Joint engagement of workers is a resource available to companies for providing bonuses and services to workers and for taking advantage of tax benefits. It is an essential resource for restarting after an economic or social crisis, which enables tax cuts and worker engagement simultaneously. To restart quickly. And together. The joint engagement of staff is a tool achieved through organisational schemes which engage workers in an active and direct way. These schemes can be targeted at improving quality of life, quality of work, innovation processes or business performance, with increasing efficiency and productivity. According to regulations, it should be created on a business level through a specific Innovation Plan. These plans are drawn up by the employer, according to the guidelines of the collective contract, or through joint committees. The Innovation Plan must include:
- An examination of the starting situation
- Actions and participation schemes to be undertaken and markers of these
- Expected results in terms of engagement and innovation
- The role of workers’ representatives at company level
Furthermore, the Plan can contain ongoing innovation projects or projects to be undertaken.
Tax cuts of up to €160 per employee per year. How?If your business gives a production bonus for the equal engagement of employees, you can save up to €160 per employee per year; in addition, each worker will receive an extra €60 in their paycheck.
The tax benefits available for joint engagement of workers is applicable relative to the production bonus provided in cash terms. This benefit is not applicable relative to benefits provided as company welfare bonuses. Therefore, companies which engage their employees obtain a larger tax benefit if they offer this incentive to the entire production premium. But how can you obtain this benefit? We have put together a simple guide summarising the requirements and methods necessary for obtaining this tax relief.