Flexible working models: when occupational pensions become a management task

Part-time work, hourly wages and temporary assignments have long been part of everyday life for many SMEs. Staff schedules change at short notice, projects are extended or new part-time positions are added. What gives companies greater flexibility in their day-to-day operations also brings additional complexity to occupational pensions.

This is because the BVG was historically designed for stable employment relationships, fixed salaries and long-term employment. The reality in many companies today, however, looks very different.

In the picture: Granit Kabashi, Head of Sales German-speaking Switzerland and Ticino at Tellco

More flexibility, more complexity

When employment levels fluctuate, assignments are short-term or employees have several employers, the second pillar becomes more demanding. Particularly in the case of part-time, hourly paid or temporary work, the question arises as to how the insured salary should be calculated correctly and how pension gaps can be avoided.

A key point here is the coordination deduction. Especially for lower incomes or small workloads, it can have a noticeable impact on the insured salary. The situation becomes even more complex for people with several part-time jobs, as the coordination deduction is generally applied separately by each employer.

Administration becomes a management issue

For SMEs, occupational pensions are therefore not only a pension-related topic, but also an operational task. Salaries must be reported correctly, entries and exits must be processed cleanly, and changes must be implemented promptly. Especially in companies with many part-time or temporary employees, BVG administration can quickly become a burden.

The current article by Andrea Hohendahl on HZ Insurance therefore shows why pension solutions today need to be more closely aligned with the reality of modern working models: more flexible in their structure, simpler to administer and suited to the composition of the workforce.

Contemporary cover for flexible employment models

Granit Kabashi, Head of Sales German-speaking Switzerland and Ticino at Tellco, sums it up in the article:

“The world of work is becoming more flexible – and occupational pensions must do the same. Companies with part-time, hourly paid or temporary employees need solutions that keep administrative effort low while enabling contemporary pension cover. This is exactly where Tellco pk PRO comes in with its hourly contribution accounting, which is particularly well suited to flexible employment models.”

With Tellco pk PRO, the insured salary is determined on the basis of the hours actually worked. This reduces estimates and subsequent recalculations and simplifies administration, particularly in the case of fluctuating workloads or temporary assignments.

Pensions as part of employer attractiveness

Flexible working models are changing not only everyday working life, but also expectations around occupational pensions. For SMEs, a suitable pension solution can therefore increasingly become a differentiating factor – particularly where skilled workers are being sought and employees are to be retained in the long term.

Those who insure part-time and temporary work correctly and transparently not only reduce risks, but also strengthen their own position as an employer.

Read the full article on HZ Insurance now.