A GUIDE TO RECRUITMENT AND RETENTION
GETTING THE BEST FIT FOR YOU. People are the heartbeat of any business. But when you’re busy with important day-to-day tasks, finding the time to make sure your people are happy and working efficiently, can be easier said than done. Never mind attracting and hiring the right staff to help you grow. This guide is designed to help, whether you’re looking to recruit the right candidates or keep your existing staff motivated, especially if you don’t have HR resource. Drawing on our experience as one of The Sunday Times’ Best Big Companies To Work For, it will help you attract the right people and move your business forward.
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GETTING THE BEST PEOPLE FOR YOUR BUSINESS
GETTING THE BEST FROM YOUR PEOPLE
Attracting and hiring the right people for your business is crucial. But finding the right candidate can be challenging and time consuming, particularly when you’re busy with day-to-day business.
Keeping your employees interested and happy but most importantly with you is essential to the long-term health of your business. But knowing where to prioritise your efforts can be difficult, especially when there are a million other things competing for your attention.
In this section we’ll explain more about how to find the right people for your business, including top tips on how to attract, interview and hire them.
RECRUITMENT PROCESS
REWARDS PACKAGES
RETAINING THE RIGHT PEOPLE
DUTY OF CARE
POPULAR WAYS OF RECRUITING
APPLICATION AND SELECTION PROCESS
PEOPLE DEVELOPMENT AND PERFORMANCE MANAGEMENT
ATTENDANCE POLICIES AND MANAGING ABSENCE
RETURN TO WORK INTERVIEWS
THE VALUE OF EXIT INTERVIEWS
EFFECTIVE STAFF INDUCTIONS CONTACT US
In this section, we’ll explain how to keep your people motivated, engaged and loyal using tried-and-tested methods that put their wellbeing at the heart of your business.
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THE RECRUITMENT PROCESS TIMELINE. Whether you’re replacing an employee, or recruiting for a new role, it’s important to understand the process involved. Of course no two businesses’ needs are exactly the same, but this handy flow diagram shows you what’s involved at a glance. Working back from a new employee’s first day, it’s worth making sure you’ve followed all of these steps and been as thorough as possible.
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q
Human resource planning q
If yes, should the job be done in the same way? q
Design/update job description and person specification. Consult the competency framework, where appropriate q
Seek authorisation to recruit, and choose selection methods
Advertise in appropriate media
ON AVERAGE IT TAKES:
q
Shortlist
8.9 WEEKS
17 WEEKS UP TO
q
Interview/test q
Assess candidate q
TO RECRUIT CANDIDATES*
TO RECRUIT KEY POSITIONS LIKE SENIOR MANAGERS**
*CIPD survey, Recruitment, retention and turnover 2004. **CIPD Annual Survey Report, 2009.
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Is the vacancy a replacement?
q
Popular ways of recruiting Application and selection process
Job analysis
q
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q
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q
RECRUITMENT
Decide and make offer q
Sort references, medical q
Appoint, induct, train and evaluate
Source: CIPD, Human Resource Practice, 5th edition, 2010.
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RECRUITMENT PROCESS. 2/3 WRITING A JOB DESCRIPTION. Getting the job description right is one of the most important parts of finding the right candidate. A good job description should be based on objective information, giving applicants a clear picture of what the job is and what will be expected of them, including: • Duties undertaken • Capabilities, behaviours and skills needed to accomplish tasks • The business’s expectations for their work. Job descriptions are also important once you’ve recruited, and should be updated as the role develops and responsibilities change. They enable a clear dialogue to take place between the employee and their line manager about the role, and form the foundation of performance development and measurement.
FIVE SIMPLE STEPS TO WRITING A JOB DESCRIPTION
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Write down the job title and who that person will report to.
2.
What are the primary and secondary duties of the job? By identifying and stating the key responsibilities, you can clarify the most important contributions and outcomes needed from the position.
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3.
What capabilities, behaviours and skills are needed to get the job done? Make sure you outline them all.
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List the required qualifications, experience, skills and knowledge you’re looking for.
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Don’t forget to include information about your location, structure, regulatory responsibilities and anything else that will help a candidate decide if they’re suitable or not.
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RECRUITMENT PROCESS. 3/3 WATCH OUT FOR UNCONSCIOUS BIAS. As the name suggests, unconscious bias is not deliberate but it is often cited as the most important recruitment issue to be addressed, in order to help close the gender gap and other inequalities. Here are some top tips to help you recruit as fairly, and impartially, as possible.
Recruitment Recruitment process Reward packages Popular ways of recruiting Application and selection process
Be mindful of the language used in job adverts, which could constitute indirect discrimination. Words like ‘energetic’ or ‘vibrant’ can imply a desire for a younger worker, and can often discourage older jobseekers from applying.
Advocate the business benefits of a diverse workforce – including discussing the importance of challenging discrimination and unconscious bias in the hiring process.
Use a range of platforms and methods to advertise jobs, in order to reach a wider talent pool of different ages and backgrounds.
Create networks with schools, charity organisations, welfare-to-work providers and Jobcentres to demonstrate expertise and commitment in seeking a broader candidate pool.
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REWARD PACKAGES. 1/2 WHAT IS A FAIR REWARD PACKAGE? SETTING SALARIES Choosing an appropriate salary is an important part in attracting the best possible person for a job. Setting a salary depends on the budget you have, the specific job, the location, and the candidate’s skill set, among other factors. To give you an idea of where to set a salary, it’s worthwhile researching what the big recruitment agencies and online job boards are offering. It’s also important to comply with the National Minimum Wage Act 1998.
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BENEFITS It’s not always necessary to increase the salary offered to help attract the right candidate. That’s where a good benefits package can make a big difference, not to mention rewarding existing employees. It also encourages people to look beyond just the level of salary offered, and consider the other rewards of working for your company. Examples of what other companies offer are shown on the next page.
Now that all employers have to offer a pension, offering other benefits can help demonstrate how you’re different from your competitors. This sends out a clear signal about the culture of your business. You might also want to vary your benefits package to reflect different types of roles and levels of seniority.
Over one third of workers plan to move jobs this year, up from just 19% in 2014. Of those who left their jobs this year, 56% cited a better salary as their main motivation for seeking a new role. Source: Institute of Leadership & Management.
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REWARD PACKAGES. 2/2 WHAT IS A FAIR REWARD PACKAGE? OTHER BENEFITS OFFERED To help you consider which benefits to include, here’s what other small and medium businesses told us they offer, in addition to salary and a pension. Performance bonus Company car/allowance Private medical insurance Group life assurance Group critical illness Travel scheme/parking Childcare
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Flexible working Share scheme Long holidays Employee Assistance Programme Group income protection Source: SME Omnibus September 2014, Legal & General.
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MAKE SURE YOU TELL PEOPLE ABOUT THEIR BENEFITS. Our research shows that even if companies are offering good benefits, they don’t always tell staff about them, meaning they might as well not offer them at all. It’s important to make sure you clearly communicate the benefits your company has to offer, as it will help to attract potential employees.
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POPULAR WAYS OF RECRUITING. 1/9 There are many different ways to attract applicants for a vacancy, some of the most popular methods include:
RECRUITMENT AGENCIES.
INTERNAL RECRUITMENT AND PERSONAL RECOMMENDATIONS.
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JOBCENTRES AND ADVERTISEMENTS.
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ONLINE RECRUITING.
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POPULAR WAYS OF RECRUITING. 2/9 RECRUITMENT AGENCIES.
