UK’s low productivity linked to remote work

UK’s low productivity linked to remote work

 

UK’s low productivity linked to remote work – but you must do what is right for your firm.

By Serena Haththotuwa

According to new labour market research from the Office for National Statistics (ONS), there is a clear link between lower national levels of productivity and the rise in working from home.

From 2019 to 2022, productivity in the capital fell by 2.7%, with the Northwest of England seeing the strongest growth of 7.9% over the same period. Economists are attributing the decline to the shift to remote work, and argue that decreased engagement, motivation and in-person coordination has damaged productivity in the city.

There’s been a lot of noise about the benefits and risks of working from home. And the recent stats from the ONS do paint a picture of the risks involved. But ultimately, employers need to decide if they’re going to mandate their workforce back to the office based on their own personal data, culture, and the needs of their staff.

If the pandemic and the shifts in workplace flexibility has taught us anything, it’s that every employee has individual needs, and every company has their own needs too. Depending on the industry an organisation is in, their culture, and a myriad of other factors that make the firm what it is, these elements determine whether remote work leads to productivity.

 

It’s easy to get distracted or anxious by the news that remote work is linked to low productivity on a national level, but that doesn’t mean it’s true for your own organisation. That’s why coming up with ways to measure the productivity of your own firm and basing your decision on this is the most important thing you can do.

But it doesn’t stop there. Considering what your workforce wants is also an important piece of the puzzle, or you could risk losing talented people – in the middle of a skills crisis – if they jump ship for another firm offering flexibility.

The bottom line is that it’s an individual choice on if flexibility works or not, and so don’t be side-tracked or brainwashed by the idea that remote work is bad for business, because for many firms it’s the complete opposite – you just need to figure out if that’s the case for your company.

 

 

 

 

We’d love to discuss your IT & HR recruitment needs and help you find your next superstar.  Please call us on 0207 788 6600 or email us at langleyjames@langleyjames.com and one of our consultants will be happy to advise you. You can also follow us on Facebook.

 

Langley James Recruitment – Guide to HR roles and responsibilities

Langley James Recruitment – Guide to HR roles and responsibilities

Langley James Recruitment.

 

Guide to HR roles and responsibilities.

 

HR isn’t one-size-fits-all – it’s a spectrum of roles tailored to strategic goals and company culture.

At Langley James IT Recruitment, we’ve been matching HR mavens with their ideal roles since 1999, and we’re here with pointers to guide you through the HR maze.

The below guide is designed to assist you, as an overview of HR roles and responsibilities. 

 

 

Human Resources Director is responsible for creating and implementing HR policies and activities of the organisation. They also manage the HR staff, overseeing all employee-related initiatives, from recruitment and onboarding to managing performance, promotion, and conducting exit interviews.

Head of HR Manage the execution of the HR Strategy and core areas of the HR department including Recruitment, Employee Relations, Workforce Administration, Employee Engagement, Payroll, Reward and Recognition, as well as maintaining and improving HR systems and management of the HR budget.

HR Business Partner work closely with business leaders and line managers to diagnose people priorities, create people plans, and help implement organisation-wide people approaches.  They have an excellent knowledge of the business, a good understanding of all the areas in the people profession, and often act as the point of people expertise for a specific business area.

HR Manager is in charge of the human resources department. They oversee those who perform HR tasks such as finding and hiring new talent. From there, they onboard talent and ensure that the HR file is complete and complies with company procedures and state and federal laws. But the HR manager does more than just hire and onboard people. They work with existing staff to train and develop them into higher positions in the company. A good HR manager is an integral part of the company’s talent growth.

HR Consultants provide a wide range of services for small and large businesses alike, including professional consulting, education, training, and solutions. An HR consultant will perform diverse tasks such as research, analysis, planning and counselling with the aim of advising management on HR structures, policies and procedures. They may also provide HR outsourcing services as required.

HR Analyst is an interdisciplinary role within the human resources department that deals with HR-related matters through technological tools. It is a vital position since, according to every HR analyst job description, they manage all the essential digital records, assist with any HR-related queries, and analyse HR data to provide rapid solutions to any challenges.

 

Senior HR Adviser is responsible for supporting and actioning day-to-day people-related issues. Those issues will include, recruitment and retention, performance management, employee onboarding, absence management and support, trade union liaison, organisation design, grievance and disciplinary management.

HR Advisor, gives counsel to companies regarding their human resource policies and procedures. Their main duties include offering guidance on employee recruitment and retention, evaluating employee performance and maintaining employee relations.

 

HR Executive, is a junior-mid-level professional. They oversee recruitment, people management, strategic planning, and organisational human resources policies. They are part of the HR management team and are crucial to the organisation’s success.

 

HR Coordinators are professionals who complete administrative duties for the HR department. They assist HR managers with a number of roles including recruitment, maintenance of employee records, payroll assistance and administrative support to all employees.

HR Assistants duties are more than likely to include recruiting, hiring and training new and existing staff, as well as planning programs to improve employee welfare. HR assistants also manage payroll, maintain employee records and ensure the HR department runs smoothly day to day.

HR Data Analyst, play a vital role in supporting data-driven decision-making and providing valuable insights to the Human Resources function. Their primary focus is collecting, analysing, and interpreting HR data to identify trends, patterns, and opportunities for improving HR processes and initiatives. This role requires a strong analytical mindset, proficiency in data analysis tools, and the ability to translate complex HR data into meaningful reports and presentations.

 

 

 

 

We’d love to discuss your HR recruitment needs and help you find your next superstar.  Please call us on 0207 788 6600 or email us at langleyjames@langleyjames.com and one of our consultants will be happy to advise you. You can also follow us on Facebook.

 

South of England – Hiring activity declines again in May

South of England – Hiring activity declines again in May

Sharp contractions in permanent placements and temp billings

Substantial rise in staff supply

Pay pressures ease

Commenting on the latest survey results, Emma Gibson, Office Senior Partner for KPMG Reading said: “The region’s labour market is still largely at a standstill as employers delay investment decisions – including recruitment – until business confidence returns. “Starting salaries are beginning to rise again, as cautious employers carefully recruit essential skills that they cannot do without and are prepared to pay a premium to secure
the best candidates. “Until business confidence improves, prudent employers are focused on retaining staff and upskilling their existing workforce to be in the best shape to seize on growth opportunities as the economy continues to improve.” Neil Carberry, REC Chief Executive, said: “The jobs market looks like it’s on its way back across the UK with clear improvements nationwide. Permanent hiring remains weak in the South, but the rate of decrease eased further from March. The temp market is yet to join the national road to recovery but that may come next month. “There is potential energy stored in the economy, as employers are feeling more confident. Political certainty and falling interest rates should add to lower inflation and help this turn into movement over the course of the rest of the year. REC members report that clients are ready to hire, but hesitant. These numbers suggest that caution may be starting to abate. “Pay growth remains steady, reflecting both settlements made by employers for their staff, but also the substantial National Minimum Wage rise in April. “No attempt to drive growth will succeed without the next government addressing people issues within its first 100 days. This must include reform of the Apprenticeship Levy to cover high-quality, modular training, and a long-term cross-departmental strategy to tackle labour and skills shortages, owned by the Cabinet Office but delivered locally. As the specialists in jobs, recruiters are ready to help, whoever wins on July 4.”

