The New Benefit Plan-Carter Cleaning Company

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The New Benefit Plan-Carter Cleaning Company

As is Carter’s Cleaning Company lacks a consistent and well-defined policy for vacations, sick leave, and paid days off. Implementing the following policy statement plan would benefit not only the employees but also the company itself. Regarding annual leave, employees that have continuously served the company for more than eight years should be entitled to 24 leave days per year with the exception of public holidays. The employees with 2-5 years of service should be granted 18 mandatory leave days. It should also be made a policy that earned leaved days can be passed across years to a maximum of 60 working days at any one time. Regarding medical leave, any employee is eligible for paid sick leave following an examination and upon a doctor’s recommendation. Employees should also be entitled to fourteen days of medical leave each year they are not hospitalized or suffering from prolonged illness, occupational disease, or an injury due to their employment (Yıldırım, & Aydemir-Karadag, 2021). Additionally, all female employees will be eligible for 180-day maternity leave, during which they will be entitled to their basic salary, medical allowance, and house rent. Absence due to miscarriage and related pregnancy illness will not count as maternity leave. Male employees, too, will be entitled to a 14-day maternity leave during which they will be paid.

There are numerous advantages and disadvantages of providing employees with health hospitalization and life insurance programs. For any company, whether big or small, insurance and health benefits are crucial for the remuneration packages. As a matter of fact, employees tend to be drawn toward employers that offer health benefits. Therefore, it makes sense for any business owner to include health benefits as they attract and retain high-performing employees. Another advantage of offering health and insurance to employees is that it gives employees better group purchasing power. Although the employer can choose not to contribute to the employee’s insurance, it allows them to obtain pocket-friendly rates for the entire groups. Moreover, it gives the company a tax advantage. An employer can give employees something that raises their compensation package while at the same time allowing tax deductions. On the downside, health insurance programs have been rising significantly in recent years. The costs can be draining for the company as the costs can drain the valuable resources of even small employers. This uncertainty makes it difficult for the company to undertake financial planning. Another disadvantage is the administrative hassles that go into the programs. Although the selected insurance company acts as the plan administrator, it is still upon the employer to fill out to remit premiums, fill out form and act as a point of intermediary between the insurer and the employee. All these tasks tend to be time-consuming.

Undoubtedly, I would advise Carter Company to consider establishing a daycare center for all employees as only good would come from it. Daycare services are rather relevant to the company and would go a long way in attracting high-achieving employees. This idea would be viable, especially because many employees with children tend to struggle with daycare, which is expensive for them. Incorporating a daycare aspect at the workplace would create a conducive environment for employees to deliver results because their minds are at ease (Park, Song, & Kim, 2020). The daycare center should, of course, be positioned separately from the offices but at the same time close enough for employees to check on their young ones. When employees do not have to worry about their children’s well-being, they tend to be well settled and productive, which positively impacts the company as a whole.

References

Park, N. S., Song, S. M., & Kim, J. E. (2020). The mediating effect of childcare teachers’ resilience on the relationship between social support in the workplace and their self-care. International Journal of Environmental Research and Public Health, 17(22), 8513. https://doi.org/10.3390%2Fijerph17228513Yıldırım, G., & Aydemir-Karadag, A. (2021). Designing an annual leave scheduling policy: Case of a financial center. Journal of Industrial & Management Optimization. http://dx.doi.org/10.3934/jimo.2021097