putations for the number of plan participants were made
for 63 plans for which the number of participants was
not reported. Then an adjustment for nonresponse was
made using a weight adjustment technique based on
sample unit employment.

The survey design used an unbiased estimator (the
Horvitz-Thompson) which assigns the inverse of each
sample unit’s probability of selection as a weight to the
unit’s data. The estimator was modified to account for a
weight adjustment factor developed during nonresponse
adjustment,

The statistics in this report are estimates derived from
a sample survey. There are two types of errors possible
in estimates based on a sample survey—sampling and
nonsampling. The ‘‘accuracy’’ of a survey result is de-
termined by the joint effects of sampling and nonsam-
pling errors.

Sampling errors occur because observations are made
for only a sample, not the entire population. Since this
survey was based on a probability sample, estimates of
sampling error can be produced directly from the data.
Since this initial survey was a test, some time will be

required before reliable estimates of sampling error can
be produced.

Nonsampling errors can be attributed to many sources
such as reporting errors, data recording and processing
errors, and errors that result because not all units sur-
veyed provide all the data requested. A potential for
nonsampling error is known to exist due to difficulties
in collecting data on employees enrolled in more than
one plan in a benefit area. Through the use of computer
generated edits of the data and professional review of
both individual and summarized data, efforts were made
to minimize the nonsampling errors in recording, coding
and processing. Improved collection techniques and
procedures are being implemented for future surveys.

Adjustments made for missing data are another source
for potential nonsampling error. To the extent that the
characteristics of the nonrespondents are not the same as
those of the respondents, nonsampling error is intro-
duced in the estimates. The magnitude of these and
other nonsampling errors is currently undetermined.

A more detailed description of survey methods may
be obtained from the Bureau of Labor Statistics, Office
of Wages and Industrial Relations.

GPO e754 a0



Table 12. Health insurance: Percent of full-time participants in ptans, by type and limit of basic hospital room and board
benefit payments, private Industry, 1979

Subject to limit on the days of
coverage per hospital confinement
at Subject
Type of payment i to other | Unfimited
weoreey parieipanis Under 366 days | mis"
Al | yao days | 120davs | 121-364 days | 965 days | “Crmore

All employees

Total ..... . 100 7 12 2 4 29 6 23 5
Daily dollar allowance 10 7 4 1 1 1 _- 3 -
Semiprivate rate ...... 90 65 8 20 3 28 6 20 5
Professional and administrative

employees

Total... seeee 100 cy 9 20 3 28 4 23 7
Daily dotiar allowance 7 4 2 1 - 1 _ 3 =
Semiprivate rate .... 93 60 7 19 3 ar 4 28 7
Technical and clerical employees

Total ... bees 100 65 12 22 3 23 5 25 10
Daily dolar allowance . 7 6 4 q1 -_ 1 _- 1 _
Semiprivate rate .. 93 59 8 at 3 22 5 24 10
Production employees.

Total... 2.22. 100 7 13 24 4 32 7 20 3
Daity dollar allowance 12 9 5 2 1 1 - 3 -
Semiprivate rate ... 88 68 a 19 3 31 7 7 3

‘Includes workers in plans where basic benefit is limited by a maximum
dollar amount per confinement or per year, and other plans where the limit on

the number of days of coverage applies within a specified time period.
Nore: Because of rounding, sums of individual items may not equal totals.

Table 13. Health insurance: Percent of full-time participants in plans with basic surgical benefits, by maximum allow-
ance for selected procedures, private industry, 1979

Maximum scheduled aliowance
Alt | Usual and Not
Procedure patti | customary | ,, | $1- | $51- | $101- j $151-| $201- | $901 | $401~ | $501- | $751- | $1,001-) $1.251-) $1,501 More oat a
ipants | charge 0 | $100 | $150 | $200 | $200 | $400 | $500 | $750 | $1,000} $1,250] $1,500] $2,000 | 5 o4, mnbabie
100 60 4a{—}|—-} —] - 1 3 s| 9] 7 2 5 6 1 1
100 60 a}/—-|—| 2} 7) uefuatrtelo;y-y-]F-ra}lr-yr 4
100 60 a} 2]ia9)/2f]/7f)/—-;/—-;—];]—]-) -}] -]| -J- 5
100 60 4aj—-}/—-|—-j14 6} 8,7 9] 4 ~f-}-] - 8
100 64 zs }|—}—-}—|— 1 2] 4 6] 6 2 5 7 1 2
‘Appendectomy 100 6 gj—}|—} 2/5 ]uw}2)rio};—-}-} -f-fr 4
Tonsilectomy 100 64 sj 2/6f3)1]—}/—/=-j;—-]/—-]}]-}] -}-4f- 5
Hysterectomy - 100 6 xzsj—-!|—|—-]o] s/ 6/7 9{ 1 -/|-j-fJ- 8
Technical and
clerical
employees .
Most expensive 100 58 4a {—-—} —-j —] > 2 2 3 8 8 3 9 6 i] 1
Appendectomy ....] 100 58 a{—|—| 2] 7) 6 | o8/ oO ] 0 —-}-j-t- 5
Tonsilectomy .....} 100 58 a2i2tao)/6etiat-}o}o-}—-)-—-]7 -] ~-f - 4] 5
Hysterectomy .....{ 100 58 a}—{|—-|—-—j)1 6| 7} 7], 12 41 —|{-}-j- 8
Production
employees
Most expensive 100 59 aj —-} ao} -] — 1 4} 6 | 10] 6 2 3 6 1
Appendectomy 100 59 a |—|—| 2] 68] 6] mo} ry o};yorof;ei~-~a}rys 5
Tonsilectomy 100 59 ao} a] ayo} a fof =-f—-yoy =e] —f- jp ric 6
Hysterectomy 100 59 af-|—-)—]14 7| 918 a] 0 oy |_| j- 8

"Less than 0.5 percent,

Nore: Because of rounding, sums of individual items may not equal totals.



1
i
|
:

Employee benefits in industry:

A pilot survey

Most full-time employees in medium and large
private-sector establishments work a 5-day, 40-hour
week and receive paid holidays and vacations as well as
fully employer financed life and health insurance, in-
come continuation during disability, and pension plans.
The detailed characteristics of these and other types of
employee benefits were collected in the 1979 pilot sur-
vey and are presented in this report (table 1).

Work schedules. Weekly work schedules of 5 days, 40
hours applied to 82 percent of the employees covered by
the survey (table 2). Eighteen percent of the
professional-administrative employees, 27 percent of the
technical-clerical employees, and only 7 percent of the
production workers were on schedules of less than 40
hours. A 5-day week was also predominant among all
three occupational groups. Only about | percent of the
workers were scheduled to work fewer than 5 days; 3
percent were usually scheduled for more than 5 days.

Paid lunch and rest periods. About 13 percent of the
employees covered by the survey received paid lunch
periods, while more than 75 percent were provided paid
rest time, e.g., coffee breaks and cleanup time (tables 3
and 4). Both benefits were more common among pro-
duction employees than among the two other occupa-
tional groups. The incidence of these benefits was low-
est among professional-administrative employees (less
than 5 percent received paid lunch periods and 60 per-
cent paid rest time). The professional-administrative
group were most likely to be covered by informal plans,
which were not included in the survey

Among those receiving paid rest periods, production
employees typically received 20 or 30 minutes a day,
while professional-administrative and technical-clerical
employees generally were eligible for 30 minutes of
paid rest time daily. Most commonly, paid rest was pro-
vided as two daily breaks of 10 to 15 minutes each. Pro-
duction employees who were covered by paid Junch
plans usually received 20 to 30 minutes a day.

