McDonalds Benefits Plan

McDonalds Benefits Plan Executive Summary The key to excellent business performance lies in the well being of an organization’s human resource component. McDonald’s, one of the leading retail fast food chains in the world promotes its employees welfare by providing numerous benefit packages that aim at protecting the employee’s health, social welfare, and financial security.Advertising We will write a custom report sample on McDonald’s Benefits Plan specifically for you for only $16.05 $11/page Learn More The corporation which was founded by Ray Kroc in the mid 20th century has managed to continuously deliver exceptional growth over the years despite the challenges facing the fast food industry in the modern economy. This outstanding performance can be attributed to the company’s improved customer service and extensive marketing which saw a 3.8% sales increment in 2009. To further improve its performance in the coming years, McDonald’s shou ld focus more on employee’s welfare by providing a benefit package that motivates the existing pool of experienced labor and discourages high rates of employee turn over. Currently, McDonald’s offers a wide range of benefits to its permanent employees. The corporation’s benefit program constitutes health and protection benefits which include medical plan, vision supplement, dental plan, spending accounts, short and long term disability, life and accidental death insurance, and travel accident insurance. In addition, the company provides a wide range of enhancement benefits which include vacations and holidays, sabbatical program, short Fridays and leave of absence, adoption assistance, education assistance, free internet discount program, and international fitness club network among others. Further, McDonald’s provides retirement benefits to its employees through profit sharing and savings, Mc$ave, McDirect shares, credit union, and financial planning ser vices. However, McDonald’s offers a limited range of employee benefits to its part time employees working directly in the restaurants despite the risky nature of their work.Advertising Looking for report on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More Further, the company’s plan to drop its employees’ health plan has faced a lot of criticisms in the media which may damage the image of the company among employees and consumers. In response to this, McDonald should review its benefit plan scheme to incorporate an extensive benefit package for restaurant crew. It should also utilize its financial resources efficiently in order to obtain adequate revenue to maintain its employees’ health care plan and meet the required regulations. In anticipation of revenue increment in the coming year, McDonald’s should invest more on its human resource by increasing the range of benefit cover age. However, if McDonald’s anticipates reduction in sales in the coming year, the company should focus more on maintaining health care and retirement benefits and restrict employee eligibility for recreational benefits. Mc Donald’s Background Information In the late 40s, two brothers, Dick and McDonald were seeking to improve performance in their little restaurant located in California. In response to this, the two brothers introduced self service, redid their menu, increased their production rates, and reduced their prices making them more competitive. As a result, the company enjoyed remarkable success in the following years which prompted establishment of franchises to further increase its market. McDonald’s restaurant success story caught the interest of Ray Kroc, a 52 year old sales man who became their exclusive franchising agent for the entire United States. In 1961, Kroc eventually acquired McDonald’s and this not only freed him from McDonaldâ₠¬â„¢s initial restrictive agreement but also enhanced his ability to pursue growth in McDonald’s and the fast food industry at large. McDonald’s continuous growth saw the take off of fast food industry in United States and later took the world by storm. Ray Kroc emphasized on maintenance of cleanliness, quality standards, improved service, and value in all McDonald’s franchises which led to improvement in customer service in the rapidly growing fast food restaurant industry.Advertising We will write a custom report sample on McDonald’s Benefits Plan specifically for you for only $16.05 $11/page Learn More In 1965, McDonald’s issued its shares to the public which consequently transformed in into a public corporation and a year later, it was listed in the New York’s stock exchange. The subsequent years were followed by increase in the number of restaurants and sales such that by 1970, the corporation had approximately 1600 restaurants located across all the states US and reported sales of $587 (McDonald’s 2011). After achieving wide spread growth across United States, McDonald’s further sought to expand into international markets to further