Employee Benefits in Germany

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What are employee benefits?

Employee benefits are any perks or advantages that an employee receives as part of their employment package. Employee benefits are intended to help attract and retain workers, as well as improve their overall satisfaction and well-being. Employee benefits can vary greatly from one company to another, so it’s important for workers to understand what benefits are available to them before accepting a job offer. 

employee benefits

What are the reasons that companies in Germany offer employee benefits?

In Germany, it is very common for companies to offer their employees benefits such as health insurance, paid vacation, and pension plans. There are a few reasons why this is the case.

First, German law requires companies to provide certain benefits to their employees. For example, all workers are entitled to at least 20 days of paid vacation per year. Additionally, companies with more than five employees must offer health insurance to their workers.

Second, offering employee benefits is seen as a way to attract and retain talent. In a tight labor market, businesses need to offer competitive packages in order to attract the best candidates. By offering employee benefits, companies can make themselves more attractive to job seekers.

Finally, offering employee benefits is simply good business practice. Happy and healthy employees are more productive and less likely to take time off work due to illness or injury. Additionally, satisfied employees are more likely to stay with a company for the long term, saving the business money on turnover costs.

Overall, there are many reasons why companies in Germany offer employee benefits. By doing so, they comply with the law, attract and retain talent, and boost productivity levels.

What are the most common employee benefits offered in Germany?

There are a number of employee benefits that are offered in Germany. These include:

1. Health and wellness programs: German employers often offer health and wellness programs as an employee benefit. These programs can include access to gym facilities, health insurance, and other wellness services.

2. Childcare: Many German employers offer childcare facilities or subsidies as employee benefits. This can help working parents balance their work and home responsibilities.

3. Education and training: Many German employers offer education and training opportunities as an employee benefit. This can help employees stay up-to-date on new technologies and trends.

4. Retirement benefits: German employers often offer retirement benefits, such as pensions and retirement savings plans, as employee benefits. This can help employees secure their financial future.

5. Job security: Job security is often seen as an employee benefit in Germany. Employers may offer long-term contracts or job guarantees to employees. This can provide employees with peace of mind and stability in their careers.

Is Employee health insurance a mandatory employee benefit in Germany?

In Germany, employee health insurance is a mandatory employee benefit. This means that all employees are required to have health insurance, and the companies that employ them are responsible for covering the costs. In order to qualify for health insurance, employees must be employed for a minimum of 26 weeks per year. The benefits that are available through employee health insurance in Germany range from basic coverage to more comprehensive plans. 

What is the cost for employee benefits package in Germany?

The cost of Employee benefits will vary depending on the provider, the size of the company, and the services offered.

The average cost of an employee benefits program in Germany is €1,500 per year. This includes the cost of health insurance, pension contributions, and other benefits. The average cost of health insurance is €700 per year, while the average cost of pension contributions is €800 per year. Other benefits, such as paid leave and child care, can add up to €1,000 per year.

MantraCare offers the most comprehensive and cost-effective employee benefits program starting at $3 per employee.

Who are the top employee benefits providers in Germany?

Allianz Global Assistance offers a variety of employee benefits, including health and dental insurance, life insurance, and disability insurance.

Mercer offers a wide range of benefits and services to employees, including health insurance, retirement planning, and investment advice. They also have extensive experience working with German businesses, so they can tailor their services to the specific needs

MantraCare is the top employee benefits solution provider in Germany. They help design the benefits plan and execute the same with the HR. They offer comprehensive employee benefits programs that promote physical and mental well-being.

Their services include EAP, corporate yoga, physical therapy, chronic condition reversal (for diabetes & hypertension), meditation, work counseling, and more.

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In which cities can MantraCare offer Employee Benefits Packages in Germany?

  • Berlin
  • Hamburg
  • Munich
  • Cologne
  • Frankfurt
  • Stuttgart
  • Düsseldorf
  • Dortmund
  • Essen
  • Leipzig

If you are a company in Germany, looking to implement an Employee Benefits program, talk to employee benefits experts at Mantracare: Schedule a Call >