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Working for a fee or percentage of the vacancy’s salary, recruitment agencies will provide you with details of suitable candidates. They often specialise in particular careers, like sales and marketing, financial services or accountancy.
Recruitment process
There are also specialist executive search organisations, sometimes called ‘headhunters’, usually working with senior management or expert roles.
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BENEFITS OF WORKING WITH A RECRUITMENT AGENCY
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They introduce you as a reputable organisation. Can offer a bigger selection of high calibre candidates. Can advise and strengthen recruitment strategy. Assist with the search, selection and interview process.
TIPS ON WHAT TO LOOK FOR WHEN CHOOSING AN AGENCY Do they: •H ave experience of your industry? •H ave experience of the types of roles you’re recruiting for? •H ave references or testimonials from other clients? •H ave clear ethical terms of business? •A dhere to customer service standards, for example candidate checks? •C omply with all relevant legislation?
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POPULAR WAYS OF RECRUITING. 3/9 INTERNAL RECRUITMENT AND PERSONAL RECOMMENDATIONS. INTERNAL RECRUITMENT This method can have the advantage of building on existing staff skills and training, and provides opportunities for development and promotion. It’s a good way to retain valuable employees whose skills can be further enhanced, and increase individual motivation.
PERSONAL RECOMMENDATIONS Otherwise known as ‘word of mouth’. A referral usually means there is a better chance of getting a qualified candidate because the person who made the recommendation knows the company and the type of person needed for the job. It can also streamline the hiring process and potentially save on advertising costs.
Using a consistent, clear procedure, agreed jointly between employer and employees, can help avoid suspicion of favouritism.
It’s worth noting however that this is likely to lead to a much smaller pool of suitable applicants and does not normally satisfy equal opportunities requirements (see page 26 for more information on The Equality Act).
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POPULAR WAYS OF RECRUITING. 4/9 FINDING THE BEST CANDIDATES.
ADVANTAGES
Now the search for candidates begins. However, finding the right person can be easier said than done. The process needs to be undertaken carefully so as to ensure the best response and a good selection of quality candidates at the least expense.
INTERNAL RECRUITMENT
Cheaper and quicker to recruit.
Limits the number of potential applicants.
From within your existing workforce.
Employees are already familiar with the business and how it operates.
No new ideas can be introduced from outside.
Provides opportunities for promotion within the business. This can be motivating, especially in redeployment situations where internal candidates should be given priority.
May cause resentment amongst candidates not appointed.
You already know the strengths and weaknesses of candidates.
Creates another vacancy which may need to be filled.
EXTERNAL RECRUITMENT
Outside people bring in new ideas.
Longer process.
Filling the vacancy with a suitable applicant from outside the business.
Larger pool of workers from which to find the best candidate.
More expensive process due to advertising.
People potentially have a wider range of experience.
Selection process may not be effective enough to reveal the best candidate.
Once you know more about the options available, you’ll be better placed to choose the approach or approaches most suitable for you. Broadly speaking, it’s possible to recruit internally or externally. The table opposite summarises the advantages or disadvantages of each.
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INTERNAL
EXTERNAL
THE BEST OF BOTH Of course, there is always the option to use both internal and external recruitment. This is often the case for senior management appointments. CONTACT US
DISADVANTAGES
Source: http://www.tutor2u.net/business/people/recruitment_internal_external.asp
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POPULAR WAYS OF RECRUITING. 5/9 JOBCENTRES AND ADVERTISEMENTS.
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JOBCENTRES Government agencies help the unemployed find jobs or get training. They display vacancies and refer potential recruits to employers. It’s free to advertise with a Jobcentre and they offer:
ADVERTISEMENTS The most common form of external recruitment. Where you choose to advertise will depend on the cost and the coverage you need, for example how far away people will consider applying for the job. Popular places to advertise include:
• Recruitment advice, including specialist support if you run a small business.
•N ational newspapers – expensive, but likely to produce a good response for particular, specialist vacancies.
•H elp in setting up work trials, to give you the opportunity to try out potential recruits.
•S pecialist, professional and trade journals – less expensive than the national press, these journals can guarantee to reach more precise groups of potential applicants.
• Incentives to help you employ a disabled person – through the Work Choice programme. • Support from other employment schemes, including work clubs and help with work experience.
•L ocal newspapers and radio – for less specialised jobs, or to target groups in a particular local area, these can produce a good response.
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POPULAR WAYS OF RECRUITING. 6/9 ONLINE RECRUITING.
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This is now one of the most widely used recruiting mediums. Its benefits include: 1. LOW COST It’s inexpensive, especially when compared to traditional hiring methods such as print advertising. 2. REACH A WIDER AUDIENCE With over 2.4 billion internet users worldwide, you can reach significantly more jobseekers. 3. SPEED Jobs posted online can go live very quickly, and you could receive applications immediately. 4. MEASURABILITY Gives a recruiter greater control over the recruitment process and makes it easy to measure return on investment.
6. JOB BOARDS AND SOCIAL MEDIA Job boards and social media websites cover the entire world, linking people together. They can be an excellent advertising tool, with more and more companies using them to recruit. Many job boards and social networks also have mobile apps, so can be searched from anywhere using a smartphone or tablet.
94% of recruiters either already use or plan to use social media for recruiting.
73% of 18 to 34-year-olds found their last job through a social network.
The main social media websites you can use are: LinkedIn
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5. EASE OF USE Posting a job online is straightforward and often comes with self-submit options or tools to help you manage your advertisement.
Twitter
Facebook
Source: www.hrmagazine.co.uk/ hr/features/1149347/gettingsocial-media-recruitment
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Recruitment process Reward packages Popular ways of recruiting recruiting
LinkedIn
LinkedIn can provide easy access to potential candidates. You can search for candidates that fit your needs and approach them directly, provided they are at least ‘2nd degree’ contacts (people connected to your 1st degree connections). Or, you can search further afield, although a monthly subscription is needed. There’s also the option of posting a job advertisement for a monthly fee dependant on location. BENEFITS OF RECRUITING ON LINKEDIN
Application and selection process
Well-respected professional website for businesses.
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Receive introductions or referrals to prospective candidates.
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Easy to identify the right people by viewing their profile.
82%
Discover the relationships between people – if you have acquaintances in common, you could ask them about a potential employee. Discovering information about prospective candidates, by reading their personal and company profiles. Visibility for both you and your organisation. It also helps you appear in search engine results, like those from Google.
of organisations use LinkedIn for resourcing CONTACT US
Source: CIPD Resourcing and talent planning, Annual survey report 2013.
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Twitter
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Using Twitter can be an excellent way to attract high-quality applicants. It is essentially a free job board. You can enter the details of the job you want to advertise and these will then be broadcast through Twitter to jobseekers.
Reward packages
BENEFITS OF RECRUITING ON TWITTER
Popular ways of recruiting recruiting
Use existing employees to tweet jobs. Share news and events to expose your company’s culture.
Application and selection process
se hashtags to enable you to get your Tweets in front of new U followers and narrow down your target audience.
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ost jobs, or latest job links on Twitter back to your P company’s website.
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55%
ngage with candidates – relationship and network E building/reinforcement. Employer branding. Links to career content – employee profiles, videos, articles. Candidate reference source.
of organisations use Twitter for resourcing CONTACT US
Source: CIPD Resourcing and talent planning, Annual survey report 2013.
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Facebook
Posting jobs on your Facebook page can be a good way to broaden the reach of your job advertising. BENEFITS OF RECRUITING ON FACEBOOK Helps your company gain more traffic in recruitment. A diverse recruitment pool. Boosts a company’s image to potential recruits.