Paid vacations. As many as 25 days of vacation were
commonly provided, annually to full-time employees
after 25 years of service (table 5). Typical vacation
plans called for 5 days with less than | year of service;

10 days after ! year; 15 days after 10 years; and 20 days
after 15 years of service. Plans covering professional-
administrative and technical-clerical employees were
generally more liberal than those covering production
employees, especially during early years of service.
Nearly half of the professional-administrative employ-
ees, for example, became eligible for at least 15 days of
vacation after 5 years of service, compared with three-
tenths of the production employees.

Nearly all workers received their regular pay during
vacations. Less than 1 percent received payments in ex-
cess of regular pay, e.g., 5 weeks’ pay for 4 weeks of
vacation time. About one-tenth of the employees re-
ceived vacation payments which were calculated as a
percentage of their earnings during the previous year.
This type of payment was most common among produc-
tion employees.

Excluded from the vacation provisions studied were
extended plans, such as those found in the steel,
aluminum, and can industries; and anniversary-year
bonus plans. In cases where personal leave could not be
reported separately, it was included in the vacation
plans.

Paid holidays. Virwally all employees were provided
paid holidays. The number of holidays provided was
generally the same among the three occupational
groups, with full-time employees typically receiving 9
to I] days per year (table 6). Extended holiday plans,
such as the Christmas-New Year's Day period provided
in the auto industry, floating holidays, and ‘‘personal
holidays,"" such as employee birthdays, were included
in the holiday plans reported.

Personal leave. Personal leave, which allows employees
to be absent from work with pay for a variety of reasons
not covered by other specific leave plans, was provided
to about 19 percent of the employees. The proportion of
professional-administrative and technical-clerical em-
ployees (about 30 percent) receiving personal leave was
far greater than that for production employees (about 11
percent). Most commonly, employees provided personal
leave were eligible for 2 to 5 days per year (table 7), A
small proportion of employees, primarily professional-
administrative, were provided as much personal leave as



Bureau of Labor Statistics
Regional Offices

AMERICAN SAMO

Region |

1603 JFK Federal Building

Government Center
Boston, Mass. 02203
Phone: (617) 223-6761

Region li
Suite 3400
1515 Broadway
New York, N.Y. 10036
Phone: (212) 944-3121

Region Ill
3535 Market Street
P.O. Box 13309
Philadelphia, Pa. 19101
Phone: (215) 596-1154

Region IV
1371 Peachtree Street, N.E.
Atlanta, Ga. 30367
Phone: (404) 881-4418

Region V
9th Floor
Federal Office Building
230 S. Dearborn Street
Chicago, Ill. 60604
Phone: (312) 353-1880

Region VI
Second Floor
555 Griffin Square Building
Dallas, Tex. 75202
Phone: (214) 767-6971

Regions VU and VIII
911 Walnut Street
Kansas City, Mo. 64106
Phone: (816) 374-2481

Regions IX and X
450 Golden Gate Avenue
Box 36017
San Francisco, Calif. 94102
Phone: (415) 556-4678



Table 19. Life insurance: Percent of fuil-time participants Table 21. Life insurance: Percent of full-time participants
in plans, by method of determining amount of basic tite
insurance and frequency of accidental death and dismem-

ians with flat dollar Insurance, by amount of insurance,
private industry, 1979

berment coverage, private industry, 1979
Profes-
Profes- signa Technical
sionat | Technical _ | andad-| “and | Produce
Method of Atlem- | andad- | and — | Produc- Amour Of flat dollar au em | minis- | clerical | tion em-
determination ployees | minis- | clericat | tion em- ploye trative | emptoy- | ployees
trative | employ- | ployees employ-| ees
employ- ees. ees
ees
All amounts 100 100 100 100
All methods ... 100 100 100 100
Less than $2,000 ... 5 5 3 5
Based on earnings 63 81 73 50 $2,000 and tess than 5,000 ..| 22 15 20 24
Muttiple ...00...-. 2.2...) 39 60 55 25 $5,000 and less than 10,000 .| 34 29 40 34
Graduated schedule . 24 a 25 25 $10,000 and less than
Flat amount . wu 16 7 48 20,000... eee eee 36 48 28 36
Based on service 3 4 3 2 $20,000 and over 2 4 9 1
Other 10) 10) 1 ¢)
In plans with accidental death Note: Because of rounding, sums may not equal totals.
and dismemberment
insurance ............ 72 69 66 75

‘Less than 0.5 percent.

Nore: Because of rounding, sums of individual items may not equal to-

tals.

Table 20. Life Insurance: Percent of full-time participants in plans with muitiple-of-earnings formulas, by amount of

insurance and maximum coverage provisions, private industry, 1979

In plans with maximum
' Inplans = |—
Multiple of earnings formuta All without
Participants } maximum At Less than | $50,000- | $100,000- | $250,000
$50,000 399,000 | $249,999 | or more
Ait employees.
All formulas ..... 100 7 43 8 13 % 6
Le Insurance is equal to annua earrings tim
Less than 1.0.. 3 2 2 1 1 = ()
1.0. 44 29 15 5 5 5 1
15 1 5 6 1 2 2 1
20.0... 34 16 18 1 5 9 3
More than 2.0 ees 8 5 3 iv) e 2 1
Professional and administrative employees
All formulas 400 56 44 5 13 7 8
Lie insurance is equa! to annual earings times:
Less than 1.0 3 1 2 1 1 e) =
10 38 24 14 3 6 4 1
2 é 10 4 6 1 2 1 1
39 20 18 0) 4 10 4
More than 20° tee 10 6 4 = - 2 2
Technical and clerical employees.
All formulas . beneenee 100 49 51 5 16 24 6
Lie insurance is equal to annual earrings times:
Less than 1.0 te 3 2 1 iu) c) Q 7
1.0 45 27 7 3 6 7 1
15 12 4 8 1 3 3 1
20 30 12 19 1 5 10 3
More ‘than 2 oO. . . 10 4 6 - 1 3 2
Production emptoyees
All formulas ..- . 4100 64 36 1 9 12 4
Life insurance is equal to annaul earings times:
Less than 1.0 : 3 2 1 1 ro) = -
1.0 50 4 16 7 4 4 1
18. 12 7 5 2 ra) 2 t
2.0 . 32 17 14 t 4 7 2
More than 2.0 4 3 1 1 ¢) () 0)

‘Less than 0.5 percent.

