Asked by Marisa Tavarez on Jun 24, 2024
Verified
Jerome is the CEO of a magazine publishing company. He wants to provide benefits for his employees but would still like to control his company's costs. Ashley, the head of the HR department, suggests implementing a cafeteria-style plan. What would be the most likely benefit of Jerome doing so?
A) He will save time by using software packages to offer benefits packages.
B) He will avoid the cost of providing employees with benefits they don't value.
C) Having a non-standardized plan will make Jerome's company seem cutting-edge.
D) Employees of the company, including Jerome, will be given more vacation days.
E) Costs will be easy to estimate since all benefits options will be taken into consideration.
Cafeteria-Style Plan
A benefits plan that offers employees a set of alternatives from which they can choose the types and amounts of benefits they want.
Software Packages
Pre-developed software applications bundled together to meet various user needs or perform multiple related tasks.
Benefits Packages
A collection of non-wage compensations such as health insurance, retirement plans, and paid leave, offered by employers to attract, motivate, and retain employees.
- Examine the function of cafeteria-style plans in delivering flexible benefit options to satisfy diverse employee requirements.
Verified Answer
TS
Trevor SherifJun 28, 2024
Final Answer :
B
Explanation :
A cafeteria-style plan allows employees to choose the benefits they want from a menu of options. This can help employers avoid the cost of providing benefits that employees don't value, which can help control costs. Additionally, employees have the opportunity to choose benefits that best meet their needs, which can lead to increased job satisfaction and employee retention.
Learning Objectives
- Examine the function of cafeteria-style plans in delivering flexible benefit options to satisfy diverse employee requirements.