Social Security • Employer’s Philosophy • International HR Strategy

Defining the benefits of your expatriates and internationally mobile personnel depends on statutory Social Security implications and on your company’s own employment philosophy.

Social Security

As a general rule, it is the country of employment which determines the consequent Social Security obligations.

Regarding expatriates and internationally mobile personnel working worldwide, the Social Security of the host country will therefore apply and not the Social Security of the home country.

However in many parts of the world social security is lacking and public coverage is limited. Adequate protection is therefore essential for expatriates and internationally mobile personnel.

Employment philosophy

Every company is aware that Employee Benefits contribute to attract, retain, reward and protect an employer’s workforce, while affecting at the same time an employer’s image.

Employee Benefits are however non-statutory and are therefore solely defined by the employer’s own HR-philosophy.

It is important to be aware that any HR-requirement regarding International Employee Benefits can be met by one of the following solutions :

  • Group Insurances are always to be subscribed by the employer, but can either be employer-funded or employee-funded via payroll deduction.

  • Group Insurances can be subscribed for one single benefit up to all four benefits (Healthcare/Life/Disability/Pension)

  • The subscribed benefits by the employer can provide very different levels of protection, varying from basic up to generous indemnities, with a few or many contractual exclusions.

International HR Strategy

The subscription of an international group contract, whether for Life, Disability, Healthcare or Pension :

  • Reflects the level of protection defined and granted by your company as international employer

  • Enables the creation of sub-entities (subsidiaries & cost centers) and if required, also of separate employment categories with their specific indemnities (junior, senior, key local, …)

  • Covers each employee of your international workforce from 1st day of employment till last day of employment, with a notification flexibility of 90 days regarding personnel movements (joiners & leavers)

  • Provides more effective cover & cost solutions than domestic market group contracts

  • Pools your complete expatriate & internationally mobile workforce into one single contract, enhancing the transparency of annual claims statistics and facilitating renewal negotiations

  • Works as an implementation tool for your company’s International HR Strategy