Note: Because of rounding, sums of individual items may not equal to-

tals.



i
|
|

Table 6. Pald holidays: Percent of full-time employees by Table 7. Pald personal leave: Percent of full-time em loy-
number of paid holidays provided each year, private in- ees by number of paid personal leave days Provided per

dustry, 1979 year, private industry, 1979 H
Profes- | Technical Rrotes” | Technical |
sional and | Produc- All em end ac- and | Produc-
, Allem- | and ad- | clerical | tion em- Number of days eae ae | clerical | tion em- i
a
Number of days sloyees | ministrative| employ- | ployees Ployees | ministrative | empioy- | ployees
employ- | 228 employ: | “ees
ces ees
~ Ailemployees ... 100 100 100 100
i . 100 1 1 100
Al employees * * Provided personal leave 19 28 30 4
Provided paid holidays 99 100 100 99 Less than 2 days 2 2 2 3
Less than 6 days ....... 2 1 i 2 a es seeereees 3 i A $
G6 days ........ 5 4 7 5
7 days rere z 8 3 z pe ane A 2 3 }
ays : we
9 daYS eee 14 13 7 13 Nore than § days 2 3 3 1
10 days ...... 29 33 ar 28 lo .
Mi days... 19 20 16 20 specified 2 6 3 1 \
$2.days oes 7 8 7 7
Not provided personal |
19 days «. : 4 6 4 3 leave ce | 81 72 70 89 1
Not provided paid holidays .. 1 ® @ 1 i |
7 Workers were provided as much personal teave as they needed.

‘In addition to the fullcday provision shown, some plans provided from 1 103. ——NoTE: Because of rounding, sums of individual items may not equal totals.
halt-day holidays.

7Less than 0.5 percent

Nore: Because of rounding, sums of individual items may not equal totals.

Table 8. Paid sick leave: Percent of full-time employees by number of paid sick leave days provided per year at selected
periods of service, private industry, 1979

Profes- Profes- i H
sional | TEM roduc. sional | T° | produc- |
Allem-| and ad- and Aitem- | and ad- i
Sick leave policy’ ployees | ministrative | clerical tion em- Sick leave policy’ ployees | ministrative clerical | tion em- i
‘smploy. | emiploy- | Ployees mploy. | TPloy- | ployees
ees ees ees ees |
All employees ..... 100 100 100 100 30 and under
60 days ...... 6 9 1" 2
In establishments providing 60 and under
paid sick leave .. “| 56 80 383 37 120 days .... 5 oT 7 2
120 days or more 4 8 4 2
Less than 1 year of Alter 10 years of
service: service:
Under 5 days .. 6 3 5 8 Under 5 days ...... 3 @ 1 5 :
5 and under § and under i
10 days .... 16 20 2g 8 10 dayS ......... 12 9 16 " |
10 and under 40 and under '
30 days 18 26 28 7 30 days... 16 24 29 7
30 and under 30 and under i
60 days 4 5 3 4 CC . 5 7 10 2
60 and under 60 and under |
120 days 2 5 2 2 120 days ....... 6 13 10 2
120 days or more 3 6 3 1 120 days or more . 5 i 6 2
After 1 year of service: After 20 years of |
Under 5 days 4 1 1 6 service: : |
5 and under Under 5 days ... 3 ® 1 5 |
10 days of 18 13 23 13 5 end under , |
10 and under 10 days cee 12 9 16 WW
30 days a 20 34 38 8 10 and under :
} 30 and under 30 days .... 16 24 28 8 H
60 days . 2 4 3 1 30 and under 60 .. 4 6 9 2 |
60 and under 60 and under i
120 days 2 4 2 1 120 days «0... 5 10 7 2 |
120 days or more 3 7 3 2 120 days or more 7 15 10 2 !
Sick leave granted J |
Atter 5 years of service: per iliness 6 10 8 4
Under 5 days . 3 1 1 5 No annual maximum,
5 and under sick leave specitied 1 4 2 fal
10 days .. 12 10 16 WwW Hi
10 and under In establishments not pro- i
30 days 7 26 31 8 viding paid sick leave 44 20 7 63 |
‘In addition to the full-pay provisions shown, some plans provided sick Note: Because of rounding, sums of individuat items may not equa! to-
leave benefits at partial pay. tals

2Less than 0.5 percent i



technical-clerical participants, but only 39 percent of the
production participants, had coinsurance that increased
from the initial proportion to 100 percent after a speci-
fied level of expenses was incurred during a year, thus
limiting the employee's potential out-of-pocket costs.

Commercially insured plans predominated in all the
health benefit areas with the heaviest concentration
being in major medical plans (table 16). Blue Cross-
Blue Shield was an important funding medium for basic
benefits, but was a less important funding medium for
major medical benefits. Eleven percent of the partici-
pants were covered by self-insured benefits, and only
about 2 percent were enrolled in a prepaid health plan.
No noticeable differences were found in funding media
by type of employee covered.

Seventy-three percent of all participants had their in-
dividual health benefits financed entirely by the em-
ployer. The proportion varied by occupational group,
from 79 percent of the production employees to 61 per-
cent of the technical-clerical employees.

Pension plans. Eighty-seven percent of the employees
participated in pension plans with either specified re-
tirement benefits or with unspecified benefits based on
employer contributions. The survey did not cover other
plans that could provide retirement income, such as
profit sharing, stock purchase, and savings plans. The
rate of participation in pension plans was 96 percent
among professional-administrative employees, about 10
percentage points greater than the other groups.

Two out of three participants were in plans that pro-
vide retirement income based on either career or final
years’ earnings. While 9 out of 10 professional-
administrative and technical-clerical employee partici-
pants were in such plans, production employee partici-
pants were roughly evenly divided between these plans
and those which based benefits on a formula—dollar
amounts times years of service (table 17).

Over two-fifths of all participants (44 percent) were
covered by plans that required the employee to reach
age 63 to 65 before being eligible to retire with im-

mediate full benefits (normal retirement); the majority
of these were in plans with no length of service re-
quirements (table 18). Nearly one-fifth (19 percent)
were in plans specifying age 61 or 62 for normal retire-
ment, and another one-fifth were in plans specifying age
60 or less.

Eighty-three percent of the professional-
administrative participants were in plans fully paid by
the employer, compared to 89 percent of the other em-
ployee group participants.

Life insurance. Nearly all the workers were provided
life insurance by their employers. The amount of insur-
ance, however, varied by earnings and occupation.
Sixty-three percent of all insured workers received life
insurance related to earnings (table 19). This included
39 percent who were insured for a multiple of their an-
nual earnings and 24 percent whose coverage was
graduated according to an earnings schedule. A flat
amount of insurance was provided to most of those
whose insurance was not based on their earnings. Four
out of five professional-administrative and technical-:
clerical participants had pay-related insurance, in con-
trast to only 1 of 2 production participants.

Forty-four percent of the participants covered by a
multiple-of-earnings formula were insured for an
amount equal to their earnings, and 34 percent were in-
sured for 2 times earnings (table 20). Professional-
administrative participants were evenly divided between
both levels, but the majority of other participants were
most commonly at the lower level.

Three out of five participants with a flat amount of
insurance had less than $10,000 coverage. These were
mostly technical-clerical and production employees
{table 21). Professional-administrative employees with
flat amounts of insurance usually were covered for be-
tween $10,000 and $20,000.

Additional insurance for accidental death or dismem-
berment was provided for nearly 3 out of 4 workers cov-
ered by life insurance. Eighty percent of the participants
were provided life insurance at no cost.



they needed with no maximum number of days speci-
fied.

Sick leave plans. Formal sick leave plans covered 80
percent of the professional-administrative employees, 83
percent of the technical-clerical employees, and 37 per-
cent of the production employees. The latter, however,
were more frequently covered under accident and sick-
ness insurance plans than sick leave.