Staff appointments

Recruitment consultancies report on the number of people placed in permanent jobs each month, and their revenues (billings) received from placing people in temporary or contract positions at employers.

Sustained decline in permanent placements

Recruiters based in the South of England registered a drop in permanent staff appointments in May. The rate of decrease, while easing further from March’s recent record, was still rapid overall. According to anecdotal evidence, the latest decrease was attributed to a market slowdown, fewer vacancies, and political uncertainty. Of the three monitored English regions that posted a reduction in permanent placements, the South of England recorded the strongest fall.

Sharper fall in temp billings

A fourth consecutive monthly decline in temp billings was recorded across the South of England in May. The rate of decrease was the most pronounced since July 2020 and sharp overall. Respondents often linked the latest decrease to reduced client activity and the non-renewal of contracts. Other than the South of England, only London recorded a fall in temp billings.

Staff availability

Recruitment consultants are asked to report whether availability of permanent and temporary staff has changed on the previous month.

Growth in permanent staff supply ticks up to six-month high

A rapid and accelerated improvement in the availability of permanent staff was recorded across the South of England in May, thereby stretching the current run of increasing supply to 15 months. The rate of growth quickened for the fourth straight month to the fastest since November
2023, and surpassed the UK-wide average. Surveyed recruiters linked the latest uptick to redundancies and fewer vacancies.

Temp staff availability rises at strongest pace in eight months

Similar to that observed for permanent staff supply, the availability of temp candidates also expanded at a sharp and accelerated pace in May. The uptick was the strongest in eight months and rapid overall. Underscoring the latest rise were widespread reports of layoffs. Of the four monitored English regions, the South of England led the upturn by a notable margin.

Demand for skills

Pay pressures

The recruitment industry survey tracks both the average salaries awarded to people placed in permanent jobs each month, as well as average hourly rates of pay for temp/contract staff.

Modest rise in permanent salaries during May

May survey data signalled a further rise in starting salaries awarded to permanent staff in the South of England, thereby stretching the current run of increase to 39 months. The rising cost of living and skills shortages continued to exert pressures on pay, noted panellists. That said, the rate of permanent salary inflation across the South of England was modest overall and the weakest of the four tracked English regions.

Temp wage inflation cools on the month

Temp wages rose across the South of England during May. Recruiters noted that clients raised their offers to attract skilled workers and keep pay growth in line with the rising cost of living. That said, the rate of temp wage inflation eased on the month and was notably weaker than the
average recorded over the current 42-month sequence of growth. Moreover, the South of England recorded the weakest rise in hourly pay rates of all the four monitored English regions.

 

 

 

 

We’d love to discuss your HR recruitment needs and help you find your next superstar.  Please call us on 0207 788 6600 or email us at langleyjames@langleyjames.com and one of our consultants will be happy to advise you. You can also follow us on Facebook.

 

North of England –  May sees permanent staff availability increase rapidly and staff appointments drop again

North of England – May sees permanent staff availability increase rapidly and staff appointments drop again

Permanent placements fall, but temp billings return to growth

Permanent and temp staff supply rise substantially

Growth of starting salaries and temp wages accelerate further

 

Chris Stott, Office Senior Partner for Manchester at KPMG UK said: “The Report on Jobs data for the North from May highlights the complexities in the current labour market, with placements for permanent staff falling again and continued upward pressure on pay amongst competition for candidates with the right skills. “With expected rate cuts, inflation easing and increased consumer confidence over the summer, we’d hope that the prospect of a better economic outlook for the rest of the year will boost business confidence. Alongside this, business leaders in the North will be watching the General Election closely as they consider their plans for growth.” REC Chief Executive Neil Carberry, said: “The jobs market looks like it’s on its way back across the UK, with clear improvements over last month on most key measures in the North. “Recruiters are noticing that candidates are more confident to put themselves forward now in the North and an increased willingness among candidates to accept temp roles in the region. “There is potential energy stored in the economy, as employers are feeling more confident. Political certainty and falling interest rates should add to lower inflation and help this turn into movement over the course of the rest of the year. REC members report that clients are ready to hire, but hesitant. These numbers suggest that caution may be starting to abate. “Pay growth remains strong, reflecting both
settlements made by employers for their staff, but also the substantial National Minimum Wage rise in April. “No attempt to drive growth will succeed without the next government addressing people issues within its first 100 days. This must include reform of the Apprenticeship Levy to cover high- quality, modular training, and a long-term cross- departmental strategy to tackle labour and skills shortages, owned by the Cabinet Office but delivered locally. As the specialists in jobs, recruiters are ready to help, whoever wins on July 4.”

Staff appointments

Recruitment consultancies report on the number of people placed in permanent jobs each month, and their revenues (billings) received from placing people in temporary or contract positions at employers.

Sustained drop in number of permanent staff appointments

Recruiters across the North of England signalled a further reduction in the number of staff placed into permanent roles, thereby
extending the current sequence of contraction to just shy of a year. The rate of decline was solid and largely consistent with April. Panellists reportedly linked the fall to a drop in demand for permanent staff. The reduction in the North of England was the second-most marked of the monitored English regions, only slower than the South of England.

Temp billings return to growth after three successive monthly falls

The seasonally adjusted Temporary Billings Index posted above the neutral 50.0 mark for the first time in four months in May, to signal
a rise in the number of staff placed into temporary roles across the North of England. Recruiters noted that demand for temporary
staff had increased following new contract wins and the start of new projects. Locally, the growth rate was moderate, but nevertheless the most pronounced of the four monitored English regions.

Staff availability

Recruitment consultants are asked to report whether availability of permanent and temporary staff has changed on the previous month.

Fastest rise in permanent staff supply since last August

May survey data highlighted a fifth consecutive monthly increase in the availability of permanent staff across the North of England. Supply grew at a substantial pace that was the quickest for nine months and notably elevated compared to the long-run series trend. Recruiters often noted that candidate confidence had increased. The South of England was the only monitored region to record a quicker rise than the North.

Growth of temporary staff supply hits ten-month high

In line with the picture for permanent candidates, the availability of temp staff increased further and at an accelerated rate midway through the second quarter. As well as steep, temp staff supply growth was at its most pronounced for ten months.
Panellists suggested that there was increased willingness among candidates to accept temp roles due to redundancies and the current economic climate. The rise in temporary staff availability was however slower than that see at the UK level.

Demand for skills

Pay pressures

The recruitment industry survey tracks both the average salaries awarded to people placed in permanent jobs each month, as well as average hourly rates of pay for temp/contract staff.

Starting salary inflation accelerates in May

As has been the case in each month since early 2021, recruiters across the North of England continued to report starting salary
growth in May. Some panel members noted higher starting salaries were offered in order to attract skilled candidates, while others
linked the uplift to the seniority of the roles recruited. As well as robust, the pace of increase in the North of England posted a nine-month high
and was the sharpest of the four monitored English regions.

Hourly wage inflation for temp staff posts one-year high

Hourly pay awarded to new temporary joiners rose again midway through the second quarter, thereby stretching the current sequence of growth to six months. The rate of inflation in temp wages was the strongest for a year and substantial overall. Hourly pay rates were reportedly lifted in line with permanent salary growth to ensure pay parity. Regionally, the North of England registered the sharpest rise in hourly pay for temporary
staff in May.

 

 

 

We’d love to discuss your HR recruitment needs and help you find your next superstar.  Please call us on 0207 788 6600 or email us at langleyjames@langleyjames.com and one of our consultants will be happy to advise you. You can also follow us on Facebook.

