Why you never forget a good line manager

Written by Richard Roberts (Employee Engagement Specialist and Employer Branding Expert).

You might recall an advertising campaign from a few years back. It was to encourage people to take up teaching - using the headline “No one forgets a good teacher” with famous figures describing the impact inspiring teachers made on their school days. It was a hugely emotive campaign - we can all remember a good teacher and the positive effect they had on our motivation, confidence and future development. After all, aren’t teachers our first experience of ‘people’ managers?

Fast-forward to the world of work and I think there are strong parallels between good teachers - and good line managers. I am often asked ”Rich, what is the one thing we can do that would have the biggest impact on engaging our people?” It’s a tough one to answer - as so many factors influence engagement - however I usually suggest they invest time and energy in up-skilling managers to be motivating and great ‘people’ managers.

Looking back at my career, the times I was the most engaged (and disengaged!) relate to how I was being managed. Dan Pink’s recent book ‘Drive - the surprising truth about what really motivates us’ outlines a wealth of research that looks at what really gets us up in the morning to come to work.

He discusses having autonomy over what we do on a day to day basis in our jobs and becoming an expert in what we do - both of which your line manager has a direct influence on. You can watch his video on the topic here. This reminds me of one of the best manager’s I worked for at Virgin Mobile. His style represents what I think are the main characteristics of a great line manager - the traits you remember and want to take with you. They are:

• Recognising my strengths and enabling me to play to them. He knew what I was good at and he knew what I was not good at - but did not make this an issue or something that would hinder my career. Like a good teacher, he saw where my potential was and encouraged my development in these areas.

• Being really good at giving feedback and giving me advice on what I could do to develop. This made me feel motivated to improve rather than feeling I was being told off. This is a real skill.

• Having the ability to step back and let me get on with my role - but also being there if I needed him. For example, I used to come up with lots of ‘off the wall’ engagement ideas and despite his look of bewilderment he let me run with them. He did minimise the risk by saying “Go and pilot that in that area - if it goes horribly wrong you can always say it was a pilot”.

One of my favourite quotes is from Jack Welsh who said of leaders “give your managers the tools and then get out of the way”. For me, these tools go beyond the obvious requirements of training and development - they mean offering support and guidance, giving inspiration and demonstrating trust - in short, recognising the potential to achieve that’s within all of us. Of course in the end it is up to the individual to do this and to quote an old Chinese proverb “Teachers open the door but you must enter by yourself”. This is actually what your manager should do.

Richard Roberts is passionate about helping organisations create engaged, inspired and productive teams with a positive, can do, values based culture. He set up en:Rich HR (www.enrich-hr.co.uk) in 2009 following twenty plus years in HR roles, including ten years with Virgin Mobile.

Employment Law; the three major changes you need to know about

Jobseekers and employers alike must keep an eye on the laws which shape their working lives. The problem is that for most of us, laws tend to be written in a different language! We’ve tried to make sense of these three important changes in Employment Law, so you don’t have to.

The past…
Back in April 2014, regulations on the treatment of workers supplied by agencies underwent change.
If a worker is supplied to their end user by an agency, then it is up to the agency to account for tax and National Insurance Contributions. They must report to HMRC if the worker is not on the payroll of any other person, and must declare any workers from whom tax has not been deducted and the reason for the non-deduction.

There is an exception; for Personal Service Companies (PSCs), that is, a tiny limited company set up by a single worker who owns most or all of the shares, these rules will only apply if all four of the following conditions are met:

• The worker personally provides, or is personally involved in the provision of, services to the end user, and receives remuneration for it.
• That remuneration does not constitute employment income, apart from under the agency legislation.
• There is a formal contract between the PSC and the end user.
• The worker is supervised in the provision of their services.

The present…

As of 6th January 2015, ‘overseas only’ recruitment has been banned.

The government has decided to create a level playing field for workers in Great Britain by banning employment agencies from advertising jobs solely in other EEA countries. Employment agencies are now prohibited from advertising a ‘GB vacancy’ in an EEA state other than the United Kingdom, unless certain conditions apply. With the current skills shortage, employers are understandably trying to tap into the international talent pool, but these measures will make sure that there is no discrimination against UK workers by opening job vacancies up to everyone.

And the future…

Travel & Subsistence allowances for temporary workers

HMRC may remove the Travel & Subsistence tax breaks available to temporary workers, as they believe that certain sectors are exploiting the rules.

However, some employment businesses are concerned that if the Travel & Subsistence tax break is simply abolished, this could force a number of umbrella companies out of business. If this happens, more contractors may turn to using PSCs; this means that HMRC will receive less tax. The contractors who can’t use a PSC (generally those who are paid less) may be forced into using PAYE instead, and taking home a smaller wage. We have a nasty feeling that both outcomes would limit the flexibility of the UK labour market.

