HR Chapter 12

HIPAA - Health Insurance Portability and Accountability Act

(HIPAA). One of the greatest impacts of HIPAA comes from its provisions regarding the privacy of employee medical records. These provisions require employers to provide privacy notices to employees and to carefully store sensitive employee personal information. They also regulate the unauthorized disclosure of protected health information.

If Jennifer's employer offers her the grossed-up cash value of an insurance benefit that costs $300 in exchange for having the actual insurance, Jennifer should be paid _____.

more than $300 If Jennifer's employer allows Jennifer and other employees to take cash in lieu of an insurance benefit that costs $300, Jennifer's employer will have to pay Jennifer the grossed-up cash value of the insurance benefit, which would be more than $300, to offset the taxes Jennifer will be required to pay on the amount. Gross-up means to increase the net amount of what Jennifer receives to include the taxes owed on the amount.

Self Service

is technology that allows employees to change their benefit choices, track their benefit balances, and submit questions to HR staff members and external benefit providers.

Profit-sharing plans, employee stock ownership plans, and 401(k) plans are some popular

Defined Contribution Plans

The normal retirement age to receive maximum Social Security benefits has been increased to

67

Defined Contribution Plan

A defined contribution plan is a retirement program in which an employer and/or employee makes payments to fund the employee's retirement account. The key to this plan is the contribution rate; employee retirement benefits depend on fixed contributions and investment earnings. Profit-sharing plans, employee stock ownership plans (ESOPs), and 401(k) plans are commonly defined contribution plans

Which of the following employers are required to provide their employees with health care coverage under the Affordable Care Act?

Companies with 50 or more full-time employees who work 30 hours a week or more are required to offer minimum essential health care coverage to these workers and their dependent children (until they are 26 years old)

401k defined contribution plan and tax deffered

It is your first day on your new job, and your HR representative is telling you about your company's pension system. Your company is going to offer you a 401(k) defined contribution plan , which gives you the opportunity to set your own money aside, as well as receiving some money from your company every year. Your contributions are tax-deferred when they go into the fund, but you have to be careful of market risk with this type of plan.

A(n) _____ is a tangible indirect reward provided to employees for organizational membership.

Retirement Plan

Sean works at an organization that provides a fixed amount of money to its employees and allows them to choose medical coverage that best suits their needs from an online marketplace. This gives the employees the option to increase their medical coverage by paying the additional costs themselves. In this scenario, Sean's organization most likely provides a consumer-driven health plan to its employees.

Sean's organization most likely provides a consumer-driven health plan to its employees. A consumer-driven health plan is a health plan that provides employer financial contributions to employees to help cover their health-related expenses.

What do companies have to do to make unlimited vacation time policies work effectively?

Specify clear, measurable performance outcomes. Require a minimum amount of time away from work. Establish a high level of trust with employees.

Daisy had to leave her job as a schoolteacher when her husband got a job in Anchorage, Alaska. The good news is that Daisy got to keep her health insurance from her old job. She pays the full cost of premiums, plus 2%, but that's a better deal than she could get anywhere else. Daisy was benefited by which of the following laws?

The Consolidated Omnibus Budget Reconciliation Act (COBRA) act allows qualifying beneficiaries to continue paying group health insurance rates after they leave an organization.

The Older Workers Benefit Protection Act (OWBPA) requires equal treatment for older workers in early retirement or severance situations.

The Older Workers Benefit Protection Act (OWBPA) is an amendment to the ADEA, and it requires that older workers who are in early retirement or severance situations be treated the same as other workers

Benefits as a percent of payroll

The best measure of overall benefits costs would be benefits as a percent of payroll. This measures the overall cost of benefits and it compares it to your overall cost for payroll, including compensation, benefits, taxes, and other costs of having employees.

Family and Medical Leave Act (FMLA)

The law requires employers to allow eligible employees to take a maximum of 12 weeks of unpaid, job-protected leave during any 12-month period for the following situations: Birth of a child and care for the newborn within one year of birth Adoption or foster care placement of a child Caring for a spouse, child, or parent with a serious health condition Serious health condition of the employee Military family members who must handle the affairs for military members called to active duty

Workers' compensation insurance

This insurance provides income for workers who are injured on the job, as well as medical and rehabilitation services.

Social Security Insurance

This is an insurance plan designed to protect covered individuals against loss of earnings resulting from various causes, which may include retirement, disability, or in the case of dependents, the death of the worker supporting them

Family and Medical Leave Act (FMLA)

This law allows employees with at least a year of service to take up to 12 weeks off to care for themselves or immediate family members and then come back to a job with the same salary and benefits as the job they left.

