The flexible compensation It is a business model that has been in the market for many years; however, it continues to be a great unknown, both for companies and for employees. Also known as social benefits, it consists of a series of expenses that are exempt from taxation for workers. The company, for its part, can also take advantage of these advantages, especially when it comes to demonstrating to its staff that there is a concern for their well-being.
At a time when there is a lot of talk about talent, emotional salary and the importance of motivation to increase productivity, we want to know more about this flexible remuneration. To do this, we talk to Stanislas De Bourgues, CEO of Edenred Spainone of the leading companies in the market (and one of the oldest) in flexible remuneration.
MuyPymes: On the more psychological side, how do employee benefits impact motivation?
Stanislas De Bourgues: It has been proven that the social benefits have a direct correlation in the motivation of the employee, since he will tend to be self-motivated, work with greater enthusiasm and energy necessary to carry out his work optimally.
The benefits translate into greater job satisfaction, which results in greater productivity and less staff turnover. Also, in a better care of their daily experience in the organization, increasing their professional well-being and in an increase in their well-being, both physical and mental, thanks to a work environment that favors flexibility and autonomy.
Likewise, the benefits improve the quality of life of workers by facilitating aspects that are usually very important, such as meals, transportation or day care for their children.
MuyPymes: With the fiscal and regulatory changes that are taking place, are there any new developments in this sector for this year or are they still the same?
Stanislas De Bourgues: At the moment, and with the information we have to date, there is nothing new in this sector for this year, so conditions remain exactly the same as in 2022.
From the association of the sector, given the inflationary scenario that we are experiencing, with the prices of food and the daily menu on the rise, we have transferred to the Government the need to update the purchasing power of food vouchers from 11 to 13 euros per day , in line with the readjustments already carried out by other neighboring countries such as France and Portugal. The measure is intended to reduce the impact of these increases on the level of income of workers and that they can face the average cost of the menu of the day, which has increased by 10% over the last year.
MuyPymes: What is the most popular benefit among employees, according to your experience and why?
Stanislas De Bourgues: The most popular benefit among employees is the Ticket Restaurant for many reasons. First of all, because it is a classic of the company since through it we have been promoting restaurant consumption during working hours since 1976.
In addition, the irruption of flexible work models has not affected their use since, as the Social Chamber of the National Court ruled in a 2021 ruling, the implementation of teleworking should not imply the elimination of paychecks. food, since these are part of the worker’s salary.
We cannot forget that the Ticket Restaurant It represents an important economic advantage both for companies, for which it is 100% deductible from Corporate Tax, and for employees, who enjoy a personal income tax exemption of up to 11 euros per working day, generating annual savings of around 600 euros. .
Likewise, it is a social benefit that affects practically all workers, unlike others that depend on employees having children or traveling by car or public transport to the offices.
MuyPymes: In the case of the Ticket Restaurant, it is difficult to find affiliated establishments outside large cities such as Madrid or Barcelona. Do you have expansion plans?
Stanislas De Bourgues: It is true that most of our activity is centered in Madrid or Barcelona, since they are the cities with the largest population, not in vain, one in four Spaniards lives in their metropolitan areas.
However, Ticket Restaurant is also present in many other cities with a high presence, in places like Valencia, Vizcaya, Seville, Malaga or Zaragoza where it can be used in hundreds of establishments.
We currently have more than 40,000 associated restaurants throughout the Spanish geography, with a network that grows every day based on the demand of our users.
MuyPymes: You were recently appointed as the new CEO. What changes have you included in the company?
Stanislas De Bourgues: Edenred’s value proposition and positioning involves deepening the care of the human side of organizations and the implementation of social benefits that aim to care for the internal aspect of the company, talent management and mental health.
With my arrival as the new CEO of the company in Spain, I intend to promote the digitization and innovation of our services, in a framework in which workers demand more ways to promote personal and professional reconciliation and, for their part, companies are committed to implement strategies focused on improving employee well-being and talent retention.
MuyPymes: It seems that the Spanish economy is going to have a hard few months, how can products like yours help them to overcome this pothole?
Stanislas De Bourgues: In a context of inflation and uncertainty like the current one, flexible remuneration strategies are very effective measures to alleviate the pocket of employees. They will be able to allocate part of their gross salary to the consumption of different products or services, such as the Transport Ticket, the Nursery Ticket or the Restaurant Ticket.
Thanks to this type of product, workers can save by obtaining a higher net annual salary. The services that can be included in a flexible remuneration plan include catering up to 11 euros per employee per day; up to 1,500 euros per year in collective public transport services; 100% exempt from personal income tax in childcare and training services, and 500 euros per beneficiary per year in health insurance.
Likewise, with an average inflation of 8.4% during the year 2022 and a rise in salaries that stands at 2.8%, many companies are offering their workers the possibility of allocating 30% of their gross annual salary to services exempt from personal income tax, improving their net annual salary.
