Brazil: Employee Benefits: 2017 Trends and Perspectives
We recently posed a few questions to our Brazilian Partner SCIATH asking them to give us their in-depth perspectives on key issues concerning Brazilian employee benefits. Read on to learn about business and demographic changes, how to attract talent in the country, and what SCIATH sees coming in the future.
Business and Demographic Changes
Asinta – How have the continuing business and demographic changes in your country impacted the way employers approach benefits?
SCIATH – The first thing that employers take into account when implementing a benefits package here is the population they have or will have. Benefits to us mean quality of life and employers try to design it in a way that all the population is benefited.
Employers consider the locations of the employees in order to come up with the accredited network for health and dental plans. A benchmark is often created and analyzed to understand what the current norms for their particular industry segment are. The regions cost of living is also taken into account.
Attracting Talent
Asinta – Given the ongoing battle for talent, how have your clients effectively used benefits to compete for the best talent? Are you seeing any differentiation by industry or the size of the company?
SCIATH – Given the poor conditions of our public services, the Brazilian population gives great importance to benefit packages when applying for a new job. As a result, companies have been trying to improve their complementary benefits whenever possible by looking for ways to go beyond the basics.
Health and dental plans 100% sponsored by the company for employees and their dependents is a differentiator. A private pension scheme is also seen as a great way to recruit and retain talent. This is especially true for start-ups.
Going Forward
Asinta – What newer cost control or benefit delivery methods do you see your clients implementing in the next few years?
SCIATH – In order to control benefit costs and maintain healthy policies, companies are beginning to raise awareness about health among their employees. Some carriers even offer preventive actions for the company’s population such as health screenings so people who may be suffering from a chronic health issue, and don’t know it, can be seen at one of their clinics. By doing so, the company has a better understanding of their employee’s health, can do something to help, and can potentially influence utilization.