Archives: Countries

The pages and information for specific countries where Asinta partners can be found.

Indonesia

Mandatory benefits

Mandatory employee benefits in Indonesia include:

  • JAMSOSTEK – Similar to Social Security for labor, this program typically provides benefits for death, accident at work/workers’ compensation, unemployment benefits, and a pension annuity plan.
  • BPJS KESEHATAN – Similar to compulsory health/hospitalization benefits, this allows inpatient and outpatient care to clinics and hospitals. This plan is usually called a managed-care program, and most benefits provide no limits. Still, individuals should follow procedures such as first seeking care from a GP and not going directly to a specialist.

Supplementary employee benefits

Medical

For many private sectors, due to growing demands from Indonesian employees and the expanding obligations from Manpower regulations, companies must implement high-quality employee benefit plans that promote the attraction and retention of qualified and motivated staff. At the same time, managing the spiraling costs of those obligations is necessary.

Term Life and Accident Insurance

These benefits are commonplace across many employment sectors and are relatively inexpensive benefits to put in place.

 

This information is provided by Howden Indonesia. If you need support with your employee benefits in the country please reach out to Asinta, and we will put you in contact with the local experts at Howden.

Nothing on this country page is intended to be legal, financial, or tax advice, and readers are advised to consult with their appropriate advisors regarding any legal, financial, or tax implications this information may address.

Ivory Coast

Mandatory Benefits

Retirement

The general civil pension system provides social protection to all civil servants, military officials, ex-temporary staff, ambassadors, and former members of the economic and social council in the country. The benefits include old-age pension, survivor pension, survivor grant, and disability pension.

Disability pension

Employees are entitled to disability benefits, which are calculated in the same way as old-age pensions. The minimum disability pension cannot be less than 50% of the minimum wage.

Survivor pension

The spouse is entitled to 50% of the old-age or disability pension. In the case of multiple widows, the pension is split equally.

End-of-career-allowance

Employers also provide end-of-career-allowance benefits, which an employee is entitled to when they resign, terminate their employment, or retire.

Workers’ compensation – disability benefits

Temporary disability benefits

Employees are entitled to a daily allowance, which is a variable percentage based on the disability’s length.

Permanent disability benefits

Employees are entitled to a monthly total disability pension equal to 100% of their annual earnings in the case of 100% disability.

Workers’ compensation – death benefits

These benefits include a spouse’s pension, a remarriage pension, an orphan’s pension, and some coverage for funeral costs.

Healthcare

Universal Health Cover (Couverture Maladie Universelle – CMU)

CMU is the universal health insurance in the country and covers the entire citizen. It is funded via employer-employee contributions and covers all salaried employees and their dependent family members. Additionally, the government provides benefits for economically weak people in the country.

Supplementary Benefits

Retirement

A few large employers provide supplementary retirement benefits (defined benefit contributions) to their employees through group retirement savings insurance. Employers’ and employees’ contributions are usually determined by the collective agreement, depending on employees’ wages.

Healthcare

Employers provide health benefits in the event of illness or accident through group health insurance plans. Few plans provide worldwide coverage. Expats are recommended to obtain coverage of group medical plans that offer emergency evacuation services, as the country lacks medical technologies.

For more than 10 years, Groupe ASCOMA has developed proven solutions to manage healthcare expense reimbursement for employees. Our solutions meet the expectations of Ivorian companies and employees, which is access to a third-party payment system for medical services.

With the ASCOMA Health Card, companies and individuals are covered
for all current expenses (optical, dentistry, pharmacy, consultations,
hospitalization, etc.).
Today, ASCOMA Ivory Coast’s third-party healthcare network has expanded throughout the country, providing our clients with optimal access to healthcare. The Ivory Coast Insurance Companies Association (ASACI) has issued a press release on the increase in the rates of clinics and doctors in the private sector as of July 1st, 2018.
This is a unilateral decision taken by some unions of clinics and practitioners and rejected by insurers. In cases where this increase is implemented, you would have to directly pay the difference in costs. Negotiations between the parties are underway to find a solution.

Disability

Short-Term Disability

Employers provide short-term disability benefits through group personal accident insurance plans. Employees are typically entitled to a lump-sum payment. A few employers also provide annuity payments.

