Going flex comes with obligations for employers

A look at the legal implications of flex benefit plans
By Natalie C. MacDonald
|Canadian HR Reporter|Last Updated: 05/20/2004

W

ithin the last couple of years, corporations have engaged in a balancing act between providing benefits for employees and containing costs. Consequently the concept of flexible benefits has emerged. Now, rather than providing all benefits to all employees, many corporations offer a wide array of benefits, or provide a set amount of money for each employee to spend on benefits, and allow the employee to choose which benefits are most suitable.

This gives the employee choice and the employer the chance to keep costs low. Similar to pension and disability benefits, given that the employer, in many cases, is the administrator of the policies, the employer shoulders a number of duties and responsibilities to its employees.