An employer’s guide to ‘rolled-up’ holiday pay changes

In 2019 a Supreme Court ruling (Harpur Trust v Brazel) meant that permanent part-year workers, and irregular hours workers were entitled to 5.6 weeks’ holiday pay, based on their average weekly pay during the weeks they worked (disregarding any periods where no work was done). This meant that in theory, part-year workers would be disproportionately advantaged, when compared with their full-time colleagues.

Before the Conservatives left government in July 2024, they changed the statutory regulations, to allow for irregular hours or part-year workers to have their holiday paid to them on the basis of a 12.07% calculation of their pay received during the pay period. This calculation can be used during any holiday year which starts after 1st April 2024.

The 12.07% calculation is based on the statutory minimum amount of holiday. If contracts provide a more generous holiday allowance, then the percentage must be amended accordingly.

What qualifies as an ‘irregular hours worker’?

The new regulations define irregular hours workers as ‘wholly or mostly variable’ paid hours under the terms of their contract in each pay period. This could mean a casual or zero hours contract, or a contract which states their hours are variable, provided that the reality is that their working hours vary week to week.

What qualifies as a ‘part-year worker’?

A part-year worker is defined as a worker who is only required to work for part of the year, and there must be periods in the year of at least a week during which they are not required to work, and for which they are not paid. These workers may have fixed hours for the times they are working (unlike irregular hours workers).

Practicalities

The changes mean that in one pay period (for example a month, if paid monthly; a week if paid weekly) you can calculate holiday pay based on the relevant percentage calculation (12.07% for statutory minimum holiday) and pay this directly to the worker, provided it’s listed separately as ‘Holiday Pay’ in their payslip.  This is now referred to as ‘rolled-up holiday pay’, even though it’s not incorporated in to the worker’s hourly rate.

This means that those workers would not request and take their paid annual leave, as this payment covers their statutory entitlement to holiday, and is on record as having been paid in this way.

Employers can continue to use the current 52-week reference period to calculate holiday entitlement and pay, if the worker takes paid holiday, and the government have provided further guidance on this here.

 

Here are 2 worked examples:

Employee A is entitled to statutory holiday (5.6 weeks holiday per full year), and they are an irregular hours worker. The company holiday year started on 1st April 2024. Employee A is paid monthly.

In July, Employee A worked a total of 50 hours, on a normal pay rate of £15 per hour.  They also worked 8 hours of overtime on x1.5 their hourly rate. Therefore their pay for July is calculated as follows:

50 x £15 = £750

8 x £15 x 1.5 = £180

Employee A’s total pay for July is £930.

In order to calculate Employee A’s holiday pay, this would be 12.07% of their pay for that month. As they are entitled to statutory holiday, you would do the following calculation:

£930 x 12.07% = £112.21

The holiday pay that can therefore be processed for July 2024, with the employee’s normal pay would be £112.21

 

Employee B is entitled to contractual holiday which totals 6.4 weeks for a full year, based on a full-time entitlement. They are a part-year worker, and the holiday year started on 1st July 2024. Employee B is paid monthly.

In July the employee didn’t work at all. However they worked full-time hours during August, which totalled 165 hours, at a normal pay rate of £20 per hour.

Employee B’s pay for July is zero, therefore they would not be entitled to holiday pay for that month.

However in August their total pay was 165 x £20 = £3,300.

In order to calculate Employee B’s holiday pay, you first need to establish the correct percentage to use.  This is calculated as follows:

52 weeks – 6.4 weeks = 45.6.

6.4/45.6 = 14.04

Therefore the correct percentage holiday pay accrual for Employee B is 14.04%

To calculate their holiday pay for August you would therefore do the following calculation:

£3300 x 14.04% = £463.32

The holiday pay that can therefore be processed for August 2024, with the employee’s normal pay would be £463.32

 

Employers however should be mindful of the details of their worker’s contracts.  If they stipulate that the worker is entitled to paid leave, in order to change to rolled-up holiday pay, employers would need to seek the written agreement of the worker in order to make this change to their terms of employment.

If you’re not sure what the changes and new rules means for your staff, get in touch.

 

Managing Probationary Periods

When you hire a new team member, there will usually be a probationary period. This is a time during which both parties can establish if hiring them was the right decision. It’s a fixed amount of time, so proactively managing probationary periods is important. If it applies, details of a probationary period must be included in employment contracts. Wording should include the duration, the right to extend, and areas of their performance and conduct which will be considered.

