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Providing benefits for some & not others
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Providing benefits for some & not others
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The management at my company does not want to purchase Transit Chek, which can be used to purchase public transportation in the NY City area, and which is taken from pretax income. This lowers taxes f
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Forums  »  Topic Forums  »  Legal Forum  »  Providing benefits for some & not others

Providing benefits for some & not others

posted at 7/15/1999 2:38 AM EDT
Posts: 11
First: 6/16/1999
Last: 12/12/2000
The management at my company does not want to purchase Transit Chek, which can be used to purchase public transportation in the NY City area, and which is taken from pretax income. This lowers taxes for the company and the employee. The objection of the management is that they could be sued by employees in other states who do not get a similar benefit. Is this a rational consideration? What do other companies do in regard to benefits that are different for different locations?
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Providing benefits for some & not others

posted at 7/15/1999 5:42 PM EDT
Posts: 2217
First: 6/16/1999
Last: 12/13/2001
I'll be interested to see how some of the HR folks answer this one. I've never seen such a claim made. I have seen multi-state employers compensate employees in different states with comparable titles/functions differently because of cost of living differences-- indeed, it seems as plausible to me that a NY employee could argue that NOT giving them some adjustment (not necessarily a Transit Chek) relative to employees in lower-cost of living areas is unfair.
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Providing benefits for some & not others

posted at 7/16/1999 2:57 AM EDT
Posts: 11
First: 6/16/1999
Last: 12/12/2000
What about benefits given at the same location? In the case of Transit Chek, it's not something that everyone could use, for example if they walk to work. If only people who wanted it got it, would it be unfair to those who don't need it? Would they need to be compensated with some other benefit? Management at my company is crippled by fear of lawsuits for not being "fair" by treating everyone exactly the same. What are other HR people's experience?
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Forums » Topic Forums » Legal Forum » Providing benefits for some & not others

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