Application and selection process
Increases employee referral activity.
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Increases brand awareness.
Establishes a more personal connection with jobseekers.
51%
Helps you attract passive candidates. GETTING THE BEST FROM YOUR PEOPLE
Helps you establish important networks. Gets you connected to the student community.
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Cost effective and time efficient. It enables anyone to recruit for you.
of organisations use Facebook for resourcing CONTACT US
Source: CIPD Resourcing and talent planning, Annual survey report 2013.
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APPLICATION AND SELECTION PROCESS. 1/10 THE APPLICATION PROCESS
THE SELECTION PROCESS
Decide what information you want applicants to provide, for example: Curriculum Vitae (CV), covering letter, application form.
Once you start receiving applications the next step is to filter through them and develop a shortlist of applicants.
Recruitment process
Application forms give you an opportunity to ask specific questions that may help you select the candidates to progress to the next stage.
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However, creating application forms can be time-consuming, especially if built online.
There are a variety of methods available to help in the selection process. Usually a range of techniques will be used depending on the type of job to be filled, the skills and the budget for recruitment. This section describes the most popular techniques.
Popular ways of recruiting
An alternative is to ask candidates to answer the questions within a covering letter.
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APPLICATION AND SELECTION PROCESS. 2/10
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First stage of the selection process: to filter out unsuitable candidates
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CURRICULUM VITAE (CV) CV screening is an important way of producing a shortlist of candidates for you to interview. This should be done against a clear list of specific requirements. For example:
TELEPHONE INTERVIEWS These can be a useful part of the selection process, before face-to-face interviews. They can also be a helpful way to interview candidates looking to relocate from some distance away.
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•D oes the candidate have the amount and type of experience required?
Their advantages include:
Popular ways of recruiting
• Does the candidate have the required qualifications or skills set?
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• Is the candidate’s CV clear and well considered? You might wish to discard CVs that contain errors or if you feel they are unclear.
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•D oes the candidate provide satisfactory answers to your questions in their covering letter or application form?
Easy to arrange. Time effective. Cost effective. No need to worry about location/travelling.
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APPLICATION AND SELECTION PROCESS. 3/10
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Second stage of the selection process: interviews Most jobs are filled through interviews which have two main purposes: 1. To find out if the candidate is suitable for the job. 2. To give the candidate information about the job and the organisation.
Popular ways of recruiting
Every candidate should be offered the same opportunities to demonstrate their suitability and to ask questions of the interviewer.
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REMEMBER: as you assess the candidate, they’re also assessing you and your company.
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The following section will help guide you through the interview process offering helpful hints and tips on interview technique, suggested questions and other selection methods.
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APPLICATION AND SELECTION PROCESS. 4/10 CONDUCTING AN INTERVIEW. There is a well-known, handy structure to help you conduct interviews – the WASP approach. Following this format enables you to keep the process consistent and make a more reasoned decision at the end.
WELCOME
ACQUIRE INFORMATION
During this initial phase of the interview you should: •E stablish rapport and break the ice, a relaxed candidate will perform better. •E xplain the purpose of the interview and whether there are any additional stages in the selection process. •O utline the format for the interview with approximate timings. • Inform the candidate that you’ll be taking notes. • In some cases you may wish to provide the candidate with a tour of your facilities.
In this phase of the interview you are seeking to gather as many relevant details from the candidate as possible, to help you make an informed decision about their suitability. •B egin with general questions before moving on to more specific ones. • Explore their background, attitudes and general suitability – as long as it’s relevant to the employee profile and job description. • Probe to explore any ‘gaps’ – but be careful not to interrogate them. •L isten – the candidate should speak for approximately 80% of the time.
SUPPLY INFORMATION
P LAN AND PART
Once you have obtained all the relevant information you need, you should let the candidate ask you questions about the position. Make sure you: • Outline the job description in greater detail, giving an overview of their potential role in the company. • Provide them with details of the salary and working conditions. • Answer any remaining questions.
The final part of the interview is designed to ensure that both parties leave the interview fully aware of the next steps. You should: •A sk to check references – you do need permission to do so. • Discuss salary if not mentioned already. •G ive a timetable for your decision and next steps, including details of how they will be notified. • Thank them.
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APPLICATION AND SELECTION PROCESS. 5/10 QUESTION TECHNIQUE. Question technique is a vital skill for any interviewer. You should try and make sure your questions are:
OPEN (IN MOST CASES) CLEAR RELEVANT WELL WORDED – WHAT? WHY?...ETC. NOT LEADING ASKED THROUGHOUT THE INTERVIEW
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APPLICATION AND SELECTION PROCESS. 6/10 The types of questions that are used in an interview can be classified as follows:
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OPEN QUESTIONS. Designed to encourage candidates to talk and therefore are a useful way of commencing interviews. Example open question: “Please tell me how your experience makes you suitable for this job?”
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CLOSED QUESTIONS. Closed questions should be used to clarify facts and are designed to prompt a brief response, often a yes or no answer.
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Example closed question: “How many staff did you manage?”
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PROBING QUESTIONS. Designed to prompt more information than the candidate gives, when answers are vague or amibiguous. Example probing question: “You’ve told me that you managed staff. What experience do you have of managing poor staff performance?”
COMPARISON QUESTIONS. Designed to get participants to compare past experiences and to see how this job fits in with the candidate’s thinking. Example comparison question “What was the hardest thing you found about moving from Job A to Job B…?”
BEHAVIOURAL QUESTIONS. Designed to examine how a candidate reacts in a certain situation, or to explore their character in greater detail. Example behavioural question “What would you do if you were faced with an angry client…?”
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APPLICATION AND SELECTION PROCESS. 7/10 THE BENEFITS OF HAVING MULTIPLE INTERVIEWERS. Regardless of the position you are hiring for, it’s important that one person is involved throughout the recruitment process. That being said, there are many benefits of including other people, even in small companies.
Here are some of the benefits: hey may see something T (good or bad) that another interviewer misses. he opportunity for a second T opinion as opposed to one person having to make the final decision on their own. akes for a more detailed M process, as each interviewer has their own way of doing things. A fairer, less biased process. Increases accuracy, allowing for clarifying questions from different perspectives.
Interviewers are able to think more about the candidate’s answers to the questions, while another person asks questions. It’s a great opportunity to involve someone that the candidate will be working with or is already performing a similar role. fter the interview, both A interviewers can discuss the candidate’s answers from each other’s perspective before reaching a consensus.
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APPLICATION AND SELECTION PROCESS. 8/10 INTERVIEW QUESTIONS. Here are some example questions to help you conduct interviews effectively: BIOGRAPHICAL INTERVIEW QUESTIONS
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• Tell me about yourself?
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•W hat do you know about our company?
Popular ways of recruiting
•W hat do you know about the position you’re applying for?
Application and selection selection process
•W hat are your strengths and weaknesses?
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•W hy should we hire you?
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COMPETENCY-BASED INTERVIEW QUESTIONS These questions will almost always start with ‘Give me an example of when you...’ •T ook a difficult/unpopular decision and how did you deal with this. •D isagreed with your boss and the action you took to address the dispute. •W ere part of a badly performing team and how you addressed this. •D emonstrated initiative. •D elivered results within a highly-pressurised situation.
QUESTIONS FOR DIFFICULT INTERVIEW SITUATIONS
QUESTIONS THAT CANDIDATES MIGHT ASK YOU
•Y ou seem a little over/ under qualified?
•H ow did the role become available?
•T his role requires extensive sales experience, but this does seem to be lacking in your CV?
