What is employee welfare and give two examples of welfare provisions a business might offer?

• A. Employee welfare refers to support for well-being, such as health insurance and counselling.
• B. Welfare refers to profits distributed to shareholders.
• C. Welfare is only about pension plans.
• D. Welfare provisions are illegal in most businesses.

Answer: (B)

Employee welfare means the support a business provides to look after workers’ wellbeing beyond their usual pay. It covers services and benefits that improve health, safety, and morale. Two common welfare provisions are health insurance, which helps employees cover medical costs, and counselling, which supports mental health and handles stress. Welfare isn’t about profits paid to shareholders, it isn’t limited to pensions, and welfare provisions are not illegal in general.