This is a summary of recent legal changes which may be relevant to UK employers. We are providing this for general information purposes only and specialist advice (such as legal, financial and/or tax advice) should be sought before it is relied on in any way. Neither Resource Solutions Group PLC or its associated group companies accept liability for any inaccuracies in the above information.

Long term vision needed to solve skills shortage

‘Skills, skills, skills’ – or rather the lack of them – remains the burning issue from 2014 that is set to continue causing challenges for employers in the year ahead.

Although the economy is slowly growing, predictions are that across the board in 2015 industries will experience an all-too-familiar reaction of turning on the ‘pilot light’ to recruit positions quickly in line with expansion, but at what cost?

A recent CBI Employment Trends Survey has highlighted businesses concerns about skills shortages as the biggest threat to UK competitiveness for the first time in 17 years, with worries about regulation a close second.

It is expected to remain so for the near future.

At the time the CBI released their report, Katja Hall, CBI Deputy Director-General, said: “Businesses across all sectors have identified raising productivity and addressing skills shortages as crucial to ensuring the recovery continues and is felt by all.

“It’s a concern that the UK’s growing skills gap is now seen as the number one workforce threat to the long-term health of its economy. Companies and the Government need to work together to find ways to develop skills within the workforce and help employees move into higher skilled and better-paid jobs.”

Alongside this insight, there is also growing recognition that forecasting demand within businesses urgently needs to be addressed and that key individuals responsible for recruitment need support to move away from this ‘pilot light’ mentality.

This is especially important around times of significant change, such as when new legislation is introduced late and when a business needs to quickly launch new projects or initiatives.

While these may be understandable consequences, there are other ways of planning ahead that create more sustainability both within organisations and within the talent market itself.

Given that, particularly at higher levels, there are only so many people with specific sets of skills in the market, for example, in organisational change, competition becomes fierce for these individuals and companies regularly pay over the odds for people who may not be right for the job in hand.

Ultimately, this ‘turning on and off’ process creates a vacuum effect that results in far lower ‘skills’ versus ‘demand’ ratios. In fact, the situation can be so severe that recruiters and employers now universally agree that we need to find candidates from outside UK borders.

Chief executive of RSG Mike Beesley said: “Disruption caused by what can be seen as ‘feeding frenzies’ often gives recruitment a bad name and allows unscrupulous contractors and agencies to exploit the situation financially.

“Businesses can avoid these types of scenarios by better planning and forecasting but it has been shown that despite strong aspirations to achieve this it is extremely difficult to implement, especially within large institutions.

“In response to this some of our customers have been taking advantage of a number of our services to overcome these challenges.

“The increased use of pre-screening, talent pooling, contractor interviewing and selection built in to resource-on-demand solutions allow customers to get ahead of the curve and ensure that when the resource demand comes they are ready for it. We also have a division of the business dedicated to providing these solutions and allowing the customers to remain agile in the market.”

Over the longer-term, it is also essential that businesses and influential people within them recognise that it is never too early to start engaging with young people letting them know about the opportunities on offer to help them in the future.

In fact, many business are already taking this seriously.

RSG is also doing its bit through its own Training Academy and the company has actively signed up to the Recruitment and Employment Confederation’s (REC) Youth Employment Charter and has a programme of outreach and activity planned for 2015 to ensure we are helping as many young people ‘skill up’ and get work ready as possible.

Kate Shoesmith, Head of Policy at the REC, said: “Employment levels are at an all-time high, and our latest data shows that 80% of employers are planning to hire more permanent staff in 2015. At the same time, the UK is suffering from skills shortages across the economy, so the priority must be to make sure that businesses are able to recruit the talent they need.

“That means making it easier for businesses to employ workers from overseas and the UK remaining part of the EU. At home, we need to focus on improving our education and training system so that the next generation is equipped with the kinds of skills employers need. The next government needs to deliver on these areas if the UK is to build the best jobs market in the world.”

The world's got talent; Tim Donaghy considers how to create recruiting success both at home and away

The verdict appears to be in: 2015 is set to see a return of pre-recession ‘talent wars’ as we head into a so-called ‘candidate’s market’.

Attracting the right talent is increasingly becoming recognised as the most important aspect of ensuring competitiveness and nowhere is this more apparent or necessary than in organisations trading internationally.

This is combined with a trend we are seeing where business are now looking for new kinds of leaders and entrepreneurs that come with skills to thrive within the global knowledge economy.

There is no doubt about it that this mix is resulting in significant increases in both the supply and demand for skilled workers across the globe. In this environment, it is the role of governments and industry to think carefully about how they engage with the global talent pool and how they can select most effectively from it.

But can it be said that just by being in a prime location for attracting highly skilled migrant employees that we – or the countries we would recruit from – can achieve a long-term balance?