Benefits differed significantly among the various sick
leave plans, ranging from those providing 2 or 3 days of
leave per year, to others providing 6 months or more of
benefits (table 8). Most plans provided the employee
with full pay for at least a portion of the time while on
sick leave. In addition, about one-tenth of the workers
were in plans which contained provisions for paying part
of the employee's regular salary after the full-pay provi-
sions were exhausted. More than nine-tenths of the
workers covered by sick leave plans received benefits
beginning on the first day of illness or disability. For
those who reported a waiting period before benefits
began, this period was typically 1 to 3 days.

The most commonly reported full-pay provisions—
accounting for about one-third to two-fifths of all em-
ployees (depending on length of service)— were 5 to 30
days of sick leave annually. Sick leave plans covering
professional-administrative and technical-clerical em-
ployees generally were more liberal than those covering
production employees. For example, 14 percent of the
professional-administrative employees were eligible for
120 days or more of sick leave at full pay after 20 years
of service, while only about 2 percent of the production
employees were covered by similar provisions.

Accident and sickness insurance. Accident and sickness
insurance would provide two-thirds of the employees
with income during absence from work due to disability,
sometimes in coordination with sick leave payments.
(Although professional-administrative and technical-
clerical employees were not covered by accident and
sickness insurance as frequently as production employ-
ees, they were covered to a greater extent by sick
leave.)

Payments from accident and sickness insurance dur-
ing short-term disability are either a proportion of earn-
ings or a scheduled dollar amount (table 9). Fifty-five
percent of production employee participants were in
plans that based benefits on earnings, paying either a
proportion of earnings or a flat dollar amount that varied
by earnings. For the other employee groups, the propor-
tion of participants in earnings-based plans was nearly
nine-tenths

Just over one-half of all participants would receive
benefits for up to 26 weeks, and about one-fifth for up
to 52 weeks. Professional-administrative and technical-
clerical employees were more likely than production
employees to be covered for 52 weeks.

Somewhat more than four-fifths of participants were
in plans paid for entirely by the employer.

Long-term disability insurance. Long-term disability in-
surance (LTD) benefits replace some of the income em-
ployees lose when they are unable to work because of
disability. Generally, it takes over after sick leave and
accident and sickness insurance are exhausted. In 1979,
nearly one-half of all employees were participants in an
employer-sponsored LTD plan.

More than 3 out of 4 participants in LTD plans could
receive a benefit equal to between 50 and 60 percent of
usual earings (table 10).

For 7 out of 10 participants, benefits were limited
either by direct plan maximums or by maximums inte-
grated with other income received during disability,
such as family social security payments and rehabilita-
tive employment income.

Nearly 4 out of 5 participants were in plans funded
entirely by the employer. Production employees were
more likely than the others to be in such plans.

Health insurance. Health insurance plans that were at
least partially financed by the employer covered 97 per-
cent of the workers in the survey. Nearly al! participants
were insured for hospital room and board, surgery, X-
rays, and physicians’ hospital visits. One-half had some
form of dental insurance and almost one-fifth had vision
care insurance (table 11).

Insurance up to the hospital’s usual rate for a semipri-
vate room was provided to 90 percent of the participants
with basic hospital room and board coverage (table 12).
The remainder of the participants were in plans which
provided up to a specified dollar amount for each day
spent in the hospital. Seventy-two percent of the partici-
pants could receive hospital room and board payments
for a specific number of days, most commonly 365 days
per hospital confinement. For 23 percent, hospital ex-
penses were reimbursed up to a dollar limit per hospital
confinement, and 5 percent had unlimited coverage.
Sixty percent of the participants with basic surgical
benefits were in plans that covered ‘‘usual and custom-
ary"? charges for operations; the rest were in plans that
covered up to a specified amount, depending on the sur-
gical procedure (table 13).

Eighty-seven percent of the participants with major
medical benefits were required to pay no more than
$100 in covered expenses before major medical protec-
tion went into effect (table 14). Just over one-half had to
pay $100, and about one-fourth, $50. Nearly all em-
ployees had to satisfy this requirement yearly. Once the
deductible requirement was satisfied, 9 out of 10 par-
ticipants in major medical plans were insured to 80 per-
cent of expenses (coinsurance) but had to pay the re-
maining 20 percent (table 15). Fifty-three percent of the
professional-administrative and 56 percent of the



Appendix: Technical Note

The 1979 Level of Benefits (LoB) Survey was a large
scale pilot test of data collection, processing, and esti-
mation procedures for a variety of provisions of em-
ployee benefit plans. The tested procedures were de-
veloped as a result of 2 years of feasibility studies of
collection methods and questionnaire designs. The data
from the test will be used to assess the survey sample
and for other statistical analysis.

The 1979 Los survey covers all establishments’ in the
United States, except Alaska and Hawaii, which em-
ployed the indicated minimum number of workers in the
following industries:

Industry Minimum
employment
size
Mining 250
Construction 250
Manufacturing . 100-250
Transportation, communication,
electric, gas, and sanitary services . 100-250
Wholesale trade 100
Retail trade ... 250
Finance, insurance, and real estate . 100
Selected services 50-100

The 1979 Lop survey of 1,469 establishments was a
subsample of the sample for the 1979 National Survey
of Professional, Administrative, Technical, and Clerical
Pay. It was a stratified systematically selected probabil-
ity sample. Strata were formed on the basis of estab-
lishment employment and industry.

The data for the survey were collected by personal
visit of Bureau field representatives to the sample estab-
lishments. To reduce the reporting burden, sampled es-
tablishments were asked to provide documents describ-
ing their pension plans and plans covering the four in-
sured benefits. These were analyzed by BLs staff in
Washington to obtain the required data on plan provi-
sions.

Sampled establishments were requested to provide
data on work schedules and each of the 11 benefits for

1For this survey, an establishment is an economic unit(s) which
produces goods or services, a central administrative office, or an
auxiliary unit providing support services to a company. In man-
ufacturing industries the establishment is usually a single physical
location. In nonmanufacturing industries, all locations of an indi-
vidual company within a Standard Metropolitan Statistical Area
(sMSA) or within a nonmetropolitan county are usually considered
an establishment

15

full-time employees in the following occupational
groups:

Professional-administrative:

Includes occupations that require a foundation of knowl-
edge in the theories, concepts, principles, and practices
of a broad field of science, learning, administration, or
management acquired through a college-level education
or the equivalent in progressively responsible experience.
Above entry levels, the exercise of a high degree of
creativity, originality, analytical ability, and independent
judgment to solve varied and complex problems in the
field of work is characteristic.

Technical-clerical:
Includes office and sales clerical, technical support,
protective services and other such occupations that do
not require full knowledge of a professional or adminis-
trative field of work or the application of a high level of
creativity, originality, analytical ability, or independent
judgment. Job performance skills are typically acquired
through on-the-job experience and/or specific training
which is less than that usually represented by a bac-
calaureate degree. These skills include the application of
a practical knowledge of established procedures, prac-
tices, precedents, and guidelines.

Production:
Includes skilled, semiskilled, and unskilled trades; craft
and production occupations; manual labor occupations;
custodial occupations; and operatives.

