Thanks to rising stock market prices towards the end of the year, a positive net return on fixed assets was achieved with the three social insurance schemes AHV, IV and EO, according to the report from the responsible body Compenswiss. The almost 5 percent in 2023 was “pleasant” – the return in 2022 was still the same almost 13 percent in the red. However, the financial balance of the AHV will only remain secure until the end of the decade.
The reason for the better result last year was the rising stock prices towards the end of the year, wrote Compenswiss. From October onwards, most asset classes developed positively.
What does Compenswiss do?
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Compenswiss is the compensation fund for old-age and survivors’ insurance (AHV), disability insurance (IV) and income compensation scheme (EO). The federal public institution ensures that social insurance companies are willing to pay as well as their accounting and business reports.
According to the Federal Social Insurance Office (BSV), the institution based in Geneva must ensure the liquidity necessary to carry out the AHV, IV and EO at all times and invest the assets in such a way that the best possible relationship between security and market-compliant returns can be guaranteed.
The exact operating results of the three social insurance companies AHV, IV and EO for 2023 will be published in April 2024.
Nevertheless, the year under review was difficult due to geopolitical tensions and economic uncertainties. Compenswiss cites the wars in Ukraine and the Middle East, but also inflation and interest rates as challenging factors. These would have caused great instability on both the bond and stock markets.
According to Chairman Manuel Leuthold, Compenswiss benefited in particular from the positive development of its Swiss franc-denominated equity and bond positions, but also from its currency hedging strategy.
Need for reform from 2030
As of December 31, 2023, the total assets of the three social services amounted to 40,596 billion francs, compared to 37,282 billion francs a year earlier. Regardless of the market situation, positive returns would not be enough to secure the long-term financing of the AHV and IV compensation funds. Due to demographic developments and the aging of the population, the gap between income and expenditure is increasing every year.
Legend: The compensation fund for AHV, IV and EO is intended to ensure that there is enough liquidity at all times to be able to pay out the benefits of the three social insurance companies. KEYSTONE/Dominic Steinmann
The AHV fund currently benefits from two reforms, specifically the Federal Law on Tax Reform and AHV Financing (Staf) and the AHV 21 with the increase in the women’s retirement age and VAT. With the additional income resulting from this, the financial balance of the AHV will remain secure for another six to seven years, wrote Compenswiss.
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Financing of social works – AHV, IV and EO compensation funds achieve good results in 2023 – News
Austerity measures at Hella’s parent company – jobs in Germany at risk?
– 2024-02-20 13:46:03
The automotive supplier Forvia, parent company of Hella, wants to reduce costs. To achieve this, jobs should be cut. What this means for German locations is uncertain.
The French automotive supplier Forvia is cutting up to 10,000 jobs over the next five years. The Hella parent company announced on Monday that a total of 13 percent of jobs would be affected as part of the “EU Forward” savings program. The main plan is not to fill vacant positions and to be cautious about hiring new employees. “Our fluctuation rate is 2,000 to 2,500 annually,” said Forvia CFO Olivier Durand. “The plan doesn’t mean at all that 10,000 employees will be laid off now. What it means is that we have to make sure we only hire the people we absolutely need.”
A Hella spokesman left it open how many jobs could be lost in Germany. The company is now negotiating with employee representatives about the savings plans. A result can be expected in the coming months. On Friday, Hella announced that it wanted to save 400 million euros annually by 2028 through more automation and bundling activities.
Forvia wants to reduce its costs by a total of 500 million euros annually from 2028. The aim is to raise the profit margin to the pre-Corona level of seven percent, from 2.5 percent in 2023. The company increased sales last year by almost three percent to 27.25 billion euros.
Austerity measures at Hella’s parent company – jobs in Germany at risk? – 2024-02-20 13:46:03
Why Coffee Badging is the New Trend in Remote Work: Boosting Efficiency and Morale
New Study Highlights Benefits of Coffee Badging Strategy at Workplaces
Introduction
Coffee badging, a practice that involves badge swiping at the office to enjoy morning coffee and social interactions before getting work done remotely, has gained attention for its benefits. In a recent survey, more than 43% of digital workers expressed that flexible working hours, such as coffee badging, have significantly increased their productivity. The approach has been found to boost efficiency and morale among employees.
Flexible Work Hours Enhance Productivity
According to a 2021 Gartner survey, a substantial portion of remote workers find flexible work hours crucial to their productivity. The ability to enjoy office social interactions and receive credit for being present, while still benefiting from remote work, has been well-received.
Increased Efficiency and Morale
While coffee badging may initially appear to be an inefficient use of time, the practice has shown potential in boosting efficiency and morale in the workplace. This approach recognizes that employees should be trusted and focuses on their ability to perform their tasks, rather than solely monitoring their activity. Weishaupt, an industry veteran with 20+ years of executive experience, emphasizes the significance of organic in-office participation, balanced by the freedom to choose a flexible work location.
Finding the Right Balance
The office still has a role to play, particularly for in-person meetings and task-related activities. Weishaupt advises bosses to trust their instincts and make decisions that align with the unique needs and culture of their workplaces. The key is finding a balance that factors in the benefits of both in-office and remote work, ultimately enabling employees to reach their full potential.
The Desire to Work from Home Extends to Bosses
An interesting finding from a survey conducted by software firm Checkr reveals that bosses exhibit a desire to work from home as much as, if not more than, their employees. Despite this shared sentiment, certain industry giants persist with in-office policies, suggesting increased productivity and connectivity. Weishaupt’s advice to bosses caught in the middle is to prioritize the needs and aspirations within their specific workplace, considering the potential benefits of remote work.
Conclusion
The concept of coffee badging, as a representative strategy for enabling remote work flexibility, has gained significant attention. Although it may not suit every organization, research and industry experiences suggest that the approach can enhance efficiency, productivity, and overall morale in the workplace. Achieving the right balance between in-office and remote work is pivotal for optimal performance and, ultimately, securing success in the evolving work environment.
Why Coffee Badging is the New Trend in Remote Work: Boosting Efficiency and Morale