Security Benefits

Workers Compansation - Unemployement compensation

A statutory health insurance plan

a government-funded health plan

Health care costs across the United States:

account for approximately 18 percent of gross domestic product (GDP).

Patient Protection and Affordable Care Act (PPACA)

this law requires that companies with 50 or more employees (who work 30 hours a week or more) provide health care coverage or pay a penalty.

Which of the following websites contains advice and information about financial planning from the Financial Literacy and Education Commission

www.mymoney.gov You can get advice on financial planning from www.mymoney.gov. Sponsored by the Financial Literacy and Education Commission, this website is helpful for companies that don't have a lot of money or that have limited resources to provide to their employees concerning financial advice or benefits. It is free, and it can help employees achieve financial security in many different situations

GINA

you cannot use genetic informaton to make job-related decisions.

Golden parachute, duvet day, and benefit incidence

A golden parachute refers to the financial compensation that employees receive if they are terminated as a result of a merger or takeover. A duvet day is time off from work given by an employer. Benefit incidence refers to the availability of benefits

Retirement plans

Auto-enrollment allows organizations to enroll employees in a retirement plan without asking the employee. The employee can decline to make contributions, but unless they do, they will automatically contribute to the plan. Auto-escalation allows companies to raise the amount an employee contributes to the plan by a certain percent each year until the employee is contributing a maximum amount. Both are excellent tools for helping employees to start saving for retirement without thinking about it

The Patient Protection and Affordable Care Act (PPACA) requires that all companies with at least 50 full-time or full-time equivalent employees offer minimum health care to their employees and their dependent children. If health care is not offered, companies have to pay a fine for each employee the company has beyond 30 employees. What are companies doing to get around this law that may not be in their best interest in the long term

Decreasing the number of hours employees work

Unemployment compensation

Each state administers its own system for this and companies pay taxes for this based on their experience rates.

Which of the following are caregiver assistance programs that might be offered by a company as a benefit to employees?

Emergency elder-care assistance On-site eldercare centers Sick-child programs After-school programs for older children Many employees today belong to the "sandwich generation," meaning that they have to take care of both their children and parents at the same time

Participation rates will give best estimate of employee satisfaction

Employees who are highly satisfied with benefits are more likely to participate in those benefits, so participation rates will give you your best estimate of employee satisfaction with benefits.

Consolidated Omnibus Budget Reconciliation Act (COBRA)

Former employees and their families may benefit from this law under certain circumstances because it allows them extended health coverage.

When Rasheed was on medical leave because of an illness, his manager shared private details of his illness with his coworkers without Rasheed's permission. In this scenario, Rasheed's manager violated the

Health Insurance Portability and Accountability Act (HIPAA)

Which of the following statements is true in the context of employee benefits and status

If same-sex couples get divorced, one partner may be entitled to a share of retirement benefits.

Monique has been working as a full-time employee at a U.S. law firm with 180 employees for the past five years. As one of the most dedicated employees of the firm, Monique had worked for more than 2,000 hours in the previous year. She is going to have a baby next month and wonders if she will be eligible for leave. Which of the following benefits should Monique receive under the federal Family and Medical Leave Act (FMLA)?

Monique is entitled to a maximum of 12 weeks of unpaid leave The FMLA states that an employee who has worked at least 12 months and 1,250 hours in the previous year is eligible for a maximum of 12 weeks of unpaid, job-protected leave on the occasion of the birth of a child

xxxxxx......tend to receive more generous benefits than other workers.

Public-sector employees tend to receive more generous benefits compared to other workers. Workers in the public sector typically receive more generous benefits than workers in the private sector. Unionized workers receive more generous benefits than nonunionized workers. Full-time workers receive more generous benefits than part-time workers

Worker's compensation and medical plans are

Workers compensation and medical plans are legally required benefits

COBRA - Consolidated Omnibus Budget Reconciliation Act

requires that most employers with 20 or more full-time and/or part-time employees offer extended health care coverage to certain groups of plan participants. These qualified beneficiaries are as follows: Employees who voluntarily quit or are terminated Widowed or divorced spouses and dependent children of former or current employees Retirees and their spouses and dependent children whose health care coverage ends Any child who is born or adopted by a covered employee Other individuals involved in the plan such as independent contractors and agents/directors