Multiple Choice - Chapter 12

Front 1

The total cost of employee benefits in the U.S. is _____ dollars.

Back 1

four trillion

Front 2

In 1959, benefits were approximately _____ percent of payroll and in 2010, the percent was ____.

Back 2

25; 30

Front 3

All of the following factors are reasons for the growth of benefits except:

Back 3

foreign competition.

Front 4

Which of the following benefits are not mandated by state or federal legislation?

Back 4

Pensions

Front 5

The typical employee can recall _____ percent of the benefits they receive.

Back 5

less than 15

Front 6

Advantages of employer sponsored life and health insurance include all of the following except:

Back 6

employees can choose coverage levels.

Front 7

Surveys show that the most highly valued benefit is:

Back 7

medical insurance.

Front 8

Across five studies ranking preference for benefits, __________ had the lowest average rating.

Back 8

Long-term disability

Front 9

A study of the factors affecting MBA students' job choice showed _____ was ranked as least important.

Back 9

employee benefits

Front 10

Which of the following is not a major benefits planning and design issue?

Back 10

Diversity compliance

Front 11

A recent survey shows that the majority of employers are responding to increased benefit costs by _______.

Back 11

requiring employees to pay higher deductibles and copays

Front 12

The first issue in setting up a benefits package is:

Back 12

who should be protected or benefited.

Front 13

Which of the following is not a benefit administration issue?

Back 13

Benefit adequacy

Front 14

In the _____ benefit package, a package is designed with the average employee in mind.

Back 14

standard

Front 15

A type of benefit plan that allocates a set dollar amount to employees and allows them to select benefits is called _____ plan.

Back 15

flexible benefit

Front 16

_____ is/are the primary reason why businesses adopt flexible benefit programs.

Back 16

Cost savings

Front 17

A major approach to increasing employee awareness of health care choices and cost is:

Back 17

cafeteria plans.

Front 18

Which of the following is not a disadvantage of flexible benefit programs?

Back 18

New benefits are more difficult to introduce.

Front 19

All of the following are advantages of flexible benefits except:

Back 19

administrative expenses increase.

Front 20

Tiered networks, managed competition and health savings accounts are all examples of choices for _____________

Back 20

customer-driven health care.

Front 21

_____ is not an example of an approach to customer-driven health care.

Back 21

Cafeteria plans

Front 22

A _____ is an employer-provided subsidized basic medical plan with buy-up options.

Back 22

managed competition

Front 23

A customer-driven health care plan that offers employees a choice of medical plans that include systems of varying cost is the:

Back 23

tiered networks.

Front 24

Alternatives to financing benefit plans include all of the following except:

Back 24

401K.

Front 25

Employers prefer contributory benefits financing for all except which of the following?

Back 25

more favorable tax treatment.

Front 26

All of the following except _____ are factors affecting employer choices of components of a benefits package.

Back 26

equity

Front 27

The best way for companies to decide whether or not the company can afford a benefit is on a _____ basis.

Back 27

cost-centered

Front 28

Which of the following is not a part of the cost-centered approach for deciding to provide a benefit?

Back 28

Basing benefits on historical costs

Front 29

The most widely used benefit survey is conducted by:

Back 29

the U. S. Chamber of Commerce.

Front 30

Various studies have found that only two specific benefits curtailed employee turnover: _____ and ____.

Back 30

pensions; medical coverage

Front 31

A recent survey shows employees ranking employee benefits __________ in explaining job satisfaction.

Back 31

second

Front 32

Which of the following benefits has been found to increase productivity in organizations?

Back 32

No benefit has been found to increase productivity.

Front 33

_____ mandates 12 weeks of leave for all workers at companies that employ 50 or more people.

Back 33

FMLA 1993

Front 34

_____ allows employees who have resigned or were laid off to continue to purchase health insurance under their employer's plan.

Back 34

COBRA 1984

Front 35

The __________ act requires individuals to maintain minimal essential health insurance coverage or pay a penalty unless exempted for religious beliefs or financial hardship.

Back 35

Patient Protection and Affordable Care Act

Front 36

_____ is/are one of the most preferred benefits.

Back 36

Stock plans

Front 37

_____ is/are not a method of determining employee benefit preferences.

Back 37

Competitor pay surveys

Front 38

_____ is the most frequent method of benefit communication.

Back 38

An employee benefit handbook

Front 39

A primary benefits objective of most employers is to:

Back 39

increase employee understanding of plan objectives.

Front 40

All of the following are advantages of managing benefits via the internet or intranet except:

Back 40

employees have fewer interactions with HR staff.

Front 41

All of the following are cost containment practices except:

Back 41

physical exams of all new hires.

Front 42

The biggest trend in cost-containment is:

Back 42

outsourcing.

Front 43

Which of the following would an employer be least likely to use if they sought to reduce benefit costs?

Back 43

Defined benefit plans