Excluded from the survey were executive management
employees, defined as those whose decisions have direct
and substantial effects on an organization’s policymak-
ing, part-time employees, temporary employees, sea-
sonal employees and travelling operating employees
such as airline flight crews and long distance truckdriv-
ers.

Each of the 36 combinations of benefit and occupa-
tional group (e.g., health insurance for production em-
ployees) was treated as an individual survey and sepa-
rate estimates developed for each.

Following is the composite establishment response to
the survey:

Number of establishments:

In sample... . 1,469
Out of business and out of scope 46
Refusing to respond . 170
Responding fully or partially . 1,253

There were two procedures used to adjust for missing
data from partial schedules and total refusals. First, im-



Table 5. Paid vacations: Percent of full-time employees by amount of paid vacation provided at selected periods of service,
private industry, 1979

Protes- Profes-
Technical Technical
sional sional
and | Produc- and | Produc+
. Allem- | and ad- ‘ Allem- | and ad- .
Vacation policy ployees | ministrative enn payee Vacation policy ployees | ministrative clone ton em
employ | "ees employ- | "ces
ees ees
All employees .... 100 100 100 100 Over 10 and under
15 days we 1 e) 1 1
Jn plans providing paid vaca- 15 days . 33 25 28 37
tions at qualitying periods Over tg and under
of service . 100 100 100 99 30 days 6 6 7 6
Leas than 1 year on 20 days wt sa 60 58 4a
‘Under 5 days .... 36 20 29 44 Over 20 days... 5 7 4 4
S days ...... 36 39 36 34
Over § and under After 20 years of
. 10 days .. oo 9 14 14 6 service:
YO day$ 0.2.2.6... 15 21 18 12 Under 10 days . 1 0) e) 1
° Over 10 days .....- 3 8 3 2 10 days 4 2 2 8
| ! Over 10 and under
a After 1 year of service: ! i 15 days . ¢) ) 0) i
Under § days ar) Oo |“ “ 15 days .... . iW 7 10 13
S days ... | 36 9 ! 15 54 Over 15 and under
: Wve i : 20 days . 3 2 3 2
Over 5 and under ys
10 days 2 1 3 3 20 days 87 62 66 51
10 days . | 55 77 7 | 39 Over 20 and under
Over 10 days ; 6 13 6 | 4 2 25 days . 2 2 2 1
H H 5 days . 19 at 5. at
i ! i
After 3 years of service: | 6 Over 25 days ... 3 4 a 3
Under 5 days ........ ¢) OF :
5 days ....... 5 o | tron 26 Years of
| Overs and ner | BBawe fe doo fe do
10 days . 1 79 so of 86 76 10 days .... wee 4 2 2 6
Over 10 andunder | Over 10 and under ; :
18 days io? 4 5 i 8 1S days... 0) oO o) 0)
15 days . | 5 9 5 3 15 days 10 6 7 12
Over 15 days ar 6 2 1 Over 18 anc under : , : ,
y'
ice: | 20 days ....... 3h 35 a 26
After 5 years of service
1 Over 20 and under
apes 40 days +--+. 58 9 “a 6 28 days... 2 3 3 1
Gver 10 and under 25 days 45 “7 4“ 46
145 days 8 8 7 8 Over 25 and under .
1S cays. 32 40 40 27 50s : 4 i) Q
Over 15 and under days and over... 5
2 . 1 1 1 ;
oo days’ 2 } 3 i After 30 years of service
Over 20 days... 1 1 1 ¢) oF more:
Under 10 days . : 1 c) Q) 1
WO days 4 2 2 6
Alter 10 years of Over 10 and under
service: 15 days «) () 10) v)
Under 10 days ......, 1 a) o) 1 16 days 40 6 7 2
10 days... “| 8 3 4) 4 Over 15 and under
Over 10 and under i i 20 days a 1 1 1 1
M5 days...) 2 1 2) 2 20 days .... 29 33 39 23
15 days 68 68 74 66 ‘Over 20 and under .
‘Over 15 and under 25 days 2 2 2 ho 4
20 days 6 3 4 8 25 days 42 44 40 42
20 days .... oars 20 12 9 Over 25 and under
Over 20 days i 2 6 } 3 | 1 30 days 1 1 ® 1
‘ 30 days 10 12 7 10
After 15 years of ' i | More than 30 days 1 1 1 1
service: |
Under 10 days ..... 1 oy fog | 1 Employees not provided
: 1Odays...... 4 2 | 2 | 6 paid vacations ...... ° ° O t
Less than 0.5 percent. Note: Because of rounding, sums of individual items may not equal totals.



i
i
i

Employee Benefits in Industry:
A Pilot Survey

7

U.S. Department of Labor
Bureau of Labor Statistics
July 1980

Report 615



Table 10. Long-term disability Insurance: Percent of full-time participants in plans, by method of determining payment
and maximum coverage provision, private Industry, 1979

Professional and

Technical and

‘Al employees administrative employees clerical employees Production employees
Method of Participants in plans—
determining
Payment with | without with | Without with | Without with | Without
maximum | maximum maximum | maximum maximum | maximum maximum | maximum
Total | "prove | prove | Total | prove | prove | Total | provi | prove | TO! | provi | provi-
sions } sions sions | sions sions | sions sions | sions
All methods ..| 100 70 30 100 7 33 100 73 27 100 70 30
Fixed percent of
earings a 65 26 1 61 29 a1 70 22 93 65 28
Less than 50 1 7 1 2 1 1 1 1 1 2 1 1
30 . 44 30 18 2 7 18 30 at 9 59 41 8
55 2 () 1 1 at _ 1 C) 1 3 _ 3
60... 31 7 4 37 31 6 42 37 5 21 20 i
65.01 687 .. 8 6 2 rn 9 2 11 9 2 5 4 1
70 of more 5 1 4 8 3 5 6 2 4 4 - 4
Variable percent
of eamings
or scheduled
dollar amounts . 9 5 4 10 6 4 9 4 5 7 6 2

"Less than 0.5 percent

Note: Because of rounding, sums of individual items may not equal totals.