Many companies have rebranded the probationary period, using terms like ‘Introductory Period’ or ’90-day journey’. They mean the same thing; Was hiring the new joiner the right decision?

Probationary periods ensure that an employee’s expectations are managed. They understand that what they do during that time matters and can affect their ongoing employment.  If the end of a probationary period goes left unchecked, the default position is that they have successfully passed.  This may result in changes to their entitlements and notice period, and it’s more difficult to address those issues after that.

Areas to consider

When it comes to assessing whether the hiring decision, it shouldn’t just be about technical ability in their field of expertise. It’s about the behaviour they demonstrate, their understanding of the business or their desire and enthusiasm to learn and make a positive contribution. In an SME one person can make a big difference to the team dynamic and the success of the business. Therefore, it’s important that you use the probationary period to determine if you made the right decision. The probation period is also about the employee deciding if this is the right place for them. It’s important that you engage in two-way dialogue about how they’re getting on.  The probationary period provides an opportunity to ‘course correct’ if things doing seem to be going to plan, either for you, the team or the new hire.

Tips for managing a successful probation

Managers need to spend time proactively managing probationary periods. It should be expected that more management time will be spent on this person during that time. The time you spend is an investment which will hopefully lead to a direct return.

So what should managers be doing during their new hire’s probation?  Here are our top 10 tips:

  1. Clear job information: Make sure all the relevant information is clearly communicated during the recruitment process. That way there is no ambiguity about the role and what it involves
  2. Effective induction: Ensure you have an effective induction programme. This should include information about their job, the team, the business and the way it’s structured. It should also include where they fit in, the values of the company and how you expect employees to behave at work
  3. Introductions to key people: Ensure the new hire is introduced to key people on day one or at least during their first week. That way they know where to go for support if they have questions. No-one can know everything from day one
  4. Meet regularly: Meet with the new hire 1-1 regularly and frequently, and make sure it’s diarised and a written note is taken and shared with them in a timely way. In these meetings you can ensure they know what they should be doing. You can provide regular feedback about how it’s going, both from the perspective of their work, as well as their behaviour. For example if their work has been accurate, or you have noticed they have been late multiple times during their first week / month. Flag what you have noticed, ask how they feel it’s going and if there is anything they’re not sure about
  5. Set SMART objectives: Set some agreed objectives for the first month, and / or overall for their first 3 or 6 months. Progression towards meeting the objectives should also become an area of feedback in your weekly meetings, and follow up on email with the key points
  6. Be accessible and approachable: Have ad hoc informal catch-ups with the new hire on the ‘shop floor’. Ensure your new hire has the opportunity to ask any questions they may have
  7. Flag issues and concerns: If there are issues, flag them sensitively, but honestly. Explain why it’s a problem, and what you expected instead, or better still, ask them how they could have avoided the issue
  8. Timely feedback: Ensure your feedback is given in a timely way. If something serious is wrong, don’t wait for the next 1-1 meeting
  9. Preparation for meetings: Provide feedback in a confidential setting away from colleagues to protect their dignity. Prepare feedback properly to ensure it’s objective and delivered thoughtfully
  10. Act prior to the end of probation: Make sure you meet with the new joiner before the end of the official probationary period to confirm formally if they have passed their probation. Alternatively, probation can be extended if there are ongoing issues which need to be addressed. Equally if there are too many issues you may have to deliver the news that the probation has not been successful. (i.e. you give notice to terminate their employment)

As people managers it’s in your interests to do all you can to set this person up to succeed. This avoids unnecessary additional time and resource in sourcing a new hire twice in a short period of time. That said, sometimes things don’t work out. If that’s the case, dealing with it promptly and decisively will save time and money.

Recruitment can be expensive and time-consuming, so making sure your initial recruitment process was appropriate will help.  Read our previous blog here about recruitment if you want more tips for successful recruitment.

If you would like support managing probationary periods, or you have an issue with a new hire, get in touch.

What is a Written Statement of Employment Particulars?

In April 2020, it became a requirement for all employees to receive a ‘Written Statement of Employment Particulars’. This is a document which needs to be provided on or before their start date with their employer.  In addition, employees who joined their employer before 6th April 2020 can ask for a Written Statement at any time. On receipt of a request, employers must provide it to the employee within one month of their request.

