At a glance: reward and benefits headlines this week 25 September – 1 October 2020
The headlines you might have missed between 25 September – 1 October 2020.
Job support scheme ‘will not significantly reduce the rise in unemployment’
HR Review: This is the opinion of the Resolution Foundation, an independent British think tank. The Foundation believes the scheme will slow down the rate of job losses but not put a stop to it as the scheme has “little or no incentive” as employers must pay for hours not worked by their staff. Read story
Wolfgang Seidl: Wellbeing and building back better
Corporate Adviser: Workers’ health and wellbeing has taken a battering through lockdown. Mercer’s Workplace Health Consulting leader Wolfgang Seidl highlights the new challenges facing employers in creating productive workforces. Read story
Pensions payable under new coronavirus job support scheme
Professional Pensions: Pension contributions and class one employer National Insurance (NI) contributions remain payable by employers making use of the government’s coronavirus job support scheme. Read story
Number of female board executives remains ‘stubbornly low’, report finds
People Management: Experts warn women are still not being given ‘serious’ roles despite significant progress on non-exec positions, and call on HR to hold firms accountable. Read story
British Broadcasting Corporation reports mean gender pay gap of 6.3%
Employee Benefits: The British Broadcasting Corporation (BBC) has reported a mean gender pay gap of 6.3% for average hourly pay as at April 2020. Read story
Smiths completes £142 million bulk annuity buy-in transaction
Employee Benefits: Technology engineering organisation Smiths has completed a £142 million pension buy-in transaction with Aviva and under TI Group Pension Scheme. Read story
Lidl introduces fitness programme for 25,000 employees
Employee Benefits: Supermarket chain Lidl has introduced a fitness and wellbeing programme for its 25,000 UK employees. Read story
The HR thinking behind Google's latest work perk
HR Grapevine: To help attract and retain talent, the Silicon Valley giant Google has introduced a new work perk to help staff members pay off their student loans. Read story
40m work days lost per year due to poor mental health
HR Grapevine: Mental health has been a point of discussion among HR leaders for some time, as employees are encouraged to speak openly about their struggles, particularly during the pandemic - in which many have suffered from additional stress and anxiety. Read story
Furloughed employees feel less valued
Workplace Insight: A new survey published by Boston Consulting Group (BCG) claims that while 78 percent of those who experienced a change in workplace felt that they had experienced positive impacts, furloughed employees have had a significantly different experience. Read story
New research reveals women make up only one quarter of people with salaries over £73,000
Employer News: The release of the role model lists comes as research by INvolve, in conjunction with HR Data Hub, shows that much more needs to be done to address gender equality in business. Read story
'Largest of its kind' ESG investment strategy research launched by Tisa and PLSA
Pensions Age: TISAtech, part of The Investing and Saving Alliance (Tisa), has launched the 'largest of its kind' research into environmental, social and governance (ESG) investment strategies, in collaboration with the Pensions and Lifetime Savings Association (PLSA). Read story
School closures: Should parent employees continue to be paid?
HR News: There have been a string of school closures since they reopened at the beginning of this month. This has resulted in many children having to remain home and self-isolate, but what does this mean for parent employees who have to remain home to look after them? Read story
Labour warns one million jobs are “consigned to the scrap heap”
HR Review: In a critique of the Government’s newly announced Job Support Scheme (JSS), Labour has warned that one million jobs are at risk. Read story
Mothercare forced to backtrack on pension payments after Covid-19 pressures
Professional Pensions: Mothercare has negotiated an extension to its scheme contributions schedule with a significant level of deficit expected following the offloading of its UK business last November. Read story
Tisa backs AE pause for strapped low earners but no respite for employers
Pensions Expert: Pensions policy experts are split over whether the government should begin to ramp up automatic enrolment contributions with an ‘opt-down’ for low earners, after recent calls to reform the landmark pensions policy. Read story
Employers could face £10,000 fines for asking self-isolating staff to attend work
People Management: New law coming into force today aims to crack down on firms and individuals not following the rules, with HR urged to communicate the change to employees. Read story
27% of staff working remotely are evaluating their career options
Employee Benefits: Over a quarter (27%) of employees who are working from home during the Covid-19 (Coronavirus) are reconsidering their career options due how their organisation has dealt with the pandemic, according to research by Canada Life. Read story
Heineken reports 9% mean gender pay gap
Employee Benefits: Brewing business Heineken has reported a mean gender pay gap of 9% for average hourly pay as at April 2019. Read story