Table 9. Accident and sickness insurance: Percent of full

disability due to sickness, private industry, 1979

time participants in plans, by type and duration of payments for

Weeks of coverage

Type of payment Total | Less Varies by { Total Less Varies by
Plans | than 26 | 26" | 52? | senice | plans | than26 | 26' | 522 | “anes D
All employees Technical and clerical employees
APES ooo eect cect eee 100 15 52 | 18 14 100 10 s2 | 18 19
Fixed percent of earnings .. 34 5 23 | 2 3 48 5 32 | 3 6
50-54 " 2 a! e io) 7 1 15 | @ 1
55-59 1 = 1 | @ = 1 tf — -
60-64 . 7 2 5 | @) TO) 8 45 e e@
65-69 .. 7 @ 6 e 1 9 8 e) 1
70 or more 7 1 3]4 2 12 5] 3 5
Percent of earnings varies . 7 1 5 | 8 4 32 2 9] 12 9
By service 1 e) oO | 1 3 i) a fo4 1
By length of disability : 2 e@) 1 i 1 4 1 1 | @ 1
By both service and by length of disability 14 (2) 3] 8 3 25 1 7) 7
Fixed weekly dotlar benefit .. 3t 9 7 | 3 2 10 2 6i 4 1
Less than $60 . 8 4 31 @ @) 3 1 2} @
$60-$79 ...... 5 2 2|— e 3 1 ty ~ 1
$80-$99 6 2 470 @) 2 1 11 @) i)
$100-$119 6 1 4 1 @) 1 e) 1) e@ e
$120 or more 5 _ 4 1 1 1 - 1 ~ _
Weekly dollar benefit varies . 7 1 71 4 5 9 4} 2
By earnings ......... fees 18 1 6] 4 4 8 1 4 [4 2
By service or by length of disability ........ 2 e 1 ee 1 1 e) eA] -
Professional and administrative employees Production employees
All types . 100 13 83 | 22 13 100 18 52 | 16 13
Fixed percent of earnings ... 49 6 32] 5 5 26 5 we} 4 2
54... fects 14 1 12] 4 i 9 3 6} ° 1
55-59 . 1 - 1 _- > 1 - 1 e -
60-64 . "1 3 7] 1 6 1 4{4 -
65-69 7 ~ 744 ® 6 ® 5 |—
70 or more 16 2 6 | 4 3 3 1 2) —
Percent of earnings varies 34 12 | 14 6 |! 10 (a) 2 8 2
By service ...... 1 e) @ @) 0) 1 = 1 ~ ~
By length of disability eee 5 1 2] 2 1 1 co) 11 @ ey
By both service and by length of disability |. 28 1 to | 12 5 7 — e | o5 2
Fixed weekly dollar benefit .. 9 2 6/1 @ (a) 42 12 23 | 4 2
Less than $60 ........, 4 1 34 ) 10 6 37 @ Co)
$60-$79 .. 1 1 1] — e 7 3 a}— 10)
$80-$99 . 1 1 11 @ @ 8 2 5 | (c)
$100-$119 .... 2 e 1 @) @) 9 1 6 2 1
$120 or more 1 - 8 7 e 0) 8 ~_ 5 | 2 1
Weekly dollar benefit varies 6 e) 3/4 1 22 1 9 {5 7
By earings .........0...., . 6 e) 3 1 1 19 1 8 6 6
By service or by length of disability |... o) ® 1a y~ - 3 ro) ) 1

‘includes 2.1 percent who were covered between 27 and 51 weeks.
?includes 0.8 percent who were covered for more than 52 weeks.

Less than 0.5 percent.

Nore: Because of rounding, sums of individual items may not equal totals.



Table 1. All benefits: Percent of full-time employees par-
ticipating in employee benefit programs, private industry,’
1979

Table 2. Work schedules: Percent of full-
by number of hours and days scheduled per week, pri
industry, 1979

ime employees

vate

Profes- [Technical Profes- | Technical
sional | and | Produc- sional | and | Produc-
, Allem- | and.ad- | clericat | ion em Allem- | andad- } clerical | tion em-
Employee benefit program | loves | ministrative | amploy- | ployees Work schedule sloyees | ministrative| employ- | ployees
employ- | ees employ- | ees
ees ees
Paid ‘Ai employees .... 100 100 100 100
Lunch time 13 5 6 19
Rest time... 75 60 7% a1 Hours per week:
Holidays 99 400 400 99 Under 35 “) o) ¢) 1
Vacations 100 100 100 99 Be 3 4 6 1
Personal leave 19 28 30 i" Over 35 and under 37.5 2 2 3 1
Sick leave 58 80 a3 7 B75 voces 7 9 13 3
Over 37.5 and under 40 . . 2 3 5 1
Accident and sickness 40 wees 82 79 71 88
insurance ....... 65 53 49 75 Over 40 4 2 2 6
Noncontrbutory? 55 aa 40 64
Long-term disability Days per week
insurance... 49 66 56 40 Under 4 . () ° ¢) 10)
Noncontributory? 3 49 43 33 y aeeeneenentnee 0) () 1 0)
Health insurance 7 100 95 98 Over 4 and under 5 e) ¢) iu} ‘)
Noncontributory? 7 70 58 7 5 oo ae 96 98 98 95
Pension plan... ... 87 96 87 35 Over 5 3 1 1 4
Noncontributory? 77 80 77 76
Life insurance 96 99 92 96 ;
Noncontributory? . 7 7 6 80 Less than 0.5 percent

1 See appendix for scope of study and occupational group definition.
2Provided at no cost to employes.

Table 3. Paid lunch time: Percent of full-time employees
by hours of paid lunch time per week, private industry,

Note:

Because of rounding, sums of individual items may not equal 100.

Table 4. Paid rest time: Percent of full-time employees by
hours of paid rest time per week, private industry, 1979

1979
Protes- | Technical
sional | and | Produc-
Profes- |Technicat F
Atlem-| andad- | cletical | tion em-
.  tanem | ot | ity | Bae: Hows porwesk | es | mmicvave| amply. | ovens
lours per wee ployees | ministrative | employ- | ployees employ, | ees
employ- | ees
ees
All employees 100 100 100 400
All employees 100 100 100 100 Receiving paid rest time 75 60 74 81
Receiving paid lunch time 13 5 6 19 get 125 hours . 3 4 2 3
Under 1.25 hours . “) () ) 0) 125 and under
1.25 hours . _ 1 oO 0) 1 157 hours 1 ” 1 1
eT pean’ under 1 _ 0 1 4.67 hours . on] 28 16 16 23
; Over 1.87 and under :
1.87 hours ao 6 0) 1 8 ver 1.67 and 3 1 2 4
oe eee under 0 _ _ 1 2.5 hours .. : 35 38 45 30
25 hours... 4 1 2 é Over 2.5 and under
3.33 hours . 1 0) i) 2
Over 2.5 hours 2 8 8 ‘ 3.33 hours .22 2... 1 i 1 1
Receiving no paid lunch Over 3.33 hours 3 ° o) 6
time .- : 87 95 o4 st Receiving no paid rest time 25 40 26 49
"Less than 0.5 percent Legs than 0.5 percent
Note: Because of rounding, sums of individual items may not equal totals Nore: Because of rounding, sums of individual items may not equal totals.



Contents

Page

Work schedules ....

Paid lunch and rest periods .

Paid vacations ..........

! Paid holidays ...
Personal leave . . see :
Sick leave plans..............
Accident and sickness insurance . .
i Long-term disability insurance
Health insurance

| Pension plans . .
f Life insurance .

WWNHNNN eee

Tables:

Percent of full-time employees, private industry, 1979:
All benefits: Employee benefit programs. ...............0 000s c ccs eee
Work schedules: Number of hours and days scheduled .
Paid lunchtime: Hours of paid lunchtime per week
Paid rest time: Hours of paid rest time per week
Paid vacations: Days of paid vacation at selected periods of service
Paid holidays: Number of paid holidays each year ...
Pai ' personal leave: Number of days per year. ..... .
Paid sick leave: Number of days at selected periods of service.

PI AAWPRYWN-

| Percent of full-time participants, private industry, 1979:
| : 9. Accident and sickness insurance: Type and duration of payments for disability due to

sickness .. 7
10. Long-term disal
Provisions. 8
11. 9
12.
Fee eee eet e cere t nee e eee 10

13. Health insurance, basic sugical benefits: Maximum allowance for selected procedures. 10
14. Health insurance, major medical benefits: Amount of deductible. .
15. Health insurance, major medical benefits: Coinsurance provisions.
16. Health insurance: Funding medium. ....