Long-Term Disability

Employers provide long-term disability benefits resulting from an
accident or illness through group life insurance plans. Employees are typically entitled to a lump-sum payment. A few employers also provide annuity payments.

Death Benefits

Employers provide death and funeral expense benefits through group life insurance plans. The plan provides coverage for death and absolute and definitive disability. The employers provide death benefits due to any cause in the form of a lump-sum payment or multiples of the salary. A few employers also provide annuity payments.

Accidental Death & Dismemberment

Employers provide accidental death and dismemberment benefits through group personal accident insurance plans. The plans provide worldwide coverage.

 

ASCOMA provided this information about employee benefits in the Ivory Coast. Should you need support with your benefits in the country, contact Asinta, and we will put you in touch with the experts at ASCOMA.

Nothing on this country page is intended to be legal, financial, or tax advice, and readers are advised to consult with their appropriate advisors regarding any legal, financial, or tax implications this information may address.

South Africa

Mandatory employee benefits in South Africa

All employers and employees must contribute an equal 1% and 1% to the UIF. As of 1 June 2021, the maximum earnings ceiling is R17 712 per month or R212 544 annually.

Holiday Pay

All workers are legally entitled to 21 days of consecutive paid holiday per year or 15 days in the case of 5-day work weeks.

 

Supplementary Employee Benefits in South Africa

Retirement

The government-funded old-age grant is largely insufficient, and therefore Employer-based retirement funding is highly encouraged and greatly valued by employees. When an employer sets up a fund, membership in the fund is compulsory for all employees within a specified class or category. The most popular type of fund is a defined contribution fund, inclusively priced for risk benefits, admin fees, and other costs.

Healthcare (Medical Aid & Medical Insurance)

The public healthcare system in South Africa is overburdened, under-resourced, and largely mismanaged, leaving patients exposed and at risk. Most employed South Africans therefore seek private healthcare cover, a highly valued benefit. The most valued benefit by employees. Medical Aid is a community-rated and legislated product. This is, by a large margin, the best way to get access to private healthcare. Medical Insurance is a significantly lower level of cover and is treated and priced as an insured product. Typically reserved for lower-income earners.

Life & Disability

Typically, group life insurance schemes include lump sum benefits in case of death and disability and usually amount to a multiple of each employee’s salary.

Health and Wellness Benefits

Employee Assistance Program (EAP) – services include trauma counseling, financial management, legal support, and access to trained psychologists to assist with stress and burnout.

Healthy Lifestyle and Rewards

An add-on benefit offered by some leading medical scheme providers. These plans are geared at helping members live a better, healthier, and happier life. Members earn great rewards, discounts, and cash back when they improve their health, safety, fitness, and finances. The benefit is generally offered by employers on a voluntary basis to members and paid for by the employee.

 

Tennant provided this information on employee benefits in South Africa. If you need support with your benefits program in the country, contact Asinta, and we will put you in touch with the experts at Tennant.

 

 

 

Dominican Republic

Mandatory Benefits

Employers must provide the following benefits to their employees:

  • Occupational risk insurance – covers any bodily injury or serious condition suffered during the time and in the workplace.
  • Vacations/PTO – employers have the obligation to grant every worker an annual vacation period, with pay, of 14 working days. 
  • Pension contributory regime – includes public and private salaried workers and employers, financed by workers and employers. 

 

Supplementary Benefits

Generally, benefits offered to employees by their employers include the following:

  • Health insurance (which employees most value)
  • Dental insurance
  • Life and disability insurance
  • Last expenses to cover funeral services incurred due to the insured person’s death.

 

Perks

  • Common perks in the Dominican Republic include the following:
  • Transportation allowance
  • Free transportation 
  • Food 
  • Vacation 
  • Travel insurance
  • Telecommuting
  • Housing for expatriates

 

FARO provided this information about employee benefits in the Dominican Republic. If you need support with your employee benefits in the country, contact Asinta, and we will put you in touch with the experts at FARO Insurance Brokers.

Nothing on this country page is intended to be legal, financial, or tax advice, and readers are advised to consult with their appropriate advisors regarding any legal, financial, or tax implications this information may address.

El Salvador

Mandatory Benefits

Employers in El Salvador must provide certain employee benefits to comply with current labor law. Meeting these requirements is essential to ensure the welfare and protection of workers.