The legal requirement

With this change it became a requirement that the Written Statement included certain terms and conditions. It is no longer sufficient to rely on a basic offer letter confirming job title, salary and start date.  The terms and conditions that must be included in a written statement are as follows:

  • the employer’s name
  • the employee or worker’s name
  • the start date
  • the date that ‘continuous employment’ started
  • job title, or a brief description of the job
  • the employer’s address
  • the normal places or addresses of work
  • pay, including how often and when
  • working hours and days, or if it’s variable
  • holiday entitlement, including an explanation of how its calculated if the employee or worker leaves the employer
  • the amount of sick leave and pay applicable
  • any other paid leave
  • any contractual benefits
  • any non-contractual benefits
  • the notice period either side must give when employment ends
  • how long a temporary job will last
  • any probation period, including its conditions and how long it is
  • if the employee will work abroad, and any terms that apply
  • what training that must be completed by the employee or worker, including training the employer does not pay for

As an employer, you need to have all these terms detailed in Written Statements you issue to new joiners. You need to quickly define your current practices and policies.  That way you will be ready for requests for a written statement from existing employees who started prior to 6th April 2020, as well as new hires.

In addition, the law allows for other terms to be provided at a later date, within 2 months of the employee starting. These other terms relate to pension arrangements, collective agreements, non-compulsory training (if provided), and disciplinary rules.

Benefits of providing a Written Statement

As well as the legal requirement to provide details of these specific terms of employment, there are benefits for both parties in having these points clearly written down.  Both parties will know and understand what to expect from the other, and what their obligations are.  This avoids ambiguity and inconsistency, which helps to prevent unnecessary problems or employment issues.  Doing this may also prevent potential allegations of discrimination if employees are treated differently (whether inadvertently or not).  Employees will feel secure in their relationship with their employer, which is more likely to develop trust and loyalty.

If you fail to provide the relevant documentation to your employees within the timelines specified by law, the potential penalty would be between two and four weeks’ pay.

Benefits of a Contract of Employment

The requirement under law is for a Written Statement of Employment Particulars, as detailed above, however many employers opt for a full contract of employment for their employees.  This is because in a full employment contract you can include terms which protect the business interests, for example clauses around confidentiality, post-termination restrictions, intellectual property and conflict of interests.  Having everything included in one comprehensive document also reduces administration time for the business, and provides clarity for the employee.

It’s important that employers are on the front foot when it comes to providing employees with details of their terms and conditions of employment as there are clear timelines to meet and clear advantages to providing this information.

If you would like to ensure that you’re protecting your business interests, and are meeting your legal requirements to provide employees with details of their terms of their employment, get in touch.

How can we be more effective?

Stephen Covey’s The 7 Habits of Highly Effective People® has been referenced over many years.  First published in 1989, it’s been reissued multiple times since then, and has been adapted / spun out in to targeted versions, for example focussing on teenagers, families, journals, workbooks and card decks.  He continued to release books up to a year before he passed away in 2012, leaving a legacy of effective leadership principles.

What’s it about?

Covey seems to have had a genuine wish to help others and lead by example by closely following the principles of the habits himself. He provides practical advice, which requires us to look inside ourselves.  Reading the habits, we may already find that we’re on the right track.

What are the 7 habits?

There’s much more to the habits in the book, however here is a flavour of the 7 habits:

Habit 1: Be Proactive®

Take responsibility for your life. This habit encourages us to move away from blaming external factors and responding to them in a reactive way. We should use proactive language; I will, I can etc.  and our energy should be focussed on things we can control.  The first step is to build awareness of where we expend our energy now, so we can develop into a more proactive approach.

Habit 2: Begin With the End in Mind®

We will not feel successful, if we achieve things which are not where we wanted to end up.  We need to focus on what we want, and how we want to live, and then use the 1st Habit of proactivity to get there.

Habit 3: Put First Things First®

This is where the 1st and 2nd Habits come together, and we can make decisions about what we will and won’t do.  We don’t have to do everything, it’s about choosing proactively what you will do, and prioritising accordingly. These decisions will be made based on our purpose, values and role, with the end in mind.

Habit 4: Think Win-Win®

Be co-operative and collaborative.  It’s a mindset which means that we seek mutual benefit with our solutions.  Covey identifies 3 character traits; Integrity, Maturity and Abundance Mentality (believing there is plenty for everyone). It doesn’t have to be either / or, both parties can ‘win’. Further character traits identified are empathy, confidence, consideration, sensitivity and bravery, which all underpin real Maturity.

