Chapter 12 – Global Employee Benefits at a Glance
12-1
Chapter 12
Global Employee Benefits at a Glance
True / False Questions
1. NAFTA regulates labor conditions in North America. (North America)
2. Canadian employment laws for the province of Quebec are separate from the rest of the
country. (Canada)
3. Canada has one state pension plan for all its residents. (Canada, Pensions and Retirement
Benefits)
4. Mexican law requires that all workers must join mandatory individual account system as of
1997 in lieu of the social insurance system. (Mexico, Pensions and Retirement Benefits)
5. In Brazil, the legal principal of continuity applies only to written employment
contracts. (Brazil)
6. NAFTA created the world’s largest free trade area, which now links 450 million people
producing $17 trillion worth of goods and services. (North America)
12-2
7. Argentina offers 14 days of paid vacation for employees with less than 2 years
seniority. (Argentina, Paid Time-Off Benefits)
8. The European Union is similar to the US in that the concept of “employment at will” exists
with regard to employment issues. (Europe)
9. “Just cause dismissal” and mandatory profit sharing are common features of employment
relationships in France. (France)
10. In France, the burden of health care is with the employee. (France, Health Insurance)
11. German law has separate health insurance criteria for blue and white collar
workers. (Germany, Health Insurance)
12. The Employment Relations Act of 1999 is the statute that governs employment
relationships in the UK. (United Kingdom)
13. Under UK employment law, employers are not obligated to maintain liability insurance to
indemnify the employers against claims arising from illness or injury. (United Kingdom,
Workers’ Compensation)
12-3
14. In France, the legal minimum retirement age is increasing to 65 in 2017. (France,
Retirement)
15. In United Kingdom, the minimum age to receive a state pension is increasing to 66
beginning in 2020. (United Kingdom, Workers’ Compensation)
16. In Australia, paid maternity and paid paternity leave maximum are 18 weeks. (Australia,
Paid Time-Off Benefits)
17. One of the member countries to NAFTA is Brazil. (North America)
18. Sweden has the shortest annual work year in the world. (Sweden, Paid Time-Off Benefits)
19. In Japan, family care leave for three months is allowed and employers are required pay
wages during this time. (Japan, Paid Time-Off Benefits)
20. The People’s Republic of China Labor Law was established within the domain of the
traditional “iron rice bowl” system of employment. (The People’s Republic of China)
12-4
21. China has a unique paid time off policy called “home leave” for visiting parents and family
in the rural areas. (The People’s Republic of China, Paid Time-Off Benefits)
22. Hong Kong became and independent country after British rule ended in 1997. (Hong Kong)
23. Roadside vendors and domestic servants in Hong Kong are not covered by mandatory
occupational pension schemes. (Hong Kong, Pensions)
24. Japanese employers do not grant military leave. (Japan, Paid Time-Off Benefits)
25. In South Korea, the entire duration of maternity leave is compensated by the
Unemployment Insurance Fund. (South Korea, Paid Time-Off Benefits)
26. South Korea has compulsory military duty for males for 26 months for which they cannot
be penalized by employers. (South Korea, Paid Time-Off Benefits)
27. In India, health care and benefits are provided by the federal government. (India, Health
Benefits)
28. Saudi Arabia does not base its employment system on Shari’a Laws. (Saudi Arabia)
12-5
29. South African law grants “family responsibility leave” to employees who have worked for
at least 4 months. (South Africa, Paid Time-Off Benefits)
30. French law provides more flexible rules for management level employees. (France, Other
Benefits)
31. In the People’s Republic of China employment relationship is now defined by individual
contracts. (The People’s Republic of China)
Multiple Choice Questions
32. Which one of the following is not a characteristic of NAFTA? (North America)
33. In Canada, the amount of vacation pay is equal to what percentage of the employee’s pay for
the preceding year per week of vacation. (Canada, Paid Time-Off Benefits)
12-6
34. Which one of the following is not true of paid time off benefits in Mexico? (Mexico, Paid
Time-Off Benefits)
35. Which one of the following is not true of protection benefits in Brazil? (Brazil, Protection
Benefits)
36. In Argentina, more than 20 years of seniority entitles workers to how many days
of paid vacations? (Argentina, Paid Time-Off Benefits)
37. What is the minimum amount of paid leave guaranteed to workers under French law after
one year of employment? (France, Paid Time-Off Benefits)
12–10
50. In Australia, mandatory pension requires voluntary employee contributions which are tax
deductible up to a maximum of what amount? (Australia, Pensions)
51. What is the recommended range of paid time off in PRC? (The People’s Republic of China,
Paid Time-Off Benefits)
52. Which of the following is not an African country making current economic
progress? (Africa)
12–11
Essay Questions
53. Briefly compare the paid time off policies in Canada and Mexico. (Canada & Mexico, Paid
Time-Off Benefits)
Main Points
12–12
54. Give a brief overview of the employment issues associated with the EU. (Europe)
Main Points
55. Briefly discuss paid time-off policies in People’s Republic of China (People’s Republic of
China, Paid Time-Off Benefits)
Main Points