- Cloud-based platforms can enable employees across the globe to access benefits through a unified proposition.
- Availability of benefits will differ between countries.
- Employers should ensure that their benefits technology and chosen provider are able to support varying needs in multiple countries.
Benefex’s Evolution report: the employee edit, published in October 2023, revealed that while 14% of organisations have a single global platform for all employee benefits provision, another 72% are planning to implement one. With more employers looking to streamline their benefits offering to employees across the globe, how can technology help to offer a unified global benefits proposition?
Global benefits technology
There are a range of technologies that global employers can access to craft a unified benefits system. These can include management information dashboards, administration systems and personalised incentives powered by artificial intelligence.
Employers can also introduce platforms that offer integration with payroll systems, tailored user interfaces, and flexible and customisable benefit options.
Michelle Bishop, European team lead, multinational benefits and human resources consulting at Gallagher, says: “Technology is important to enable the strategic alignment of benefits globally to business objectives and provide C-suite and business decision makers with the transparent and consolidated reporting necessary to make faster, better informed decisions.”
Technology that delivers more relevant and personalised communications can help to engage workers and deliver an enhanced employee experience. Employers that want to offer interactions with providers and brokers should use effective and robust solutions.
Rebekah Haymes, head of digital solutions and delivery, health and benefits at Willis Towers Watson, says: “Transaction-based technology supports digital benefit enrolment, including scenarios where flexible or voluntary benefits are in place. Live, digitally produced dashboards are important to offering information that supports the management of global benefits programmes.”
Global benefits and obstacles
Crafting a global benefits strategy often includes employers working with global providers to offer common benefits, such as employee assistance programmes and digital wellbeing schemes.
However, a challenge that global employers face is how to provide consistent benefits to their employees in different regions. They may need to tailor part of their provision to each country they operate in due to regulatory issues and varying benefits norms and cultural differences from one country to another.
Employers will also need to be aware of the legislative needs of those countries to ensure compliance risks are mitigated, and local data protection regulations if personal employee data is involved.
“Examples where the regulatory environment imposes constraints on an employer’s benefits might include situations regarding same-sex dependent medical cover in countries where the law forbids it,” says Haymes. “However, some local legislations encourage the provision of certain benefits through tax incentives, such as flexible welfare benefits in Italy, or wellbeing benefits in Sweden.”
Depending on the local context, availablity of some benefits will differ, and be more or less desirable. Legal and cultural differences mean that remote working is not feasible everywhere, while some countries impose caps on overtime allowances, leaving some unable to fully capitalise on additional pay opportunities.
National insurance contributions can vary across countries and affect employees’ net income, says Calvin Mayo, chief technology officer at Alula Technologies. Tax regulations may influence savings plans, and legal barriers may restrict stock options or equity grants, as employee ownership rules differ by country.
“Employers need a platform that can handle these complexities and provide flexibility to tailor benefits to a diverse workforce,” adds Mayo. “A platform that is transparent, consistent and compliant with local laws and regulations can help achieve global benefits goals.”
Offering a unified proposition
Harnessing technology is a good way for employers to streamline and unify benefits administration. One example is cloud-based platforms, which enable diverse and distributed employees to access and manage their benefits with ease.
“Benefits administration involves multiple stakeholders who may vary for each benefit and region,” says Mayo. “This creates a complex and costly challenge for employers, which may resort to generic and uniform offerings. A platform that can streamline the benefits delivery, track the usage, and optimise the costs is essential for modern employers.”
Communication consistency will be key to global employers, even where benefits provision differs by country. Truly global technology not only supports multi-language capabilities but also local benefit types, funding methods and legislative requirements.
“Employers will be looking for technology that supports the in-country variances with a consistent style, ensuring that a common corporate brand and communication style is in place,” says Haymes.
Meanwhile, technology can also incorporate educational content, including video guides and frequently-asked questions, which can enhance the overall personalised employee experience.
“Technology also enables a greater view on the ability to roll out key initiatives and during times of crisis, such as pandemics or localised catastrophic events, allows employers to validate the protections in place to support employees’ wellbeing,” explains Bishop.
While implementing technology that provides benefits on a global scale can present challenges, it is an achievable goal for employers. A platform that can deal with complexities and offers flexibility to a diverse workforce can ensure a global benefits proposition is unified.