17. Pension plans: Method of determining retirement payments. : 13
18. Pension plans: Minimum age and service requirements for normal retirement ...... .. 13

19. Life insurance: Method of determining amount of basic life insurance and frequency of
accidental death and dismemberment coverage ..............8 : oe 14

20. Life insurance, multiple-of-earnings formulas: Amount of insurance and maximum
coverage provisions . . 14
21. Life insurance, flat dollar . 14
Appendix: Technical note 2.0.0.6. e cece eee eee ceeeveeececceeee 15

iii



Table 14. Health Insurances

Percent of full-time participants with major medical coverage, by amount of deductible, and

applicable benefit period, private industry, 1979

Benefit period
Professional Technical on
, Alt and and Production
‘Amount of deductible employees administrative clericat employees
employees employees
7
‘year | Other teyear | Other teyear | Other tyear | Other
Total | period | period | T | pera | period | 7 | period | perioa | To! | peer | Omer,
Total ........ | 100 sx | 7 100 94 6 100 94 6 100 | 93 7
$25 1 1 e 3 2 1 2 1 4] 4 + | @
$50. 28 25 3 26 24 2 24 22 2 3t a 4
S75... 5 5 = 4 4 - 5 5 = 6 6 =
$76-99 1 1 = 2 2 - 1 1 = &) @ =
$100 52 50 2 52 50 2 84 52 2 50 49 ®
$126-149 . 6 5 1 7 6 1 6 5 1 6 5 1
$150 and over 7 6 1 5 5 - 9 9 3) 6 5 1

‘if the deductible was based on a percent of earings, an annual eamings Less than 0.5 percent.
level of $14.500 was used to convert the deductible toa fat dollar amount for Nore: Because of rounding, sums may not equal totals.

the plan analysis.

Table 15. Health insurance: Percent of full-time participants in plans with major medical coverage, by coinsurance’
provisions, private industry, 1979

Coinsurance change provision’

Professional and Technical and
Ail employees and administrative clerical employees Production employees
employees

Initiat coinsurance

80 | 85 so | 85 80 | 85 80 | 85
Total | per- | per- | Other | Total | per- | per-| Other | Total | per- | per- | Other | Total] per- | per- | other
cent | cent cent | cent cent | cent cent | cent
All coinsurance ........... 00 | 91 5 4 j100 | 94 5 4 |100 | 92 4 4 |100 | 90 6 4

Final coinsurance change to
100 percent ...........00...
Changes when level of

covered expenses within

$4,001-$6,000 .
More than $6,000

Final coinsurance changes to
other than 100 percent...

Coinsurance unchanged .....

6) 6 {>} —) 7) 7 }~]}-~} 9} 9 J—~}—] 5) 5)/—-} —
W 10 ¢ fal 14 13 ® fal 5 15 @) @) 9 8 1 ®
19 | 1 | 1] @ | a} we fa 1 | 22 | 20 | 4 1/16] 6} ae] @
fo} 7 | 2] af e)] 6 fa tlw} 9} 1} ei wt] 5s) 2) ee

1 1 e) ) 2 1 @) @ 2 1 @ 1 1 1 _ @

53/48 | 2] 2; 45 | 40 | 3 | 2 | 43 | 39 | 2 | 2] w | ss | 2] 3

*Coinsurance is the percent of covered expenses paid by the plan. The Less than 0.5 percent.

balance is paid by the employee.

Noe: Because of rounding, sums of individual items may not equal totals,



Table 17. Pension plans:

in pension plans’ by

payments, private industry, 1979

Percent of full-time participants
method of determining retirement

Table 18. Pension plans: Percent of full-time participants

in pension plans by minimum age and servi

ice require-

ments for normal requirement,’ private industry, 1979

Protes- | Technical Profes- | Technical
Primary and alternate | Allem- | and ad-| and, | Produc: Age and service Alle: | andad- | 2nd | | Produc
basis of payment ployees Hi employ- | ployees fequirements Ployees fates employ: | ployees
employ-| °° employ-|  °°S
ees ees
All participants 100 100 100 400 Al participants 100 100 100 100
Participants in plans with: | Participants in plans with:
Terminal earnings No age requirement 1 7 5 16
formula 52 7 70 37 30 years of service W 7 5 16
No alternate .. 21 28 36 13
Terminal earnings Age 55 orless ....... 9 9 8 9
alternate W 15 13 8 20 years of service 6 6 6 6
Career eamings 30 years of service
alternate ...... 4 5 4 2 ormore ........ 3 2 2 3
Dollar-amount®
alternate........ | 16 22 17 13 Age 56 to 60 1" 18 15 8
Percent of contribu- No service re-
tions . ® 1 e) ®) quirement . 3 5 5 1
5 years of service ® ) - 1
Career earnings 10-15 years of
formula... 14 19 8 9 service ......... 1 2 1 1
No alternate. 7 7 8 4 20-25 years of
Dollar-amount? service ...... 1 1 | 1 1
alternate . . 6 10 9 5 30 or more years of
Other alternates 1 2 1 i service : 6 7 7 4
Dollar-amount formula 32 8 9 st Age 61 to 62 19 22 18 18
No alternate .. 29 7 9 47 No service re-
Dollar-amount? quirement . 7 10 7 6
alternate 1 fa) i) 2 5 years of service . ) 1 1 -
Percent of contribu- 40-15 years of
tions . 1 1 i) 2 service ....... 8 8 7 8
20-25 years of
Other formuta 3 3 3 3 service .... 3 2 2 3
No alternate 1 1 1 1 30 years of service 1 1 1 1
All alternates 2 2 21, 2
! Age 63 10 65... 44 39 48 48
‘Benefit formulas of supplemental pension plans are excluded No service re 35 35 44 32
2includes formulas based on dollar amounts for each year of service and 5 jose ot sen
4 years of service 2 4 1 3
scheduled benefits that vary by service. 10-15 yoare of
Less than 0.5 percent. service 7 3 3 10
Note: Because of rounding, sums of individual items may not equal to-
tals. Sum of age plus servic 6 8 6 4
Equals 80 ........ i 1 1 1
Equals 65... 3 6 3 2
Equals 90 1 1 2 1
Equals 95 or
more 1 1 @) e

‘Normal retirement is defined as the point at which a worker could retire
and immediately receive all accrued benefits by virtue of service and earings

without any reduction due to age.
Less than 0.5 percent,
Nore:
tals.

Because of rounding, sums of individual items may not equal to-



Preface

This publication reports on a pilot survey conducted
by the Bureau of Labor Statistics, of the incidence and
characteristics of private sector employee benefit plans
in 1979. The pilot survey was conducted for the Office
of Personnel Management (opm) which will use the data
to develop the dollar cost for providing Federal employ-
ees with a level of benefits found in private industry.

The pilot survey was designed to represent 21 million
employees in establishments covered by the Bureau’s
annual survey of Professional, Administrative, Techni-
cal, and Clerical Pay—presently used in the pay com-
parability process for Federal white-collar employees.
The test collected information on employee work sched-
ules and developed detailed data on the characteristics
(excluding employer cost) of 11 private-sector employee
benefits selected for study by opm: Paid lunch and rest

periods; paid holidays, vacations, personal leave, and
sick leave; life, accident and sickness, health, and
long-term disability insurance; and private pension
plans. A description of the scope of the survey, statisti-
cal procedures, and definitions of terms used are in the
appendix.

