Social Responsibility and Employee Benefits/Benefits
Evaristo Diz Cruz
Jeffrey T. Query
In certain Latin American countries there are a series of benefits for employees such as "SEVERANCE PAYMENTS" retroactively, that is, the benefit depends on the last salary and accumulated seniority up to a certain moment, that is, B(t)=S(t)t.
Hypotheses such as this are sometimes formulated: Social benefits prevent wages from rising in real terms because they are very expensive and slow down the growth of companies with a certain impact on the economy. This work dismantles such a hypothesis based on beliefs, but not on statistics and relevant information to accept it as such.