There are several areas that no doubt need attention, but with an election around the corner the recruitment industry must take steps now to ensure that whoever is next in Government is in pole position with relevant policy to help attract, select and retain skilled immigrants.

And of course, the role of employers in attracting and selecting immigrants is vital. Immigration policy in fact should never be a relationship simply between governments and individuals, but instead needs to be a three-way interaction where employers are involved from the very beginning.

After all, the State relies on its businesses and recruiters to create the opportunities that attract highly-skilled immigrants, as well as to identify which applicants have the most needed or relevant skills. Employers in return need policies that are both predictable and transparent so that they can do this work.

And what happens to the countries where talent is on the move?

The impact of this can most recently be seen in Greece, where it has been reported that more than 200,000 Greeks have left the country over the past five years, resulting in ‘part of the biggest brain drain in an advanced western economy in modern times’.

Doctors have reportedly moved to Germany with many Greek academics now living in the UK – in fact, according to Endeavour, the international nonprofit group that supports entrepreneurship: ‘Of the 2% of the population who have left, more than half have gone to Germany and the UK. Migration outflows have risen 300% on pre-crisis levels, as youth unemployment soars to more than 50%. Around 55% of those affected by record rates of unemployment are under 35.’

This is not unique and the mass migration of skilled and young workers from countries where there is not so much opportunity could have a serious impact on the wider global economy by taking too many people from one area to supply to Western demand.

All this means that governments and business alike needs to also consider this when shaping their own international recruitment policies.

The discussion is sure to continue but as the ‘war for talent’ looks set to intensify we must all ensure we are fully informed to make responsible, long-term decisions that suit the employment climates both home and away.

Employment Law 2015; might you be affected?

Employers and employees alike will need to familiarise themselves with the changes which will come into effect in April this year. We have highlighted some of the major changes, so take a look and see what applies to you!

Are you, or are you about to be, a parent?

A lot of laws regarding parental leave are undergoing revision. Statutory pay for maternity, paternity, adoption and shared parental leave will increase to £139.56 per week (from £138.18), and the laws surrounding parental leave are about to become more balanced. 

Beforehand, only mothers could take time off and adopting parents had to nominate one guardian to be the ‘primary adopter’. This ‘primary adopter’ was then entitled to all adoption leave, while the other had none.

As of the 5th April however, both mums and dads will be able to share up to 50 weeks parental leave and pay between them. This is subject to the mother taking off the first two weeks following the birth of a child as compulsory maternity leave. The shared parental leave must be taken within 52 weeks of birth or adoption placement, but the leave can be stopped, started and staggered between the parents in whatever way suits them. The logistics will be complicated for employers, but the vast improvement to work/life balance for the parents in those vital first few months will make a huge difference.

Previously, parents were allowed to take up to 18 weeks unpaid parental leave in order to deal with their childrens’ health and wellbeing on short notice. This only applied up until a child’s 5th birthday, but from 5th April 2015, the right will be extended up to a child’s 18th birthday. However, whilst the timeframe will grow dramatically, the amount of leave will not. It will remain at 18 weeks in total, and will just have to be stretched over the longer period. 

Going on holiday?

The issue of holiday pay has been on the table for a long time, but change may be in the air. Since a number of major cases of holiday pay contention made the headlines, employees have been trying to negotiate the inclusion of their overtime in holiday pay calculations. Employers are meeting them halfway, saying that ‘non-guaranteed overtime’ payments should be included; that is, only the overtime taken as and when necessary, as opposed to any overtime agreed in a contract. The consequences of these decisions for some employers could be huge, and could open the floodgates for backdated claims. We will have to wait until early February for a government decision, which will hopefully clarify things.

Are you on a zero hours contract?

The Labour party announced that it will introduce new laws to protect zero hours workers, should they win the May General Election. Until then the government plans to ban employers from prohibiting their zero hours employees from working for other businesses at the same time. They looked at potential loopholes in the current law in November 2014, and we’re waiting for their response.

And there you have it!

The world of employment law is always shifting and fluctuating. This is only a handful of the changes affecting the workplace, but at least we know where we stand for now. Let’s make the most of it.

- Nick Walrond, Managing Director

Sustainability, flexibility and vigour; the pieces of the productivity puzzle?

Looking back…

2014 was the year of resilient businesses, flexible working and the fall of unemployment. Although 2014 didn’t show the fastest growth since the recession, UK PLC demonstrated the most optimistic hiring in Europe. The CIPD found that each low-skilled vacancy attracted 50 applicants on average and each high-skilled vacancy attracted over 20. More importantly, 40% of these applicants were appropriate for the role; signs of a healthy labour market.

This might have something to do with the shifting attitudes of jobseekers. In 2014, a better work/life balance became a priority, meaning employers had to quickly adapt their overall employment package. The 2014 Deloitte Millennial Survey found additionally that young jobseekers were keen to work for ethical organisations, it concluded that to attract and retain talent, businesses need to show millennials that they are in tune with their worldview.

