Embed Size (px)
Citation preview
INNOVATIVE BENEFITS TRENDS
SOLUTIONS: DEFINE, DESIGN AND GIVE (DELIVER).2013
¿WHO IS MARSH & MCLENNAN COMPANIES?A GLOBAL PROFESSIONAL SERVICES FIRM
Insurance Brokerageand Risk Consulting
ReinsuranceTalent ConsultingRetirement and
Investments
ConsultingServices
CONTENT
• What kind of lifestyles do we find in companies, and what are the humantalent trends in the workplace?
• What are companies doing in the region?
• Where are we now, and where are we heading, in terms of employeebenefits in Colombia?
• What benefit trends do we see in terms of generation and lifestyle?
WHAT ARE THE HUMAN TALENT TRENDS IN THE WORKPLACE
Led byMillennials
GrowingGlobalization
DemographicChanges
New ways ofworking
Migrant Rate: 2005, 8%; 2012, 10%
New foreign immigration to Colombia, forcing the creation of adjustablebenefits plans for different groups
Tools andTechnologies
Colombia Migration Profile 2012;Ministry of Foreign Affairs, DANE, OIM
WHAT ARE THE HUMAN TALENT TRENDS IN THE WORKPLACE
Led byMillennials
DemographicChanges
New ways ofworking
Marriage rate 1980, 7% 2014, 5.1%;Fertility rate 1980, 5,1% 2014, 2%;Living alone 1980, 4% 2014 12%
• The global population growth rate shall decrease by mid-century leadingto ¨Multigenerational Organizations¨
Tools andTechnologies
GrowingGlobalization
Colombia Migration Profile 2012;Ministry of Foreign Affairs, DANE, OIM
WHAT ARE THE HUMAN TALENT TRENDS IN THE WORKPLACE
Led byMillennials
New ways ofworking
Mobile internet : 2010, 11%; 2014, 52%
• Today, we speak about ICT professionals• Internet is becoming the axis of new productive networks in developed
countries
Tools andTechnologies
GrowingGlobalization
DemographicChanges
Colombia Migration Profile 2012;Ministry of Foreign Affairs, DANE, OIM
WHAT ARE THE HUMAN TALENT TRENDS IN THE WORKPLACE
Led byMillennials
New ways ofworking
Work is becoming more flexible
• Electronic information systems penetrate the workplace and createintegrating networks.
• New organization structures emerge, and employees acquire moreindependence.
• The trend is to use more Laptops instead of Desktops
GrowingGlobalization
DemographicChanges
Tools andTechnologies
¿WHAT ARE COMPANIES DOING IN THE REGION?MAIN STRATEGIC CHALLENGES RELATED TO EMPLOYEE BENEFITS
Source:: Worldwide benefit & employment guidelines Americas 2014
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
Benefits realted costs sustainability
Internal equity
Recognition and performance
Benefits spread and customized portfolio
Redesign value proposal to employees
Key talent attraction and retention
46%
54%
63%
75%
83%
88%
¿WHAT ARE COMPANIES DOING IN THE REGION?MAIN CHANGES IN EMPLOYEE BENEFITS PLAN PORTFOLIO
Source: Worldwide benefit & employment guidelines Americas 2014
No changes Implement or Increase Delete
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Benefits segmenting per organizational level
Increase plans contribution
Benefits plan aligned with market practice
Flexible benefits schemes
Add benefits to plan
93%
89%
81%
81%
77%
6%
9%
19%
18%
23%
1%
2%
1%
¿WHAT ARE COMPANIES DOING IN THE REGION?PREVALENCE OF EMPLOYEE BENEFIT PLAN PROGRAMS AND PORTFOLIOS
Fuente: Worldwide benefit & employment guidelines Americas 2014
Argentina
Brasil
Chile
Colombia
México
Perú
15% 65% 95% 41%
27% 90% 80% 5%12%
7% 60% 77% 8% 35%
4% 90% 89% 5% 25%
70% 95% 50% 20% 50%
4% 100% 90% 52%
Retirement AssistancePrograms
Personal Accidentsand Life programs
Health Plans
Flexible Benefits
Loans and Subsidies
Outstanding benefits: Flexible schedule 31%, teleworking 22%, child care 19%, shuttle buses 39%, snacks 32%,personal advisory services 44%