increase its market base. The first McDonald’s restaurant to be established outside US was in Canada after which the company ventured into the European, Australian market, and Asian Market. Currently, McDonald’s is among the leading food service retailers in the fast food industry and has established more than thirty two thousand restaurants, which are spread across 117 countries (McDonald’s 2011). With more than 75% of its restaurants being franchised, the company has provided opportunities for other businessmen to contribute to the success of the company and has provided employment to over 1.7 million people world wide (McDonald’s 2011). McDonald’s continues to improve its performance by continuously improvin g customer service and promoting entrepreneurial spirit among the employees, suppliers, and operators (McDonald’s 2011). In addition to its unique customer service, McDonald’s impressive performance in the industry can be attributed to personal and professional integrity whereby the company seeks employee trust by being dependable, ethical and truthful (McDonald’s 2011).Advertising Looking for report on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More In addition, the company promotes good governance among its leaders and shows commitment to the same through annual reviews and monitoring which creates room for adjustment and continuous improvement. According to McDonald’s (2011), good governance within the organization is the journey through which the company promotes integrity in its interaction with all the relevant stakeholders. McDonald’s Employee Benefit In the past, McDonald’s paid most of its employees the minimum wage. However, the current labor shortages have forced the price of wages to increase. Benefits such as health insurance and sick leaves were lacking in most franchises in US (Leidner 1993) and lack of tangible benefits was especially evident among restaurant crews most of whom are students and part time workers. This resulted in very high employee turn over rates such that in 1984, the employee turn over rate average 153% and the rates increased in 1985 to 205% (Leidner, 2003). Today, Mc Don ald’s strives to employ and maintain a competent pool of human resource capable of meeting and overcoming the challenges facing the fast food industry. In order to achieve this, the company ensures that it awards flexible schedules and competitive payment packages for its part time employees working as restaurant crew. The restaurant crew benefits comprise of 24 hour nurse line access, free or discounted meals, and flexible hours. In addition, these employees may be awarded other benefits eligible to permanent employees but these are subject to specific requirements and restrictions. McDonald’s benefit program attracts, retains, and engages competent personnel capable of promoting achievement of the company’s objectives. The company’s employees at corporate, divisional, and regional offices are awarded benefits which are classified under four categories; health and protection, pay and rewards, investing in the future, and balancing between work and life ( McDonald’s 2011). Health and Protection While many companies in the first food industry do not offer health coverage for their employees, McDonald’s provides medical plans for its workers at 10,500 US locations most of which are franchised (McDonald’s 2011). The medical programs provide different options depending on employees needs. These plans incorporate a prescription drug program, preventive care, annual physical exams, child care and immunization as well as unlimited life time benefit maximum (McDonald’s 2011). The cost of medical plan varies according to plan and number of people being covered. For mini-med plans, a single worker can pay up to $14 per week for an annual plan worth $ 2000 or $ 32 per week for coverage up to 10000 a year. As of March 2009, the basic McCrew plan cost the employee less than $56 dollars a month, employees plus 1 at slightly over $117 per month, and the employee plus family at under $180 per month (McDonald’s 2011 ). In the same time period, the mid 5 McCrew medical plan cost the employee $97 per month, employee plus 1 at $117 per month, while employee plus family cost under $320 per month (McDonald’s 2011). Employees enrolled in either of McDonald’s medical plans may choose a vision supplement plan which covers a wide range of visual services such as eye glasses and contact lens replacement program. In addition, the company provides a dental plan which enables its employees to access dental services from the dentists of their choice. McDonald’s provides flexible spending accounts for its employees which enable them to set aside pre tax income to pay for health care and day care expenses. Employees may set aside up to $5600 in health care spending account and up to $5000 in the day care spending account (McDonald’s 2011). This enables the employees to comfortably cater for costs uncovered