Enhancements to Social Security Benefits by Employers
Forms of compensation, instead of a periodic benefit.
b. – Death and Survival, and Benefits for Other Family Members. It is the same as in the previous section, i.e., the legal amount of pensions for widows, orphans, or for family members may be increased as a voluntary improvement, which assumes payment by the employer. But compensation can also be given, rather than supplements to benefits.
c. – Temporary Disability. In the case of professional contingencies, the improvement consists in the payment of a supplement to the mandatory provision in excess of 75% of the base, which would be borne by the company. Collective bargaining usually sets a higher percentage, for example, 80 or 90%, or in other cases, you can even expect to pay a supplement of 100% of salary to be charged should not be disabled. In the event of a non-occupational accident or disease, voluntary improvement may consist of benefit payments during the early days under the legislation; there is no obligation to perceive. It can also involve increased provision supplemented the legally established rate. This plugin runs entirely by the company, and its execution can be limited to a few months of low for such contingency or spread throughout the length of time in that situation.
d. – Aid to Retirement. These may be:
- Incentives for early retirement: Assign a monetary amount to the worker who chooses to advance their normal retirement age.
- Retirement aid: Consisting of cash consideration allocated at the time of retirement, regardless of the age at which the worker retires, even when taken as a reference for calculating the number of years worked and the amount depends on them.
- Periodic supplements to the provision for retirement: These are regular amounts, which are calculated by reference to the pension or whose structure is similar to the pension established by the protective action of social security, to which they are closely linked.
The purpose is different in each case: while the first is to encourage early retirement and can be viewed as a measure to promote employment, the second purpose is to reward employees’ loyalty to the company, i.e., reward services provided or offset the cost that can result in the change from active to passive in the company. Finally, periodic supplements linked to the basic performance of the Social Security retirement, its purpose is to ensure that the replacement income is as close as possible to what the worker had in activity. Financial amounts are often established in a lump sum upon retirement, which can
e. – Allowances Related to Various Social Security Allowances. Collective bargaining can establish compensatory amounts that complement those already established by social security in certain circumstances, such as permanent non-disabling injuries (a lump sum according to the schedule set), special compensation if a worker dies by accident or occupational disease (for the surviving spouse, orphans, or other family members).
f. – Other Aid Groups. For example, the financing of costs for psychological or psychiatric treatment, medical and surgical treatments not covered by public health care (e.g., rehabilitation of drug dependency). Also, other aids to orthoses, prostheses, and the like (dental, eye treatments – glasses, contact lenses, etc. – headphones, protective shoes, etc.). Payment may take the form of income or compensation, which will depend fundamentally on the Social Security benefit to improve or if it is a standalone provision. The law allows the possibility to complement and capitalize on a lump-sum payment of the amount awarded as a voluntary improvement in certain cases. The management may, at the business’s option, either be taken on directly by the company or entrusted to another entity (Social Security Administration, labor Mutual, Provident funds and mutual social or insurance companies).