 

Midlands – Fresh rise in number of permanent staff appointments in May

Midlands – Fresh rise in number of permanent staff appointments in May

Permanent placements join temp billings in growth territory

Starting salary growth loses momentum but remains strong

Hourly pay rates rise rapidly, and at the sharpest rate in 2024 so far

Commenting on the latest survey results, Kate Holt, People Consulting Partner for KPMG in the Midlands said: “This month’s data suggests local employers are slowly taking the brakes off of recruitment freezes and are looking to get their businesses moving again. The Midlands was the only region in the UK that recorded an increase in the number of people getting into permanent work which suggests green shoots of jobs recovery are on the horizon. “With starting salaries rising, local businesses are prepared to pay a premium to get the right skills into their businesses in order to kickstart growth. “The business environment remains challenging, but as the economy slowly improves, and with the
General Election now called which will provide the stability businesses need to start investing again, business confidence is turning a corner. ”Neil Carberry, REC Chief Executive, said: “The jobs market looks like it’s on its way back in the UK, with clear improvements over last month on most key measures, especially in the Midlands. Permanent hiring in the Midlands increased for the first time in six months, and the temp billings have improved in the region. “There is potential energy stored in the economy, as employers are feeling more confident. Political certainty and falling interest rates should add to lower inflation and help this turn into movement over the course of the rest of the year. REC members report that clients are ready to hire, but hesitant. These numbers suggest that caution may be starting to abate. “Pay growth remains steady, reflecting both settlements made by employers for their staff, but also the substantial National Minimum Wage rise in April. “No attempt to drive growth will succeed without the next government addressing people issues within its first 100 days. This must include reform of the Apprenticeship Levy to cover high-quality, modular training, and a long-term cross-departmental strategy to tackle labour and skills shortages, owned by the Cabinet Office but delivered locally. As the specialists in jobs, recruiters are ready to help, whoever wins on July 4.”

Staff appointments

Recruitment consultancies report on the number of people placed in permanent jobs each month, and their revenues (billings) received from placing people in temporary or contract positions at employers.

First rise in permanent appointments for six months

The number of staff placed into permanent roles rose across the Midlands, ending a five-month run of decline. Recruiters linked the renewed uplift to increased demand for permanent staff. Others also noted new client wins. That said, the rate of expansion was only marginal and subdued when compared to the long-run series trend. The Midlands was the only monitored English region to record an uptick in permanent placements.

Third monthly rise in temp billings seen in 2024 so far

May data saw the number of billings received for the employment of temporary staff increase for the second month in a row across the Midlands. Survey respondents cited an improvement in demand for temp workers, while others mentioned a rise in candidate availability. While only modest, the uplift was the sharpest for three months. Regionally, only the North of England registered a faster increase in temp billings than the Midlands.

Staff availability

Recruitment consultants are asked to report whether availability of permanent and temporary staff has changed on the previous month.

Permanent staff availability rises at quickest rate seen this year so far

The seasonally adjusted Permanent Staff Availability Index signalled a fourteenth consecutive monthly rise in permanent candidate numbers in May. There were reports that the uplift in permanent staff supply was linked to a rise in redundancies. The rate of increase was again substantial and the strongest seen this year so far, but subdued when compared to the national average.

Solid rise in temporary staff supply in May

Temp staff availability across the Midlands picked up again in May, as has been the case for just over a year. Recruiters mentioned an
increased willingness among candidates to accept temporary contracts. Though easing from April, the rate of growth in temp staff
supply was solid. The Midlands recorded the slowest rise in temp staff availability of all four monitored England regions for the third month running.

Demand for skills

Pay pressures

The recruitment industry survey tracks both the average salaries awarded to people placed in permanent jobs each month, as well as average hourly rates of pay for temp/contract staff.

Starting salary inflation loses momentum in May

Recruiters across the Midlands continued to record an increase in starting salaries in May, thereby stretching the current sequence
of uplifts which began in March 2021. Some panellists mentioned that a rise was due to an increase in the proportion of senior
roles hired. Though strong, the rate of salary inflation eased on the month and remained subdued when compared to the long-run
trend. The Midlands recorded the second-strongest salary growth of the four monitored English regions, behind only the North.

Strongest rise in hourly pay for five months

Average hourly pay for short-term staff continued along an upward trend midway through the second quarter. The rate of temp wage growth was substantial and the most pronounced in 2024 so far. According to anecdotal evidence, the uptick followed a rise in demand for temporary workers.
Only the North registered a sharper rise in temp wages than that seen locally.

 

 

 

We’d love to discuss your HR recruitment needs and help you find your next superstar.  Please call us on 0207 788 6600 or email us at langleyjames@langleyjames.com and one of our consultants will be happy to advise you. You can also follow us on Facebook.

 

Fall in permanent hiring the softest in over a year

Fall in permanent hiring the softest in over a year

Permanent placements fall again, but at slower rate

Pay rates continue to rise markedly

Worker availability increases to steeper degree

 

Commenting on the latest survey results, Jon Holt, Chief Executive and Senior Partner of KPMG in the UK, said: “We know our labour market is resilient. The big picture is that unemployment is historically low with the ease of filling vacancies back to pre- pandemic levels. Taken together with today’s data and expected interest rate cuts, inflation easing and increased consumer confidence over the summer, we will hopefully move towards a better economic outlook for the second half of 2024. “But May’s data underscores the complexities in the current labour market. While demand overall remains weak due to firms still stalling on hiring decisions, the pace of decline has slowed for the third month in a row. Some sectors even saw demand growth – although a lack of skilled applicants could put further upward pressure on pay as employers compete to attract the best talent. “Business confidence is ready to bounce back. And as well as counting on a more dovish Bank of England, ahead of the General Election CEOs will be closely following all parties’ policy commitments as they consider their plans for future growth.” Neil Carberry, REC Chief Executive, said: “The jobs market looks like it’s on its way back, with clear improvements over last month on most key measures, especially in the North and Midlands. While permanent hiring remains weak, these are the best numbers we have seen in more than a year, and the temp billings number has also improved. “There is potential energy stored in the economy, as employers are feeling more confident. Political certainty and falling interest rates should add to lower inflation and help this turn into movement over the course of the rest of the year. REC members report that clients are ready to hire, but hesitant. These numbers suggest that caution may be starting to abate. “Pay growth remains steady, reflecting both settlements made by employers for their staff, but also the substantial National Minimum Wage rise in April. “No attempt to drive growth will succeed without the next government addressing people issues within its first 100 days. This must include reform of the Apprenticeship Levy to cover high- quality, modular training, and a long-term cross- departmental strategy to tackle labour and skills shortages, owned by the Cabinet Office but delivered locally. As the specialists in jobs, recruiters are ready to help, whoever wins on July4.”

Executive summary 

The Report on Jobs is unique in providing the most comprehensive guide to the UK labour market, drawing on original survey data provided by recruitment consultancies and employers to provide the first indication each month of labour market trends.
The main findings for May are:

May sees weaker decline in placements
Permanent staff appointments continued to fall in May, according to the latest survey of UK recruitment consultants. It was the twentieth successive month in which placements have fallen, but the latest decline was modest and the slowest since March 2023. A similar trend was seen for temp billings, with the latest contraction the weakest in four months. There were reports that slow decision-making, a lack of vacancies and specific candidate shortages weighed on placements.

