Learn about mandatory and optional employee benefits in Mauritius
In Mauritius, labor laws mandate a comprehensive set of benefits for employees. These benefits ensure worker well-being, provide financial security, and promote a positive work environment. Employers in Mauritius are legally required to provide the following benefits to their staff:
Employers are required to contribute to national pension and savings schemes on behalf of their employees. These contributions ensure employees have financial security after retirement.
Many employers in Mauritius offer additional benefits to attract and retain top talent, beyond the mandatory ones. These optional benefits can significantly enhance the overall compensation package, making the company more attractive to prospective employees.
More and more employers are recognizing the value of employee well-being and are offering wellness programs. These can include gym memberships or fitness class reimbursements, Employee Assistance Programs (EAPs) to provide confidential counseling and support services, and wellness initiatives such as weight loss programs or smoking cessation programs. These programs can help improve employee health, reduce absenteeism, and boost morale.
Some companies offer bonuses or profit-sharing schemes that allow employees to share in the company's success. Employers may also offer voluntary retirement savings plans that supplement the mandatory national scheme. Additionally, meal vouchers or subsidized meals can help employees save money on their lunch expenses.
Flexible work arrangements, such as telecommuting options, compressed workweeks, or flexi-time schedules, can help employees manage their work-life balance. Employers may also offer on-site childcare facilities or childcare vouchers to help employees with childcare costs. Some companies offer additional paid leave days beyond the mandated minimum to allow employees more time for personal needs and vacations.
Some companies may offer employees discounts on their products or services. Free or subsidized transportation can help employees save money on commuting costs. Free or subsidized lunches can be a welcome benefit for employees, especially those who work long hours.
Mauritius operates under a mixed healthcare system with both public and private options. While the system offers universal health coverage for basic services through public facilities, it's important to understand the health insurance requirements for employees.
Public Healthcare: Mauritius offers a comprehensive public healthcare system funded through employee social security contributions. This system provides citizens with access to basic medical services at government hospitals and clinics.
Private Healthcare: Private healthcare facilities offer a wider range of services, often with shorter wait times and more advanced technology. However, private healthcare can be expensive.
While health insurance is not mandatory for employees in Mauritius, it is a commonly offered benefit that can significantly impact employee well-being and financial security.
In Mauritius, employees have several options for retirement planning.
The Portable Retirement Gratuity Fund (PRGF) is a mandatory plan introduced in 2022. Employers contribute 4.5% of the employee's monthly salary (capped at a certain amount) to the PRGF. The employee becomes eligible upon retirement or death, and the benefit is calculated based on total service time across all employers. There are some exceptions for specific employee categories, so it's important to check eligibility requirements.
This applies to government employees. Employers contribute 2.5% of the employee's basic salary to the NSF. Upon retirement or death, the employee receives a lump sum consisting of their contributions and accrued interest.
Offered by employers or associations, these are voluntary plans that provide retirement and other benefits. Employers typically contribute a portion alongside employee contributions. The specific benefits and contribution structure vary depending on the scheme.
Not as common in Mauritius, but employees can explore setting up IRAs with private financial institutions. These allow for personal contributions towards retirement savings and offer tax benefits.
Some employers might offer their own private pension plans on top of the mandatory contributions.
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