Given what you know about benefits plans and options, as well as costs and factors for designing a benefits plan, draft a basic plan for a start-up company of fewer than 100 employees in your local community. In your plan, include the following:
Describe the benefits options you will offer along with the cost of these options. Explain why you chose these options.
Explain which of the benefits you selected would be considered standard, which are unique for your industry, and which would attract highly qualified candidates.
Describe your company’s competition in your community, and describe strategies to manage the competitive factors that are at play for attracting employees.
Determine an appropriate cost target as a percentage of the total compensation package for your total benefits package, as well as the process to determine the cost target. What trends will have an effect on your cost target?
Explain how your plan will affect retention and motivation of the workforce. Propose a review plan to maintain a competitive benefits package into the future.
Explain how you will ensure that your plan meets legal requirements now and into the future.
Will any of your benefits show an unintended preference for people of a certain age, gender, marital status, or number of dependents? Describe the impact and any issues that might arise from this. Suggest best practices to avoid discrimination resulting from the plan.
Explain whether you would be able to administer the plan in a small employer environment. What are the advantages and disadvantages of administering the plan in a small employer environment? How might the company leverage the advantages and manage the disadvantages?