Further uplift in pay rates
Amid reports of a competitive market landscape, alongside evidence of a ripple impact on base pay rates following April’s increases in the national minimum and living wages, typical starting pay for candidates rose again during May. For permanent workers, salaries were reported to have increased markedly and to only a slightly lesser extent than April’s four-month high. Temp staff saw a similar trend, with pay rising at only a slightly slower pace than in the previous month.

Staff vacancies down only slightly
Although demand for staff continued to fall in May, extending the current downturn to seven months, it did so only marginally and to the lowest degree in this sequence. Moreover, the latest fall was exclusively led by permanent workers as temp staff demand was unchanged in the latest survey period.

Staff availability rises to greatest degree since end of 2020
May’s survey revealed another steep increase in staff availability. The rate of growth was the steepest recorded by the survey since December 2020. The faster expansion in the number of people looking for work was seen for permanent job roles. Panellists noted that a mixture of redundancies, higher unemployment and reduced demand for staff led to the broad rise in candidate availability.

Staff Appointments

Recruitment consultancies report on the number of people placed in permanent jobs each month, and their revenues (billings) received from placing people in temporary or contract positions at employers. An index reading above 50 signals a higher number of placements/billings than the previous month. Readings below 50 signal.

Modest reduction in permanent placements

Permanent placements made by UK recruitment consultants fell again in May, extending the downward trend that began in October 2022. That said, the rate of contraction was modest and the softest in over a year, as signalled by the seasonally adjusted Permanent Placements Index reaching a 14-month high in May. Anecdotal evidence from the survey panel pointed to fewer job openings at clients amid a lack of
available roles. There was also evidence of delayed hiring decisions. Some panellists continued to report a lack of suitable candidates for available positions. There was a steep reduction in the number of permanent placements in the South of England. However, a return to marginal
growth was seen in the Midlands.

Temp billings fall at slower pace

The seasonally adjusted Temp Billings Index remained below the crucial 50.0 no-change mark for a seventh successive month in May.
However, a rise in the index pointed to a slower and more modest fall in temp billings. Where there was a decline, this was linked by panellists to a mixture of reduced demand and candidate shortages for specific roles. Two English regions recorded a drop in temp billings (London and the South of England). In contrast, solid growth was seen in the Midlands and the North of England.

Vacancies

Recruitment consultants are asked to specify whether the demand for staff from employers has changed on the previous month, thereby providing an indicator of the number of job vacancies.

Slight fall in demand for staff

The seasonally adjusted Total Vacancies Index remained below the crucial 50.0 no- change mark in May to signal a fall in overall demand for staff for a seventh successive month. However, with the index rising to 49.7, from 48.3 in April, the rate of contraction was marginal and the slowest in this sequence.

Permanent & temporary vacancies

Latest data showed that permanent staff vacancies continued to fall in May, extending the current downturn to nine months. However, the rate of contraction was marginal, and the weakest recorded by the survey since last October. Meanwhile, temp worker demand was unchanged in May
following a three-month period of falling temp vacancies.

Public & private sector vacancies

There were concurrent increases in private sector vacancies for both permanent and temporary workers during May. The rate of
growth for permanent staff was solid and the strongest for a year. This contrasted with only a marginal rise for temp workers. For public sector workers, demand continued to fall for both permanent and temporary staff. The steeper contraction was again for permanent workers. In the case of temp staff, the reduction was only marginal and the weakest in the current three-month sequence of declining vacancies.

Vacancies by sector

Recruitment consultancies are requested to compare the demand for staff according to sector with the situation one month ago.

Permanent vacancies

Of the ten broad sectors covered by the survey, just three recorded growth. The strongest increase was seen for Engineering, followed by Blue Collar. The steepest drops in demand for permanent workers were seen for Retail and Secretarial/Clerical.

Temporary vacancies

Temporary staff demand rose for half of the ten broad sectors in May. The strongest growth was for Engineering followed by Blue Collar. Where vacancies fell, the most prominent decline was again seen for Retail.

Staff availability

Recruitment consultants are asked to report whether availability of permanent and temporary staffhas changed on the previous month. An overall indicator of staff availability is also calculated.

Candidate supply rises to strongest degree since end of 2020

The availability of staff increased sharply during May and for the fifteenth successive month. The rate of growth was also the steepest recorded
by the survey since December 2020. This was signalled by the seasonally adjusted Total Staff Availability Index which rose to 62.2 in May, up
from 60.4 in the previous month. Permanent staff availability rose in May to a steeper degree than for temporary workers.

Steep expansion in permanent staff availability

Permanent staff availability continued to improve during May, extending the current period of expansion to 15 months. Moreover,
the rate of growth was the highest since the end of 2020. Panellists reported that a mixture of redundancies, reduced demand and less
vacancies had led to the latest rise in candidate availability. By English region, the strongest rises in permanent staff availability were seen in the
South and North. The slowest increase was in London, but even here the rate of growth was still steep.

Temp staff availability continues to rise steeply

The availability of temporary staff increased again in May in line with the trend since March 2023. The rate of expansion was steep, though softened  little since April’s recent high. There were reports from panellists that redundancies and higher unemployment, alongside a general drop in demand for candidates, had driven growth in temp candidate supply. There was some divergence in growth rates by English region. Whereas a steep and accelerated rise was seen in the South of England, the Midlands recorded a relatively modest increase in temp staff availability.

Demand for skills

Recruitment consultancies are invited to specify any areas in which they have encountered skill shortages during the latest month.

 

Pay pressures

The recruitment industry survey tracks both the average salaries awarded to people placed in permanent jobs each month, as well as average hourly rates of pay for temp/contract staff.

Marked increase in starting salaries during May

May’s survey showed that permanent starting salaries increased again, marking a thirty-ninth successive monthly upturn. The degree to
which salaries rose was again marked and little changed on April’s four-month high. Panellists commented that wages continued to rise in
line with broader inflationary pressures and the high cost of living. Some panellists noted that salaries were being raised in response to April’s increase in the national minimum wage. In England, the steepest increase in permanent salaries was seen in the North and the slowest
in the South.

Temporary wage inflation remains high

Temporary pay continued to rise at a similarly marked pace to starting salaries during May. Wage inflation has now been registered in
each month since March 2021. Panellists noted the inflationary impact of April’s national minimum and living wage increases, which in some instances were reported to have lifted broader pay levels. Firms were also reported to be willing to bolster pay to attract high quality candidates. As with permanent workers, the steepest rise in temp pay was generally found in the North of England, with the weakest seen in the South.

 

 

 

 

We’d love to discuss your HR recruitment needs and help you find your next superstar.  Please call us on 0207 788 6600 or email us at langleyjames@langleyjames.com and one of our consultants will be happy to advise you. You can also follow us on Facebook.

 

London – Downturn in permanent placements eases in May

London – Downturn in permanent placements eases in May

Softest decline in permanent staff placements in 20 months

Candidate availability rises sharply, albeit at softer rates

Demand for workers further deteriorates

 

Commenting on the latest survey results, Anna Purchas, Senior Partner for KPMG’s

London office said: “The slowdown in recruitment activity in London appears to be tailing off, with May signalling the weakest downturn in people finding permanent work in 20 months. “Businesses are still recruiting to fill their most crucial vacancies, which has resulted in starting salaries rising for both permanent and temporary staff, as employers are prepared to pay a premium for the right skills. “We’re seeing more people now putting themselves forward for jobs in London. With inflation heading towards the golden 2% and the General Election ahead, you could expect employers to start to feel more confident to press go on their investment strategies, including recruiting for growth.”

