At a glance: reward and benefits headlines this week 7-14 May 2020
The headlines you might have missed between 7-14 May 2020.
Employees desire mix of remote and office-based work after lockdown
HR Review: Almost two-thirds of employees would prefer a working-split between remote working and time spent in the office once the lockdown has come to an end. Read story
Plan for the future with wellbeing benefits
Corporate Adviser: Cut the cash from a cash plan and what do you get? An increasingly sophisticated yet low-cost entry-level health and wellbeing solution says Sam Barrett. Read story
Avoiding presenteeism in the wake of Covid-19
Corporate Adviser: The health and wellbeing of staff has never been more important says Cigna Europe CEO Arjan Toor. Read story
BoE looks for 'rapid recovery' for battered UK economy
Professional Pensions: The UK economy will recover "much more rapidly" from the coronavirus crisis than it did from the Global Financial Crisis, according to Bank of England (BoE) governor Andrew Bailey. Read story
Majority of sponsors have 'no need' to suspend contributions
Professional Pensions: The Society of Pension Professionals (SPP) estimates only 5-10% of scheme sponsors will suspend or reduce contributions during the coronavirus pandemic while majority have no need to alter their payment schedules. Read story
Honest Burgers gives 730 employees early access to furlough pay
Employee Benefits: UK restaurant chain Honest Burgers is offering its 730 employees early access to their furlough pay during the Covid-19 (Coronavirus) pandemic. Read story
Greene King offers £300,000 Covid-19 support fund to 38,000 employees
Employee Benefits: UK pub and brewery Greene King is offering a support fund in partnership with the Licensed Trade Charity, to help any of its 38,000 employees impacted by the Covid-19 (Coronavirus) crisis. Read story
Igloo Energy launches benefits platform to support staff during Coronavirus pandemic
Employee Benefits: Energy provider Igloo Energy has launched a wellbeing platform to support its 116 employees during the Covid-19 (Coronavirus) pandemic. Read story
Government launches dedicated app to support 1.5 million UK adult social care staff
Employee Benefits: A new app for 1.5 million adult social care workers, has been launched to offer support throughout the Covid-19 (Coronavirus) pandemic, providing staff with mental wellbeing support, Covid-19 guidance, and discounts available to them. Read story
TPO reports Border Steelwork Structures to the regulator
Pensions Age: The Pensions Ombudsman (TPO) has upheld two complaints against the Border Steelwork Structures Limited (BSSL) over failures to pay contributions and has formally reported the firm to The Pensions Regulator. Read story
Helping female employees improve their financial wellbeing
HR News: Over the years there has been much hype in the media about the fact that women tend to come out worse off than men when it comes to their financial wellbeing. It was recently reported that the average female pensioner receives £7,000 a year less than men[1]. While just 21% of women hold an investment versus 35% of men[2]. Read story
Employers want to extend furlough scheme until September
HR Magazine: Sixty per cent of employers are in favour of extending the Job Retention Scheme (JRS) to September 2020, according to a new CIPD survey. Read story
Letting staff go now more damaging than financial crisis of 08
HR Review: The furlough system can make a huge difference to businesses as it has been found that letting employees go during the COVID-19 crisis could be far more damaging than doing so during the financial crisis of 2008. Read story
Trustee support for new TPR code wanes
Corporate Adviser: Support is declining among pension schemes for The Pension Regulators new Code of Practice, according to research Aon. Read story
Union considers AA scheme closure ‘significant attack’ on members
Pensions Expert: The recent closure of the Automobile Association defined benefit scheme – following a consultation with scheme members and trustees – has been branded a “significant attack on members’ benefits” by trade union GMB. Read story
Employers told not to ‘rush in and regret it’ as PM calls for some to return to work
People Management: Experts call for 'clear guidance' on making workplaces safe following Boris Johnson’s outlined plan to ease lockdown. Read story
Two in five anxious about returning to work, poll finds
People Management: Employers should ‘go out of their way’ to address staff concerns, and ensure those first to go back are not made to feel like ‘guinea pigs,’ say experts. Read story
25,847 Northern Ireland Civil Service employees to receive 2% pay rise
Employee Benefits: 25,847 Northern Ireland Civil Service (NICS) employees will receive a 2% pay increase, backdated to 1 August 2019. Read story
17,000 New Zealand teachers to receive pay increase`
Employee Benefits: 17,00 qualified teachers in New Zealand will receive a pay rise, following on from the government’s Budget 2020 announcement on 11 May 2020. Read story
NHS Tayside introduce wellbeing area to support staff during Covid-19
Employee Benefits: Ninewells Hospital and Medical School, NHS Tayside has opened its first Rest Relax Recharge area to support front-line employees during the Covid-19 (Coronavirus) pandemic. Read story
Three in 10 struggling to juggle work and personal life
Cover: With Boris Johnson last night only announcing minor changes to social restrictions placed on the UK due to coronavirus, a survey of more than 76,000 employees has revealed how the pandemic is negatively impacting the nation's workforce. Read story
The power of your payslip
Employer News: Steven Watmore, Product Management Lead, Sage. discusses the important information contained within a payslip. Read story
Nearly half of those approaching retirement unaware of state pension deferral
Pensions Age: Nearly half (47 per cent) of 55-64 year olds are unaware that they can defer the State Pension to claim a higher weekly guaranteed, inflation-linked pension, according to research by Just Group. Read story
Furlough scheme extended to October and made more flexible
HR Review: The UK furlough system has been extended to October, which will still offer 80 per cent of salaries to employees but the Government will ask employers to help towards the pay as well as allowing staff to work part-time. Read story
Majority of employees believe hours will not change over next 3 months
HR Review: Just over half of employees expect to continue to work as normal over the next three months, however, other workers such as black and minority ethnics (BME) and disabled expect to be either furloughed or made redundant after being furloughed. Read story
One if five schemes to suspend pension deficit payments
Corporate Adviser: One if five DB schemes may suspend pension deficit contributions, according to new research from Isio. Read story
Return to work guidance – how are different sectors being asked to proceed?