  • Registration at the Salvadoran Social Security Institute (ISSS) – The employer and employee must register with the ISSS.
  • Presentation and payment of ISSS forms – The employer must submit monthly, through the OVISSS platform, employees’ salaries, overtime, and vacations for the respective payment of their contributions.
  • Registration in AFP Crecer and AFP Confia – Employers and employees must be affiliated with a pension fund administrator. Each party can choose their administrator for their contributions and savings management.
  • Payment of pension contributions – Employers and employees must pay contributions under the Pension Savings System Act. The contribution rate goes up to 13% of the contribution base income. Of the total, 10.3% will go to the affiliate’s individual savings account for pensions, with a contribution of 6.25% from the worker and 4.05% from the employer.
  • Working holidays – Employees have the right to a paid rest period after working continuously for one year in the same company or establishment. Male and female workers are entitled to a holiday period of fifteen days. During this time, they will receive the basic salary corresponding to those days, plus an additional 30%.
  • Aid in case of death of the worker – Employers must immediately give dependents (in the order listed in the contract) an amount equivalent to 60 days of basic salary.
  • Paid Time Off – El Salvador has a variety of mandatory leaves, including for sickness or common accidents, maternity, paternity, studies, bereavement, and marriage.
  • Pension – Employers and workers pay contributions under the Pension Savings System Act. The contribution rate is up to 13% of the contribution base income. Of the total, 10.3% goes to the affiliate’s individual savings account for pensions, with a contribution of 6.25% from the worker and 4.05% from the employer.

Supplementary Benefits

In El Salvador, many employers go beyond the benefits established by law to retain their employees and create a positive work environment. They include the following:

  • Medical and dental insurance – Some companies offer private health insurance to employees, providing access to health care services in addition to those offered by public institutions. The plans are personalized and cover everything from check-ups to complex procedures.
  • Life and disability insurance – Costs vary depending on employees’ age, medical history, and health status.
  • Auto insurance – Some employers pay a percentage of the premium, easing the financial burden on the employee and providing safety and peace of mind in the event of accidents.
  • Relocation costs
  • A flexible schedule or working from home
  • Additional vacation days
  • Professional development
  • Performance bonuses
  • Wellness programs
  • Shopping discounts

 

This information about employee benefits in El Salvador is provided by BeSafe, Asinta’s Partner in the country. If you need support with your employee benefits in El Salvador, contact Asinta, and we will put you in touch with the experts at BeSafe.

 

Nothing on this country page is intended to be legal, financial, or tax advice, and readers are advised to consult with their appropriate advisors regarding any legal, financial, or tax implications this information may address.

Philippines

Mandatory Benefits

There are several mandatory employee benefits in the Philippines that employers are required to provide to their employees. These benefits include the following:

  • Social Security System (SSS): This program provides social security protection to private sector employees, self-employed individuals, and voluntary members. It covers retirement, disability, sickness, maternity, and death benefits.
  • PhilHealth: The Philippine Health Insurance Corporation (PhilHealth) is a national health insurance program providing members with medical coverage and benefits. Employers and employees contribute a portion of their salaries towards PhilHealth.
  • Pag-IBIG Fund: The Home Development Mutual Fund, also known as Pag-IBIG Fund, is a government-mandated savings program that helps Filipino workers secure housing and provides short-term loans. Both employers and employees contribute to this fund.
  • Employees’ Compensation Program (ECP): The ECP provides benefits and compensation to employees who suffer work-related injuries, disabilities, or death.
  • 13th Month Pay: This is a mandatory benefit wherein employees receive an additional month’s salary, equivalent to 1/12 of their basic salary. It is typically paid in December.
  • Service Incentive Leave: Under the Labor Code of the Philippines, employees who have rendered at least one year of service are entitled to a minimum of five days of paid service incentive leave per year.
  • Holiday Pay: Employees are entitled to additional pay when they work on regular or special non-working holidays as designated by law.
  • Maternity Leave: Female employees are entitled to a minimum of 105 days of paid maternity leave for childbirth, with an option to extend for an additional 30 days without pay.
  • Paternity Leave: Male employees are entitled to seven days of paid paternity leave for the birth of their child.
  • Retirement Benefit – Under RA 7641, retirement is a mandatory benefit set with a retirement age of 60 and 65 years old and employed for five (5) years. A retiring employee shall be entitled to retirement pay equivalent to at least one-half (1/2) month’s salary for every year of service, a fraction of at least six (6) months being considered one whole year.