Habit 5: Seek First to Understand, Then to Be Understood®

Communication is key, but this Habit is more focussed on listening, and really understanding others.  We all want to get our point across, but in doing so we may not listen to the other person properly.  This means we may miss their meaning or make assumptions, based on our own point of view.

Habit 6: Synergize®

This is about teamwork, being openminded and finding new solutions. This is best done with multiple contributors who all bring different insights and experiences.  The principle of ‘the whole is greater than the sum of the parts’ is in play here.  Valuing differences is important to achieve synergy. It might feel uncomfortable initially, as there may be disagreements, but the outcome will be more interesting and successful.

Habit 7: Sharpen the Saw®

This means preserving and enhancing ourselves in 4 different areas of life: physical, social/emotional, mental and spiritual.  We need to grow in each of these areas, for example through healthy lifestyle choices, making social connections, reading, learning, spending time in the natural world, music and art. By growing in these areas we become more able to deal with challenges, grow and continue to build on the other 6 Habits.

Although a lot of focus of adopting the 7 Habits has been on implementing these principles in leadership and management, they can apply to all of us.  After all, the title of the book is simply to make us highly effective people, whether you’re a junior executive or business owner.  If you’re new to a leadership role, read one of our previous blogs to get some practical leadership tips.

Social media posts

The media has covered situations where individuals have been disciplined, or had offers of employment withdrawn, as a result of posts they put on social media.  This was because posts in question were deemed to be ‘unacceptable’ to their employer or potential employer.

But, the posts were made from personal accounts, so why did these organisations take this action?  Surely it’s none of their business what an individual posts on social media. Especially if the post was private or there was no mention of the organisation in their profile or the post?

When does it matter?

Even if a post is from a personal account, the key consideration is whether it can be linked to their employment.  Or if it could damage the organisation’s reputation.  This issue needs to be considered properly and fully before action is taken.  Of course a post by an employee or applicant may not put your organisation in a particularly positive light. But it’s important not to take a disproportionate view of the damage or potential damage to its reputation.  The facts should be considered carefully, including:

  • The employee’s role and seniority
  • The nature of the social media post
  • Whether the damage to reputation is actual or potential and if it’s a genuine risk
  • Whether the employee has received a previous warning for similar conduct
  • Whether the employee expressed regret at their actions?
  • Are there any other mitigating factors to consider?

Organisations should ensure clear information and training is given to employees about the importance of the corporate reputation and image. There should also be a clear policy about the organisation’s expectations about employees’ use of social media.  It’s also important to have clear policies on equality, diversity and inclusion and conduct training in this area.  That way the organisation can demonstrate the their stance in these areas, and therefore how the employee’s actions are a direct breach.  A clear disciplinary policy and procedure is also important, ensuring it includes the types of behaviour and conduct that will be regarded as serious, or gross misconduct.

Rights of the parties

Obviously, individuals have rights under the Human Rights Act 1998, and the GDPR Data Protection Act 2018, so monitoring social media needs to be done with care, to avoid breaching these rights.  It requires a very careful balancing act to make sure the rights of both parties are protected.  Not easy.

When it comes to monitoring social media, it’s always best to have a very clear policy about social media and data protection, privacy and monitoring.  Equally important is ensuring these policies are within the principle of fair, lawful and transparent processing of personal data.  Generally, the most usual grounds for monitoring this activity will be legitimate interests. But again, this needs to be balanced against the individual’s rights and freedoms.  If the social media account is private, and there was an expectation it would remain so, then potentially the individual’s rights would override the organisation’s legitimate interests in monitoring that activity.

The organisation would need to articulate the purpose of the monitoring. For example, if it were to prevent sexual harassment, or ‘hate speech’, this might provide a legitimate reason.  A stronger argument might be reputation protection of the business, and minimising vicarious liability for the acts of an individual.  If the individual doesn’t have a private account and states the name of their employer on their profile, a clear connection can be made. If the named organisation were seen to tolerate posts of a discriminatory nature the reputational damage would be difficult to deny.

How do you deal with it?

