Presented to:

Dr.Omayma el shaer

Presented by:

Hadeer Rabiee

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1. Assume you are mediating this dispute.
Discuss five creative solutions you would
suggest for how the grocers could reduce the
health insurance benefits and the cost of their
total benefits package without making any
employees pay more.

Business health insurance is a major cost of doing

business, especially for small companies as groceries.
With premiums soaring, many small business owners
are asking their employees to shoulder more of the
financial burden or cutting benefits entirely. Grocery
health insurance may take a huge chunk out of the
revenue, but benefits often attract better employees
and help retain existing workers. Satisfied, healthy
employees are more likely to help your business grow.

As a mediator that struggling to provide health

insurance, the following solutions can reduce the small
business health insurance benefits and costs.

1. Keep employees healthy.

The company can instituted a comprehensive

wellness program that includes disease management
for afflictions such as asthma and diabetes, as well as
offering flu shots, cancer screenings, smoking-
cessation sessions and a round-the-clock phone line
staffed by nurses. In this case, for severe diseases,
the company can offer advanced treatment.

2. Reduce coverage.

Cutting coverage is a logical step to reducing the

grocery health insurance costs. The downside of this
strategy is that it will likely prove unpopular with
workers. It's fairly common for businesses to exclude
dental and vision insurance.

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3. Consider health savings accounts.

Health savings accounts are an increasingly popular

option for owners of small businesses as grocery.
These tax-exempt accounts, which are used to pay
for certain medical expenses, could reduce the health
insurance costs while giving the employees tax
breaks. As having a high-deductible health insurance
plan to establish a health savings account, by deduct
for individuals a specific amount; and larger amount
for families.

4. Join a group.

Grocery health insurance plans cover between two

and 50 employees, although there are "group of one"
insurance plans for the self-employed that offer
similar benefits. The larger your group, the lower
your premiums will be. And if the business has fewer
than 10 employees, the grocery can still partner with
other businesses or individuals and expand your
group plan.

5. Shop around.

Health insurance is a huge business, so shopping

around for different providers could reduce your
small business health insurance costs. Start by
searching the Internet and also ask other owners of
small businesses what they pay for health insurance.
Insurance agents will charge fees, but you'll save

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 time and they can investigate health insurance plans
for you as e-Health Insurance, a national health
insurance agency that gives you several quotes
online.

2. From the grocery chains’ point of view, what is

the downside of having two classes of
employees, one of which has superior health
insurance benefits? How would you suggest
they handle the problem?

The problem with having two categories of

employees, one of them having superior health
insurance benefits and the other is paying a lot to get
this service is the "Morale". This unfairness between
the two classes will create jealousy and resentment
among these groups and thus, morale decreases.
And the variable costs as administration costs will
increase, as there will be two forms of medical
allowances, check-ups, and medical fees.

3. Similarly, from the point of view of the union,

what are the downsides of having to represent
two classes of employees?

One of the extreme problems that will face the union

is that the “lower class” employees will feel that they
were “sold out” by the union and may lose faith in
the value of the union, and this will increase the
possibility of striking in different fields and lead to
public strike. Initially the union will be safe because
of the larger number of employees in the “better”
group, but eventually that will change. So, the union
should treat this issue carefully to avoid public
gathering.