•W hat does success look like and how will my performance be monitored?
•Y ou have a number of employment gaps in your CV? •H ow do you feel this interview is going? •W hat is the biggest mistake you have ever made?
•W hat are the key issues and challenges for someone in this role? •W hat are the opportunities for development and progression? •W hat does your ideal candidate look like? •W hat do you see as the next steps and what are the timings?
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Psychometric tests Aim to measure attributes like intelligence, aptitude and personality, giving you an insight into how well a candidate works with other people and handles stress.
Role plays Role play interviews are ideally conducted 1:1 and will test the candidates’ problem solving, decision making, verbal communication, analytical and reasoning skills.
Group tests Used to help you find out how candidates perform in group situations, which are often modelled on real life work-based scenarios.
Aptitude tests These are designed to determine a person’s ability in a particular skill or field of knowledge. They consist of multiple choice questions and are administered under exam conditions (ideally around 30 minutes).
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Presentations Candidates are asked to prepare and present on a topic chosen by you. Ideally the candidate should be given an average of 10 minutes to get their message across.
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Recruitment process Reward packages Popular ways of recruiting Application and selection selection process Effective staff inductions GETTING THE BEST FROM YOUR PEOPLE
APPLICATION AND SELECTION PROCESS. 10/10 THINGS TO CHECK. There are several key checks you might need to consider when hiring a new employee: REFERENCES It’s common practice to ask the chosen candidate to provide two references to help assess their suitability. A simple form confirming dates of employment, capacity and specific skills is normally enough. CREDIT HISTORY CHECKS This is impotant for a senior role or position which involves handling money. IMMIGRATION, ASYLUM AND NATIONALITY ACT 2006 This makes it a criminal offence to employ people who don’t have permission to live or to work in the United Kingdom.
Criminal record checks are carried out by the Disclosure and Barring Service (DBS), which used to be the Criminal Records Bureau (CRB). H EALTH CHECKS Employers can only ask successful candidates for a health check before hiring them if: • It’s a legal requirement, for example eye tests for commercial vehicle drivers. • If the job requires it, for example health checks on cycle couriers for insurance purposes.
CRIMINAL RECORD CHECKS For certain jobs like working with children or in healthcare, employers need to carry out a criminal record check on new employees before they can start.
SUMMARY
An employer can be fined up to £20,000 if they can’t prove they checked an employee’s right to work in the UK. CONTACT US
Source: https://www.gov.uk/employers-checks-job-applicants
EQUALITY ACT Treating people fairly, with dignity and respect, is one element of the Equality Act. This Act and others need to be considered when recruiting and where appropriate, further advice taken. For full information click here
DATA PROTECTION You must follow data protection rules when handling information on job applicants. Any information you request for monitoring purposes – such as marital status, ethnic origin or date of birth – should clearly be for this purpose only. For full information click here
RECRUITMENT
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Recruitment process Reward packages Popular ways of recruiting Application and selection process Effective staff staff inductions inductions GETTING THE BEST FROM YOUR PEOPLE
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EFFECTIVE STAFF INDUCTIONS. 1/2 THE CANDIDATE’S EXPERIENCE. It’s important that all candidates, including unsuccessful ones, have a positive experience with your company. After all, word of mouth is vital to your hard-earned good reputation. Ideally you want candidates to talk about your business, and your recruitment process, in a positive way. For example, “I didn’t get that job…but I would really love to work there”. Not only is this important for your reputation today, a good word of mouth experience will establish your company as a desirable one to work at – helping you attract and hire the best candidates in the future too.
HERE ARE SOME OF THE KEY THINGS TO DO WHEN A CANDIDATE IS CHOSEN. 1 Job offer to be made and accepted. 2 C onfirm start date and time to employee, and the manager and colleagues providing induction support. 3 Identify who will support the induction programme and greet the new employee on their first day. 4 Identify and order technology needed for the role. For example, computer or laptop and associated software, mobile. 5 Identify and order equipment needed for the role. 6 Ensure the employee is registered onto the payroll system.
7 Assign company car (if needed). 8 Create an induction information pack. 9 Arrange first day. 10 Update internal records. For example, telephone directory, organisation chart. 11 Finalise the induction programme and communicate this to everyone involved. 12 Send a welcome message to the new employee.
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EFFECTIVE STAFF INDUCTIONS. 2/2 Follow this handy checklist to help make sure your new employee’s induction to your business is as straightforward as possible. BEFORE FIRST DAY
FIRST DAY
end a personal S welcome.
hare mission and S values.
Recruitment process
nsure infrastructure E support.
Introduce to employee sponsor/buddy.
Reward packages
repare employee’s first P work assignment.
elcome employee W to organisation.
Popular ways of recruiting
repare welcome P pack – lunch and parking options, how to get supplies, set up voicemail.
xplain your E management style and preferences.
Application and selection process Effective staff staff inductions inductions GETTING THE BEST FROM YOUR PEOPLE
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elect employee S sponsor/buddy.
end introductory S email to staff and introduce in person, where appropriate. eview annual leave R requirements. ake employee T to lunch.
FIRST WEEK et job scope S and performance expectations. ssign employee’s first A work assignment. ommunicate resources C or networks required. nsure inclusion on E email distribution lists. I ntroduce to key business partners/ leaders.
90 DAYS AND BEYOND rovide essential P training. onitor performance M and feedback. Obtain feedback. ake time for periodic M one-on-one sessions. rovide formal and P informal feedback on performance. reate employee C development plan. ecognise positive R employee contributions.
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Retaining the Retaining the right people Duty of care People development and performance management Attendance policies and managing absence Return to work interviews The value of exit interviews
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RETAINING THE RIGHT PEOPLE. 1/4 In a small-to-medium size business, your people are fundamental to your success. That’s why recruiting and retaining talented, committed people can make such a huge difference. Research shows that taking care of your employee’s professional and personal development encourages their sense of loyalty, so that they want to stay with you. Naturally every business is different, but the following list explains a few compelling reasons to invest in retention. • Hiring isn’t easy: Recruiting the right people takes a lot of time, so it’s worth holding on to them. • It takes time and money to get people ready to work: All of that hard work, time and money introducing people into your company and training them is lost when someone leaves. And you have to start the recruitment process all over again.
• When someone resigns, it’s likely they’ll join a competitor: People tend to take all the strategies and policies from their current organisation into the new one. So it’s well worth thinking about your retention policy to prevent losing valuable people. • Everyone needs time to adjust: People need time to get to know their team, to become friendly and build trust. When new people start, it can often be a challenge for existing team members to adjust and trust them.
“Giving your people the opportunity to develop and learn increases their job satisfaction, motivation and commitment.”
• Every organisation needs hardworking and talented people: No organisation will survive if all its top performers quit. It is essential to keep employees who work hard and make themselves indispensable. • Regular turnover of customer facing staff can reflect badly on your business. This results in increased recruitment and training costs, decreased morale and lower productivity. It can also have a negative effect on customers if frontline staff keep changing.
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RETAINING THE RIGHT PEOPLE. 2/4 WHAT EMPLOYEES REALLY WANT. Having a clear understanding of what your people want is absolutely key to keeping them in your company. Getting this right can lead to higher engagement and productivity, better teamwork, morale, commitment, communication, customer service – and ultimately – lower employee turnover in your business. Although each person has specific priorities and goals, there are a number of universal factors that contribute to people feeling happy at work. In this section, we’ll look at the top 10.
Retaining the Retaining the right people Duty of care People development and performance management
40-60 hours
58%
Attendance policies and managing absence Return to work interviews The value of exit interviews
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Fortune magazine’s annual list of the world’s best companies shows that the highest-ranking companies give employees 40-60 hours of training and education each year.