If an employee puts a post on social media that is contrary to their aim to eliminate discrimination and hate speech, or which detrimentally impacts the organisation’s reputation, it should be treated as any disciplinary would.  The disciplinary policy should be followed as with any disciplinary issue.  The investigation and consideration of all the facts and impact on the organisation should be thorough. Any investigation conducted should be undertaken by someone other than the employee’s manager, or the person who will make the ultimate disciplinary decision.  Any action you take must be done within the ACAS Code of Practice for disciplinary and grievances.  Regardless of the severity of the alleged offence, employers should not dismiss an employee without following a fair process.

If one of your employees has made social media posts of concern, and you’d like advice, get in touch.

Why do I need HR?

As a small business you might ask ‘why do I need HR?’ if you have a small headcount and everything seems to be going well.  An HR Consultant is often engaged to support and advise when there are employee related issues or problems. That might be a situation involving redundancy, a disciplinary, grievance or dismissal.  Of course, ensuring that these situations are dealt with correctly is very important.  We do our job, help you to resolve the issue and that’s that.  All good.  But there IS more to HR than troubleshooting of this kind, and it’s important even (or I would argue especially) for small businesses. The way your people are managed will have a direct impact on their success, and by implication the the success of your business.  In a small business where the headcount is under 50, each employee has a greater proportional impact on the working environment, the team, the success of the business and how well it functions.

What do I need to know about HR?

The Chartered Institute for Personnel and Development (CIPD), states that Human Resources Management (HRM) is:

“…the function within an organisation that focuses on the recruitment, management, and direction of the people who work in the organisation. HRM can also be performed by line managers.”

There are multiple stages in an employment relationship, some of which are included in the definition above.  If we look at this in more detail, the stages are:

Employees experience these activities during their journey with you, their employer. But you won’t positively impact the success of your people and your business without considering the ‘how’ in each of these areas. Let’s look at each stage in more detail:

Attraction

What skills, knowledge and experience do you need, and how will you attract these people in a competitive recruitment market?

Recruitment

What are your recruitment methods, and do they successfully identify if the candidates have the skills, knowledge and experience you need?  How many of your new starters leave before they finish their probationary period with you?

Onboarding

How can you ensure effective onboarding of someone into their job and the company, enabling them to become productive quickly and begin making a positive impact on your business?

Development

How do you develop your onboarded employees? What development and progression can you provide so that your people become better and better at their jobs and become the experts, managers or leaders of the future?  Or do people leave to get that development and progression?

Retention

How do you treat your employees while they’re with you? What can you offer them that will keep them loyal and engaged?  Or might they always be on the lookout for the next opportunity elsewhere?  How do you make sure you keep all the knowledge, skill and experience you have supported and developed from walking out of the door, reducing your ROI, and increasing your costs?

Separation

How do you treat leavers? Does that change depending on whether they’re a voluntary or involuntary leaver? What do your current employee population observe when others leave, and does that process feel dignified, respectful and make them feel glad they still work there?  Could your leavers be employees of the future, once they’ve gained other experiences, and would they want to return to you?

And the cycle continues…..

What should I do?

In short, the first stage would be to look at what you currently do.  Ask yourself and selected others 5(ish!) key questions:

  1. Are your people processes efficient and effective for the business and your people?
  2. What kinds of experiences do your employees have at the various stages of the employee lifecycle?
  3. What kinds of behaviours do you value? Do you see these demonstrated by your managers and employees consistently in their interactions with each other?
  4. What kind of employer do you want to be?  How does that link in with your brand marketing and PR?
  5. How high is your employee turnover? How successful are your attempts to recruit new talent?

This is just the start of the process, and it will lead to further conversations and questions, no doubt.  Maybe this next year is the year you start to take a strategic approach to your people management practices?

If you’re asking yourself “Why do I need HR?” and you’d like more information, or if you would like support to look at any or all of these areas to make your business even more successful, get in touch.

Unconscious bias

What is unconscious bias?

Unconscious bias is a term which is commonly used in relation to equality, diversity and inclusion in the workplace.  In this blog post we try to demystify unconscious bias and explain what it really means.

Unconscious bias is an unconscious inclination or prejudice.  It can be referred to in the context of a ‘gut’ feeling, or instinct feeling people have. These feelings will be informed by experiences and influences during their lives.  There is usually no ill will, but it is nevertheless seen as an issue in workplaces.  This bias can influence business decisions, and can compromise an employer’s ability to be an inclusive and equal workplace.

From a legal perspective, the areas to be aware of are around certain criteria, which could be covered under the description of a ‘protected characteristic’ most commonly related to age, gender, race, religion/belief, disability, sexuality and marital/partnership status.