or partially covered by the medical plan. The company also offers short and l ong term disability coverage to its staff at no cost. The short term disability plan provides benefits to employees who are incapable of working for ten consecutive days while the long term disability coverage covers 60% of employees base salary while he is disabled (McDonald’s 2011). Employee and dependent life insurance is twice the employee’s base salary and is provided to McDonald’s employees at no cost. However, the employees can choose to acquire additional life insurance to cater for spouse and other dependents at his/her own cost. The company also provides accidental and dismemberment insurance cover which benefits employees’ dependents upon accidental death of the employee and is equal to twice the employee’s base salary. Further, the travel and business travel accident cover provides travel accident coverage of twice an employee’s base salary at no cost to employees. Depending on employee’s position, the coverage amounts to either $100000 or $200000 and incorporates travel accident coverage (McDonald’s 2011). Retirement Benefit Plans McDonald’s acknowledges the need for its employees to invest in the future in these economically challenging times. Consequently, the company offers savings and money management programs which assist employees in planning for the future. The profit sharing and savings plan allows the employees to save up to 50% of their pay on tax deferred basis in 401(k) (McDonald’s 2011). The company contributes $3 for every $1 contributed by eligible employees of the first 1% of their contribution and a further $1 for each $1 contributed by employees on the next 4% of their contribution. In addition, eligible employees are also entitled to a discretionary profit sharing match of 0% to 4% which is based on their contribution (McDonald’s 2011). In addition, McDonald has established other investment packages such as Mc$ave which is a money market fund where empl oyees invest part of their income in the prime reserve fund, McDirect shares which allows employees to buy customer shares and reinvest dividends in the company, Credit Union where McDonald’s employees enjoy services through corporate America Family Credit Union, and financial planning services which facilitates employees access to professional financial planning services through Ameriprise Financial or Merrill Lynch (McDonald’s 2011) Balancing Employees Work and Life In order to achieve maximum output from the human resource component, McDonald’s seeks to assist its employees in striking a balance between work and life outside the work place by providing a wide range of benefit packages designed to help employees maintain this balance. The company offers paid vacations for corporate, region, division office and restaurant management employees (McDonald’s 2011). The vacation period depends on the duration in which an employee has worked for McDonaldâ€⠄¢s. Moreover, the company offers nine paid holidays to its full time eligible employees. McDonald’s seeks to reduce the amount of time spent in the office by its employees by providing anniversary splash, sabbatical program, short Fridays, and leave absence (McDonald’s 2011). In attempt to break the monotony associated with specialization and routine work, McDonald’s develops alternative work strategies where permanent employees have the option of flexible time or compressed work week while part time employees have the option of adopting the part time schedule or job sharing (McDonald’s 2011). McDonald seeks to promote the social welfare in its human resource by offering child adoption assistance of up to $ 2500 per child to its employees. The company further seeks to promote improved child care among its employees by providing them with opportunities for discounted tuition. For instance, McDonald’s has agreements with three national care provider s; child time learning center, Knowledge learning center, and La Petite Academy which offer 10% discount on tuition for McDonald’s employees (McDonald’s 2011). In addition, eligible employees willing to further their studies may receive financial assistance from the company. McDonald’s established the matching gift program which encourage employees to support NGOs, employee resource connection program which enables employees to manage their lives outside the office, international fitness club network where workers acquire fitness information and discounts on fitness equipment, auto and home insurance program which helps employees to purchase insurance through MetLife Auto and Home Insurance Program, and beyond work which is a free internet discount program for recreational products and services (McDonald’s 2011). Recommendations The fast food industry has gained world wide popularity due to its ability to provide quick service and inexpensive food to cons umers. In the US market where McDonald’s has its most number of restaurants, the