Supplementary Benefits

Other Supplementary Benefits in the Philippines provided by the employers, the following:

  • Group Life & Group Personal Accident Programs – from a minimum of 24 times to 48 times monthly basic salary and/or based on lumpsum amount.
  • Total & Permanent Disability Benefits – Total and Permanent disability benefits are equivalent to GLI and GPA benefits. It can be provided on lumpsum payment once the insured member is permanently disabled and cannot perform his work.
  • Critical Illness – Critical Illness cover is a rider attached to Group Life Policy. However, most life and non-life insurance providers are now covering a stand-alone policy to cover such numbers of critical illnesses.
  • Group Medical – Employer Contribution & Co-Sharing, one hundred percent (100%) of the related company respondents fully subsidize the employees’ medical coverage premium.
  • Maternity Benefits –This is usually not a typical benefit provided in the general market. Although, some of the multinational companies and local employers are covering maternity benefits.
  • Dental – Dental benefit is common and part of the medical rider benefits.
  • Vision – Optical is not a typical benefit provided in the market. Some companies may provide this through self-administered programs with a corresponding benefit per employee.
  • Business travel insurance – Employers normally purchase group travel insurance for those employees traveling on business on their behalf.

Flexible employee benefit arrangements

Flexible benefits, also known as cafeteria-style benefits or flexible spending accounts, are not yet widespread in organizations in the Philippines. While some companies may offer flexible benefits, they are still relatively less common than traditional benefits packages. On the other hand, additional benefits provided through flexible benefit programs may be subject to tax.

Common Perks

Varying percentages of multinational companies may offer the following perks to senior executives, middle managers, and clerical and administrative employees. 

Family-related allowances

  • Subsidized lunches/canteen
  • Luncheon vouchers
  • Club memberships
  • Professional organization membership (for senior executives only)
  • Low-cost loans
  • Educational assistance
  • Relocation and a rice allowance (around 10 sacks each year)
  • Mobile phones (for senior executives and middle managers only)
  • Clothing/uniforms (for clerical and administrative staff only)

 

Howden Philippines provided this information about employee benefits in the Philippines. If you need support with your benefits program in the country, contact Asinta, and we will put you in touch with Howden.

Nothing on this country page is intended to be legal, financial, or tax advice, and readers are advised to consult with their appropriate advisors regarding any legal, financial, or tax implications this information may address.

Taiwan

Mandatory Benefits

Taiwan’s social security schemes include the following:

  • Labor Insurance (LI) – maternity, injury or sickness, disability, old age, and death benefits.
  • Employment Insurance (EI) –Unemployment benefits are separate from LI, and EI has its own legal foundation.
  • National Health Insurance (NHI) – Covers all medically necessary services, including inpatient, outpatient, dental, traditional Chinese medicine, and nearly 20,000 prescription drugs. Contributions come from the employee, employer, and the government.
  • Labor Pension Act (LPA) – Employers must contribute to the central labor pension fund, which is portable when an employee changes jobs.

Supplementary Benefits

Common insured group benefits include the following:

  • Death Benefit – usually is term life, or accidental death and dismemberment
  • Critical Illness – covers 7 kinds of critical illness
  • Medical Insurance –coverage can be for accidental medical (AMR), hospital & surgical (H&S), and cancer indemnity
  • Occupational Hazard –covers the gap between the Labor Standard Act
  • (LSA) and labor insurance (LI). When work-related incidents occur, LSA states that the employer has a certain liability, calculated with the employee’s actual salary.

Perks

Taiwanese employers offer a variety of perks to their employees and include:

  • Car and transportation allowances
  • Meal allowances or subsidized eating facilities
  • Mobile phone
  • Employee loans (rare)
  • Services awards
  • Education allowance
  • Shopping discounts

 

WISE provided this information about employee benefits in Taiwan. If you need support with your benefits in the country, contact Asinta, and we will put you in touch with the experts at WISE.

