There are three strategic approaches most employers consider after they’ve investigated the eight elements of a successful global benefits program. They are: a global benefits approach, a locally appropriate approach, or a locally appropriate approach that meets minimum standards. In this post we’ll review the aspects of the locally appropriate method. Note that it is vital that senior management agrees with the chosen approach up front before any work begins.
The Locally Appropriate Approach
When you take this route it means that a country specific benefit package is designed locally to match legal requirements and employee expectations.
The Up Side
- The benefits match local market needs.
- It is the most cost effective approach.
The Down Side
- This path is administratively complex.
- Globally, staff will be treated differently.
- Buying for small groups for some benefits in some territories can be challenging.
- Global culture programs could be undermined due to lack of consistency.
If you have questions about your global employee benefits program Asinta can help. Send your global benefits questions to us and we’ll put you in touch with the appropriate Asinta Partner.