fast food industry has continued to grow with its market value being estimated at $ 51 billion in 2007 (Albala Allen, 2007). This growth can be attributed to emergence of a culture which favors longer work days and dual-income families. Despite the remarkable growth in the industry, McDonald has been a major target of the ongoing criticism regarding the quality of food served in fast food restaurants as well as its health care plan (Albala Allen, 2007). For instance, McDonald’s Bigger Big Mac was said to contain an entire day’s recommended allowance of saturated sales. In addition, the company’s plan to drop the health care plan for nearly 30,000 workers due to the new requirements of health overhaul has received a lot of criticism from the media, employees, and consumers (Adamy, 2010). Health issues and numerous litigation law suits have significantly reduced sales revenue at McDonald’s. McDonald’s has been on the spotlight regarding its labor practices (Albala Allen, 2007) The restaurant crew is dominated by young teenagers, immigrants, elderly, and handicapped (Albala Allen, 2007) and the working conditions are unsafe due to restaurants’ proximity to highways hence increased cases of armed robbery. Consequently, most workers in McDonald’s occupy their jobs for less than a year which leads to constant loss of experienced labor. Despite the challenges facing the fast food industry, McDonald’s managed to deliver exceptional growth in 2009. Its sales revenue and market share continued to increase giving it a competitive edge over other fast food companies. McDonald’s should use its superior financial performance to improve working conditions in the company. Employment on any level should be permanent and based on individual qualification upon which benefits such as those awarded to full time employees should be awarded to restaurant crew employees. Restaurant crew should be provided with health benefits and accidental insurance cover to protect them against the risks associated with their work. McDonald should provide enhancement and investment benefits to part time workers in order to motivate them to work permanently for the company and to make them feel like they are part of McDonald’ team. The company should further seek to improve its image as an employer by ensuring provision of benefit plans to employees in the franchises. Analysis of Benefit Package While Anticipating Revenue Increment and Revenue Reduction If McDonald’s expects an increment in revenue in the next year, the company should invest heavily on employees by providing them with a wide range of benefit packages to further motivate them. The company should increase employer contribution in the retirement benefit package and should introduce awards and recognition for exceptional performers. In addition, re creational benefits should be increased and the company should seek to contribute more to employees’ social welfare. Further, McDonald’s should seek to meet the 2011 requirement by the department of health and human service which requires McDonald’s to spend 80-85% of its premiums on medical expenses rather than overhead expenses in its mini-med plan (Adamy, 2010). If McDonald’s expects revenue reduction in the subsequent years, the company should seek to reduce its spending on employees benefits by reducing its contribution to recreational benefits package. The company may discourage such benefits through restricting eligible members by demanding improvement in a performance for employee to be awarded holiday and vocational benefits. McDonald’s may also increase employee contribution in the recreational benefits and drop some of the recreational benefits. Therefore, upon revenue reduction anticipation, the company should reduce the amount spent on employees’ benefits by the company but it should be careful not to send negative signals and discourage employees in McDonald’s. Reference List Adamy, J. (2010). Federal Agency Flexible on Mcdonald’s Plan. Retrieved from https://www.wsj.com/articles/SB10001424052748704789404575524502131067836 Albala, K., Allen, J. G. (2007). The Business of Food: Encyclopedia of Food and Drink Industries. Westport: Greenwood Publishing Group. Leidner, R. (1993). Fast Food, Fast Talk: Service Work and Routinization of Everyday Life. London: University of California Press. McDonald’s (2011). Company’s official website, McDonald’s corporation. Retrieved from https://www.mcdonalds.com/us/en-us.html

A Twelve Step Program for Writing More and Interneting Less - Freewrite Store

