Social Package – Effective Staff Motivation

In the modern labor market, companies face one of the main challenges of retaining qualified specialists. In this competitive environment, the social package becomes an additional bonus and an essential tool for motivating and increasing employee loyalty. For recruiters, understanding the importance of social guarantees will help them find the most suitable candidates and create attractive working conditions. Applicants, in turn, can use information about the social package as a guide when choosing an employer, which allows them to make a more informed choice. In this article, we will look at how a social package can become a compelling motivation for staff, as well as what elements of it are most valued in the labor market.

What is a social package for staff?

A social package for employees is a set of additional benefits, services, and benefits that an employer provides to its employees in addition to the basic salary. Such packages aim to improve working conditions, increase motivation and retain employees. Social packages may vary depending on the company’s policy, industry, and region but usually include the following components:
1. Health insurance
Often, employers provide their employees with health insurance policies that can cover the costs of medical treatment, routine checkups, and medications.
2. Life and health insurance:
Some companies offer insurance that provides financial protection for employees and their families in the event of an accident or severe illness.
3. Access to sports and wellness programs
This can include gym memberships, discounts on sports activities, or health improvement programs.
4. Flexible working hours, remote work
Working flexibly or remotely helps employees better balance their work and personal lives.
5. Compensation for transportation costs
Some employers provide compensation for travel to the workplace or provide corporate transportation.
6. Training and development
Support employees in professional and personal development through courses, training and seminars.
7. Additional vacation days
Some companies offer an extended vacation package or vacation days that can be used at the employee’s discretion
8. Corporate events
Participate in team-building events, celebrations, and other events that help strengthen team spirit and employee interaction.
9. Solution of the housing issue
Some companies pay for the rental of employees ‘ housing or provide places in dormitories.
A social package can significantly increase the attractiveness of an employer in the labor market, helping to attract and retain qualified specialists.

Types of social packages

Traditionally, each company must provide its employees with a minimum social package, which the state requires. In the job descriptions of companies that provide only the minimum social package, there may be phrases such as “registration in accordance with the Labor Code,” “payment for holidays and sick days,” “all guarantees established by law are provided,” and the like.

The minimum social package includes, in particular:

1. The employee has the right to leave six months after starting work. Earlier, parents who bring up two or more children under the age of 14 (a disabled child under 18), minor employees, part-timers, and some other categories of employees could go on vacation.
2. Labor leave every year for at least 24 calendar days. Labor leave is extended for public and non-working days and public holidays within the vacation period. When entering into a contract with an employee, they add up to 5 calendar days of vacation
3. Retention of the employee’s average earnings and previous employment during the vacation period
4. A break for rest and food (lunch break) during the working day of at least 20 minutes and not more than 2 hours, which is not included in working hours
5. For shift work, the rest period between shifts should be at least double the duration of the shift
6. Weekends every week, no later than six consecutive business days. A weekly continuous rest period should last at least 42 hours
7. Sick leave (temporary disability allowance) is paid for by the Social Protection Fund of the population, but sick leave sheets are submitted to the company’s accounting department. The accounting department is responsible for drawing up documents for payment and transferring them to the Fund. When an employee has at least ten years of work experience, sick leave is paid 100% of the average daily earnings from the first day of illness. When the employee’s work experience is less than ten years, the temporary disability allowance is paid to him in 80% of the average monthly earnings. However, in the amount of 100%, regardless of the length of service, the allowance is assigned to donors, parents of children under 14 years of age, and some other categories of employees
In Belarus, employers are not obligated to insure employees ‘ medical expenses (except for foreign employees), so the company’s provision of health insurance is part of the extended social package.
Timely wage payment does not apply to the social package. The state requires employers to guarantee this for employees. Words about timely wage payment in the job description can be a “red flag” for the applicant. It is worth asking for reviews about working in such a company and the professionalism of the recruiter.

Extended Social Package

In the job descriptions of companies that offer an extended social package, you may find the phrases “extended social package”, “health insurance for employees”,” travel compensation”,” compensation (partial payment) for sports activities”,” we provide accommodation ” and other phrases that make it clear that the social package will not be minimal. Employers are open to expanding the social package, as there are no rules and restrictions when forming it.

Usually, companies “include” employees with an extended social package after the end of the probationary period, not from the first day of work. However, there may always be other options. In some companies, employees are paid a certain amount immediately when applying for a job and provided with a hostel.

The company can set employees so-called sick days—the opportunity to stay away from work several times a year due to poor health or “social” days to resolve personal issues, during which employees retain their wages. Such components of the social package usually work in high-tech companies. In state-owned companies, such motivation of personnel is not accepted.

How does having an extended social package motivate staff?

An extended social package can significantly motivate staff for several key reasons:
1. Improving the quality of life
Providing health insurance and access to sports and wellness programs helps employees care for their health and well-being. This creates a sense of care on the employer’s part, which increases job satisfaction.
2. Financial security
Life and health insurance, medical expenses, and transportation expenses can provide employees with additional financial protection, which increases confidence in the future and reduces stress.
3. Work-life balance
Flexible working hours and the ability to work remotely help employees better cope with personal responsibilities and family issues. This, in turn, increases productivity and satisfaction.
4. Development and training
Investing in training and development helps employees develop their skills and careers, which increases their motivation and loyalty to the company. Such opportunities often demonstrate the employer’s interest in employees’ future.
5. Participation in the corporate culture
Corporate events and team-building events help create a positive atmosphere within the team, which strengthens team spirit and increases employee engagement.
6. Expression of appreciation and gratitude
The extended social package often serves as a symbol of recognition of employees’ merits and contributions to the company’s success. The perception that an employer cares about its staff can increase their motivation and dedication.
7. Competitive advantage
A friendly and supportive work environment created through social benefits allows the company to stand out in the labor market, attracting new talent and retaining existing employees.
In this way, the extended social package increases employee satisfaction and commitment and contributes to building a more productive and cohesive team.

What components of the social package are particularly valued in the labor market

The components of the social package that are most valued in the labor market may vary depending on the industry, region, and specific preferences of employees. However, some critical elements of the social package stand out as the most desirable:
1. Health insurance
The voluntary health insurance policy is highly valued because it gives employees confidence in receiving high-quality medical care.
2. Flexible schedule and remote work capability
The ability to work on a flexible schedule or from home is becoming increasingly relevant. This allows employees to better balance their personal and professional responsibilities.
3. Pay and bonuses
Competitive salary and a system of bonuses for achievements and work results are always important factors when choosing an employer.
4. Vacations and rest days
Additional paid and extended holidays and the opportunity to take sick leave without negative consequences are valuable components of the social package.
5. Training and development programs
Professional growth opportunities, such as training courses, advanced training courses, and mentoring programs, are essential for many employees seeking to develop their careers.
6. Pension programs
Employers who offer good retirement plans, including contributions to accumulative pension funds, show concern for the future of their employees.
7. Corporate events
Team trips, parties, and participation in sports competitions help strengthen the team spirit and create a positive atmosphere. Social policy may allow such activities to be carried out at the company’s expense.
8. Discounts and benefits
Employers who offer discounts on services (e.g., fitness clubs, cafes, and transport) add additional value to the social package.
9. Support for health and well-being
Mental health and psychological support programs and access to sports and wellness activities are in high demand.
10. Family support
Elements such as payments for kindergartens, parental leave, and family worker support programs are becoming increasingly relevant.
These components can significantly increase an employer’s attractiveness in the labor market and help retain talented employees. However, preferences may vary depending on demographic factors such as age, experience, and marital status of employees.