Pre-course - Module B
WHY EMPLOYERS SHOULD BOTHER: GENERAL INTRODUCTION ON IMPORTANCE FOR EMPLOYERS AND IMPLICATIONS
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Key questions
a) What is the role of employers in social protection?
b) How do employers and workers benefit from investments in social protection?
c) Why should employers’ organizations get involved in national dialogues on social protection?
Objectives
This module helps employers understand the importance of social protection, and namely social protection floors, in responding to the evolving needs of workers and enterprises. Specific emphasis is placed on social protection floors as an investment in people.
Take away messages
- Employers contribute to social protection in a variety of ways, and they directly or indirectly benefit from the social security system in different respect.
- Depending on the regulations set out in the national labour and social security legislation, employers are directly responsible for the payment of some benefits (employer liability), such as paid maternity leave or severance pay, paid sick leave, compensation in case of employment injury.
- Employers also play a key role in the financing and governance of social insurance (e.g. pension insurance, health insurance, unemployment insurance).
- Employers may also contribute to occupational pension funds and mutual funds, either on a mandatory or voluntary basis.
- Although employers are not directly involved in the financing and management of non-contributory social protection schemes, they indirectly contribute to the financing through the tax system.
- Many employers choose to provide additional benefits for their employees, realizing that these can attract skilled workers, increase productivity, reduce absenteeism, promote a healthier workforce, enhance workers’ skills through job-training and lower turnover rates by retaining trained employees.
- Employers benefit from investments into the social protection system through stabilized consumption and higher aggregate demand, higher productivity of the current and future workforce, the facilitation of structural change of the economy, among other factors.
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Johannesburg Workshop Maternity Protection Report 3 November 2014
Article "LOréal" (only available in French)
Social protection is an investment that pays dividends
Jose Moya on social security from the stakeholders
Maternity protection makes business sense (South Africa)
Activity: Social Protection Matrix - Reflect about social protection in your country