Employee Benefit Plans

572 Words2 Pages
Employee benefits are an important cog in the wheel of industry in today's busy world. Oftentimes, potential employees are more interested in the benefits a company provides than in the salary or compensation they will be receiving. Potential employees oftentimes desire healthcare or insurance plans and pension plans that will take care of them for the long-term, not a short-term benefit plan. In the past, employers often took a 'cookie cutter' approach, offering the exact same benefits as every other company offered. Such an approach is no longer the norm, instead many companies now work hand-in-hand with their employees to design benefit plans that fit the employee's needs rather than the cheapest or most convenient benefit plan available. As one recent report espoused "a good example is the shift from defined benefit pension plans for which employers bear the funding burden to defined contribution plans, which are generally funded by employers and employees together" (Vandermillen, 2012, p. 19). According to Vandermillen, employers now have the responsibility "to make sure employees have the knowledge and tools they need to help them make the most of their retirement benefits" (p. 19). Now employers not only have to provide benefits that are conducive to employee retention but it seems that they also have to assist the employees in understanding exactly how those benefits are advantageous to the employees. Employees from different areas of the United States may
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