Neil Carberry, REC Chief Executive, said: “The jobs market looks like it’s on its way back in the UK, with clear improvements. In London, the downturn in permanent placements was the softest in 20 months and the temp picture was better with the rate of contraction easing to a four-month low. “There is potential energy stored in the economy, as employers are feeling more confident. Political certainty and falling interest rates should add to lower inflation and help this turn into movement over the course of the rest of the year. REC members report that clients are ready to hire, but hesitant. These numbers suggest that caution may be starting to abate.

“Pay growth remains strong, reflecting both settlements made by employers for their staff, but also the substantial National Minimum Wage rise in April. “No attempt to drive growth will succeed without the next government addressing people issues within its first 100 days. This must include reform of the Apprenticeship Levy to cover high- quality, modular training, and a long-term cross- departmental strategy to tackle labour and skills shortages, owned by the Cabinet Office but delivered locally. As the specialists in jobs, recruiters are ready to help, whoever wins on July 4.”

 

Staff appointments

Recruitment consultancies report on the number of people placed in permanent jobs each month, and
their revenues (billings) received from placing people in temporary or contract positions at employers.

Downturn in permanent placements softest in 20 months.

Permanent placements fell across London for the twentieth successive month in May. The latest downturn was attributed to reduced hiring activity as a result of political uncertainty and the muted economic outlook. However, the rate of decrease moderated for the third straight month to the weakest in the aforementioned sequence amid reports of successful onboarding of hires and increased availability of candidates. Of the three monitored English regions that posted a reduction in permanent placements, London recorded the weakest fall.

Sharp, albeit weaker decline in temp billings

May data revealed a fall in temp billings received across London, thereby extending the current run of decrease to five months.
The rate of contraction was sharp overall, despite easing to a four-month low. Anecdotal evidence linked the drop in
temp billings to fewer contract roles, the completion of projects and some temp roles being converted to long-term positions. Other than London, only the South of England recorded a fall in temp billings.

Job vacancies

Permanent vacancies further fell across the capital in May. Albeit stronger than that observed nationally, the rate of decrease was the weakest since March 2023. Demand for temporary workers also deteriorated during the latest survey period. A quicker rate of contraction was recorded, with temp vacancies falling at the strongest pace since the start of 2021.

Staff availability

Recruitment consultants are asked to report whether availability of permanent and temporary staff has changed on the previous month.

Supply of permanent candidates expands rapidly

As has been the case in each of the past 18 months, recruiters across London recorded an increase in the availability of permanent
staff in May. Though easing from April, the rate of expansion was rapid overall. The upturn was commonly linked to reports of
redundancies. The expansion in permanent labour supply in London was the softest seen of all four monitored English regions.

Availability of temporary staff expands rapidly in May

Redundancies were again widely linked to the latest uptick in the supply of temporary staff in May, with expansions seen across
the capital for a seventeenth straight month. While the rate of increase moderated notably from April’s eight-month high, it was rapid
overall. The South of England was the only monitored English region to record a stronger rise in temp staff availability than that seen for
London.

Demand for skills

Pay pressures

The recruitment industry survey tracks both the average salaries awarded to people placed in permanent jobs each month, as
well as average hourly rates of pay for temp/contract staff.

Starting salary growth quickens to three-month high

May data signalled a sharp rise in salaries awarded to new permanent joiners in London. Recruiters noted that many clients raised
their offerings in line with the rising cost of living, with some also hoping to attract suitably-skilled workers. Though ticking
up further from March’s 37-month low, the respective seasonally adjusted index printed below the long-run average. The rate of inflation seen across London matched that observed for the UK as a whole.

Sharp rise in temp wage rates

Recruiters based in London recorded a further rise in hourly pay rates for temporary staff in May, thereby stretching the current
sequence of inflation which began in March 2021. Though sharp overall, the rate of wage growth was weaker than April’s seven-month
high and again slower than the UK-wide average.

Official data: UK average weekly earnings

The Office for National Statistics (ONS) continued to report growth in whole economy earnings in the three months to March. According to the latest data, earnings rose 5.7% on the year, unchanged from the previous period. Underlying earnings growth for the public sector rose to 6.2%
in the three months to March, the best outturn seen since last November. Private sector earnings growth also continued to increase but, at an annual rate of 5.9%, to a slower degree than in the public sector.

Regional comparison

The KPMG and REC, UK Report on Jobs: London is one of four regional reports tracking labour market trends across England. Reports are also available for the South of England, the Midlands and the North of England.

Staff appointments

The number of permanent staff appointments across the UK dropped again in May, as has been the case for the past 20
months. That said, the rate of contraction was the softest in over a year and only modest overall. Three of the four monitored English regions registered falling placements, with the quickest drop seen in the South. Meanwhile, the Midlands recorded a renewed uplift. Meanwhile, billings for the employment of temp workers fell again at the national level, thereby stretching the current sequence of decline to seven months. The sustained downturn was led by further decreases across London and the South of England. In contrast, the North saw a return to growth and a sharper upturn was recorded across the Midlands.

Candidate availability

There was a further rise in permanent staff availability across the UK in May, thereby extending the current sequence of growth to 15 months. Moreover, the uplift was the most pronounced seen since the pandemic (December 2020). Excluding London, all of the monitored English regions recorded a faster increase in permanent staff supply in May. At the national level, though temporary staff supply rose sharply in May, the pace of expansion slowed slightly from April’s 40-month high. The Midlands and London registered slower increases in availability, while growth accelerated in the South and North of England.

Pay Pressures

As has been the case on a monthly basis since early-2021, May survey data revealed ongoing salary growth at the UK level. Though starting salaries rose strongly, the upturn lost momentum in May and was notably subdued compared to recent trends. All four monitored English regions recorded permanent starting salary growth, with the quickest inflation seen across in the North of England. Similarly, the rise in hourly pay rates of temporary staff was strong at the national level, albeit easing from April’s ten-month high. As was the case with permanent salaries, the North of
England registered the fastest growth of temp rates, while the South of England recorded the slowest.

 

 

 

We’d love to discuss your HR recruitment needs and help you find your next superstar.  Please call us on 0207 788 6600 or email us at langleyjames@langleyjames.com and one of our consultants will be happy to advise you. You can also follow us on Facebook.

 

Problem solver: I’ve taken on an HR coordinator who is excellent, but……..

Problem solver: I’ve taken on an HR coordinator who is excellent, but……..

Problem solver: I’ve taken on an HR coordinator who is excellent, but she’s likely to fast outgrow the role and leave as we can’t promote her. How can we encourage her to stay?

Our panel of HR experts advises on alternative retention methods to promotions and pay rises

by PM Editorial

Abi Manifold, head of OD at ICE Creates

People nowadays don’t expect to stay in a role until retirement, especially at the front end of their career. They often have more than one career in their work lifetime. We’re all on LinkedIn now so opportunities to embrace change are constantly front and centre – and that’s also what we’re competing with in the HR profession.