Source: Emotional salary and life quality survey 2014
QUESTION 1
INITIATIVES
¿Which of the following initiatives are you planning to implement inyour current employee Benefits portfolio?(check maximum two)
a. Add benefits to the plan (with or without company’scontribution)b. Adopt Flexible Benefits schemesc. Benefit Plans aligned with market practicesd. Increase contributions to planse. Freeze or lower the budget associated to benefitsf. Will not implement any initiative
¿WHERE ARE WE NOW, AND WHERE ARE WE HEADING IN TERMS OFEMPLOYEE BENEFITS IN COLOMBIA?SHORT TERM STRATEGIES IN COLOMBIA
Current benefitsplan diagnosis(financial anddemographic)
Gap analysisregarding sector
or country
Emotionalsalary
implementationin the valueproposition
Internalperception
survey
CommunicationPlan
Benefits designfor key talent
retention
GAP ANALYSIS REGARDING THE SECTOR OR COUNTRYPREVALENCE IN PORTFOLIO AND GRANTING MODELS
Corporatebenefits
related withinsurance
Health Plans(93%)
Vehicle policy(83%)
Funeral policy(91%)
Personalaccidents andlife insurance
(91%)
Integralhealth andwellbeing
Health andwellbeing
programs (89%)
Personal andfamily
psychology care(35%)
Entertainmentactivities paidby company
(32%)
Executivemedical
examination(36%)
Emotionalsalary (Life-
workbalance)
Flexibleschedule (51%)
Additional days(26%)
Free afternoonon birthday
(34%)
Home officeoccasional
(35%)
Tangiblecorporatebenefits
(monetary)
Company Car(59%)
Loans (30%)
Fund of Savings(34%)
Education aid(43%)
FlexibleBenefits (5%)
Employeeschoose benefitsfrom a portfolio
Wellbeing andHealthIntegral
Management(55%)
Synergies withsocial security
entities
Maximizationof Earnings
(81%)
Voluntarybenefits, funds
and cooperatives.
TraditionalBenefits
(90%)
All employeeshave access to abenefit according
to the policy
Source: Benchmark Beneficios 2013-2014
EMOTIONAL SALARY TRENDS IN COLOMBIA
Source: Benchmark emotional salary benefits 2014 (116 companies in Colombia)
25.86%
24.14%
7.76%
35.34%
30.17%
26.72%
50.86%
Yes No
EMPLOYEE VALUE PROPOSITION INCLUDING EMOTIONAL SALARY
Additional vacation time
Days off per year to solvepersonal issues
Permanent teleworking
Occasional teleworking
Leave work early on Fridays
Reduced work schedule
Flexible schedules
EMOTIONAL SALARY IMPLEMENTATION IN THE VALUE PROPOSITIONEMOTIONAL SALARY TRENDS IN COLOMBIA
Source: Benchmark emotional salary benefits 2014 (116 companies in Colombia)
0%
20%
40%
60%
80%
100%
Free time on birthday34%
Free time on birthday34%
Wellbeing programsand events
89%
Wellbeing programsand events
89%
Extendedmaternity/parenting
license %
Extendedmaternity/parenting
license %
Entertainment andrelaxation activitiespromoted and paid
by the company32%
Entertainment andrelaxation activitiespromoted and paid
by the company32%
Resting time afterwork travel
41%
Resting time afterwork travel
41%
¿WHERE ARE WE NOW, AND WHERE ARE WE HEADING IN TERMS OFEMPLOYEE BENEFITS IN COLOMBIA?MEDIUM AND LARGE TERM STRATEGIES IN COLOMBIA
Development ofSynergies with the
social securitysystem
Quantificationof total
compensationincludingbenefits
Benefitscustomization and
adoption of FlexibleBenefits model
Programoperation
outsourcing
Optimization andstandardization of
associatedprocesses
QUANTIFICATION OF TOTAL COMPENSATION INCLUDING BENEFITSTotal compensation model under Mercer concept
Basic salaryBasic salary Warrantedpayment
Warrantedpayment
Short termvariablepayment
Short termvariablepayment
Long termincentivesLong termincentives
Market AnalysisCOMPETITIVENESS
Business StrategyRESULTS
Attraction andRetention
LIFE QUALITY
BenefitsBenefits
BENEFITS CUSTOMIZATION AND ADOPTION OF A «FLEXIBLE BENEFITS» MODELHOW TO IMPLEMENT THIS GRANTING MODEL?
