The benefit policy will encompass a wide range of benefits, apart from the monthly salary that the company will provide to its workers or employees. The benefits accorded to the employees will include social security, unemployment insurance and compensation as stipulated by law (Lawson, 1998).
Administration.
The policy will outline, the benefits plus the fringe benefits as per the employee’s performance. All the benefits will be bestowed at the discretion of the business management. The company has divided its benefits into two. The mandatory and the optional benefits. According to the organizational benefit policy, the mandatory benefits will be given to the employees as the law states. They will include, retirement, disability and unemployment benefits. In addition, the optional benefits will be decided by the company and are as per to the internal revenue service. They will include a bonus and personal insurances (Mitchell, 1993).
Scope of Benefits
The policy indicates that the employees will be provided with different types of income protection to various groups of the employees. The employees will have the opportunity to get the five principal categories of income security. These include; medical expense reimbursement, involuntary unemployment income replacement, disability income replacement and the replacement income for survivors (Ditch, 199).
The department of the Hunan Resource and the finance department will work together in ensuring that the policy are implemented smoothly to ensure sustainability.
Disability benefits.
These are the benefits that will offer disability income replacement including programs such as worker's compensation and social security.
Medical benefits.
The medical benefits will offer medical coverage to all the employees under the free for service plans or under the prepaid plans.
Retirement benefits.
The company offers retirement benefits to its employees on the basis of individual saving, pension plans and social security.
Unemployment benefits.
Furthermore, the company will offer protection to its employees against termination by offering unemployment benefits.
Survivor benefits.
Similar to the disability compensation, the survivor’s benefits will be given to the family of the deceased employee. The survivor’s benefits are comprised principally of the mandatory workers compensation and social security (Ditch, 199).
References
Ditch, J. (1999). Introduction to social security: Policies, benefits, and poverty. London: Routledge.
Mitchell, O. S. (1993). As the workforce ages: Costs, benefits, and policy challenges. Ithaca, N.Y: ILR Press.
Lawson, J. W. R. (1998). How to develop a personnel policy manual. New York: AMACOM.