Greene King gives 38,000 employees early access to pay
Employee Benefits: Pub retailer Greene King is giving its 38,000 employees instant access to their pay to support their financial wellbeing during the Covid-19 (Coronavirus) pandemic. Read story
TTF calls for govt leadership on pension scams following meeting with PM
Pensions Age: The Transparency Task Force (TTF) has published an open letter to Prime Minister, Boris Johnson, calling for greater leadership from the government on pension scam problems. Read story
ACA calls for focus on DC governance over charge structures
Pensions Age: The Association of Consulting Actuaries (ACA) has called for a “sharper focus” on value for pension savers, not just costs, warning that the charge cap is a "blunt tool" that will not deliver value for members in isolation. Read story
Coronavirus leaves seven in ten bosses struggling with mental health
HR Review: According to Bupa’s Executive Wellbeing Index, 72 per cent of senior executive and 70 per cent of global executives have experienced poor mental health due to the effects of COVID-19 whilst almost half (40 per cent) admit that they find it difficult to seek help for these problems. Read story
Analysis: Group PMI in a post-Covid world
Corporate Adviser: After an unprecedented period of restricted access to hospitals, what will corporate healthcare look like when the world gets back to normal? Sam Barrett. Read story
86% of employers feel responsible for staff work-life balance
Employee Benefits: For the 15th consecutive year, the majority (86%) of respondents believe they have a duty of care to encourage employees to achieve a sensible work-life balance, according to research by Employee Benefits. Read story
Swiss government increases paid paternity leave to 10 days
Employee Benefits: The Swiss government has approved new paternity legislation, providing fathers of newly born babies with 10 days paid leave. Read story
Zurich UK sees 70% of staff use paternity leave benefit
Employee Benefits: Insurance organisation Zurich UK has seen almost three-quarters (70%) of its employees who have become new fathers take advantage of its paternity benefit since it launched in December 2019. Read story
Flexible working is crucial for many older workers
Workplace Insight: The Centre for Ageing Better and Timewise have launched a toolkit to help employers maximise the benefits of flexible working. Read story
Covid-19 means that it’s time to double down on our commitment to health, wellbeing and employee engagement
Employer News: There really is no better time for leadership teams to champion and instigate a stronger engagement mindset initiative and truly drive the work culture forward. It’s time to re-affirm business culture and drive employee engagement longer term. Read story
Communication strategy among 10 pandemic priorities for pension schemes outlined by Aon
Pensions Age: Developing a communication strategy that uses technology to provide support and guidance to members is “essential” for pension schemes, according to a new guide published by Aon. Read story
PPF proposes halving levy for smaller schemes in 2021/22 levy consultation
Pensions Age: The Pension Protection Fund (PPF) has published a consultation on levy rules for 2021/22, including a proposal to halve the levy for schemes with less than £20m in liabilities. Read story
Pension Schemes Bill second reading scheduled for 7 October
Pensions Age: The second reading for the Pension Schemes Bill in the House of Commons has been scheduled for 7 October 2020. Read story
How to beat the productivity slump whilst working from home
HR News: 2020 has been a major shakeup for millions of employees around the world. The societal changes prompted by the current health crisis has seen a near-universal shift from offices to working from home, and it looks like the flexibility is here to stay. Read story
Taking financial advice makes people more likely to enjoy life
HR Magazine: Employees are more likely to enjoy life after receiving financial advice, according to a new report from life insurance company Aegon. Read story
Employers failing on user-friendly benefits tech: report
Corporate Adviser: Less than a third of employers believe they are providing a ‘great’ service for employees when it comes to HR and benefits technology, according to new research. Read story
PPF proposes levy cut but signals steep rises ahead
Corporate Adviser: The Pension Protection Fund levy looks set to reduce during 2021/ 22 according to a consultation paper put out by the organisation. Read story
Government rules out review into impact of pension tax relief
Professional Pensions: The Public Accounts Committee’s recommendation that HM Revenue & Customs (HMRC) should conduct a review into the impact of pensions tax relief has been ruled out by government. Read story
Domestic abuse victims should be given extra paid leave, says CIPD
People Management: Experts warn many survivors ‘fear losing their jobs’, with one in five having to take time off. Read story
Remote work is harming workplace friendships, survey claims
Workplace Insight: According to research into the state of employee wellbeing conducted by Perkbox, 45 percent of 1,296 respondents say that maintaining emotional wellbeing still remains one of the biggest remote work challenges facing businesses, with 65 percent believing that workplace friendships – now even more critical in the ‘new working world’ – are suffering. Read story
