When it comes to the management of employee rewarding, there is little, if any, dynamism in the way local organisations offer employee benefits and, as such, there is scope for further development and flexibility in the benefits offered to employees.

This is one of the main conclusions of a reward management report, published by Misco following a two-month survey on employee benefits in Malta.

Differently from previous reports, this survey takes a different approach on the subject and provides employers with information and benchmarking resources related to the prevailing aspects of reward management.

Maria Zahra from Misco, who spearheaded the survey, said: “Flexible benefit schemes, whereby employers give employees a choice on the type of benefits they can have as part of their total remuneration package, are still a relatively new concept to the local market.

“In fact, many employees were found not aware of how these reward schemes can help them control costs and get better value for money from their benefits expenditure, since such schemes would be more in line with the diverse needs of individual employees. Such schemes moreover, increase the perceived value of the package to them while contributing towards recruitment and retention.

Flexible benefit schemes are still relatively new

“Before introducing such schemes however, companies must first define their business needs and ensure that such schemes are in line with their overall strategic direction. Reward management strategies are usually based on a company’s strategy, variable pay, employee benefits and other perks, performance management and other non-financial rewards, such as autonomy, recognition, training and career development opportunities,” she said.

Health insurance was by far listed as the most popular employee benefit listed in this report by management, professionals and employees alike.

This was followed by others, such as training and career development, company discounts, fuel allowances, communication allowances and on-site parking. Other listed benefits included gym membership, flexible hours, company car, academic allowance and a free/subsidised canteen.

For copies of the report or for more information about its content, e-mail Maria Zahra on mzahra@miscomalta.com.