This metric tracks the total cost of all employee wages and benefits in the last calendar year.
Employees are defined by local rules and regulations.
The GRI identifies that, in order to determine the total workforce cost, an organization should “calculate employee wages and benefits as total payroll (including employee salaries and amounts paid to government institutions on behalf of employees) plus total benefits (excluding training, costs of protective equipment or other cost items directly related to the employee’s job function).”
Total payroll + Total Benefits = Total Cost of the Workforce.
The GRI further clarifies that the amounts “paid to government institutions on behalf of employees can include employee taxes, levies, and unemployment funds.”
The GRI adds that total benefits can “include: regular contributions, such as to pensions, insurance, company vehicles, and private health; other employee support, such as housing, interest-free loans, public transport assistance, educational grants, and redundancy payments.”