A Twelve Step Program for Writing More and Interneting Less - Freewrite Store Edited: 5/10/2017    They’re coming at you, pressing against your nerves, your sanity, the very bedrock of your existence. Like Huns, Barbarians, or worse,   door-to-door Bible thumpers. Battering down your defenses, kidnapping your kiddies and pillaging your lovely wife. Bang, bang, bang rampaging your gates. You look out, and there they are: your phone notifications.   A chirp, a bing, a whap, foghorn, an â€Å"ahuga† †¦ your cellphone is doing its high school drama class interpretation of the legendary Mexican jumping bean. The sucker is practically dancing the Macarena on your desk. â€Å"Dear lord,† you plead with one of your pagan deities, â€Å"please, not today. Not today! I have work to do†¦ Anything but that†¦Ã¢â‚¬  But, still, like that proverbial dog of Pavlovian fame, you sway forward. The siren call of a notification plucks you off the ground by the hair on your chinny-chin-chin. Lifted up, feet skimming soil, the look of a dullard clouding your ADD-sensory overloaded noggin’. Up against your flimsy rampart you go, not wanting to see; down that road lies doom and gloom. Still, your eyes, those traitorous knaves, work of their own accord. Just a peek, you tell yourself. One little, tiny, almost insignificant blink, then back to work. What harm will it do? â€Å"What?!† Your eyes turn into giant fried eggs. A flimsy white bikini, a drop-dead body and an arm, not your own, sliding across a tight belly. â€Å"She didn’t look like that with me! And who’s that?†   Your day is hijacked by visions of your ex’s Cancun getaway. Tomorrow, perhaps, a stroll down Gordon Ramsay’s YouTube Channel. The day after, a fact-finding expedition on Hollywood’s fabled divorces. On Friday, a particular Troll calls you out. And so on and so on. Work piles up, doing bivouac constructions all over your office. Well, it’s time to snap out of it! Plain and simple. There’s being laidback, then there’s LAIDBACK. If your cat - who, like all felines, looks permanently stoned - comes over and yells: â€Å"Get up, you deadbeat! Do something!† Then, by all means, you have crossed the line. Time to exorcise those digital demons. Time to go all Chuck Norris on that Pokà ©mon Go free-for-all that has suddenly become the notorious Pikachu on your back. Away into the night Facebook, Twitter, Pinterest, Instagram, Snapchat and all your cousins. Tisk, tisk, tisk, on that deranged Candy-Crush obsession going all Linda Blair-like on your productivity; green vomit everywhere, head doing the twist and jive, scandalous accusations of your Mother’s Hollywood-Hill like exploits in Hell. It’s time, my friend, to get your s%@t together. The Twelve Steps Step One: Admit you are powerless; your Wi-Fi has you by the throat and your iPhone has a mean right hook. Time to face up to the fact that, unfortunately, you have no self-control. You, like 90% of the population, have been smacked around by this digital age. It’s all out there, one swipe, pinch, toggle away. Procrastination is slowly but methodically being bred into our DNA. We have become cows; fed data, kept in check, happy with grazing the field so long as there’s a tweet by Selene Gomez keeping boredom away. Step Two: Power greater than ourselves: Eat the Frog First. In your sojourns in this topsy-turvy world, you’ll come to the realization that there is a power greater than ourselves. Nope, it’s not God, Krishna, Zeus, or Odin. No, none of those guys. I’m talking about Jobs, Da Vinci, Einstein, Rockefeller, Churchill, Gates, Patton, Twain, and Wilde. The go-getters. Most of them played big, but also did big. The one thing they could all agree on is this: EAT THE FROG FIRST. As soon as you get up, do that one thing that completely sours your mood. That one activity that hangs over your head like a sword. If you don’t, you’ll often lose focus throughout the day. You’ll look at shiny things for hours just to keep that one horrible bastard on the sidelines. Step Three: It’s a sprint, not a marathon. Work in bursts of energy. Make a list of items you have to finish that day, and never try to tackle them all at once. If you try to fight it out with the group, you’ll find yourself bloody and mashed up; beaten to seven shades of â€Å"you know what.† Pick a lone wolf off your list and don’t let go off its leash until you’ve managed to tame it. It may take ten minutes or it may take an hour, but work like a madman on that singular project. After you bury that nasty sucker six-feet under, take the same amount of time to unwind. Rinse and repeat. Step Four: Eliminate distractions. Until you transform into a production-ninja, a task-guru, a job-oriented Svengali, you’ll have the attention span of a gerbil on meth. That’s just how it is, and you’ll have to learn to live with it. Thanks to all your gadgets, you’ve become that annoying kid in your school that drank Coke all day and vibrated in and out of this dimension during lunch time. As such, eliminate all distractions while working. You are an alcoholic, but instead of Jose Cuervo, you get your fix from your iPad. Limit yourself to one window or application on your browser. Turn off your cellphone. Shred, destroy, annihilate your old tasks. Free up space by looking at what you already accomplished and what is just a load of BS. Work someplace that’s akin to that hole they toss