Designing a competitive benefits plan can make your business stand out in a new labor market. With optimized employee benefits planning in Greece, your company can continue to grow and deepen employee engagement in the region.
Greece Compensation Laws
Your employee benefits plan contributes to your growth from recruitment to retention. If you design your program to compete with other companies in the market, your benefits can encourage job seekers to apply for your positions. Once you’ve developed your workforce, these provisions will improve morale and encourage employees to stay with your company.
Fringe benefits, or provisions not required by law, will make your business competitive. These can include:
- Meal allowance
- Supplemental Work from Home allowance
- Company cars
- Transportation stipends
- Supplemental insurance
- Gym memberships
Guaranteed Benefits in Greece
While supplemental benefits will make your company stand out, you have legal obligations to consider first. In Greece, employers must provide:
- Public holidays off
- Paid annual leave
- Social security contributions
- Paid maternity leave
- Work from Home allowance
Greece Benefits Management
As you create your benefits plan, be sure to consider your company’s financial resources and your employees’ needs. While these two factors may seem at odds with each other at times, it’s possible to find a balance with the right approach.
1. Think About Your Resources and Goals
Overextending your financial resources can limit your growth, so it’s essential to understand your company’s resources. Consider your expected revenue and expenses for the year and build a budget based on what you’re willing to spend.
It’s also helpful to assess your goals to determine how your benefits may work toward them. For example, if you want to focus on retention, you may opt for a smaller workforce with a more generous benefits package.
2. Research the Market and Learn About Employee Needs
You can only become competitive in the market if you understand it. Take time to research different companies in the area and the benefits packages they offer. The standards in a particular market or industry often inform what workers expect from employers.
To get a better understanding of employees and their needs, you can conduct interviews or distribute surveys. This process can help you choose benefits that will encourage job seekers to apply for your vacancies.
3. Create Your Benefits Plan
With everything you’ve learned, you can create a benefits plan that works with your company’s abilities and stands out in the market. Start by allocating funding to any required benefits, then use the remaining budget for some of the top provisions you learned about in your research.
Average Cost of Benefits
The cost of benefits varies widely between businesses because every employer offers a different plan. With factors like location, industry, and size affecting the benefits a company provides, an average cost wouldn’t be helpful for your approach to benefits spending. Instead, it’s best to create a benefits budget based on your unique needs.
How to Calculate Benefits
Some benefits calculations vary depending on the provision. You can take your total budget and divide it by the number of employees to distribute the funds evenly.
Other benefits may require more complex calculations. The labor laws offer guidance for required provisions, like social insurance contributions. Currently, employers must contribute 22.54 percent to social insurance, and employees are responsible for 14.12 percent.
How Are Employee Benefits Taxed in Greece?
Income tax laws recognize benefits as a part of employment earnings, and they should be treated as such. Employers are responsible for paying income tax through employees’ paychecks. Any tax calculations should factor in the value of provided benefits.
These additions to income can include cash bonuses and stipends. Some benefits might require a determined cash value, like a company car or gym membership.
Employee Health Benefits
Under Greece’s universal healthcare system, a mix of public and private providers extend free and low-cost access to residents. The social insurance institute covers many services within the health care sector, and contributions to this fund are mandatory. Employers are responsible for making social security contributions through employee paychecks and on workers’ behalves.
Private insurance schemes are not required in the workplace, though employers may choose to provide them to cover any expenses outside of the publicly funded system.
Choose G-P for Employee Benefits Planning in Greece
Contact us today to learn more about our competitive benefits planning for growing companies.