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crystalball
01-25-2012, 12:35 AM
This case study is confusing to me. Talking about the staffing cost scenario for now...

1. rehiring retirees. so, i imagine there are all kind of retirees - retired clerk, retired meat cutter and retired courtesy clerk (part-time worker can get pension benefit?? what i should assume??). So when a retiree is rehired, can i hire them in their original job category? Say, if i rehire a retired meat cutter, can he/she do the meat cutter job which = 3 CCs? Or every retirees who come back would work as CC?

2. wage + pension? so Joe says that the store can't afford to pay wage and pension both if rehiring the retirees. what wage is he talking about? Does it mean if i am retired meat cutter, the store can't accord to pay me the pension + a meat cutter's salary? what if i come back as a CC, the store should have no problem paying a salary = original pension + CC's wage because they basically replace the CC who doesn't come to work with a retiree hired back as a CC who effectively costs the company a CC's wage (the store needs to compensate the retiree the pension amount anyways)

3. the 700 ee and 200 threshold. the exercise says the shop needs 700 ee to keep it open and 200 ee to stock the shelves. However, it also says that one meat cutter and do 3 CC's work. So if a meat cutter does the CC work, would the person be counted as 1 ee or 3 ee? When doing this scenario, do we need to care about the 700 threshold at all????

Thanks so much~:notworth::notworth::notworth:

actuarialposterboy42
01-25-2012, 09:19 AM
This case study is confusing to me. Talking about the staffing cost scenario for now...

1. rehiring retirees. so, i imagine there are all kind of retirees - retired clerk, retired meat cutter and retired courtesy clerk (part-time worker can get pension benefit?? what i should assume??). So when a retiree is rehired, can i hire them in their original job category? Say, if i rehire a retired meat cutter, can he/she do the meat cutter job which = 3 CCs? Or every retirees who come back would work as CC?

2. wage + pension? so Joe says that the store can't afford to pay wage and pension both if rehiring the retirees. what wage is he talking about? Does it mean if i am retired meat cutter, the store can't accord to pay me the pension + a meat cutter's salary? what if i come back as a CC, the store should have no problem paying a salary = original pension + CC's wage because they basically replace the CC who doesn't come to work with a retiree hired back as a CC who effectively costs the company a CC's wage (the store needs to compensate the retiree the pension amount anyways)

3. the 700 ee and 200 threshold. the exercise says the shop needs 700 ee to keep it open and 200 ee to stock the shelves. However, it also says that one meat cutter and do 3 CC's work. So if a meat cutter does the CC work, would the person be counted as 1 ee or 3 ee? When doing this scenario, do we need to care about the 700 threshold at all????

Thanks so much~:notworth::notworth::notworth:

1. Make assumptions, come up with a solution.
2. Make assumptions, come up with a solution.
3. Make assumptions, come up with a solution.

The assignment is vague. As long as you don't come up with a solution that completely contradicts the assignment, you'll be fine.

crystalball
01-25-2012, 11:05 AM
Ahhhh.... thanks. what's your approach? Can you share?