Traditional Benefits Flexible Benefits
GymSaving Plans Medical Plan (HCM)
Medical check up
Life insuranceFood coupons
Life-work Balance
Education Aid
Dental plans
A great investment, so that everyonehas the same benefits chosen by thecompany
A great investment where allemployees choose the benefitsthey want from a portfolio
BENEFITS CUSTOMIZATION AND ADOPTION OF A “FLEXIBLE BENEFITS” MODELHOW TO IMPLEMENT THIS GRANTING MODEL?
AA
Benefits Options
Health
AA BB
AA BB CC
AA BB CC
AA CC
AA BB
Insurance
Savings
Education
Wellbeing
New options
Benefits currently granted
CC
CC
Exc
hang
eabl
e
II IIII IIIIII IVIV vv
AA AA AA BenefitspackageBenefitspackage
Flexible Benefits
Fixed Benefits
BB
BB
CC
Benefits PlansAppreciation
Budgetary control(Packages from5% to 8% of the
salary)
Emotional salarysubjects inclusion(Prevalence 50%)
Benefits planconstant innovation(100% companiesadding annually)
Adjustment toemployee life stage
Key Talent
FLEXIBLE BENEFITS TRENDS IN COLOMBIA
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Vehicle policy
Savings for vacation
Gym
Assistance services to employee
Additional vacation time
Gas coupon
Food coupon
Savings plan
Dentist plan
Insurance related products (health, life, funeral)
20%
28%
32%
50%
50%
50%
50%
83%
90%
100%
BENEFITS CUSTOMIZATION AND ADOPTION OF A “FLEXIBLE BENEFITS” MODEL
QUESTION 2
STRATEGIES
Due to the conditions of your sector and the need to innovate employee benefitplans, what short, medium and long term strategies would you considerevaluating:(check maximum three)
a. Current benefits plan diagnosisb. Emotional salary implementationc. Communications pland. Quantification of total compensatione. Benefits Customization – Flexible Benefitsf. Outsourcing Benefits Program operation
WHAT BENEFIT TRENDS DO WE SEE IN TERMS OF GENERATION ANDLIFESTYLE?
Benefit /Generation
üWork-life balance(reduced work schedule)
üTime (messenger service andtime off for personal needs)
üFlexible schedule ( Occasional tele-working / reduced work schedule,Fridays, birthdays)
üImpact on Wellbeing(activities paid and directedby company)
Working place (room for breaks,and cafeteria)
üEmployee coaching and training
üPension and retirementplan re-advisory services
üAssistance with pension, taxation,and financial processing ü“Key” Talent program
üFinancial support
Benefit /Generation
üImpact on long termhospitalization and medicaleventsüRetirement convertibilityplansüMedical check-up
Health
üLow cost “Hotel” services andmodular plans, and improvement ofoutpatient services
üImpact on family unit and on homeservices(medical consultation at home /programmed consultation)
Generation YGeneration X
Emotional Salary(Intangibles)
Baby Boomers
Generation YGeneration XBaby Boomers
WHAT BENEFIT TRENDS DO WE SEE IN TERMS OF GENERATION ANDLIFESTYLE?
Benefit /Generation
ü Insured benefits withoption to convert (Life,serious illness andcatastrophic events policy)
üInsured benefits related tomedium and long term equity(Life, Home and Education)
üInsured benefits related toshort term equity (Car /Motorcycle / Pet)
üFuneral insurance üDental plans
Benefit /Generation
ü Food and gas couponsü Mutual / retirement fund
savingsü Savings plans with
impact on “natural”retirement gap
Monetary Benefits(tangible)
ü Food couponsü Education aidü Savings plans
(monetary)
ü Food and gas couponsü Education and housing aid
/ loansü Savings plans (specific)
Generation YGeneration X
Benefits related toInsurance
Baby Boomers
Generation YGeneration XBaby Boomers
CONCLUSIONS
• Today, employee benefit trends focus on enhancing the employee’svalue proposition through the creation of custom-made portfoliosdesigned for each type of population.
• Benefit plans seek balance between organizational objectives,budget and culture.
• The benefits strategy must be linked to the organizational and talentstrategy in such a way that it drives the generation of results for theorganization.
CONCLUSIONES
Este documento contiene metodologías, conocimientos técnicos, ideas, conceptos, técnicas, métodos de análisis, modelos, formatos, diseños, herramientas, material, y conceptos que son depropiedad de exclusiva de MERCER y MARSH sin restricción alguna. Por lo tanto, el contenido de esta propuesta no podrá entregarse, compartirse, distribuirse con terceras personas, niemplearse con fines distintos de los contemplados al momento que fueron proporcionados, sin que medie autorización previa escrita de Mercer.
