Cost-of-living Adjustments, Profit Sharing, & Incentive Style Plans

Cost-of-living Adjustments, Profit Sharing, & Incentive Style Plans
1) Explain the difference between profit-sharing plans and COLAs. Do you believe profit-sharing plans or COLAs are more beneficial to employees? Defend your answer.

2) During the past decade, employers and unions have moved away from the concept of Cost-of-Living Adjustments (COLAs) to Profit Sharing and Incentive style plans. Differentiate between the different styles of plans and defend or argue against the move to the new style plans.

3) There are many nuances to the design of an acceptable pension program. Design a model program to be offered to the union and explain your rationale.

4) Why do employees today place such a high priority on paid time off? Do you feel that companies are fair in their offerings for vacation/personal/sick time? Why or why not?

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