At a glance: reward and benefits headlines this week 28 August – 3 September 2020
The headlines you might have missed between 28 August – 3 September 2020.
Q2 saw 32,397,966 working days lost due to Covid-19 related absences
HR Review: This is according to FirstCare, the absence management company, Index report which found that these absences cost UK businesses £4,262, 890, 284. Read story
Two-year dashboard deadline doable for most – PLSA research
Corporate Adviser: Three quarters of DC and DB pension schemes believe they will be ready to join the pensions dashboards initiative provided they have two years to prepare, a Pensions and Lifetime Savings Association (PLSA) survey has found. Read story
Solution-focused schemes will bring dashboards to life
Professional Pensions: While the dashboard timeline needs to be flexible enough to help the least well-prepared schemes get ready, Nigel Peaple says schemes are being constructive and solution-focused. Read story
Majority of public in favour of continued home working, poll finds
People Management: Business groups warn city centres could become ‘ghost towns’ without support of offices as survey reveals most Brits are against encouraging a return to the workplace. Read story
Lawn Tennis Association becomes living wage employer
Employee Benefits: British governing body, Lawn Tennis Association (LTA), which employs 800 staff, has announced its commitment to pay all employees rates that at least match the living wage. Following this commitment, the trust has gained accreditation as a living wage employer. Read story
German government extends Covid-19 pay scheme
Employee Benefits: The German government has extended its short-term allowance scheme until the end of 2021 to further support employees during the Covid-19 (Coronavirus) pandemic. Read story
National Joint Council increases council staff pay by 2.75%
Employee Benefits: National Joint Council (NJC) has awarded all local government staff with a 2.75% pay increase. Read story
Northern Ireland Assembly increases pay allowances for staff
Employee Benefits: The Northern Ireland Assembly has increased the salary of staff working under the members of the legislative assembly (MLA), aligning their pay with employees who work in the Assembly. Read story
Top remote perks staff have been offered during COVID-19
HR Grapevine: Work perks have always played an important role in the workplace and have been a key way for employers and HR to attract, retain and engage talent. Read story
250,000 workers underpaid AE pension contributions in 2019 - Resolution Foundation
Pensions Age: Between 1.6 and 1.7 per cent of auto-enrolled employees did not get the employer pension contributions they were entitled to in 2019, equivalent to 250,000 workers, the Resolution Foundation has estimated. Read story
Consultation lands contribution flexibility for LGPS employers
Pensions Age: Employers will be allowed to make more flexible contributions to the Local Government Pension Scheme (LGPS) between valuations after the proposals were fully backed by almost three-quarters (73 per cent) of consultation respondents. Read story
Three quarters of businesses not transparent about paternity rights
HR News: New research, commissioned by meeting provider PowWowNow, reveals only a quarter (25.9%) of companies provided information about Shared Parental Leave (SPL) without it being requested first, suggesting a lack of transparency around the existence of the initiative is preventing its uptake. Read story
Furloughed workers wages now see employer contribution
HR Review: From today (01/09/20) onwards employers will have to contribute to their furloughed worker’s salary as the Government will not be paying the usual 80 per cent of employees’ wages. Read story
Four-day working week in public sector could create half a million jobs
HR Review: Implementing a four-day working week in the public sector could create up to half a million new jobs. Read story
Sickness absence rates edge upwards
Corporate Adviser: Employee sickness absence rates rose during 2019, according to the latest data from XpertHR. Read story
Average DB pension transfer surpasses £500,000
Professional Pensions: The average size of a transfer from a defined benefit (DB) pension scheme in the last quarter reached £556,000, according to research by Lane Clark & Peacock (LCP). Read story
Marathon Service scheme agrees £610m full buy-in with Rothesay Life
Professional Pensions: The Marathon Service (GB) Limited Pension and Life Assurance Scheme has completed a £610m full buy-in with Rothesay Life, covering the benefits of more than 1,400 members. Read story
Norfolk County Council finalises £300m multi-provider admin deal
Professional Pensions: Norfolk County Council has appointed three firms to manage the administration and software provisions for its pension scheme. Read story
BP becomes accredited living wage employer
Employee Benefits: British gas and oil organisation BP is to pay all UK employees at least the voluntary living wage, improving base salaries for 6,000 members of staff, effective immediately. Read story
L’Oreal launches second employee share ownership scheme for 88,000 employees
Employee Benefits: French cosmetics organisation L’Oreal has launched its second employee share ownership scheme. Read story
Permanent working from home would reduce UK economy by £480 billion
Workplace Insight: A new study claims that if British workers do not return to their offices at all, the UK economy could contract by £480 billion. Read story
Employers ‘most concerned’ about wellbeing of baby boomers
Corporate Adviser: Employers are more concerned about the physical and mental health of baby boomers than other generations in the workplace, according to new research. Read story
Lack of engagement with increased employee benefit spend
Corporate Adviser: HR teams are spending more on benefits, but are not tracking how employees use these services. Read story
Third way needed in DB funding code; 'Evolution not revolution' urged on covenant
Professional Pensions: Oversimplification must be avoided in The Pensions Regulator’s (TPR) proposed revision of the defined benefit (DB) scheme funding code, and a third way might be necessary, the industry has said. Read story
Is history repeating itself with Pension Schemes Bill and introduction of new DB funding code?
