Money spent on benefits directly as cash wages

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Reference no: EM13826312

You are the benefits manager at a medium-sized corporation and the president of the company has requested your advice. She overheard an employee saying that the employer spends too much money on benefits that aren’t really needed and that giving employees the money spent on benefits directly as cash wages would be better so they could buy what they want. The president thinks that this idea may have some merit. Discuss the following issues with her:

1) economic consequences to the employees

2) economic consequences to the employer

3) reasons to continue providing benefits to employees

4) your concerns with the current benefit plan, after hearing the employee’s comment

5) your recommendation(s) as to how to proceed from here

Reference no: EM13826312

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