CEBS - GBA 1 Module 1 2023 LATEST QUESTIONS WITH COMPLETE SOLUTIONS GRADED A+

1.1 Distinguish between the broad view and the narrow view of employee benefits - ANSWER The broad view defines employee benefits as anything other than direct compensation, including both government-mandated benefits and private plans. (social security, pension plans etc.). The narrow view holds that employee benefits are any benefit sponsored unilaterally or jointly by employers and employees that is not subsidized by the government. 1.2 List the categories of benefits that generally are considered to fall under a broad view employee benefits - ANSWER • Legally required benefits (Social Security) • Payment for time not worked (rest, lunch, vacation, and holidays) • Medical • Retirement & savings plan payments • Miscellaneous benefits (employee discounts, severance pay, education, and child care) 1.3 What benefits are typically excluded when the term "employee benefits" is viewed and defined in a narrow sense? - ANSWER Those that are legally mandated (Social Security and workers' compensation) 2.1 Explain the types of businesses- or human resource-related reasons for firms establishing employee benefit plans - ANSWER So businesses may attract & retain capable employees. Good benefit plans foster corporate efficiency, productivity, and improve employee morale. 2.2 What impact have labor unions historically had in employee benefits? - ANSWER Through the practice of collective bargaining labor unions have had an