Source: linkedin.com CONTACT US
58% of organisations with 50–249 employees don’t have a training budget
Source: CIPD 2014 Learning and Development survey.
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Retaining the Retaining the right people Duty of care People development and performance management Attendance policies and managing absence Return to work interviews The value of exit interviews
RETAINING THE RIGHT PEOPLE. 3/4 10 THINGS EMPLOYEES REALLY WANT.
1. 1
2. 2
3. 3
4. 4
5. 5
LEARNING
CLEAR EXPECTATIONS AND GOALS
RECOGNITION AND PRAISE
COMMUNICATION
GROWTH
Ongoing training is essential to maintaining job skills. But even more important to developing your people and your company.
Give your people a clear understanding of their roles, responsibilities and objectives. Do this one on one and with the team. Do it periodically through the year: monthly to quarterly.
The better people feel about what they do, the more they want to do it well.
Keeping people informed as a team and as individuals makes a big difference to how they feel at work.
People are more motivated when they can develop their skills.
Encouraging a sense of personal and professional growth speaks directly to people’s need to feel they’re advancing in work and life.
Conducting performance reviews only once a year may lead to performance problems stemming from a lack of clear expectations or goals, and a lack of recognition.
Recognise them for progress, a job well done and for goals achieved. Do the same for your team as a whole. Be genuine, creative and keep listening to your people – they’re your greatest asset.
You can communicate through meetings, one on ones, phone conferences, email, Skype and texts – any way available to you. If you have to work away from your team, it’s even more important to maintain good communication.
Find ways to give your team the chance to learn and grow professionally, expanding their talents in new areas. If an employee is interested and capable, helping them to advance in your company is a great reason for them to stay.
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RETENTION
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Retaining the Retaining the right people Duty of care People development and performance management Attendance policies and managing absence Return to work interviews The value of exit interviews
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RETAINING THE RIGHT PEOPLE. 4/4 10 THINGS EMPLOYEES REALLY WANT.
6. 6
7. 7
8. 8
9. 9
10. 10
TRUST
RESPONSIBILITY
RESPECT
PRIDE IN THE WORK
ACHIEVEMENT
Be genuine and go about your business in an ethical way.
People want to be successful and if they aren’t, managers are often given the blame. Listen to your team’s ideas and get them involved in fixing problems.
Many people feel they don’t get respect at work.
Most people want to do a good job – it fuels self-motivation and pride.
People want to win. During recruitment, try to align people with a role where you know they can succeed.
People will respect and trust you if you follow through on your commitments, and act on what you say you’ll do. It’s also good to admit your mistakes when things don’t go so well.
Coach them effectively and regularly, so that your team members always know where they stand – for good or bad. When someone brings you a problem, ask what they have done so far and what they think should be done.
Treat your people as adults by being as open and as honest as you can. Earn respect through leading by example.
Create a positive, upbeat working environment and a culture of having fun while working hard. Encourage teamwork and a commitment to quality, and it will pay dividends for your team and for you.
Be an advocate for your employees’ success and set them clear, achievable goals. Avoid sudden changes in business direction. Try to deal with poor performance as soon as it happens, and set realistic goals.
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Retaining the right people Duty of care People development and performance management Attendance policies and managing absence Return to work interviews The value of exit interviews
DUTY OF CARE. 1/4 YOUR DUTY OF CARE. When it comes to looking after your employees, common sense will take you so far. But you’ll also need to be familiar with a range of laws, health and safety considerations, and duties of care. It’s worth developing your own policies and practices so that you can fulfil your moral, practical and ethical responsibilities. It’s all part of making sure your employees want to keep working with you.
The following list shows you just a few of the things you need to think about: Clearly defining jobs and carrying out risk assessments. Making sure the work environment is safe. Providing adequate training and feedback on people’s performance. Making sure employees don’t work excessive hours. Providing areas for rest and relaxation. Protecting employees from bullying, or harassment and discrimination. Providing ways for employees to safely raise concerns. Consulting employees on issues that concern them.
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Retaining the right people Duty of care People development and performance management Attendance policies and managing absence Return to work interviews
DUTY OF CARE. 2/4 PRODUCTIVITY AND WELLNESS. We’ve already seen that understanding what employees really want and giving them the chance to develop can encourage loyalty and retention. But day to day, it’s their sense of general wellbeing that will carry the greatest impact on productivity. Things like being able to take part in workplace decisions and feeling a sense of achievement can really boost employee wellbeing. It’s a great antidote to absenteeism, low levels of performance and productivity. Wellbeing and engagement together create sustainability
Work can have a positive impact on our health and wellbeing. Healthy and well motivated employees can have an equally positive impact on the productivity and effectiveness of a business.*
ENGAGEMENT
RETENTION
High productivity but high burnout and more likely to leave
Most productive and happy employees
Least contribution from employees
More likely to stay, less committed to organisational goals
The value of exit interviews
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WELLBEING CONTACT US
*Acas.org.uk
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Retaining the right people Duty of care People development and performance management Attendance policies and managing absence Return to work interviews The value of exit interviews
DUTY OF CARE. 3/4 WHY IS WELLBEING AT WORK IMPORTANT? Wellbeing and engagement are important elements in people’s experience of work. Research has found that employees who feel good about their job perform tasks to a higher level, and are less likely to do anything that might damage your organisation.
9th
The UK is ranked for engagement levels amongst the world’s twelve largest economies.
It’s the difference between being emotionally attached to your job and doing it just because of rewards like pay and training. An employee’s health and personal life can affect productivity and engagement, which Managers and Team Leaders need to be aware of. This thinking leads to the concept of sustainable employee engagement – the idea that people will work happier for longer if their individual and organisational wellbeing are linked.
1/3
Only of UK employees are actively engaged at work.
Operating margin improves by in organisations with high employee engagement.
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Source: Business In the Community
4%
4%
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Retaining the right people
DUTY OF CARE. 4/4 MONITORING STRESS LEVELS. We found that employee stress is an increasing issue for 14% of small and medium-sized enterprises, but more than a third of businesses are still not monitoring it.
THINGS TO CONSIDER IF YOU SPOT STRESS IN THE WORKPLACE:
Some signs of stress – what to look out for:
•h olding stress-management workshops which are open to all, so people won’t feel singled out
•a n uncharacteristic drop in the quality of someone’s work. • lateness – starting to turn up to work late.
Duty of care
• f ailing to cope with the volume of work.
People development and performance management
• s topping taking part in work social occasions, claiming tiredness.
Attendance policies and managing absence Return to work interviews The value of exit interviews
• undertaking a stress survey
• encouraging Managers or Team Leaders to highlight issues • increasing open communication between employees and employers
• losing their temper easily when asked to do something. Source: SME Omnibus, September 2014, Legal & General.
STRESS TOOLKIT Our easy to use toolkit is designed to help manage the impact of stress in the workplace – one of the biggest causes of long-term absence.
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Developed in association with Rethink Mental Illness, it provides training, advice and information to help you identify the signs of stress and mental health issues, and take preventative action.
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RETENTION
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PEOPLE DEVELOPMENT AND PERFORMANCE MANAGEMENT. 1/6 Feeling valued, listened to and supported to be able to progress are important factors when it comes to deciding to stay or leave a company. Employees are more likely to stick with you if they feel they have a bright future ahead. How you structure your people development priorities depends on your workforce and type of business – the following section covers some of the key areas you should consider.
