The beneficiary of those life insurance policies is the business.
Sometimes the employees are not informed that a life insurance policy has been taken out on them.
This type of life insurance policy is not common any more.
Rather, most group life insurance policies taken out for employees allows them to choose their own beneficiaries, not the employer choosing the beneficiary.
If there is a life insurance policy owned by the business, it is usually taken out on key employees so that the business can replace them in the event of their demise. This is called "key person life insurance".