Looking ahead…

Compared to the growth of employment, productivity has grown very little, and we expect this to be a major topic for 2015. Productivity fell significantly during the recession of course, but we haven’t yet returned to pre-recession levels of output per hour and economists are struggling to understand why. This has coined the top buzzword of 2014; the ‘productivity puzzle’. Fixing this will be up to both employers, who need to be prepared to upskill their workforce if they want to survive the impending skills shortage, and the government; our arduous recovery will be intensified by the uncertainty of the upcoming General Election.

Perhaps the productivity puzzle is partly explained by a change in the UK worker demographic. The deepest recession of the last few years has seen an increase in the much talked of ‘zero hours’ contract approach, in both limited hours and non-permanent working arrangements. With UK PLC looking to secure stronger productivity in what will remain a challenging economic environment, RSG’s Managing Director Nick Walrond predicts further growth of specialised freelance resource; ‘we expect to see more vigorous hiring processes, but also greater flexibility regarding how and where people work’, such as working from home, job shares and Bring Your Own Device (BYOD).

Another prediction for the coming months is lower inflation, relating predominantly to the falling price of oil. Cheaper energy will boost the spending power of both people and businesses, and it is even possible that inflation could turn negative over the next few months. While no one is expecting prices to fall for any prolonged period of time, this could mean a widening gap between earnings and prices for a little while. It seems that 2015 will be the year of ‘hanging in there’ as we trudge towards better productivity and higher salaries; it won’t be until next year at least before we start feeling the effects of an improving labour market, but hopefully, it’ll be nice when we get there.

New Year’s evolution: how to better yourself in 2015

The holidays have passed and we have reached that time of year when everybody discusses their New Year’s resolutions. Whilst goals such as quitting smoking or ‘getting fit’ are positive ideals, the majority fall short. This year, why not also pursue an endeavour focused around your work? Below are four things to consider for 2015…

1.    ‘Rev up your résumé’ - Amy Levin-Epstein (CBS Moneywatch)

Whilst you might not be actively seeking new employment, effort should be made to regularly update your CV. When you’re comfortable in a job this might seem inconvenient, but in the current business environment the employer often comes to you. This is especially true for highly skilled individuals, who may be approached by head-hunters with time-sensitive offers. Presented with a lucrative offer, would you really want to be rushing to update your CV? 

Another benefit is that you automatically review your progress and establish ‘where you’re at’ in your current role and career. Considering most employment involves reviews and appraisals with management, this can help you provide a comprehensive justification of your contributions and achievements to date. If you are not satisfied with the outcome, then consider steps you could take and ways you could ‘upskill’ yourself to improve your CV.

Read more about ‘upskilling’ yourself in our recent blog: ‘New Year’s Resolution; three easy ways to upskill yourself outside of work’.

2.    ‘A healthy work-life balance’ - Mike Harden (CEO, Clarity Group)

Another great New Years resolution is to ensure you are content with your work-life balance; you should be working to live, not living to work. As remote working becomes more common and the traditional working day becomes less common, it is increasingly difficult to establish when work finishes. As a result an ‘always on’ culture has materialised, so to counter this it’s vital that you establish your own boundaries and fill your time away from work with activities you enjoy.

30% of UK employees experience a mental health problem annually due to long hours and thinking about work away from the office, so the issue clearly needs to be addressed. Pursue hobbies, socialise, do things that relax you and to the best of your ability, leave work at work. Consider your out-of-office/annual leave approach: some people prefer to check emails once daily, some wish to remain contactable only by phone/text and others don’t want to be disturbed at all. Those with limited annual leave should try to stagger it across the year and whilst at work, take regular breaks whilst eating and drinking sufficiently.

Read more about work-life balance in our recent blog: ‘Life-Work balance; employers and employees need to get their priorities straight’.

3.    ‘Put another oar in the water’ - Liz Ryan (CEO & Founder, Human Workplace)

Alternatively, if you find your self with an abundance of time available and an ambition to increase your earning potential, why not generate a new revenue stream? Most of us have marketable skills and many individuals have side-businesses consulting, bookkeeping, designing websites and providing administrative support. Liz Ryan states that “everybody has marketable skills and everybody can grow entrepreneurial muscles by selling their expertise”. Whilst acknowledging your extra earning potential, a healthy work-life balance should still remain your priority.

4.    ‘New year, new career?’ - Rachel Emma-Silverman (Wall Street Journal)

Finally, serious consideration should be given to your current position in the work place. Do you feel happy, valued, adequately rewarded and motivated? Or do you frequently regret the one (job) that got away? The most difficult step towards evolution in 2015 could be to change jobs or even career. Consider your career so far and whether your vocational goals can be achieved with your current employer.

Whichever goals you decide to pursue in 2015 we wish you the best of luck!