But we still want to get maximum benefit from our people while they’re with us. Remuneration and promotion are perennial engagement factors – but they are far from the whole story. First, explore what motivates the employee. Someone who’s intellectually engaged at work is more likely to be experiencing engagement. Also, explore where their skills are a good fit, and agree objectives that will stretch them beyond their normal remit.

Additionally, ensure the worker is feeling valued not just for what they do, but the ways in which they do it. Finally, consider the whole team and work environment. Ask them what their feelings toward work are. Do they feel psychologically safe? And my favourite question, where is their work joy?

Juliett Bohanna, director in OD at One Xec

One of the most important conversations any leader can have with their team member is about how they want to develop their career. Not only does this help avoid assumptions or judgements, it slows things down to work out what the individual wants.

This may not be the dilemma you might think; people increasingly value purpose over remuneration. It’s worth evaluating your culture and working out how you can shape this role to help your HR coordinator contribute towards the wider organisation with more of a senior mindset.

For example, could she lead a project linked to her own career development? Would she like to have more face time with senior management? Giving her the space to think about this will be essential.

You must give proper consideration to what you think the organisation needs, the particular skills your employee has, and ‘why now’, so that there is a good business case. You can’t stop people from leaving but, in addressing this proactively, you are consciously creating a positive working environment.

Kathleen McAdams, director at Albany HR

One of the benefits of working in HR in a smaller organisation is the opportunity to experience lots of areas instead of only working in your team’s specialism.

Try to find out where her interests lie and help her develop in those areas using the CIPD Profession Map as a starting point. It’s a great tool and you can then direct her to the CIPD’s Learning Hub, which contains great free courses on a range of topics.

You can also help her develop confidence in dealing with line manager queries by allowing her to shadow more senior members of the HR team; for example, as a notetaker in an HR strategy or welfare meeting.

Autonomy is important for engagement, so it’s a good idea to look for ways she can show her initiative. Process improvement is where someone new to an organisation can bring a fresh perspective. Also, be sure to encourage her to develop relationships outside of the HR team and learn about different areas of the business. If there are opportunities for cross-team working, involve her in these too.

 

 

 

 

 

 

We’d love to discuss your HR recruitment needs and help you find your next superstar.  Please call us on 0207 788 6600 or email us at langleyjames@langleyjames.com and one of our consultants will be happy to advise you. You can also follow us on Facebook.

 

The first 100 days, how to make (or break) a new hire

The first 100 days, how to make (or break) a new hire

  The first 100 days, how to make (or break) a new hire

by Grace Lewis

 

You’ve spent the past two months sourcing and interviewing suitable candidates, shelled out on average £1,500 in in-house resourcing time, advertising costs, agency or search fees, and you’ve finally bagged yourself a new hire, who on the surface seems eager and willing to hit the ground running come their start date. But, says Jamie Kohn, senior research director in the human resources practice at Gartner, “just because they said yes, doesn’t mean they’re not still interviewing you as a company. They’re still going to get phone calls from other companies in this period and they may start to wonder, did I make the right choice? If you have two, three or four weeks between saying yes and starting the job, there’s a lot of room for doubt to creep in.”

That is also true of Dan Kaplan’s experience as senior client partner for Korn Ferry’s CHRO practice: “Some companies have noticed that some new starters won’t update their LinkedIn profile for the first month just in case,” he says. “It means that the person is still quietly listening.”

That’s certainly the picture the stats present. According to Gartner research from 2022, 44 per cent of candidates have accepted an offer but then decided not to start the position, and the Work Institute’s 2019 retention report suggests as many as 43 per cent of new employees leave organisations within the first 90 days of starting.

Job acceptance

It’s clear then that first – and lasting – impressions count for any organisation, and that’s why the period from acceptance to official start date is vital to start the process of building engagement and trust with a new employee. Gallup analysis suggests that actively disengaged employees are 2.6 times as likely as engaged employees to be watching for or actively seeking a new job. 

Kaplan says there has been a “fraying of the relationship between employer and employee” in recent years, while Gartner analysis shows that just 54 per cent of candidates trust organisations to be honest with them during the hiring process. Successful onboarding becomes about “making sure [new starters] feel really committed to the culture” from the get go.

It can begin with a simple introduction to the company email from HR, Savhannah Deans, founder of Women in Learning & Development and author of People Development in a Week, says. As well as the general need-to-know information – start time, dress code, who will be meeting them on their first day – give the new employee a glimpse into what the organisation is like from the inside, she advises:  “That tends to be in the form of literature, blogs or a video induction like a vlog from the CEO.” Deans says it is nothing too hard, but starts the engagement process early doors.

Laura Ibbotson, people and culture manager for EMEA at health technology company Magentus, says in its revamped onboarding process the company now sends an email “before the new employee starts with us, confirming things like address to our sites, lunch options, dress code and start time on their first day. We also include a map to the building with photos and info.

“We also call our new employees before they start with us to check if they need anything or have any questions.”

These check-in calls before the person’s official start date are growing in interest, especially for those companies using virtual or hybrid onboarding techniques. As Kohn describes it, some companies are investing in an almost “concierge position” whereby someone will call the new starter the week before to run through the technology, check the email connectivity, try a test Zoom call, etc. “It can relieve some of the anxiety that people have,” Kohn says.

Equipping managers

The manager’s role also becomes critical at this point. “It’s like everything else in HR: there’s very little that HR should do themselves. What HR should do is bring out the ideas and then provide the tools for [others] to execute,” Kaplan explains.

“Managers have so many responsibilities, and we know the vast majority of them are not trained,” says Daisy Hooper, head of policy and innovation at the Chartered Management Institute (CMI), so onboarding is as much about preparing managers as it is supporting new starters. This could be in the form of a checklist or standardised templates for managers to follow. Bosses at Ciphr now have access to “everything they need – recruitment templates, libraries of FAQs and how-tos” – after the software company transformed its onboarding process. Lucy O’Callaghan, people experience manager, explains that the L&D team also designed a bespoke onboarding training platform that is mandatory for every manager to undergo, and they now have a dedicated onboarding person in the people team to monitor the first 12 months of new starters’ roles.

Hooper says managers are “absolutely central to employee engagement and satisfaction and productivity” and, more often than not, are the main point of contact for a new starter. According to CMI research, just a quarter (27 per cent) of workers describe their manager as ‘highly effective’ and, of those who rate their manager as ‘ineffective’, half (50 per cent) plan to leave their company in the next year.

“One of the most helpful roles the HR team can play is around creating standardised processes that they update in line with best practice, because then at least the managers have a framework to work from,” says Kohn. She explains that this helps to create a consistent approach, so that every new starter is given the same messaging and equally HR is supporting managers in a consistent way. “For scalability, most onboarding – at least in terms of the items on the checklist – will be the same,” says Kohn. “Where you get the tailored experience is in helping managers to have these conversations in a way that connects more with the employee in their specific needs and role or duties.”

Some businesses have already cottoned on to this technique. When researchers from London, Harvard and Chapel Hill’s Kenan-Flagler business schools analysed different organisations’ onboarding processes, they found that shaping onboarding processes around individual identity, via the process of ‘personal-identity socialisation’, increased work engagement and job satisfaction, led to lower quit rates and resulted in greater levels of performance. They used examples such as “a consultant with artistic talents [who] could design eye-catching templates for presentations and develop more powerful ways to present data. [Or] a salesperson who enjoys teaching others might share that enthusiasm with new hires, becoming a mentor.” 