Duty of care People development and performance management
Return to work interviews The value of exit interviews
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So what do engaged employees look like? If your people speak positively about you, intend to continue working with you and show commitment – if they strive to do the best they can – then they are displaying the characteristics of an engaged employee. Employee engagement is useful because it’s a way of measuring how your employees feel about their job, their colleagues and the company. This profoundly influences their willingness to learn and perform at work. It also helps you to root out anything that may be preventing engagement.
Retaining the right people
Attendance policies and managing absence
EMPLOYEE ENGAGEMENT. Engagement is about providing opportunities for your people to connect with their colleagues, managers and the wider organisation. It’s also about creating an environment where people are motivated to connect with their work and really care about doing a good job.
16% of employees want to leave their job because they do not feel valued. Source: CIPD, January 2014.
RETENTION
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Retaining the right people Duty of care People development and performance management Attendance policies and managing absence
PEOPLE DEVELOPMENT AND PERFORMANCE MANAGEMENT. 2/6 YOUR DECISION-MAKING STYLE. Your style as a leader has a big impact on how your people feel about you, their work and their future with your company. For example, if you tend to issue instructions from the top, people may feel less confident about getting involved in important decisions. Some situations may call for a directive approach and others for a more democratic or committee style of decision-making. It’s important to be flexible and adapt according to the situation. In general, the more that people feel involved in decisions about how they work, the more engaged and motivated they will be.
Boss-centred
Use of authority by manager
Area of freedom by subordinates
The diagram* on the right shows how different decision-making styles can impact engagement.
Subordinate-centred Manager makes and announces decision
Return to work interviews The value of exit interviews
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CONTINUUM OF LEADERSHIP BEHAVIOUR.
*Tannenbaum and Schmidt continuum
Manager “sells” decision
Manager presents ideas and invites questions
Manager presents tentative decision subject to change
Manager presents problem, gets suggestions, makes decision
Manager defines limits; asks group for decision
Manager permits subordinates to function with superior defined limits
RETENTION
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Retaining the right people Duty of care People development and performance management Attendance policies and managing absence Return to work interviews The value of exit interviews
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PEOPLE DEVELOPMENT AND PERFORMANCE MANAGEMENT. 3/6 SETTING OBJECTIVES. One of the most important things you can do to help people feel confident at work is to set clear, realistic objectives. These should relate to the business objectives, to the person’s role and to them as an individual. Employees need to feel assured that they understand their objectives and know what they need to do to achieve them. So having an open discussion and involving the person in setting their objectives is a good idea – it also means that the objectives will be more relevant to them.
YOUR SMART GUIDE TO SETTING OBJECTIVES. e Specific: Objectives should state B a defined outcome or result and be precise. A specific objective is more likely to be accomplished than a general goal. Specific means that the objective is concrete, detailed, focused and well defined with a single result. If there is more than one result, you should write more than one objective. e Measurable: It’s a good idea B to make objectives quantifiable and to provide clear guidance on what success means, whether that’s quality, quantity, cost or anything else. There should be a reliable system in place to measure progress and assess priorities if need be. B e Achievable: To be achievable, objectives need to be within your employee’s capabilities and challenging enough to create opportunities for development.
They should be compatible with other responsibilities, workload and resources available. The key question is whether, with a reasonable amount of effort and application, it’s realistic to expect someone to achieve that objective. e Relevant: Being relevant means B that each person’s objectives clearly link to their needs, the priorities of the team and the company. They should also be appropriate to their post and level of authority, and future career development plans. e Time bound: It seems obvious, B but milestones or key delivery dates are really important to keeping people on track. Try to agree timeframes for objectives and make sure they’re recorded. An objective with a clear date for completion creates urgency and prompts action at the right time.
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It’s important to put processes in place to help performance management run smoothly and efficiently.
OVERALL STRATEGY
In smaller businesses managers may take on this role alongside a range of other commitments. Good management is crucial to retention, so it’s worth creating a clear, robust system and sticking to it over the long term.
BUSINESS GOALS
q
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PEOPLE DEVELOPMENT AND PERFORMANCE MANAGEMENT. 4/6 q
RETENTION
VALUES
q DEPARTMENT / SECTION / TEAM PLANS
This flow chart shows how a solid performance management process can work in practice.
q
Retaining the right people
LINE MANAGER
Duty of care People development and performance management Attendance policies and managing absence
q
LESS THAN
1/4
of managers in SMEs receive training on people management skills*
INDIVIDUAL PERFORMANCE PLAN
q
SMART (Specific, Measureable, Achievable, Relevant, Time bound) objectives / key skills / behaviours measurement / criteria development plan
q
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ANNUAL APPRAISAL Performance assessment end of year review
SUMMARY
RECORDS KEPT CONTACT US
*CIPD research on leadership and management in SMEs (2014)
q
The value of exit interviews
REVIEW Regular feedback / discussion / formal interim reviews / support / coaching / adjusting objective
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Retaining the right people Duty of care People development and performance management
PEOPLE DEVELOPMENT AND PERFORMANCE MANAGEMENT. 5/6 MANAGING PERFORMANCE: BEST PRACTICE Here are our suggestions to help guide you through the process and make it as smooth as possible: gree performance objectives, professional A competencies and personal development needs with people so that they feel involved in your business.
Give regular feedback and discuss any changes to objectives as time goes on.
Return to work interviews
ake sure you keep an eye on underperformance and M address it if it happens.
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AN ADDITION TO BASIC PAY
FASTER PROGRESS UP A SALARY SCALE
gree what skills and behaviours are most important A to do the job well and outline these in a personal development plan. elp your people to achieve their objectives and succeed H with coaching, training and development opportunities.
SUMMARY
Performance linking can take a number of forms, including:
eview people’s performance throughout the year, R not just at annual review time.
Attendance policies and managing absence
The value of exit interviews
LINKING PERFORMANCE TO PAY AND REWARDS Setting SMART objectives and managing performance over the year is a great way to keep people on track and motivated to succeed. Another tried-and-tested method is performance-related pay. The idea is that employees will be motivated to work smarter and harder by an attractive reward system – so they’ll be less likely to leave.
ave a thorough review once a year and, together H with your people, write an appraisal report. This will produce useful management information and help to set new objectives for the year ahead, which you can review regularly.
ONE-OFF OR REGULAR BONUSES
OTHER BENEFITS
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Retaining the right people
PEOPLE DEVELOPMENT AND PERFORMANCE MANAGEMENT. 6/6 TOP FIVE REASONS FOR PERFORMANCE-RELATED REWARDS.
1
Produces a culture that places a high value on performance.
2
Encourages high performance.
Attendance policies and managing absence Return to work interviews The value of exit interviews
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Make sure your performance management and appraisals are second to none. Create opportunities for personal and career development.
Duty of care People development and performance management
OTHER WAYS TO REWARD GOOD PERFORMANCE While pay and benefits are important, research shows that non-financial rewards can be just as motivating to the right people. This is especially true for employees who are keen to develop their skills and be promoted. Here are a few ways to encourage job satisfaction without linking to pay or bonuses.
3
Adds financial meaning to performance assessment – this may be seen as less important if performance doesn’t affect pay.
4
Fairness – employees often feel that it is fair that higher performance leads to higher rewards.
5
Motivating – those who perform less well will receive lower pay than their peers.
Recognition – such as an ‘employee of the month’ award or team-based events. Reward strategies that mix these types of non-financial rewards with pay and benefits are often called ‘total reward’ approaches.
