The New Benefit Plan

Carter Cleaning Centers has traditionally provided only legislatively required benefits for its employees. These include unemployment compensation, Social Security, and workers’ compensation (which is provided through the same insurance carrier that insures the stores for such hazards as theft and fire). The principals of the firm—Jack, Jennifer, and their families—have individual, family-supplied health, and life insurance.
Draw up a policy statement regarding vacations, sick leave, and paid days off for Carter Cleaning Centers.
What would you tell Jennifer are the advantages and disadvantages to Carter Cleaning Centers of providing its employees with health, hospitalization, and life insurance programs?
Would you advise establishing some type of day care center for the Carter Cleaning employees? Why or why not?

Sample Solution