Malaysia

Most employers provide healthcare benefits for their employees and the benefit in Malaysia is predominately tailored to each employment sector.  Multinational companies, financial sectors and larger companies are progressive in the level of benefits they offer to their employees to remain competitive in the market.

Mandatory and supplementary employee benefits in Malaysia include a social security scheme, employment insurance, and a retirement fund. Common supplementary employee benefits include medical, life, disability, and personal accident insurance.

Mandatory Benefits

There are three mandatory employee benefits in Malaysia which include the following:

Supplementary Benefits

The following supplemental employee benefits are common for Malaysian employers to offer.

  • Inpatient benefit – offered as part of the benefits package, which may include dependent cover. Employee coverage can extend up to the age of 70 years old, while child coverage is up to 23 years of age if still pursuing full-time education.
  • Outpatient benefit – forms basic medical insurance benefits. General practitioner and specialist benefits are typically offered under this coverage.
  • Life & permanent disability insurance – provides a lump-sum payment to the employee’s beneficiary in the event of death and permanent disability. Employers may opt to have a fixed sum assured or based on multiples of salary.
  • Critical Illness insurance – provides a lump-sum payment if a member has been diagnosed with a covered critical illness.
  • Personal accident insurance – provides a lump-sum payment to the employee’s beneficiary in the event of death and permanent disability due to accidental causes. Employers may opt to have a fixed sum assured or based on multiples of salary.
  • Dental / Optical/Maternity benefits – Provides routine and major dental, optical, and routine maternity benefits. Insurers will be able to quote for these benefits if the employee headcount is more than 100.

Wider Benefits Provision (Perks)

There are several additional benefits in kind other than the salary package offered by employers in Malaysia, which typically include the following:

  • Company cars ­– these benefits are often offered to the top management level.
  • Training & development – This may include access to on-the-job training, workshop, or certification programs.
  • Retirement – Employers may offer additional retirement benefits in the form of pension plans or retirement savings.
  • Wellness – health screening program
  • Flexible benefits – Employees can select several types of benefits from a menu, most of them being tax efficient. Almost a third of employers provide some form of flexible benefits as part of their program.
  • Employee Assistance Program (EAP) – EAPs are designed to provide employees with support for personal and work-related issues, such as mental health counseling, financial advice, and legal assistance.
  • Childcare subsidies – Childcare subsidies are designed to assist working parents who have young children and may need help with the expenses associated with childcare.
  • Mobile phones – It’s common for staff to have mobile phones allocated to them at the expense of the company; around 97% of companies will allocate a mobile phone to staff, particularly for those employees in client-facing roles.
  • Flexible working arrangements – Post the COVID-19 pandemic, it is now common for organizations to have a Flexible Work Policy in place, which allows employees to have a hybrid work model that supports a blend of in-office and remote working. It offers employees the autonomy to choose to work however they feel they are most productive.

 

UOB Kay Hian Wealth Advisors provided this information about employee benefits in Malaysia. If you need support with your benefits in the country, contact Asinta, and we will put you in touch with the experts at UOB KHWA.

Nothing on this country page is intended to be legal, financial, or tax advice, and readers are advised to consult with their appropriate advisors regarding any legal, financial, or tax implications this information may address.

Costa Rica

In Costa Rica, 33% of the total premiums are property & casualty insurance, 36% personal insurance, and 31% compulsory insurance such as workers’ compensation insurance and SOA. Employee benefits account for US $67 million in insurance premiums and life insurance for US $112 million as of April 2023. Corporate voluntary (personal) medical insurance is the most desirable benefit. State-provided medical care is insufficient, and corporate insurance gives employees access to private medical clinics and hospitals. Most companies offer this benefit to attract and retain talent. As of April 2023, the insurance market grew by 6%, and Costa Rica’s currency appreciated by 7% in 2022.