Unconscious bias around gender, for example is the way someone might assume that a pink clothing item is appropriate for a little girl, or that little boys play with trucks while girls will want a dolly to play with.  Or age bias might be that an older person is overqualified for a junior role they’ve applied for.

We’re all human, and our decisions are informed by our own experiences.  So if it’s just about being human, why is it a problem?

What’s the problem?

Put simply, not tackling unconscious bias, means that those experiences and influences informing our decisions will continue to harm certain groups or individuals, unchecked.  Being aware of our natural bias, means that we are more likely to look beyond the assumptions we may instinctively make about an individual or group, and prevent us from treating those people differently.   Ultimately if they are treated differently, or they suffer a detriment as a result, they may have a claim for (indirect or direct) discrimination.

Over time, employees who think they are treated differently due to unconscious bias, develop feelings of isolation and alienation, and feel uncomfortable being themselves. This would take its toll on anyone, and may also affect the organisation’s performance overall.  Employees who experience bias and prejudice often actively disengage and reduce their contributions, and ultimately seek a role elsewhere.

What are the benefits of tackling unconscious bias?

Equality, diversity and inclusion (EDI) is seen as an increasingly important part of what a business has to offer.  To be an inclusive employer means that employees feel welcome, valued and included. This in turn means team members will stay longer and be more engaged and productive.

Diversity in the workplace is a serious competitive advantage with immediate and tangible benefits. It ensures a variety of different perspectives and a variety of different skills and experiences.  It gives organisations access to a greater range of talent, potentially increasing creativity and innovation.

The best way to overcome unconscious bias, is to ensure people become more self-aware (and self-critical) about their decisions and behaviours.  This can be done via training in a variety of formats. Alternatively, you could develop some supporting systems and processes, to ensure decision makers at all levels are challenged in a safe setting.

You can find out more about the benefits of tackling unconscious bias and what approach works here.  And if you’d like some advice about EDI issues in your business, please do get in touch.

Successful hiring

Obviously, employers are always keen to make successful hiring decisions. However it is common for a new hire to be unsuccessful in probation. This is often because it transpires that they don’t actually have the skills and experience needed for the job.

Why does this happen?

There are two potential answers to this question:

  • The criteria for the job was not correctly defined at the start, and / or
  • The questions during the selection process did not successfully establish the skills and experience of the candidate.

A great deal of management time and effort (and often direct cost) goes in to recruiting and onboarding a new employee, so when it doesn’t work out, more management time goes in to dealing with the problem. There are often direct costs in paying notice in lieu and untaken holiday when the leaver is processed.  You then end up doubling the recruitment costs and time for filling that role, when you repeat the process to recruit a better replacement.  So, getting the selection process right, makes business sense.

Tips for making successful hiring decisions:
  • REALLY think about the job you need to fill. Consider the skills and experience that person needs to have.
  • Create a job ad and job description which clearly articulates the qualifications, skills and experience you’re looking for. This will enable potential applicants without the skills you need to self-select out of the process.
  • Involve more than one person in the shortlisting and interviewing process and spend time preparing together.
  • Devise interview questions which are open and based on the candidates’ experiences. Plan to have a two-way conversation with them about it, so you can assess them against what’s required.
  • Probe the candidate on their experience to ‘drill down’ in to the detail.  This will eliminate any potential embellishments, assumptions or misunderstandings about the experiences they have actually had.
  • Ensure all candidates are interviewed in the same robust way, regardless of whether they are recommended by a contact, or you have worked with them before.
  • Ensure one of the interviewers is taking notes of the candidate’s responses (the content, not their opinion about it). This will serve as an accurate reminder about the candidates, so you can discuss your thoughts about them effectively afterwards.
  • If you’re in doubt about a candidate, ask them back, or meet them for coffee so you can ask them more about the areas where you feel less convinced. Or involve a third interviewer to do this – prepping with them about the areas of focus/concern.
  • Do not appoint someone just because they are the best in an unsatisfactory group of candidates. If they do not have the essential skills and experience, and these areas cannot easily be developed or trained upon joining, do not appoint them.

Not everyone has a natural ability to interview well, but training or coaching can help your managers run an effective selection process, so they can find the right person for the job.

If you or your team need support in making more successful hiring decisions, get in touch.

5 tips for managing long-term sickness absence

Absence of more than 4 weeks is often defined as long-term sickness absence. In some cases an employee’s absence can continue month after month.  But how do employers manage this absence in a positive and pro-active way that benefits the business and the employee?

