chartered institute of personnel and development

Private Sector “not interested” in Recruiting Former State Workers

More than half of firms in the private sector would not consider employing former public sector workers, as they don’t believe they have the right skills, Barclays research has revealed. The survey of 500 executives of UK businesses of all sizes by Barclays Corporate found 32% were “not at all interested” in employing public sector workers that have lost their jobs, and 25% said they were “not very interested” in employing them. The research also highlighted that small firms with a turnover of less than £5 million were the least interested in employing former state workers. Barclays Corporate managing director, Kevin Wall, said that there is an aversion to hiring public sector workers in some industries. “It’s short-sighted of employers not to be prepared to look more closely a... »

SMEs Sign “no NIC rise” Petition

SMEs Sign “no NIC rise” Petition

Business groups have called on small firms to sign an online petition demanding that the Government scraps its planned National Insurance Contributions (NICs) rise in April 2011. As part of its efforts to shrink the large public spending deficit, the Government intends to raise NICs by 1 percentage point in April 2011. But the decision has angered business leaders who see it as a “tax on jobs”, which could jeopardise an upturn in the labour market by discouraging businesses from taking on new staff. The British Chambers of Commerce, the Federation of Small Businesses (FSB), the Confederation of British Industry and the Chartered Institute of Personnel and Development (CIPD) are among the organisations all opposed to the increase. “We urge the Government to work with busin... »

Redundancy

Employers take steps to avoid Redundancies

Businesses are avoiding redundancies by putting a hold on recruitment and cutting back on agency workers, according to the Chartered Institute of Personnel and Development (CIPD). A survey of nearly 900 businesses, carried out by the CIPD and accountancy firm KPMG, revealed that 50% have brought in a recruitment freeze, while 44% have terminated temporary or agency workers contracts to prevent making cutbacks to in–house staff. CIPD public policy adviser, Gerwyn Davies said: “Measures such as recruitment freezes, shedding temporary workers and introducing short–term working are clearly not without pain, but they can often be preferable to redundancies” “There can be a high cost to making staff redundant, as letting skilled staff go can risk low morale among th... »

New Job?

Career Changes abandoned as staff cling to jobs

Employees are scrapping plans to make New Year job changes because of instability in the employment market caused by the economic crisis, according to the National Endowment for Science, Technology and the Arts (NESTA). A NESTA survey of 2,000 workers found that eight in ten employees said they would be sticking with their existing job, saying they felt lucky to be employed in the current market. Four in ten said they are choosing to stay in jobs they do not enjoy, rather than look for a better job elsewhere. NESTA chief executive Jonathan Kestenbaum said: “Employees have decided that where they can, they are going to sit tight, work harder and try to ride out the recession,” The survey also revealed that 50% of employees plan to work harder to boost their prospects in their cu... »

Redundancy

Redundancy a Costly Solution to Recession woes

Redundancy is not necessarily the best money–saving solution for recession–hit firms — costing businesses up to £16,375 per employee laid off, the Chartered Institute of Personnel and Development(CIPD) has claimed. The direct cost of redundancies for employers is typically between £10,575 and £16,375 per employee laid off — this includes redundancy payments, the need to create new job positions and recruiting for these roles. This calculation comes amid predictions that many businesses will be forced to make redundancies this year in an attempt to cut costs and survive the recession. CIPD chief economist John Philpott said: “While making people redundant can seem one of the most straightforward ways of cutting costs, redundancy is itself a si... »

Childcare Vouchers to Help Staff

Childcare voucher administrators have urged employers to take advantage of the tax savings vouchers offer to help staff with children through the recession. Childcare vouchers allow employees to use up to £243 of their monthly salary to pay for childcare, without paying any tax or national insurance contributions (NICs) on this amount. The vouchers can be redeemed at any approved nursery, crèhe, play scheme, child minder or after–school club. Early Years Vouchers, a childcare voucher administrator, pointed out that employers who introduce a voucher will also benefit by making savings on their NICs. It claimed that employers can save up to £227 per working parent per year. Early Years Vouchers director Amanda Ward said: “By offering money–saving benefits... »

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Small Firms Fail to Mediate Workplace Disputes

More than half of small firms are failing to use mediation to help prevent workplace disputes escalating to employment tribunals, according to employment advisory service Acas. In mediation, an impartial expert talks to both sides separately and helps come up with a solution that both accept. According to Acas, mediation is usually quicker than taking legal action, often lasting less than one day, and is almost always less expensive and stressful. “Small businesses often don’t think their problems are suitable for mediation, because they aren’t aware of all the circumstances in which it can be helpful,” said Acas mediation project manager Gill Trevelyan. “Mediation can help resolve workplace disputes, such as bullying and harassment claims, before they escalat... »

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Staff Loyalty Strong In Small Firms

Small–business owners are creating strong staff loyalty and practising effective staff retention, according to a Barclays survey Some 29 per cent of respondents to the Barclays Local Business survey employ somebody who has worked for them for at least ten years; with a further 32 per cent having an employee who has remained with the business for between five and nine years. Moreover, two–thirds of small businesses still employ their first ever recruit. The survey found these first recruits tend to have an attachment to their job, staying with the business for an average of 5.3 years. “Employees in smaller establishments are closer to their boss,” commented Mike Emmot, employee relations adviser at the Chartered Institute of Personnel and Development (CIPD). “T... »

Credit Crunch Worries Cause Staff Sleepless Nights

Employers have been advised to help staff manage stress in the wake of research from hotel group Travelodge revealing that three–quarters of employees are losing sleep because of concerns about the credit crunch. Failure to support employees whose stress levels are rising is likely to lead to reduced productivity and higher levels of sickness absence, according to the director of the Stress Management Society, Neil Shah. Commenting on a the Travelodge survey, which revealed that estate agents are getting less than six hours sleep a night due to concerns about falling high prices, Shah said: “Obviously the credit crunch is putting pressure on individuals, and there has been an increase in stress over the past few months. People are concerned that their jobs may become redundant,... »

CIPD Urges Employers to Use Web 2.0 to Attract Recruits

More employers should take advantage of the recruitment opportunities presented by web 2.0, according to the Chartered Institute of Personnel and Development (CIPD), writes Kate Horstead. The CIPD research found that just one in five businesses use second generation Internet technology, so-called web 2.0, to help them hire staff. Web 2.0 includes tools such as social networking, blogging, podcasts and online audio-visual material. However, the survey also revealed that 56 per cent of employers believe social networking websites are useful for engaging potential jobseekers. “Web 2.0 technology provides an opportunity to bring the employer brand to life and allow potential employees to experience what it is like to work within the organisation,” said CIPD organisation and resourc... »

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