One of the most common ways organisations fall down during the onboarding process according to Kohn is by overwhelming new employees with “floods of information” early in the process. Instead, “where we’ve seen organisations be successful is by saying: ‘What’s the bare minimum that you need to know? Let’s start out with something that will make you feel successful,’” she says. Deans echoes this, stressing that “there’s no rush to be competent”.

L&D offering and building networks

The first few days should cover a facility tour, including an explanation of technology and systems, introduction to the team, one-to-one chats with the manager and basic mandatory training, says Deans, but this is also an opportunity to show new starters the development opportunities on offer – or at least where to go for that information. Lucy Shutt-Vine, head of talent development at Captify Technologies, explains: “Our L&D team puts content on the LMS platform around getting to know your leadership team, the heads of department and the ecosystem of the business, as well as team introductions. We have that ready for somebody to access from their first day.”

Captify also offers new starters group training to initiate those early networking opportunities. “We find that when new starters learn and network together, there’s a sense of ‘we’re in it together’. They can ask each other these questions, if they feel silly asking other people,” Shutt-Vine says.

Kaplan stresses HR’s role in helping to forge personal connections. The first few weeks are a great time to “give the person the early stages of developing the internal support network”, he says. “Make sure that their peers are able to take them out for lunch; do things that build community and get the person tethered in. Ultimately, people stay [with an organisation] because they have relationships in an environment that inspires them to get up in the morning, get dressed and go to work.”

And while the compliance side of onboarding obviously doesn’t go away, says Kohn, HR is really the central hub for identifying the right connection points and ensuring that those connections happen: “That’s what we’ve seen HR functions take on more directly, because they have that broader view into the organisation. They are responsible for building that connection marketplace as a way of matching people based not on the direct work they’re doing every day, but maybe on some aspect of their background.”

Ibbotson says her team is now looking at introducing a buddy system to help better integrate new starters into the company. In Kohn’s experience, onboarding buddies tend to come in two forms: a peer in your team who has either done your role before or is someone you will be working closely with to help with day-to-day aspects of your work. “Whereas a wider organisation buddy may help you build a broader view of what success looks like at the company,” Kohn explains.

An employee’s first month with a company is a milestone for both them and the organisation. They would in the most part have completed the compliance training, so this is when L&D becomes more role specific, according to Deans: “This is probably when you need to start discussing metrics and what they look like as well. What are your KPIs? What are the objectives of the business? And where do you fit in that? I’d say that’s where the learning starts to become more than surface level.”

Deans also uses the first month mark as a review point, sending out an induction questionnaire to see how the new starters are settling in and if there are any areas that need improvement. Similarly, at Ciphr the people team uses a review system for new employees. “Every month, we monitor it to make sure managers are having sit-down conversations with new starters, and to identify any pain points,” O’Callaghan explains. “This way we can nip any issues in the bud as soon as possible if we notice any problems, because sometimes it’s just teething problems that can be resolved just from communication.”

Kaplan says that, for the most part, recruiting and onboarding new starters is a “sales process” and it’s important for companies to keep momentum going and “keep the promises they made during recruitment”.

The petering out of those initial onboarding initiatives, and disillusionment with the realities of a role, are common downfalls for organisations – just 59 per cent of new hires in Gartner’s 2022 candidate survey said they would repeat their decision to join their organisation, compared to 83 per cent in 2021. For the new employee at the two to three-month mark, the orientation honeymoon period is over, the excitement has worn off; they aren’t quite into the daily rhythm of the company, but are not totally new – so what’s next?

Kohn says this is where HR – and primarily managers – can use those connection points and networks “to check in with people about their role, how they are feeling, what they have learned, what they are looking forward to next. We think of them as early performance conversations, but they are really early career conversations and are critical to helping people to think not just about the next couple of months, but about the next few years.”

Again, HR’s role at this point is overseeing and prompting these check-ins, especially if early feedback and monitoring has thrown up any issues but, as Deans puts it, ultimately “let managers be managers. I would normally do my check-ins with managers, rather than the new starter directly.” Kaplan agrees, saying that it’s “not practical” for HR to be involved in every new starter’s every step of the onboarding journey – as much as many people professionals would love to be.

Shutt-Vine says that, from an L&D point of view, at Captify they “train the managers to be empowered; to help create a 30-60-90-day plan for the new starters so that they have goals that they can be measured on, and that they know they are progressing at the rate that we need them to”.

After the first three months, many new starters would have completed their probation period and have undergone an official review, which can then inform the next stage of career development, according to Deans. Crucially, learning should no longer be spoon fed as it perhaps was previously, she adds: “New starters should take the lead, so it becomes a more CPD-led approach.” This also doesn’t mean the input from HR and L&D ends here, says Hooper. “Onboarding should absolutely not be a ‘one and done’ thing. It shouldn’t be a tick-box exercise. You’ve spent a lot of time and money recruiting this person – you want them to succeed in the role and to get the best out of them. It’s in your interest to support them into the organisation. But it’s not like after 100 days suddenly they don’t need any more support,” she says.

Kohn emphasises the importance of regular reminders for new starters about the benefits on offer, the wellbeing initiatives and the “periodic reminders of the broader employee value proposition”. And later, as new starters approach their one-year anniversary, HR and managers can prepare them for their annual appraisal: ask them to start reflecting on their achievements to date and where they would like to develop further. Deans adds: “Once we know that someone is committed within the first 12 months, once we can see that there is a continuous climb, that’s when the more structured succession planning starts to be implemented. There’s much more of a greater focus on not just making someone competent, but making them excel.”

For Kaplan, the “missing piece” in most failed onboarding processes is the long-term mindset. Rather than striving to get an employee past their first day, first month, first quarter, “companies should be thinking: how do we successfully get them to day 365? You’re there to get them to succeed long term,” he says, and, with that in mind, the rewards will be reaped tenfold.

 

 

 

 

We’d love to discuss your HR recruitment needs and help you find your next superstar.  Please call us on 0207 788 6600 or email us at langleyjames@langleyjames.com and one of our consultants will be happy to advise you. You can also follow us on Facebook.

 

Gender pay gap will ‘take 45 years to close’ in the UK, research finds

Gender pay gap will ‘take 45 years to close’ in the UK, research finds

      Gender pay gap will ‘take 45 years to close’ in the UK, research finds

                          Pay parity ‘remains out of sight’ as report suggests 21 year olds entering the workforce may never see it

The gender pay gap in the UK will “take 45 years to close”, according to data from PwC, despite organisations reporting a decrease in their pay gaps this year.

According to PwC’s Mandatory UK Gender Pay Gap Reporting, an analysis of the gender pay gap using government data, the mean hourly pay gap has dropped by 0.4 per cent from 12.2 per cent in 2022-23 to 11.8 per cent. Meanwhile, the median pay gap fell from 9.2 per cent to 9.1 per cent.

But the analysis also found that since the implementation of mandatory UK gender pay gap reporting in 2017 for companies with more than 250 employees, the average gender pay gap has only reduced by 1.6 per cent.

“While it is encouraging to see the pay gap reducing each year, the rate of change remains modest,” the report said. “Gender pay parity therefore remains out of sight and it is unlikely that a 21 year old entering the workforce today would see gender pay parity in their working lifetime.”

Jemima Olchawski, chief executive at the Fawcett Society, told People Management: “At the current rate of change, women over 40 will suffer the pay gap until they retire; this isn’t acceptable.

