Question 8The following employee benefits are classified as short-term employee benefits except for:Answer :Social security organisation Sick leave Sabbatical leave Medical benefits
Question
Question 8The following employee benefits are classified as short-term employee benefits except for:Answer :Social security organisation Sick leave Sabbatical leave Medical benefits
Solution
The question is asking which of the listed employee benefits is not considered a short-term employee benefit. The options given are:
- Social security organisation
- Sick leave
- Sabbatical leave
- Medical benefits
Short-term employee benefits are forms of compensation that are expected to be wholly settled within 12 months after the end of the period in which the employees render the related service.
Step 1: Understand the options
- Social security organisation: This is a government agency that provides social insurance programs. It is not a benefit provided directly by the employer, but rather a mandatory contribution made by both the employer and employee.
- Sick leave: This is a type of employee benefit where a worker is allowed to stay away from work while still receiving their regular pay. It is considered a short-term benefit as it is typically used and settled within a year.
- Sabbatical leave: This is a leave of absence granted to an employee for a long period (often one year), for rest or to pursue advanced training or research. Given its long-term nature, it is not considered a short-term benefit.
- Medical benefits: These are benefits provided by the employer to cover the employee's healthcare costs. They are typically used and settled within a year, making them short-term benefits.
Step 2: Identify the exception From the above analysis, the exception here is Sabbatical leave. It is not considered a short-term employee benefit due to its long-term nature.
So, the answer to the question is Sabbatical leave.
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