Professional Pensions: Jonathan Stapleton says the Pension Schemes Bill is the latest in a long line of well-meaning legislation that makes it more difficult for employers to offer good schemes to their staff. Read story
Essex County Council reports 9.7% mean gender pay gap
Employee Benefits: Essex County Council has reported a mean gender pay gap of 9.7% for average hourly pay as at April 2019. Read story
Foster carers win legal battle to claim worker rights
Employee Benefits: Edinburgh Employment Appeal Tribunal has ruled that foster care workers are entitled to employment rights and should be categorised as council workers. Read story
34% of employees are more productive working from home
Employee Benefits: Just over one third (34%) of UK employees believe that they have become more productive since they started working from home due to the Covid-19 (Coronavirus) pandemic, according to research by Qualtrics. Read story
Over half of Brits 'completely absorbed' in job
HR Grapevine: In any role, it is important that employees feel happy, motivated and as though they can add value. Not only does this have individual benefits for the employee, but it can have huge benefits for employers too in terms of workplace productivity and retention. Read story
FTSE 350 DB deficit falls by £21bn in August - Mercer
Pensions Age: The accounting deficit of defined benefit (DB) pension schemes for FTSE 350 companies decreased from £103bn at the end of July to £82bn on 28 August, according to Mercer. Read story
What Can The Effective Use Of Employee Benefits Technology Do For You?
HR News: The employee benefits that an occupation provides is very important. It provides additional security that many seek from something that takes up much of their time and effort. Finding the best benefits package can be difficult. If the wrong one is chosen or the right one can’t be found, it may be the cause of a valuable employee leaving the company, or not even joining it. Read story
Flexible railway season ticket being worked on to encourage employees back to the office
HR Review: Prime Minister, Boris Johnson yesterday (02/09/20) said that the Government is working with the rail industry to create a flexible season ticket in a bid to get employees back in to the office. Read story
Covid money worries hit mental health of Generation X
Corporate Adviser: Problems most acute for 'sandwich generation' and is causing widespread mental health problems according to latest Aviva research. Read story
41% of working mothers are struggling to balance work and childcare
Employee Benefits: Two-fifths (41%) of working mothers are struggling to find childcare so they can work effectively, according to research by the Trades Union Congress (TUC). Read story
Brazilian Football Confederation introduces equal pay for women’s football team
Employee Benefits: The Brazilian Football Confederation (CBF) is to introduce equal pay to bring its women’s football team’s pay in line with their male counterparts. Read story
Ikea provides full pay for Covid-19 self-isolating employees
Employee Benefits: Swedish retailer Ikea is to pay its 11,700 UK employees full pay if they need to self-isolate due to the health risks of Covid-19 (Coronavirus), effective immediately. Read story
No, flexible working won`t mean the death of the office and the city
Workplace Insight: When coronavirus lockdowns were introduced, the shift to flexible working and remote work was sudden and sweeping. Now the British government is hoping the return to the office will be just as swift – to help the economy “get back to normal”. Read story
Average pension scheme deficit recovery plan length falls by 2.2 years
Pensions Age: The average deficit recovery plan period for tranche 14 schemes was 4.5 years, 2.2 years shorter than three years ago, Aon analysis has revealed. Read story
FCA urged to clarify advice/guidance boundary in proposed DB transfer rules
Pensions Age: Hymans Robertson has urged the Financial Conduct Authority (FCA) to provide greater clarity around the advice and guidance boundary, after proposed defined benefit (DB) pension transfer guidance prompted concerns. Read story
How to keep staff motivated in difficult times
Incentive and Motivation: With many businesses facing financial instability, the best way to approach employee rewards is on a little and often basis. Rewarding and recognising your workforce is a crucial tool to ensure your workforce feel valued. We caught up with Chris Ford, Senior Director, Blackhawk Network to get his view. Read story