What are mandatory benefits in the context of employment?

Mandatory benefits are benefits that employers are legally required to provide to their employees. These benefits typically relate to social security and insurance, and employers often deduct the required contributions from their employees' salaries to fund these benefits.

What are some common types of mandatory benefits?

Common mandatory benefits include:

• Social security contributions: Payments made to government social security programs.
• Retirement benefits: Contributions to retirement or pension plans as required by law.
• Unemployment insurance: Funds allocated to provide financial support to employees in the event of job loss.

Can employees typically waive mandatory benefits?

In most cases, mandatory benefits are required by law and cannot be waived by employees. However, there may be exceptions where employees can opt out of specific benefits, such as retirement or health insurance plans, depending on local regulations.

How can companies with a global workforce manage mandatory benefits effectively?

Managing mandatory benefits for a global workforce can be complex due to variations in regulations and requirements across different countries. Companies facing these challenges may choose to use a global payroll payment platform. These platforms offer expertise in compliance and employ technology designed to handle, navigate, and automate the distribution of mandatory benefits in multiple jurisdictions.