prisoners in when they’ve been acting up. You were caught with a shiv, and now it’s time for solitary. Step Five: Zen your zone. A wallet, a home, and an office can tell you a lot about a person. If your wallet has managed to realign your spine, your house looks like it needs a hoarder’s intervention, and your desk has become a biological microenvironment, then it’s time to go to your local 7-11. Get a pack of matches and a jug of gasoline and BBQ that mess. Start fresh and minimalistic. An uncluttered existence is a peaceful existence. Step Six: Handle transitions. Your whole day is filled with a series of tasks; be they kosher or soul crushing. You are jumping from one slippery stone to another. You wake up at the end of one muddy bank, a furious black river before you, and your goal is to get to the other side by nightfall. Or, if you’re a Frogger fan, you are that suicidal toad. Before you dash into the new intersection, or skip onto the other rock, take a moment to breath and get your head on straight. Family life, work life, playtime, downtime, personal time, they all work on different vibes. Take ten to twenty minutes before leaping into a new fray or playground; get your head in order and switch out gears. Step Seven: Do like Bruce. If you find that your mind is getting antsy and wants to skedaddle away, then by all means, accompany it. Like Springsteen, you were Born To Run. Take the Thunderoad but not to your cellphone. Go outside, to the Jungleland, perhaps down those Backstreets, or through the Streets Of Philadelphia. Have, because you can, a Tenth Avenue Freeze-Out. Sit on a bench an ponder the Incident At 57th Street. Think about your Home Town. But, overall, remember to stretch out your legs even if you find yourself by the River, rain falling down on your head Waitin’ on a Sunny Day. Step Eight: Sweat like a superhero. Thirty minutes to an hour’s worth of physical exertion can do wonders for your stress and anxiety, the two naughty ankle-bitters that play havoc with your concentration. High impact aerobic exercise beats these riff-raffs into submission. You’ll discover as you leave your body-fat on the curb that, along with all those fast-food belly deposits, you’ll also catch your cellphone in the rear-view. Or, if running isn’t your thing, then pick-up a hobby that requires brawn instead of brains. It’s a swell time to learn how to play the guitar. Step Nine: Stimulate yourself. Mind out of the gutter! What I mean to say is try to make boring tasks interesting. Studies show that a steady level of just-right stimulation is critical for attention. Too low stimulation means a task is boring. Too high stimulation signifies stress or anxiety. Play some downbeat, relaxing, dare I say, â€Å"elevator music.† Buy a bag of candy and reward yourself every time you finish a task. Take a long lunch break. Talk to your co-workers once an hour. The key is to find your â€Å"zone.† Stimulation is a tricky concept; it boosts your attention but only to a certain point. Once it reaches its zenith, it becomes counterproductive. You start, for example, to play a mean air-guitar solo in your cubicle, disregarding all those slips you have to input on Excel. Step Ten: Self-talk. Get those imaginary pom-poms and cheer yourself to the finish line. Studies have shown- cause somehow, they always do- that whenever you find yourself wavering, whenever you think you won’t make it, the best thing to do is to act like a loon and start talking to yourself. Be your own coach. Repeat after me: â€Å"What do I need to do now?† â€Å"Stay with it; stay with it; stay with it.† â€Å"You’re almost there.† â€Å"You filthy maggot! You disgust me! Put down the phone!† Step Eleven: Tell everybody about your opening night. Here’s a trick: If everybody knows you went out to do something there’s a greater chance that you’ll accomplish it. If you’ve created an expectation, then odds are you’ll fulfill it. There is nothing worse than looking like a loser in front of your family and friends. So, next time you’re trying to check anything off your bucket list, tell someone you’re close to about it. It will generate a sense of accountability. Step Twelve: Keep two to-do lists. The first list is sort of like a diary of thought; write down whatever pops into your brain. Scribble   absolutely every distracting impulse that sizzles a neuron. â€Å"Check Facebook†; â€Å"Tweet this and that†; â€Å"Email friend from high school†; â€Å"Pick up laundry.† This huge tally will help you keep your mind tidy. You’ll no longer feel the need to do everything on the double because you might forget. Write the thoughts down and come back to them after your work. The second list is the important one. This one, this paramount catalogue, should include three items at the most. Those critical pieces that are fundamental for obtaining a sense of accomplishment at the end of the day. Set three big goals for the day and congratulate yourself when you crush them.