keep their unemployment tax rate low?

Answer: by limiting the number of employee layoffs

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Question: What do workers' compensation laws cover?

Answer: job-related injuries
job-related death

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Question: Once employees enter a company pension plan, the employer has __________ to provide employees with a summary plan description, which provides detailed information about the plan.

Answer: 90 days

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Question: In the United States the amount of sick leave given to employees is often based on the ____________.

Answer: employee's years of service

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Question: What kinds of benefits are provided by workers' compensation?

Answer: disability income
death benefits
medical coverage
rehabilitative services

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Question: How are workers' compensation benefits typically funded?

Answer: Employers purchase coverage from insurance companies.

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Question: Employees who sign up for a health maintenance organization (HMO) health care plan ___________.

Answer: have benefits that are prepaid
can only use HMO services

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Question: Which U.S. employees do not receive Social Security benefits?

Answer: state workers
railroad workers
federal workers

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Question: Money spent on health care in the United States has _________ since 1960.

Answer: increased dramatically

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Question: Employers can obtain competitive information about other employers' benefit packages through __________.

Answer: the U.S. Chamber of Commerce
the Bureau of Labor Statistics
hiring private consultants

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Question: In general, the ____________ the company, the more benefits employees typically receive.

Answer: larger

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Question: To receive Social Security benefits, a qualified worker must work how many quarters of covered employment?

Answer: 40

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Question: Social Security retirement benefits are financed by a(n) ___________.

Answer: payroll tax assessed to both the employer and the employee

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Question: True or false: Most organizations have a written document that summarizes the goal(s) of their various benefits programs, which helps them measure the outcomes of providing those benefits.

Answer: false

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Question: Which strategies can employers use to control the costs of employee benefits?

Answer: Increase employee hours without incurring overtime charges.
Change status of employees from nonexempt to exempt.

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Question: True or false: The tax treatment of benefits program is often less favorable for employees than the tax treatment of wages and salaries.

Answer: false

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Question: Providing a comprehensive employee benefits plan has a definitive impact on __________.

Answer: how long a person will work at the company
who will accept a position at the company
when a person will retire from the company

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Question: What are some advantages of flexible benefits plans?

Answer: Employees can choose the benefits plans that work best for them.
Cost control of benefits may occur, which is economical for the employer.
Employees can gain greater awareness of what the employer provides for them.
Employees are more aware of the value of their benefits.

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Question: Which of the following are outcomes of increased retiree health care costs sand the FAS 106 ruling as it pertains to benefits?

Answer: Some employees and retirees pay insurance premiums.
Some employees and retirees pay increased co-payments and deductibles.
Some retiree health care benefits have been abolished.

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Question: A qualified benefits plan must ____________.

Answer: offer benefits to variety of employees, not just senior level ones

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Question: What are the main kinds of medical expenses generally covered by company healthy care plans?

Answer: Costs of surgery
Costs of visiting the doctor
Costs of going to the hospital

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Question: Which of the following statements about the Affordable Care Act (ACA) is true?

Answer: The future of the ACA is unclear.

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Question: Why have some companies set up voluntary employee benefit association (VEBA) trusts?

Answer: To move retiree health care obligations off their financial statements

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Question: What does the U.S. Supreme Court's 1978 Manhart ruling state

Answer: It is illegal to force women to contribute more to a defined benefits plan.

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Question: Employee benefits may include __________________.

Answer: insurance
policies that assist families
retirement packages

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Question: What should be a key factor in designing an employee benefits package?

Answer: the wishes of current employees

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Question: Family-friendly policies help companies ____________________.

Answer: promote loyalty of workers to company
demonstrate their concern for their wellbeing of their employees
balance work and family

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Question: How the federal government taxes disability benefits is contingent upon _____________________.

Answer: the way the disability policy is funded

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Question: The ________________ makes all of the payments into a cash balance plan.

Answer: employer

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Question: At what age do Social Security retirement benefits begin for workers born in 1960 or later?

Answer: 67 years

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Question: Employers who do not meet employee expectations regarding benefits run the risk of violating the _______________________.

Answer: implicit contract that exists between workers and the company they work for

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Question: Which factors should companies consider when working to control the cost of employee benefits?

Answer: the company's "experience ratings"
if the cost of benefits categories is forecasted to increase in the future
the amount spent on benefits that are legally required

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Question: A defined contribution plan __________________.

Answer: requires less administrative oversight on the part of the employer
does not guarantee a certain benefit level to the employee upon retirement

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Question: What impact does FAS 106 have on companies?

Answer: Companies must carry the future costs of retiree benefits on their current financial statements.

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Question: The major types of insurance provided by employes include which of the following?

Answer: medical
disability

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Question: Which employee benefit gives employers the best opportunity for cost containment?

Answer: Medical benefits

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Question: The law that was enacted in 2010 and provides health care benefits to all Americans is the _____________________.

Answer: Affordable Care Act

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Question: A defined contribution plan puts the responsibility for wise investing squarely on the shoulders of the ______________________.

Answer: employee

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Question: Which of the following statements about employer-sponsored insurance plans is true?

Answer: They are offered at the discretion of employers.

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Question: Which of the following is the type of child care support offered by the largest percentage of employers?

Answer: Information about the cost and quality of available child care

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Question: Which of the following statements about retirement benefits is true?

Answer: Firms have started reducing retiree benefits

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Question: Offering an on-site child care facility is ________________.

Answer: and expensive venture for an employer

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