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ATTENDANCE POLICIES AND MANAGING ABSENCE. 1/7 WHY HAVE AN ABSENCE MANAGEMENT POLICY? Everyone is absent at some point in their working lives. After all, we’re only human. A written absence policy can really help to give your employees and managers a clear guide to follow when someone is absent.
GETTING THE BEST FROM YOUR PEOPLE
HERE ARE A FEW THINGS YOU’LL NEED TO COVER:
Retaining the right people
What to do when employees are absent – how to give absence information to line managers.
Duty of care
Return to work interviews.
People development and performance management
Trigger mechanisms to review attendance. Disciplinary procedures for unacceptable absence.
Attendance Attendance policies and managing absence
Work absence costs the UK economy
Return to work interviews The value of exit interviews
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£
£14 billion a year.
Source: CBI, 15 July 2013
HOW TO MEASURE ABSENCE Here are a couple of useful ways you can easily check on the absence levels in your business. These tools help you to know when you might need to ‘trigger’ attendance reviews, but the point at which you take action is up to you. 1. T he ‘lost time rate’ shows the percentage of the total time available in your business that has been lost because of absence. 2. The ‘Bradford Index’ highlights repeated short-term absences by giving extra weight to the number of absences. It can be useful to set certain trigger points for action. For example, if an employee has four separate periods of absence within a specified period, they might be asked to attend a meeting to discuss it.
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ATTENDANCE POLICIES AND MANAGING ABSENCE. 2/7 MANAGING ABSENCE. Anyone who runs a small-to-medium size business knows how the team is impacted when someone is absent. It can increase expenses through hiring and training temporary staff. It can put a strain on other people, cause low morale, impact service and mean people have to work longer hours and may suffer ill health. It’s a big cost. In this section we’ll share some hints and tips on how you can manage absence in a fair and consistent way.
Retaining the right people
TOP FIVE REASONS PEOPLE ARE ABSENT
Duty of care
1. Minor illnesses
People development and performance management
2. Back pain and other musculoskeletal injuries
Attendance Attendance policies and managing absence Return to work interviews
•S taged return: when your employee feels ready to return to work, a ‘staged return’ – for example, working part-time hours for the first few weeks – can help ease them back into work.
4. Home/family responsibilities 5. Recurring medical conditions such as asthma. Source: CIPD Absence Management Survey, 2014
The value of exit interviews
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•D evelop attendance and absence policies: this can help employees to understand what’s expected of them. It also helps managers deal with issues in a fair and consistent way. •S tay in touch during periods of absence: regular contact with absent employees helps them to keep work on the agenda and creates opportunities to plan their return to work.
3. Stress
Average level of employee absence per employee – 6.6
TIPS FOR MANAGING ABSENCE •K eep records: ask the employee to keep attendance records monitoring absence and lateness.
days
Source: CIPD Absence Management Survey, 2014
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Retaining the right people Duty of care People development and performance management Attendance Attendance policies and managing absence Return to work interviews The value of exit interviews
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ATTENDANCE POLICIES AND MANAGING ABSENCE. 3/7 SHORT-TERM SICKNESS ABSENCE. Most absences only last a day or so – some a week or two. But if you’re running a small business, trying to work around short or unexpected absences can be tricky. It can really help to ensure that everyone is clear on what to do if the employee needs to take absence. They’ll need to speak to you or their manager as soon as possible – ideally within an hour of their normal start time. They’ll need to tell you: • The nature of the illness. • Their likely return date. • If the illness lasts seven calendar days or less, they need to provide a self-certificate. • If the illness lasts eight calendar days or more, provide a Statement of Fitness for Work (or fit note) from their GP. When an unexpected absence happens, the employee simply might not turn up or be late. You still need to manage the absence and find out why they aren’t at work.
The following chart shows you some practical ways you can tackle absence.
SICKNESS
q TALK TO YOUR EMPLOYEE They call before 9am (or in accordance with your absence policy) or you call them if you haven’t heard from them. Ask how they are, and agree to keep in touch regularly.
q AT THE RETURN TO WORK INTERVIEW Focus on health and wellbeing of the employee and agree support required.
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Retaining the right people Duty of care People development and performance management Attendance Attendance policies and managing absence Return to work interviews The value of exit interviews
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ATTENDANCE POLICIES AND MANAGING ABSENCE. 4/7 LONG-TERM SICKNESS ABSENCE. Quite often, long-term absence can be due to sensitive circumstances. A sympathetic approach can go a long way to ensuring your employee is likely to return to work fit and ready. No matter the reason for the long-term absence, in managing the situation it’s a good idea to: •A ssess if colleagues can manage for a while without a replacement or whether you need to hire someone on a temporary contract. •K eep in regular contact with the employee about their position, be clear about their sick pay and explain any updates like important workplace news. •F ind out whether their GP will be the best person to ask: – when a return to work will be possible – if there be a full recovery and whether a return to the same work is advisable –w hether it should be phased, for example part-time or flexible hours – if the employee is disabled and what reasonable adjustments must be made so they can return to work.
STATUTORY SICK PAY (SSP) The facts that employers need to know: •Y ou must pay employees £88.45 per week SSP if they are too ill to work and have been sick for more than four days in a row. SSP is paid for up to 28 weeks. •A ll employees are eligible for SSP if they’ve been ill for at least four days in a row and earn at least £109 a week before tax. •T he Employment Appeal Tribunal (EAT) has confirmed employees can carry over up to four weeks’ annual leave if long-term illness prevents them taking it. Visit Gov.uk for more information.
On average, as many as 960,000 employees were on sick leave for a month or more.
70% of long-term sick
employees work in SMEs. Source: Department for Work and Pensions, 10 February 2014.
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Retaining the right people Duty of care People development and performance management
ATTENDANCE POLICIES AND MANAGING ABSENCE. 5/7 COMMON REASONS FOR LONG-TERM ABSENCE. MENTAL HEALTH One in four people in the UK experience at least one diagnosable mental health problem in any one year, and one in six experiences this at any given time.* There is now more onus on employers to play a part in supporting return to work for people who are unwell. In many cases simple and cost-effective workplace adjustments can make a big difference, allowing people with mental health conditions to keep in touch with the working world and live healthy and productive lives. *mentalhealth.org.uk
CANCER Cancer affects people in all sorts of ways – emotionally, financially and physically. If you have an employee with cancer there are lots of ways you can support them. Employers can benefit from the Macmillan Essential Work and Cancer Toolkit. Designed to help employers support people with cancer, and their carers, in the workplace, it features an employer’s guide produced in collaboration with the Chartered Institute of Personnel and Development (CIPD). Visit macmillan.org.uk for more information.
MUSCULOSKELETAL DISORDER (MSD) MSD means any injury, damage or disorder of the joints or other tissues in the upper or lower limbs or the back. It’s a common problem for many people and can be costly for companies. MSDs are one of the most frequent workplace injuries, so there is plenty of advice to prevent and manage this kind of reason for absence.
Attendance Attendance policies and managing absence Return to work interviews The value of exit interviews
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Just over two fifths of organisations have noticed an increase in reported mental health problems (such as anxiety and depression) among employees in the last 12 months.
More than four in 10 people who are working when diagnosed have to make changes to their working lives after cancer, with almost half of those changing jobs or leaving work altogether.
There were 1,241,000 work-related illnesses in the UK during 2013-14, 42.39% of them were MSD cases. On average a case of MSD led to 15.9 working days lost in 2013/14.