 

Mandatory employee benefits

Costa Rica has five mandatory employee benefits:

  • Compulsory health insurance – through the social security system with 29 public hospitals
  • Accident insurance – covering accidents happening at work (during working hours)
  • Pension insurance – funded through employers’ contributions to the State Pension Fund (I Pillar)
  • Statutory leaves and allowances, ­ annual leave, sick leave, maternity leave, parental leave
  • Additional days off – additional days off for those who work on weekends or public holidays, or pay for this work must be doubled

 

Supplementary employee benefits

  • Group Life Assurance / Death-in-Service Schemes – Many employers, primarily multinationals, would provide this benefit as it tends to be one of the most cost-effective, there is a 2% tax implication for the employee on the premiums, and it is of significant value as a protective measure should an employee pass away and leave their financial dependents burdened by debt or considerable loss of household income. The sum generally depends on the sector but could be a fixed amount or 1x to 3 x annual base salary. These schemes are established under trust, and the benefit can be paid quickly and outside of probate. The insured amount is usually in US dollars and includes coverage as advances for funeral expenses and in cases of grave illness.
  • Group Medical – Private medical insurance is the most popular benefit. It can be paid partially or in full by the employer, and some include coverage for dependents and direct family. Employer-paid premiums are subject to 2% taxation. There are seven providers in the Costa Rican market, and plans require at least 5 employees. Coverage includes outpatient treatments, hospitalizations, maternity, preventive medicine, dental insurance, telemedicine, home visits, psychologist, and nutritionist.
  • Group Dental – Dental insurance is available in Costa Rica. It is usually offered by companies who want to be in the 75 percentile of offerings and have a more attractive employee benefits program. Costs begin at US$ 7 per employee per month, and coverage is subject to benefit-in-kind taxation of 2%. Interest in this insurance has been slowly growing with domestic companies and is mainly offered to the manager level.

 

Perks

The most diverse employee benefits in Costa Rica are typical of the IT, tech, pharma, and medical devices, for example), where you should be able to offer a little more than others in your field to be an attractive employer.

Although the list of common perks in Costa Rica is quite long, the most popular ones are education and service awards (not to mention mobile phones and meal vouchers, which are taken now for granted).

  • Mobile phones – many multinational companies provide mobile phones to all employees for business and private use
  • Meal vouchers – many multinational companies provide meal allowances/vouchers for employees (~$150)
  • Workplace Canteens – include catered lunches for employees; large employers often have an onsite cafeteria with discounted food prices
  • Additional vacation – 5 extra days of vacation for employees with 5 years of tenure and 10 additional days for employees with 10 or more years of tenure
  • Transportation – from home to the office
  • Work from home – hybrid work; 2 days at the office and 3 days at home
  • Gym memberships – popular with companies whose average employee age is under 30 (such companies sometimes prefer gym membership benefits to group medical insurance)
  • Company cars – provided to all or some executives, senior managers, or employees who must travel a lot for work (e.g., sales representatives)
  • Home rental – for CEO and ex-pats
  • School allowances – for CEOs and ex-pats

 

Confia, Asinta’s employee benefits consulting partner in the country, provides this information about employee benefits in Costa Rica.

Nothing on this country page is intended to be legal, financial, or tax advice, and readers are advised to consult with their appropriate advisors regarding any legal, financial, or tax implications this information may address.

New Zealand

Mandatory employee benefits in New Zealand

There are two key employee benefits in New Zealand that are mandatory.

  • Retirement – KiwiSaver is a voluntary savings scheme available to every employee between the ages of 18 and 65 in New Zealand. Its purpose is to help set employees up for retirement. Legally employers must contribute at least 3% of an employee’s gross wage or salary (subject to ESCT) to their KiwiSaver.
  • Accident Compensation Scheme – New Zealand provides accident insurance cover for accidental injuries to New Zealand citizens and residents, and to temporary visitors to New Zealand. This is a “no-fault scheme,” and coverage applies regardless of who caused the accident/ injury. The aim is to provide tailored support, such as treatment and rehabilitation costs, to get individuals back to everyday life. This scheme is managed by the Accident Compensation Corporation (ACC).