British workers left unsupported by employers when it comes to financial wellbeing
HR News: Hastee, the earnings on demand technology provider, has today launched a new research report that uncovers the extent of financial stress faced by UK workers in 2020. Read story
Training set to move up the agenda as workers return from furlough
HR Magazine: Over one third (35%) of retail key workers, and 40% of those who work in groceries, have reported feeling underprepared to do their roles due to the way work has changed during the coronavirus pandemic, according to a poll by training provider Axonify. Read story
Aer Lingus offers employees voluntary leave schemes
Employee Benefits: Irish airline Aer Lingus has offered its employees a number of voluntary leave programmes to deal with the financial constraints of the Covid-19 (Coronavirus) pandemic. Read story
90% of employers have introduced mental wellbeing benefits during the pandemic
Employee Benefits: Nine in 10 (90%) of employers in Europe have taken positive steps to look after the mental health and wellbeing of their employees during the pandemic, according to research by Littler. Read story
13% of older workers alter retirement plans due to Covid-19
Pensions Age: More than one in eight (13 per cent) older workers have changed their retirement plans due to the Covid-19 pandemic, according to the Institute for Fiscal Studies (IFS). Read story
DB transfer regulations could limit advice availability - Aegon
Pensions Age: New regulatory requirements for defined benefit (DB) transfers from the Financial Conduct Authority (FCA) could lead to a lack of available advice, Aegon has warned. Read story
Hertz seeks court approval for millions in employee incentives to drive itself out of bankruptcy
Incentive and Motivation: Hertz Global Holdings wants to hand out more bonuses to its key employees as it looks to steer its way out of bankruptcy protection. Read story
Five tips for using fintech to engage employees in their financial wellbeing
Incentive and Motivation: According to research conducted by Cushon, more than two-thirds (69%) of employees say that financial worries have a negative impact on their mental health (1). Clearly this has a knock-on effect on their work and productivity levels. Previous research(2) also found that 88% of HR managers feel it is a company’s responsibility to look after their employees’ financial wellbeing. Read story
More than half of employees still going in to work, ONS data shows
People Management: Latest figures reveal a slight drop following the change in government guidance, and a small increase in the number conducting their roles exclusively from home. Read story
Fujitsu reports 12.3% mean gender pay gap
Employee Benefits: Fujitsu has reported a mean gender pay gap of 12.3% for average hourly pay as at April 2020. Read story
89% of employers offer employee assistance programmes
Employee Benefits: Employee assistance programmes remain the most popular support or counselling benefits that organisations provide, as offered by 89% of respondents as a core benefit, according to research by Employee Benefits. Read story
How well are employers meeting the HR needs of staff remotely?
Cover: Mercer Marsh Benefits report finds less than a third of employers believe they provide ‘great’ tech experience. Read story
13% of older workers alter retirement plans due to Covid-19
Pensions Age: More than one in eight (13 per cent) older workers have changed their retirement plans due to the Covid-19 pandemic, according to the Institute for Fiscal Studies (IFS). Read story
Smaller schemes may struggle with implementation statements, says Dalriada
Pensions Age: Smaller pension schemes could find complying with new implementation statement requirements more difficult than their larger counterparts, Dalriada Trustees has warned. Read story
PensionBee and Plaid call for introduction of ‘Open Pensions’
Pensions Age: PensionBee and Plaid have released a report that calls for regulators to prioritise the inclusion of pensions in Open Finance over other sectors. Read story
Dads snap-up paid paternity leave to bond with new babies
HR News: Figures published today by insurer Zurich show that the majority of its employees who are new dads[1], are taking up its new enhanced paternity package which was launched last year. 70% are taking the full 16-week paid paternity leave entitlement whilst 78% take three months or more. Read story
Money worries impacting employees' ability to sleep
HR Magazine: Two thirds of UK workers have experienced stress as a result of their personal finances in 2020. Read story
TPR: Trustees can't duck questions on climate change
Professional Pensions: Trustees need to develop their understanding and capacity around ESG issues to be able to make better decisions for their members, The Pensions Regulator (TPR) says. Read story
Regulators urged to prioritise open finance over pensions dashboard projects
Professional Pensions: Open pensions can bring “more immediate value to savers than the government-led pensions dashboard project”, according to a report by PensionBee and Plaid. Read story
Deloitte reduces partner pay by 17%
Employee Benefits: Deloitte’s UK 709 equity partners will experience a 17% pay cut following a decline in the organisation’s financial growth during the Covid-19 (Coronavirus) pandemic. Read story