The Bureau will review the test results to determine
the adequacy of the sample size and design, as well as to
improve its collection techniques and procedures.’ The
Bureau will also explore with opm methods for adding
benefits not covered in the initial test to future surveys.

This report was prepared in the Office of Wages and
Industrial Relations by the staffs of the Division of Gen-
eral Compensation Structures and the Division of Occu-
pational Wage Structures.



U.S. Department of Labor

Ray Marshall, Secretary

Bureau of Labor Statistics

Janet L. Norwood, Commissioner
July 1980

Uniess specifically identified as copyright,
material in this publication is in the

public domain and may, with the appropriate
credit, be reproduced without permission.



Table 11. Health insurance: Percent of full-time participants in plans, by provisions for selected categories of medical

care, private Industry, 1979

Provided care
ay r f All Mi
e employee and cate¢ of medical care i rovided
” Sony participants* By basic By major By basic vere
Total benefits medical
only? only? and major
medical
All employees
Hospital—room and board 100 100° 7 7 76 _
Hospital — miscellaneous s service . 100 100 15 8 77 _
Extended care... 100 54 23 19 12 46
‘Surgical . oe 100 100 40 15 45 -
Physician visits —in hospital 100 99 14 30 55 1
Physician visits—office - : 400 92 4 78 10 8
Diagnostic X-ray and laboratory 100 100 16 9 75 =
Outpatient care 100 98 7 8 72 2
Prescription drugs . 4100 96 4 at 3 4
Private duty nursing . 100. 1 2 88 1 8
Mental health care .. 100 98 1 7 80 1
Dental . : 100 50 49 2 ia) 49
Vision 400 18 16 2 - 8
Production employees
Hospital—room and board... 100 100 19 6 75 -
Hosptal miscellaneous o service. 100 100 18 6 75
Extended care . 100 55 24 20 W 45
Surgical 100 99 41 { 12 47 =
Physician hospital 100 99 18 24 57 1
Physician visits—office ......... 100 87 4 71 12 13
Diagnostic X-ray and laboratory « 100 100 19 7 74 _
Outpatient care . 100 98 22 6 69 2
Prescription drugs 100 95 14 77 4 5
Private duty nursing 400 88 2 85 1 12
Mental health care... 100 99 16 6 7 9)
Dental 400 $2 31 1 @) 48
Vision 100 21 20 1 ~ 7
Technical and clerical employees
Hospital—room and board... .. 100 100 17 9 74 -
Hospital—miscellaneous service 400 100 12 10 7 —
Extended care : 00 54 24 19 14 48
Surgical 100 100 37 18 44 —
Physician visits —in hospital 100 99 10 7 52 «)
Physician visits—office ........ 400 96 4 85 7 3
Diagnostic X-ray and laboratory 100 100 13 13 74 -
Outpatient care ....... . 400 99 12 W 75 1
Prescription drugs 100 96 7 86 2 4
Private duty nursing. . 400 97 4 92 1 3
Mentat health care 100 98 6 10 8 i
Dental 100 46 43 3 © 54
Vision 100 13 10 2 - 81
Professional and administrative employees
Hospital—room and board ...... 100 100 13 8 79
Hospital—miscellaneous service 100 400 n 8 81 =
Extended care.......... 100 53 22 17 14 47
Surgical .. . 100 100 39 19 42 -
Physician visits—in hospital 100 100 9 39 52 =
Physician visits—office ...... 100 98 3 88 7 2
Diagnostic X-ray and aboratory 100 100 n 4 78 =
Outpatient care... 100 99 10 10 79 1
Prescription drugs 100 97 7 86 4 3
Private duty nursing 100 98 2 94 1 2
Mental health care 100 99 5 9 85 iy)
Dental cee 100 50 47 3 a) 49
Vision 100 14 W 3 _ 85
Mncludes tess than 2 percent in plans in which medical care provision was Major medical benefits cover many categories of expenses, some of

not determinable.

which are not covered under basic benefits, and others for which basic

°A provision was classified as a basic benefit when it covered the initial coverage limits have been exceeded. These benefits are characterized by
expenses incurred for a specifc medical service. Under these provisions, a _ deductible and coinsurance provisions.

plan paid covered expenses in one of several ways: (1) In full, with no limita- “Less than 0.5 percent
tion; (2) in full for a specified period time, or until a dotlar limit was reached; -
and (3) a cash scheduled allowance benefit that provided up to a dollar Note: Because of rounding, sums of individual items may not equal to-

amount for a service performed by a hospital or physician.

tals.



Table 16. Health Insurance: Percent of full-time participants in plans, by funding medium for types of coverage, private
industry, 1979

| ‘Type of Coverage Type of Coverage
Type of funding mediurn Type of funding medium
| Basic | Basie | Basic | Major Basic Basic | Basic | Major
hospital | surgical’ | medical? | medical? hospital’ } surgical? | medical’ | medical?
All employees i Technical and clerical | i
employees
Total ........ . 100 100 100 100
j Total... “- 100 100 100 100
Provided .. 92 85 70 90
Blue Cross/Blue Shield | 31 26 26 13 Provided . 90 82 63 93
Commercial carrier .... 48 48 35 65 Blue CrossiBlue Shield 31 23 23 "1
Independent prepaid Commercial carrier . 46 47 31 Tal
health organization’ 2 2 4 Independent prepaid
Selfinsured ...... " 9 7 1" health organization? .| 3 3 3 “)
Combination of two or Self-insured ..... 9 8 6
more media... “ “ “ o) Combination of two or |
more media ... foo4 “) “ 1
Not provided 7 14 30 10 |
Not provided 2.0.0... 10 18 36 7
Professional and
administrative employees Production employees
Total... eeee 100 100 100 100 Total ... s| 100 400 100 100
Provided ... 1 82 62 95 Provided 93 89 76 85
Blue Cross/Blue Shield | 30 22 22 10 Blue Cross'Blue Shield 31 29 29 15
Commercial carrier 49 50 32 74 Commercial carrier... 49 48 37 60
Independent prepaid Independent prepaid
heath organization® . 2 2 2 “ health organization? 1 | 2 2 o
Selt-insured . . . 9 7 5 10 Seif-insured . . . . 12 { 10 8 10
Combination of two or Combination of two or |
more media . 1 ¢ 2) “ more media oO | “ “
Not provided 8 7 37 5 Not provided 6 W 24 14

‘A plan provision was classified as a basic benefit when it covered the
initial expenses incurred for a specific medical service. Under these provi-
sions, a plan paid covered expenses in one of several ways: 1) In full with no.
limitation; 2) in full for a specified period of time, or until a dollar timit was
reached; and 3) a cash scheduled allowance benefit that provided up to a
doltar amount for a service performed by a hospital or physician.

?Major medical benefits cover many categories of expenses, some of
which are not covered under basic benefits, and others for which basic

coverage limits have been exceeded. These benefits are characterized by
deductible and coinsurance provisions.
3independent prepaid health organizations include plans recognized as
Health Maintenance Organizations as defined by the HMO Act of 1973, and
other organizations which deliver health care under a prepayment plan
“Less than 0.5 percent.

Note: Because of rovinding, sums may not equal totals.