Source: CIPD Absence Management Survey 2014
Source: http://www.macmillan.org.uk/Documents/GetInvolved/ Campaigns/WorkingThroughCancer/MakingitWorkPolicyPage.pdf
Source: www.hse.gov.uk/statistics/causdis/ musculoskeletal/msd.pdf
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ATTENDANCE POLICIES AND MANAGING ABSENCE. 6/7 SUPPORT FOR EMPLOYERS. In 2015, the Department for Work and Pensions (DWP) rolled out a new ‘Fit for Work’ service to help employers understand and better manage sickness absence.
What does Fit for Work mean for employers?
Fit for Work offers limited expert and impartial advice to help you to support your employees with health, personal or social matters affecting their work or return to work after a period of extended sickness absence.
• If your employee is referred to Fit for Work for an assessment, you may receive a Return to Work Plan by email (or post if appropriate). This includes advice and recommendations that you can take and, if appropriate, pay for to get your employee back to work.
• You can access web and telephone advice about any work-related health matters affecting your employees and your workplace.
How does Fit for Work benefit employers? it for Work can help reduce your sick pay costs, F by enabling employees to return to work earlier.
People development and performance management
can particularly benefit smaller businesses which It may have limited access to occupational health advice and services.
Attendance Attendance policies and managing absence
ltimately, it is designed to assist you as an employer U in helping employees to get back to work as soon as is appropriate.
Return to work interviews The value of exit interviews
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To find out more, visit fitforwork.org
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ATTENDANCE POLICIES AND MANAGING ABSENCE. 7/7 FIT NOTE. As part of the changes the DWP is introducing, doctors now issue a ‘fit note’ to people as evidence of the advice they have given about a person’s fitness for work. This replaces the old ‘sick note’. Fit notes allow doctors to advise whether a person may be fit for work. Doctors also use fit notes to record details of the effects of the person’s condition. This is so they and their employer can consider ways to help them return to work. Fit notes can be hand-written or computer-generated and printed out. Fit notes can be issued by GPs, or by a hospital doctor if a patient is receiving treatment in hospital. What’s more, a GP can suggest ways of helping an employee get back to work. This might mean discussing: •A phased return to work •A change to duties
•F lexible working •W orkplace adaptations
Attendance Attendance policies and managing absence
GROUP INCOME PROTECTION Group Income Protection is an insurance policy that can help make it easier for the employer to manage absences and where appropriate, for the employee to get early treatment and vocational support.
Return to work interviews
It may also pay the agreed monthly benefit if the employee is unable to return to work after a prolonged period.
The value of exit interviews
Better than Fit for Work:
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•S ome providers will assess employees without waiting for a GP referral. •S ome providers will arrange and, where appropriate, fund treatments which are recommended as part of a return to work plan. •U nlike Fit for Work there can often be no limits to the number of assessments in a year or the duration of treatment for some illnesses.
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DID YOU KNOW? The Government has introduced a tax exemption for employers of up to £500 per year, per employee on medical treatments recommended to help employees return to work.
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RETURN TO WORK INTERVIEWS. 1/1 We believe that carrying out a good ‘return to work’ interview is one of the most effective things you can do to reduce absence levels. This is because it shows you care for the wellbeing of your employees and it can also deter non-genuine absences. Being off work for longer periods in particular can be really hard on people. This can lead to negative health effects, being less physically and mentally active, and lacking structure in the day. The return to work interview can help to build their confidence to resume normal working life.
TOP FIVE TIPS WHEN CONDUCTING A RETURN TO WORK INTERVIEW:
1.
Apply a consistent approach to holding return to work discussions.
2.
Look at past absences before the meeting.
3.
Be compassionate – do not assume that the absence was not genuine.
4.
Consider whether there is anything you can do to help the employee.
5.
Keep note of what was discussed.
Duty of care People development and performance management Attendance policies and managing absence Return to to work work interviews interviews The value of exit interviews
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Retaining the right people Duty of care People development and performance management Attendance policies and managing absence Return to work interviews The value of exit interviews interviews
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THE VALUE OF EXIT INTERVIEWS. 1/1 If an employee leaves your company, it can be helpful to give them an exit interview, either face-to-face or through an online resource. It’s a useful way to find out how they think you could improve the working environment and prevent other employees from leaving. Exit interviews also give unhappy employees a chance to vent and even find peace of mind after a job loss. Ideally you want former employees to talk about their experience of working with you in a positive way. For example, “They had to let me go, but they were a great company to work with.” So making efforts to leave things on good terms is well worth it. HOW TO DO A GOOD EXIT INTERVIEW The best thing you can do is to create an environment where existing employees feel comfortable giving you honest feedback. That means genuinely encouraging them to share their ideas openly and to suggest constructive changes to processes and methods. Employees worry about burning bridges and leaving employers with a less-than-favourable impression if they speak honestly at an exit interview. That’s why sometimes an online form works best.
TYPICAL EXIT INTERVIEW QUESTIONS • Why did you start looking for a new job? • Why have you decided to leave the company? • Did you share any concerns with anyone in the company before deciding to leave? What did they say? • Was a single event responsible for your decision to leave? • What does your new company offer that encouraged you to accept their offer?
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SUMMARY. Businesses with up to 250 employees are vital to the economy, in fact they make up 99% of all UK businesses*. And employing the right people is vital to these businesses. Our research amongst small and medium sized businesses shows that it’s becoming even more important. We can also see that a competitive job market makes this harder and small businesses may not have access to the same HR resources as larger companies. As a leading provider of employee benefits, and one of The Sunday Times 25 Best Big Companies To Work For, we know how critical, yet challenging, recruitment and retention can be and so we wanted to share our experience. We believe attracting and recruiting the right people should be approached with the same degree of preparation and thought as any other business decision. Throughout this guide we hope we have demonstrated that careful analysis of the job role, and of the competencies required to do it, is necessary if the right people are to be placed into the right job. Once you’ve got the right people within your business, keeping them engaged and happy is essential to the long-term health of your business. The second half of the guide was designed to help you in this area. Taking care of your employees’ professional and personal development will encourage a sense of loyalty, so they are more likely to want to stay with you. We hope you have found the guide of use to you and your business, and welcome all feedback.
Stuart Welch Group Protection Director Legal & General CONTACT US
*Source: Small businesses and the UK economy, House of Commons Library, Dec 2014
“We believe attracting and recruiting the right people should be approached with the same degree of preparation and thought as any other business decision.”
“Once you’ve got the right people within your business, keeping them engaged and happy is essential to the long-term health of your business.”
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CONTACT US. THE EMPLOYEE BENEFIT WITH BENEFITS FOR EMPLOYERS. Our group protection policies are designed to provide a valuable safety net for employees plus benefits for employers. Our group income protection includes: •M ore attractive benefits package to boost your recruitment and retention activity. •H elps you manage the impact of staff absence and aims to help your employees return to work quicker. •S chemes can usually be set up for around 1% of payroll or less, depending on the type and level of benefits chosen. •F lexibility – Choose which grades of staff you want to include – Choose how much cover you want to provide. • Easy administration – Policies can usually be set up without employee medical information – Payroll information only needs to be updated annually.
FIND OUT MORE Contact your financial adviser to discover how group income protection and other policies can help your business.
•A dditional benefits – a free comprehensive Employee Assistance Programme is available to all your employees, including those not covered by a policy.
Visit our website legalandgeneral.com/group-protection
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0345 072 07451 This document does not constitute legal advice and is intended only as a guide. Where appropriate, further advice should be taken before relying on the contents of this guide. Legal & General Assurance Society accepts no responsibility for loss occasioned to any person acting or refraining from acting as a result of material contained in this guide. The information in the guide is based on our current understanding of the relevant legislation and regulations applicable which could change in the future.
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