ESI - Employee sponsored Insurance

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ESI - Employee sponsored Insurance

by sunnyjohn » Sat Jul 09, 2011 10:09 pm
Companies that offer "employer sponsored insurance" (ESI) pay a portion of employees' health care costs. In the manufacturing sector last year, companies that offered ESI had worker absentee rates 22% lower, on average, than those at companies that did not offer ESI.

If, on the basis of the evidence above, it is argued that ESI decreases worker absenteeism, which of the following, if true, would most seriously weaken that argument?

A) Results similar to those cited for the manufacturing sector have been found in other sectors of the economy where ESI is offered.

B) At companies that offer ESI, employees have access to preventative health care such as regular check-ups, routine laboratory tests, and nutrition counseling.

C) Because initiating an ESI plan requires a lot of paperwork for the company, employees, and the insurance provider, doing so is complex and time-consuming.

D) Many firms in the manufacturing sector have improved workplace safety and decreased the occurrence of on-the-job injuries in the last five years, and most of these companies introduced ESI at the same time.

E) In manufacturing firms where ESI is offered, the average productivity is 2% higher than it is in those firms where workers are not covered by an ESI plan.

Although this is an easy question, but I think that there is some logical flaw in this question.
First of all - Question is based on "Cause and effect".

Conclusion: ESI --> decrease absenteeism.

[spoiler]B states that -
At companies that offer ESI, employees have access to preventative health care such as regular check-ups, routine laboratory tests, and nutrition counseling.

Problem with this-
> If I assume that having a frequent access to health care improved the health of employee, hence less absenteeism.
so ESI plays no role in this. Its all depend upon how accessible are the heath care centers.

D states that -
Many firms in the manufacturing sector have improved workplace safety and decreased the occurrence of on-the-job injuries in the last five years, and most of these companies introduced ESI at the same time.

Problem with this-
Safety measures were in process of implementation from last 5 years. but results were shown in last year (as per stimulus). So how can I surely say that this cause less absenteeism.[/spoiler]

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by jainnikhil02 » Sat Jul 09, 2011 10:28 pm
IMO D

what is the OA ?
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by 1947 » Sun Jul 10, 2011 12:00 am
it should be D.

as it give alternate reason.

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by DhruvXVII » Sun Jul 10, 2011 12:06 am
It should be D.

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by sunnyjohn » Sun Jul 10, 2011 5:52 am
OA is D, can someone explain why its not B

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by saurabhdhakad » Sun Aug 18, 2013 7:39 am
B : Strengthen the ESI program that it is helping in reducing the absentee %.
However , in option D : It states that its because of improved working conditions the absentee rate has reduced.

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by rajatgupta » Sun Aug 18, 2013 8:59 am
D should be the answer because it give best alternative reason of reduced absenteeism i.e. better working conditions. Also ESI was adapted at the same time when working conditions got improved

option B can not be answer since may support that ESI has decreased absenteeism. Opposite to the question asked(what would weaken the argument?)[/spoiler]

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by Nitin.811g » Sun Aug 25, 2013 1:24 am
A) Results similar to those cited for the manufacturing sector have been found in other sectors of the economy where ESI is offered. ---> Does not explain why there could be a difference in Absenteeism and hence irrelevant

B) At companies that offer ESI, employees have access to preventative health care such as regular check-ups, routine laboratory tests, and nutrition counseling. ---> In fact, this strengthens the conclusion that because have regular check ups, there is a possibility of reduced absenteeism

C) Because initiating an ESI plan requires a lot of paperwork for the company, employees, and the insurance provider, doing so is complex and time-consuming. ---> Paperwork and complexity have nothing to do with absenteeism rate.

D) Many firms in the manufacturing sector have improved workplace safety and decreased the occurrence of on-the-job injuries in the last five years, and most of these companies introduced ESI at the same time. ---> Any other factor at the same time as ESI puts us in a doubt whether the decrease in absenteeism was caused by ESI or by other factors and hence is a potential answer

E) In manufacturing firms where ESI is offered, the average productivity is 2% higher than it is in those firms where workers are not covered by an ESI plan. ---> Irrelevant

Based on above analysis, D is the OA