Supplemental employee benefits in New Zealand

  • Group Life/ Total Permanent Disability (TPD) Insurance – Companies that operate in highly competitive sectors in New Zealand, such as technology, financial and professional services, and pharma, will commonly offer a structured group life/TPD insurance plan to their employees. This cover is highly valued by employees and provides a protective measure for an employee’s family, in the event they pass away. The formula of cover is based on a multiple of salary for group life/TPD cover, and the upper quartile approach would be 3-4 x annual salary, which is 100% funded by the company.
  • Group Income Protection (Salary Continuance) – Companies that operate in highly competitive sectors in New Zealand, such as technology, financial and professional services, and pharma, will commonly offer a structured Group Income Protection insurance plan to employees. This is a benefit that is extremely meaningful to employees as a means of providing a replacement income if they were to be injured or fall ill and are unable to continue in their role. The formula of cover is always 75% of the annual base salary. The waiting periods and benefit periods will depend on plan competitiveness. The upper quartile approach would be a 30-day waiting period, with a 5-year up to age 65-year benefit period, which would be 100% funded by the company.
  • Group Private Medical Insurance – All New Zealanders have access to the Public Health System in New Zealand, which provides cover for medically necessary inpatient and outpatient services at public hospitals, hospital care for accidents, and maternity care. It is common practice for companies in highly competitive industry sectors, such as technology, financial and professional services, and pharma, to offer structured group private health insurance as an employee benefit. Levels of cover will depend on plan competitiveness; the medium quartile approach is often a plan that includes a base hospital cover, which provides high levels of cover for many of the major healthcare expenses. Companies can then add a range of different options to further tailor the policy, including additional components such as serious condition lump sum, specialist options, dental and optical options, as well as a GP option. Companies will often adopt a co-contribution model where the company funds 100% of the employee cover and 75% of the cost of family cover (spouse and dependents). When looking at an upper quartile approach, a more comprehensive offering typically occurs where 100% of the cost is fully funded by the company for employee and family cover.
  • Holistic Wellbeing Solutions – There has been an increasing trend for companies to provide comprehensive wellbeing and support solutions to their employees to look after their overall physical, mental, financial, and social wellbeing. The variety of unique and tailored wellbeing programs that can be implemented is extensive and will vary depending on a company’s overall wellbeing and engagement strategy.
  • Employee Assistance Program (EAP) – It is common practice for companies to offer a structured EAP for all employees. EAPs have evolved into digital care platforms, where employees have 24/7 access to personal care and support from qualified counselors, practitioners, and specialists through an app with options for chat boxes or calls. EAP services now have strong data, analytics, and reporting capabilities for companies to understand employee health trends and adopt unique benefit strategies to respond to the needs of their employees. Other common wellbeing solutions include annual flu shots, annual health and skin checks, mole mapping, health and wellbeing days, mental health seminars, and financial wellbeing content and support.

Common employee perks

  • Learning and development programs – It’s common for companies to support their staff in continued education in relation to their current role. The median leave policy for Study Leave is 5 days of paid leave and 5 days of unpaid leave. Only around 4% of companies offer unlimited unpaid leave for learning and professional development.
  • Additional leave options – The additional leave options we are seeing being offered are charity-work leave, celebration leave, additional (to unlimited) holiday leave, and domestic violence or bereavement leave – if required. The majority of companies are providing the minimum statutory requirements, and only 10% of companies are looking at offering any form of additional leave.
  • Extended parental leave – Approaches to paid parental leave differ significantly between employers and industry sectors. Organizations will be required to provide the minimum statutory requirements in this space, with 10% of companies offering some form of additional paid parental leave. Recently we are seeing the evolvement of parental leave policies to include more beneficial options for primary and secondary caregivers, as well as increases in the length of paid leave being offered.
  • Flexible working arrangements – Post the Covid-19 pandemic, it is now common for organizations to have a Flexible Work Policy in place, which allows employees to have a hybrid work model that supports a blend of in-office and remote working. It offers employees the autonomy to choose to work however they feel they are most productive.
  • Business travel insurance – It is common practice for companies to have a travel policy in place for their employees. This may cover either domestic travel, overseas travel, or both. It is common for companies to provide this for business-only travel, while some companies will include additional leisure travel to provide a more comprehensive benefit to employees. This is especially true for companies where employees travel regularly for work.
  • Lunch/ beverages allowance – a limited number of companies are offering onsite lunches Monday-Thursday, in an attempt to get employees back into the office more often and increase company engagement.
  • Mobile phones – It’s common for staff to have mobile phones allocated to them at the expense of the company. Around 97% of companies will allocate a mobile phone to staff, particularly for those employees in client-facing roles.

 

Nothing on this country page is intended to be legal, financial, or tax advice, and readers are advised to consult with their appropriate advisors regarding any legal, financial, or tax implications this information may address.