Here are 5 tips for managing long-term sickness absence:
  1. Make sure you have a sickness absence policy.  Any policy you have should include: absence notification requirements; sick pay applicable and what the qualifying criteria is; expectations regarding contact with the employee during sickness; an absence review process and how long-term absence will be dealt with.
  2. Introduce an Ill Health Capability procedure. This will enable you to manage an employee’s long-term absence through a fair and transparent process.
  3. Maintain regular communication with the employee.  Contrary to popular belief it is rarely appropriate to cease contact with an employee while they are off sick.  Limit this contact to business updates and enquiries regarding the employee’s health.  You should put no pressure on the employee to return or deal with work during their absence.  A supportive and empathetic approach should be taken, focussed on their wellbeing and what you can do to support them. This will support their ongoing engagement with the business and hopefully a productive return to work.
  4. Consider the steps you need to take to support the remainder of the team during the employee’s absence.  This will reduce any potential resentment about additional workload. The danger is that resentment builds and is directed at the absent employee, making their return to work difficult. Carry out regular check-ins with the team to enable you to address any issues they share.
  5.  Ensure you follow the policies you have in place correctly.  Put milestone dates in the diary to prompt actions under the policies and procedures to ensure you stay on track. For example: the date the current fit note expires; next planned contact date and why; when Company and Statutory sick pay expires, and the stages of the Ill Health Capability procedure.

Although every situation is different, you will be best placed for success if you have these basics in place.   The worst-case scenario is that you get it wrong and receive an employment tribunal claim against you alleging disability discrimination.  In addition to this, the employee may be disengaged even if they do return, therefore they are unlikely to be productive.  The alternative is that they ‘disappear into the ether’, making it difficult to resolve the situation one way or another.

Helpful HR can support you if you have an employee absent from work due to long-term sickness, so get in touch and we can get you on track and limit the risk of a costly employment tribunal claim.

Mental Health and Wellbeing Support

Over the last 6 months mental health and wellbeing support has become a hot topic, as data emerges about anxiety and stress levels in the context of returning to work and to the workplace.

What do we know?

Some key statistics regarding mental health and wellbeing are coming to light:

  • 72% or employers are planning to bring teams back to the office by mid-October 1
  • 33% of UK workers don’t have faith in their colleagues when it comes to hygiene protocols 1
  • 44% of workers are worried about sharing equipment 1
  • By end May 2020 calls to the UK’s national domestic abuse helpline had increased by 66% 2
  • The number of adults experiencing depression has doubled during the pandemic 3
  • 37% of people in the UK are suffering from high anxiety 3
  • 22% of those with no pre-existing mental health issues now report having ‘poor’ or ‘very poor’ mental health 4
  • 65% of those with pre-existing mental health issues report that those issues are now worse 4

In the context of these statistics, fears of a mental health crisis seem well founded.

What does this mean for employers?

There are potentially many ways in which the mental health crisis will affect employees, as people will have had very different experiences of the pandemic. Here are some of the issues your employees may be having:

  • Job security – as more and more businesses announce job losses, anxiety about impending unemployment will be high
  • Isolation – for some remote working has left them feeling isolated and de-motivated
  • Mental and physical exhaustion – for many who had to balance work and childcare and/or home-schooling it has been extremely stressful and tiring, creating what could manifest itself as ‘burn-out’
  • Personal relationship stress – spending such a long time in close proximity with partners may have put a strain on relationships
  • PTSD and bereavement – for anyone who contracted the virus, there are reports of potential longer term mental and physical issues; and those who have lost loved ones may still be dealing with grief and feelings of guilt

Employees may find it difficult to focus, concentrate and  stay motivated and engaged. For those who are working from home for the foreseeable future, the feeling of being disconnected from their colleagues may continue. Without interventions, these issues could result in both a downturn in productivity and difficult and sensitive employee relations issues to manage.

Pro-active employers will definitely be on the front-foot if they can support employees through the next phase of the coronavirus pandemic and beyond.

Why should employers focus on mental health and wellbeing?

As well as the ethical and moral arguments for supporting employees who are struggling, there is evidence to suggest that wellbeing could increase productivity by 12% and that unhappy staff could be 10% less effective. 5

If employers do provide support for their employees, they would undoubtedly become more resilient. If issues arise at any point in the future those employees will be able to manage more successfully, leading to less employee absence.

