Benefits policy: find out all about it!

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Benefits policy: find out all about it!

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These days, offer good corporate benefits it is no longer a differential, but an imperative for companies that want to attract the best employees in the market, motivate their team and retain talent.

However, the choice of benefits to be offered should not be made randomly or to the taste of managers. It is necessary to make a thorough research, taking into account not only the available budget, but the demands of current employees and those you want to attract.

Also, develop a efficient benefits policy it requires organization in the planning and implementation phases so that it brings the expected results.

In this post, we’ll talk in more detail about the subject, showing what the benefits policy is, what benefits should be offered and how HR should draw this strategy in the company. Keep watching to learn more:

After you finish reading, we recommend that you download this free eBook. In it you will discover effective strategies for retain the best talent. Answer the form and receive right now:

What is a benefit policy?

we call benefits policy the set of guidelines that guide the granting of corporate benefits offered by the company to its employees. The benefits policy is generally developed by the Human Resources team. This process includes everything from planning to implementation, through documentation and monitoring of results.

Benefits Policies vary according to the profile of the company and employees. Benefits can be flexible in character. In it, the employee himself chooses those he wants according to the company’s offer. Other organizations choose a fixed benefits policy, where everyone has access to the same benefits.

What benefits should the company offer?

When we talk about corporate benefits, it should be noted that there are those that are mandatory under labor laws. But there are also optional ones — which are offered by most companies.

According to a survey performed with more than 400 UK residents companies, the main ones benefits offered to employees they are:

  • medical plan;
  • dental plan;
  • meal ticket;
  • food stamps;
  • life insurance;
  • profit sharing;
  • bonuses;
  • parking;
  • private pension;
  • refund or fuel voucher;
  • basic basket.

Among the mandatory benefits are:

Transportation vouchers

The transportation voucher is a mandatory benefit provided by law Law 7418/85. However, there are exceptions for payment: if the employee’s home address is less than one kilometer away from the workplace, granting the voucher is optional.

Furthermore, according to the law, the company can discount up to 6% of the employee’s salary referring to the transportation voucher, provided that the final value does not exceed the value of the benefit granted.

Snack

According to NR 24, companies with more than 300 employees are required by law to provide food to employees. Meals must be taken in a cafeteria reserved exclusively for this purpose on the company’s premises.

FGTS

FGTS payment is also a mandatory benefit. Monthly, the company makes a deposit of an amount referring to 8% of the employee’s salary in a linked account.

Organizations that do not deposit the Guarantee Fund are subject to legal penalties, fines and labor claims.

The FGTS can be withdrawn by the worker under some specific conditions. For example: unfair dismissal or the acquisition of real estate.

Paid vacations

At paid vacations are also a right provided for in the CLT. According to the law, the worker is entitled to 30 days of paid vacation per year.

The benefit is paid in advance, before the employee goes on vacation. The benefit amount refers to the the employee’s total salary plus another ⅓ of vacation pay.

Thirteen first salary

The thirteenth salary is a mandatory benefit provided for by Law 4,090 of 07/13/1962. The benefit is paid to employees at the end of the year, and its value refers to theproportional salary (ie, 1/12 of each month worked in the year).

Also known as “Christmas bonus”, the benefit can be paid in one or two installments, at the employer’s discretion.

What are the most coveted benefits?

According to surveys, in UK residents companies, the health care plans and profit sharing they are the most valued benefits by employees. As for the Americans, the work-life balance is a priority. and among the most popular benefits are flexible hours and the possibility of remote work.

For millennials, regardless of nationality, a good benefits plan is just as important as a good salary—or more! And this cannot be ignored by companies, after all, this is the generation that has been dominating the job market.

Generation Y employees seek differentials that make their more comfortable work routine. Therefore, it is worth investing in benefits such as: free snacks at the company, leisure and relaxation spaces, happy hour and celebrations in the workplace.

Practicality in everyday life is also a priority. Therefore, it is worth investing in agreements with gyms, flexible hours and the possibility of a home office.

Care and wellness services such as acupuncture, massage therapy, in-house barber and manicure are also highly regarded by employees.

Finally, the investment in academic and professional development you can also be part of the benefit plan. To do this, the company can finance agreements with universities and scholarships for employees.

How to develop the benefits policy?

As we said in the introduction, designing an efficient benefits policy requires a lot. research, planning and organization. This is a function of the Human Resources team, but it also involves leaders and other teams, such as the financial and accounting.

Below, we show the steps that the HR manager should consider when develop the company’s benefits policy:

Consider the company profile

First of all, it’s essential reflect on the character of the organization. For this, the manager must take into account the organizational culture and policy, in addition to the profile of employees.

Think of the company as a whole, considering your goals for the future and how it wants to be perceived by its employees and the market.

All of this will have a direct influence on the benefits policy. Companies that want to convey a more modern and innovative image, for example, tend to bet on a benefits policy that reflects this profile.

Do a research with the team

The second step in building guidelines for granting corporate benefits is consider the wishes and needs of employees.

For this, the ideal is to conduct a survey with the current team, evaluating its level of satisfaction with current benefits, in addition to offering new possibilities and open a space for suggestions. This will make HR have a more realistic view of the demand of employees and prepare a benefits policy aligned with the team’s profile.

Find out what “competition” offers

As has been said, nowadays, a good benefit plan is essential for thebetray the best talent in the market. And, given the constant market demand for qualified professionals, it’s good keep an eye out in what companies that compete for the same profile of employees are offering.

Therefore, HR must make a research on the benefits policy of other companies in the same area and find out what your differentiators are. Another good tip is to be inspired by large companies that offer differentiated benefits to their employees, such as Facebook and Google, for example.

Study the financial feasibility

After surveying the benefits that can be offered, it is necessary analyze feasibility from a financial point of view. Everything must be in line with the budget available for the benefits in a realistic way, so as not to result in losses. At this point, the financial sector must work with HR.

Depending on the type of benefit offered, other aspects should also be considered from the point of view of feasibility. In the case of remote work, for example, it is necessary to consider the question of the point; leisure areas within the company need to be adapted in physical space etc.

Decide how they will be offered

THE how the benefits will be offered it must also be analyzed during the elaboration of the benefits policy. Some companies choose to grant benefits such as transportation vouchers, food vouchers, meal vouchers or fuel through cards. Others, in turn, grant the benefits in cash, paid as an addition to the salary

Some benefits may also be paid only partially by the company. This is the case of medical, dental or gym memberships, for example. In these situations, the employee bears a part of the benefit amount, which is deducted from the payroll.

Take care of bureaucratic aspects

A large part of HR routines still require attention to bureaucratic aspects, such as the benefits policy. There are many details that must be considered, such as legal and accounting aspects.

Issues such as payroll discount, purchase and recharge of cards for benefits, agreements contracts and partnerships with other companies, etc. must be done carefully, avoiding mistakes and financial losses.

Finally, after all the planning, the last step is disclose the guidelines of the benefits policy for the company’s employees. This must be done clearly and objectively, so that there is no room for misinterpretation.

An efficient benefits policy brings countless advantages for everyone involved: employees feel more motivated and valued, while the company gains in productivity and competitiveness in the market.

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Conclusion

HR Consultant UK can help if you have any questions about Benefits policy: find out all about it!
. Our HR consultant in London can assist you if you live in London. Suppose you live further afield thats not an issue! Visit our HR Consultants Near Me page to find the best consultancy nearest to you.
See you next time!

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