MetLife: Global Employee benefits trends
This article talks about the financial crisis of 2008-2009 along with globalization that has put a spotlight on the complexity of employee benefits. The current economic environment is forcing the private sector globally to analyze the cost and scope of the benefits it has provided to workers. There can also be large regional differences in what companies can expect to offer without jeopardizing their business goals/ profitability. This report also provides insight into the financial concerns, needs, habits and expectations of employees in each of these five countries. In this article they studied the trends of Australia, India, Mexico, The United ...view middle of the document...
In another chart about concerns of employees regarding retirement, India, Brazil, Mexico had the main concern of being able to afford health care in retirement age. The two developed countries are worried outliving their retirement money.
While these different markets have their difference, the study found common challenges faced by both sides. The challenges include: Increasing productive of workers, retaining employees, controlling health and welfare benefit costs, improving financial planning skills of employees and confronting the retirement issue head on. In the article one can see that high-growth and mature markets have different benefit objectives. The mature markets top concern is retaining qualified employees, while Australia, Brazil, and India want to increase either employee satisfaction or productivity.
Australia has the 13th largest global economy, with a GDP of 1.2 trillion dollars and $41,300 GDP per capita. It has a population of 21.7 million with a life expectancy of 82 years and median age of 37.7. Superannuation is the current system used to help finance employees’ retirement In Australia, 61% of employees haven’t done any planning for retirement. Which makes retirement clearly their biggest long-term financial concern. Employees at the age of 50; have an average of $52,500 in their retirement accounts. More than 90% of all employers are concerned with retaining employees, much higher compared to high-growth countries. Australia’s economic engine is buzzing again and the continent’s working population is confident that their financial lot will improve in the coming years.
Brazil has the 8th largest global economy, with a GDP of $2.02 trillion dollars and $10,900 GDP per capita. It has a population of 203 million with a life expectancy of 73.7 years and median age of 29. In Brazil the government pension are available for men after 35 years’ of contribution and 30 years for women. A worker is eligible to apply for benefits after the age of 65 for men and 60 for women. The main financial concern for the employee is enough money for children’s education, compared to the employers that have a 83% interest in increasing employee job satisfaction.
India has the 11th largest global economy, with a GDP of $1.4 trillion dollars and $3,400 GDP per capita. It has a population of 1.15 Billion with a life expectancy of 66.8 years and median age of 25 years old. Retirement benefits are regulated by a government-mandated employer benefit called the...