Employers will also find that how they treat people during this time will define them and their brand. Being supportive will drive both loyalty and make them a more attractive employer for the best talent in the longer term.

From a practical perspective, if employers ‘catch people’ before they fall, they will avoid difficult employee absence issues which can be time-consuming and expensive to manage.

There is also the issue of the duty of care employers have for employees. Employers have a duty to minimise risk of health and safety issues, and this includes the risk of mental health issues. Risk assessments should be done, steps taken to minimise risk and these should both be communicated to employees to ensure employers don’t breach of health and safety regulations.

In addition, as mental health issues can be regarded as a disability, employers have a duty to make reasonable adjustments to accommodate and support those with mental health issues.

What can employers do?

There is a plethora of solutions to address the mental health and wellbeing. Here are some ideas:

Communication: Make people feel connected and find out how people are feeling.
  • Conduct regular group and individual check-ins
  • Hold virtual team meetings – peer or manager lead
  • Create virtual ‘pub’ meet ups over video conference
  • Appoint ‘check-in’ champions in each team who can re-create the ‘water cooler’ catch up moments
Line manager proactivity: Create a supportive environment.
  • Be a sympathetic ear – not just focussing on work / outputs
  • Train managers as Mental Health First Aiders
  • Ensure managers are keeping up to date with how individuals in their team are coping
  • If returning to workplaces is causing anxiety, ensure managers are discussing options and solutions to help address those anxieties
  • Communicate with employees to reassure them about what the company is doing to minimise risks
Update or create a Mental Health and Wellbeing Policy

Re-visit your existing policy and update it to account for issues created by the coronavirus pandemic and different norms relating to work and workplaces. This will create the framework within which the business will function in this area, and create consistency.

Research, propose and implement a variety of support ideas to tackle the variety of issues people may be experiencing, to cover physical health, diet, financial health as well as mental health and wellbeing. All of these factors play a part in keeping employees healthy in body and mind.

If you would like to discuss support you could put in place for your employees, get in touch with Helpful HR here.

References:

1 – Solopress Survey via HR Review: https://www.hrreview.co.uk/hr-news/workers-fear-returning-to-work-due-to-colleagues-lack-of-hygiene/126356?utm_source=Gatormail&utm_medium=email&utm_campaign=HR+Daily+Friday+-+17-07-2020&utm_term=Government+bury+its+%27head+in+the+sand%27+in+response+to+House+of+Lords+IR35+report&utm_content=108317&gator_td=o3G5kc7rW2VpP8pLbvvPKX8i65b%2blZYHTpgu38q3MGha0tK5Q3sXgBaP1prmh6Uahsujuoe2CuGf6B3yFqphtXubssiphNgkvdH1KnKkAGx3lvuNf7CA%2bu8sK%2bvpNvjxNCLDEd8aOmaV9F4yS%2bf%2f2pCjx64K0MeyKpb1VszBRbl53pQV6Ng3a%2fnLQ8Dir5b9XfQusRxJpXxh1CL8mZhbHg%3d%3d

2 – Independent: https://www.independent.co.uk/news/uk/home-news/domestic-abuse-lockdown-reports-school-reopen-coronavirus-a9703926.html

3 – Office of National Statistics via People Management: https://www.peoplemanagement.co.uk/experts/legal/supporting-workers-mental-health-during-covid?utm_source=mc&utm_medium=email&utm_content=pm_daily_03092020.Employment+law%3a+Supporting+workers’+mental+health+during+Covid&utm_campaign=7295441&utm_term=1115500

https://www.peoplemanagement.co.uk/voices/comment/employers-must-act-restore-workforce-mental-health?utm_source=mc&utm_medium=email&utm_content=pm_daily_24072020.Opinion%3a+Employers+must+act+to+restore+their+workforce’s+mental+wellbeing&utm_campaign=7295441&utm_term=1115500

4 – Mind via People Management: https://www.peoplemanagement.co.uk/voices/comment/employers-must-act-restore-workforce-mental-health?utm_source=mc&utm_medium=email&utm_content=pm_daily_24072020.Opinion%3a+Employers+must+act+to+restore+their+workforce’s+mental+wellbeing&utm_campaign=7295441&utm_term=1115500

5 – University of Warwick study in 2015: https://warwick.ac.uk/newsandevents/pressreleases/new_study_shows/