Employee benefits are one of the largest investments a company makes. “Benefits make up an important component of the employment relationship, providing employees with financial protection, access to health care and programs to support work/life balance” (Kwon, J. and Hein, P., 2013 page 32). Although employers are careful in creating and managing the benefit program, they often failed to look at the other benefit programs. As a result, the employers may not get the highest return for the overall spending for implementing the benefit programs. However, the total rewards program “will have a more positive impact on attraction, retention, and engagement while helping to manage the cost and volatility” (Kwon, J. and Hein, P., 2013, page 32).
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Similar to many other organizations, both Xcel Energy and Hershey Company continue to depend on health and wellness initiatives to reduce health care cost and develop a productive workforce. Few of the important reasons for providing excellent health and medical benefits to improve employee health, decrease medical premiums and claim costs, and perceived value to employees. Health and welfare benefits at Xcel Energy and Hershey Company provide medical, dental, vision, and life insurance plans for employees and the eligible dependents. Xcel Energy provides high deductible health plan with health saving account and the premium cost are shared by Xcel Energy and the employees on a pretax basis. However, Hershey Company provides three highmark medical plans with varying levels of employee cost sharing. High detectible plan at Hershey Company allows the employees to participate on health saving account. Health coverage start date is slightly different between these two companies. At Xcel Energy, the employee health coverage begins the first month following employee’s hire date or immediately if the employee is hired on the first of the month. However, at Hershey Company, the health coverage begins on the first day of …show more content…
The short term disability in both companies plans cover up to 26 weeks with slightly different percentage of the pay such as Xcel Energy pays 100 percent for the first 13 weeks and 70 percent for the remaining 13 weeks but Hershey Company pays 100 percent for the first 13 weeks and 85 percent for the remaining 13 weeks. The long term disability benefit at Xcel Energy pays 60 percent of base pay while Hershey Company pays 35 percent of base with an option to choose 65 percent of base pay when employee contribute to the 30 percent of the
Similar to many other organizations, both Xcel Energy and Hershey Company continue to depend on health and wellness initiatives to reduce health care cost and develop a productive workforce. Few of the important reasons for providing excellent health and medical benefits to improve employee health, decrease medical premiums and claim costs, and perceived value to employees. Health and welfare benefits at Xcel Energy and Hershey Company provide medical, dental, vision, and life insurance plans for employees and the eligible dependents. Xcel Energy provides high deductible health plan with health saving account and the premium cost are shared by Xcel Energy and the employees on a pretax basis. However, Hershey Company provides three highmark medical plans with varying levels of employee cost sharing. High detectible plan at Hershey Company allows the employees to participate on health saving account. Health coverage start date is slightly different between these two companies. At Xcel Energy, the employee health coverage begins the first month following employee’s hire date or immediately if the employee is hired on the first of the month. However, at Hershey Company, the health coverage begins on the first day of …show more content…
The short term disability in both companies plans cover up to 26 weeks with slightly different percentage of the pay such as Xcel Energy pays 100 percent for the first 13 weeks and 70 percent for the remaining 13 weeks but Hershey Company pays 100 percent for the first 13 weeks and 85 percent for the remaining 13 weeks. The long term disability benefit at Xcel Energy pays 60 percent of base pay while Hershey Company pays 35 percent of base with an option to choose 65 percent of base pay when employee contribute to the 30 percent of the