“A thriving economy relies on the full participation of women, and yet too many are locked out of work they are qualified for and capable of doing. For too long, women have put up with less fair and less equal working arrangements in exchange for flexibility.”

Olchawski added that employers must take immediate measures to ensure women were able to work to their full potential and experience. “Making flexibility the norm will make it easier for women to get the flexibility they need, and normalise men taking on their fair share of caring responsibilities. We cannot afford to wait,” she explained.

Katy Bennett, diversity, equity and inclusion consulting director at PwC, said: “While the gender pay gap continues to move in the right direction, the data once again highlights that organisations face difficulties in meaningfully reducing reporting figures.

“Societal barriers play a strong part but there are still things businesses can do to drive change and so it is critical for organisations to truly understand gender pay gap drivers and take targeted actions to address them.”

She added that reporting landscapes were fast changing, with many organisations focusing on pay equity and transparency beyond gender. “It is now more important than ever for organisations to take a step back to fully understand the state of pay fairness and diversity within their workforce,” said Bennett.

“By truly understanding any barriers that exist within the workforce and embracing pay transparency, organisations can navigate the reporting landscape and use it as a way to shape their narrative, as opposed to letting it dictate it.”

According to the PwC report, of the 10,408 companies that disclosed their gender pay gap for both 2023-24 and 2022-23, three in five (58 per cent) reported a decrease in their pay gap compared to the previous year. However, most of these decreases were less than 2 per cent.

This represents a slight increase over 2022-23, when 53.7 per cent of organisations reported a decrease in their mean pay gap, according to PwC. A fifth (20 per cent) of organisations reported no change or an increase of between 0 and 2 per cent in their pay gap, compared to 17.6 per cent in 2022-23.

The report said: “The gender pay gap itself can be a lagging indicator, with positive actions to improve gender representation taking years to significantly impact these figures; acknowledging the external societal influences of systemic barriers, change remains challenging.

“However, to make meaningful and sustainable reductions to pay gaps, it is critical for organisations to truly understand gender pay gap drivers and take targeted actions to address them.”

Charles Cotton, senior reward adviser at the CIPD, told People Management: “Pay gap reporting is crucial for ensuring a fair workplace and offers clear business benefits, such as attracting and retaining talent by demonstrating a commitment to best practices.

“Employers aiming to improve their gender balance can adopt several effective strategies, including expanding flexible working opportunities, reviewing the criteria and assumptions used in recruitment and promotion, and analysing the outcomes of people’s policies and practices.”

But he also noted that some factors contributing to the pay gap exist outside the workplace, such as stereotypes regarding suitable employment for men and women: “Therefore, to make meaningful progress in reducing the gender pay gap, both government and society must also take active roles.”

The analysis also found that the financial services sector continues to report the biggest gender pay gaps, “reflective of the ongoing issues with gender equality within the sector, where potential regulations on diversity and inclusion may be introduced by the Financial Conduct Authority later this year,” the PwC said.

For more information on gender pay gap reporting, visit the CIPD guide page here

 

 

 

 

 

We’d love to discuss your HR recruitment needs and help you find your next superstar.  Please call us on 0207 788 6600 or email us at langleyjames@langleyjames.com and one of our consultants will be happy to advise you. You can also follow us on Facebook.

 

Don’t Wait Until July: It’s Time to Start Recruiting!

Don’t Wait Until July: It’s Time to Start Recruiting!

Don’t Wait Until July: It’s Time to Start Recruiting!

Here’s why you should consider starting your recruitment process now:

  1. Act Fast, Secure Top Talent: Many high-calibre candidates are on notice periods, often around 4 weeks. Waiting until July means missing out on these individuals who may have already accepted other offers by then. Don’t let procrastination rob you of the best!
  2. Beat the Rush: As companies ramp up hiring in July, competition for talent will inevitably increase. By starting now, you’ll avoid the influx of applications and get your pick from a wider pool of qualified candidates before the frenzy begins.
  3. Secure Offers in Just 2 Weeks: We understand the urgency. That’s why our streamlined process can help you reach the offer stage within 2 weeks of identifying the right candidate. No more waiting months for decisions – act swiftly and secure your ideal hire.
  4. Attract the Ambitious: Starting your recruitment process now demonstrates your proactive and decisive approach. This can be incredibly attractive to ambitious candidates who appreciate swiftness and efficiency. Show them you mean business and attract the talent you deserve.
  5. Hit the Ground Running in April: By starting now, you can complete pre-screening, interviews, and offer stages before the new financial year begins. This means your new hires can hit the ground running on day one, ready to contribute immediately and boost your productivity.

It’s not too late! Take advantage of the remaining six weeks by initiating your recruitment process today. Contact us to discuss your needs and let us help you secure the talent you need to thrive in the new financial year. Remember, proactive companies attract the best. Don’t miss out!

P.S. Share this blog with your network – let’s spread the word that proactive recruitment is the key to success in the new financial year!

 

 

 

 

We’d love to discuss your IT recruitment needs and help you find your next superstar.  Please call us on 0207 788 6600 or email us at langleyjames@langleyjames.com and one of our consultants will be happy to advise you. You can also follow us on Facebook.

 

The End of Hybrid Working: Why it is Happening and How to Adapt

The End of Hybrid Working: Why it is Happening and How to Adapt

The End of Hybrid Working: Why it is Happening and How to Adapt.

 


Hybrid working is the combination of working from an office and from a remote location. It has been on the rise due to technological advancements, the COVID-19 pandemic, and changing workforces. However, the end of hybrid working is now in sight. This article will outline the impact of hybrid working, the reasons why it is ending, and strategies to prepare for the transition to a more traditional office-based working arrangement.

Impact of Hybrid Working

Hybrid working has had both positive and negative impacts on the workforce. On the positive side, it has made it easier for employees to balance their work and personal lives while increasing flexibility, collaboration, and communication. The downside, however, is that it has increased stress and overload, resulting in decreased productivity for many workers.

Reasons for the End of Hybrid Working

The primary reasons why hybrid working is declining are technology, social and political issues, and changing workforce dynamics. Technological advancements such as automation, artificial intelligence, and cloud computing are allowing businesses to operate more efficiently and with less overhead. As a result, they are now able to move away from hybrid working arrangements, as these technologies are able to fully support a traditional office environment.

Social and political issues also play a role in the end of hybrid working. As the world emerges from the pandemic, regulations and laws may be enacted to ensure that the workplace is safe for all members. These regulations may require employers to move back into fully office-based systems. Additionally, growing disparities in digital access have made it difficult for some workers to efficiently perform their tasks remotely. This has created a need for more traditional office-based work arrangements.

Preparing for the End of Hybrid Working

Organizations that are preparing for the end of hybrid working need to develop strategies for flexible working arrangements. Employers also need to consider the impact that this transition may have on their employees. Implementing employee wellness plans and creating a transition plan that includes clear communication with employees about the change is essential.

Conclusion

Hybrid working has been on the rise in recent years, but it is now entering a period of decline. New research has indicated that almost two-thirds of CEOs want to remove hybrid work within three years. The primary reasons for the end of hybrid working are technological advancements, social and political issues, and changing workforce dynamics. To prepare for this inevitable transition, organizations need to develop strategies for flexible working arrangements that include policies, training, and technology. By staying ahead of the trend, organizations can ensure that their employees are adequately supported during the transition.

 

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