People Management: People Management delves into the detail of the government’s industry-specific guidelines, breaking down the stipulations employers need to be aware of. Read story
91% of employees would prefer the option to work remotely
Employee Benefits: Nine in ten (91%) employees would prefer to have the option to work remotely, according to research by Eskenzi PR. Read story
50,000 Massachusetts home care workers to receive $1.10 hourly pay rise
Employee Benefits: 50,000 home care staff in Massachusetts, United States, will receive a pay increase of $1.10 (89p) per hour and 50 extra hours of paid leave, following an agreement with the Government of Massachusetts. Read story
Eversheds Sutherland introduces reduced hours and flexible working scheme
Employee Benefits: Law firm Eversheds Sutherland has launched a scheme reducing the working patterns and pay of some of its employees. Read story
Business needs to do more to address lockdown mental health issues
Workplace Insight: Employers must do more to support the mental health of their staff during the Covid-19 pandemic, as new research suggests up to 23 million people in the UK could be struggling with poor mental wellbeing as a result of the current situation. Read story
Nine out 10 employers to review pensions strategy
Corporate Adviser: Almost nine out of 10 large employers said they had recently reviewed their pensions strategy, or were planning to do so within the next 12 months according to new research by Capita. Read story
TPR warns trustees not to delay DC transfers
Corporate Adviser: The Pensions Regulator has warned trustees they must prioritise transfers between DC schemes during the Covid-19 pandemic. Read story
Co-op agrees £350m buy-in with Aviva
Professional Pensions: The Co-operative Pension Scheme (Pace) has entered into its fourth bulk annuity transaction of 2020, agreeing a £350m buy-in with Aviva. Read story
HR must prepare for increased workloads and responsibility as furlough scheme is extended, say experts
People Management: Commentators broadly welcome the job retention scheme’s extension and improved flexibility, but advise people professionals to plan for this now. Read story
Taylor Wessing launches flexible hours at reduced pay scheme
Employee Benefits: International law firm Taylor Wessing is asking its employees to sign up to a flexible hours programme, which will reduce hours and pay up to a maximum of 20%. Read story
Kellogg’s launches flexible summer hours for 460 employees
Employee Benefits: Food manufacturer Kellogg’s UK has launched a flexible summer hours scheme for its 460 employees. Read story
Love’s extends pay increase and sick pay benefits for 26,000 employees
Employee Benefits: US-based convenience store chain Love’s Travel Stops and Country Stores (Love’s) is extending its $2 (£1.63) hour pay increase, Covid-19 (Coronavirus) related sick pay and free employee meals for 26,000 store employees. Read story
Chancellor urged to scrap triple lock to recoup Covid-19 financial losses
Pensions Age: The Chancellor, Rishi Sunak, has been urged to scrap the state pension triple lock to try and regain some of the government’s financial losses resulting from the Covid-19 pandemic. Read story
People saving more and withdrawing less during lockdown - PensionBee
Pensions Age: Lockdown has had a “significant impact” on savers’ financial habits, according to PensionBee, as consumers begin to save more and withdraw less in an “era of uncertainty”. Read story
Key workers could see pay freeze due to COVID-19 crisis
HR Review: Following the news that the Treasury is considering to freeze public sector pay, increase income tax and end the triple lock on state pensions in order to pay for the COVID-19 crisis; unions and tax experts have spoken out calling this move as “immoral” as key workers will be negatively impacted by these moves. Read story
Paul Avis: Are the industry’s products giving value in a time of crisis
Corporate Adviser: The FCA wants to make sure insurers deliver value during the lockdown. Group risk products are doing what they say on the tin says Canada Life Group Insurance marketing director Paul Avis. Read story
PPF may seek second opinion on Laura Ashley collapse amid pension struggles
Professional Pensions: The Pension Protection Fund (PPF) will look to appoint a new administrator to oversee an investigation into the collapse of Laura Ashley, according to reports. Read story
Tyne & Wear and Northumberland schemes to merge
Professional Pensions: The £9bn Tyne & Wear Pension Fund and the £1.4bn Northumberland County Council Pension Fund are set to merge following a consultation by the government. Read story
Latest furlough and holiday pay guidance – what has it cleared up?
People Management: People Management unpacks new government guidelines, including on agency workers, obliging temporarily laid off staff to take annual leave and bank holidays. Read story
Aldi partners with Mental Health UK to support employee mental health
Employee Benefits: Retailer Aldi is partnering with Mental Health UK to increase the wellbeing support for its 33,000 employees across the UK. Read story
McGee launches employee ownership trust
Employee Benefits: Engineering business McGee has become an employee-owned organisation through an employee ownership rust (EOT). Read story
Creative Hairdressers pays 7,500 employees $1,149,965 in back wages
Employee Benefits: US hairdressing chain Creative Hairdressers has been ordered to pay $1,149,965 (£940,930) in back wages to over 7,500 employees to resolve violations of the minimum wage and over time provisions under the US Fair Labor Standards Act (FLSA). Read story
Tesco to align executive pensions with wider workforce
Pensions Age: Tesco has confirmed it will be cutting pension benefits for its executive directors to bring them in line with its wider workforce by the end of 2022. Read story
How businesses can address rising absenteeism resulting from the mental health impact of lockdown
HR News: New research highlights concerns that home working is causing a rise in employee burnout and ‘e-presenteeism’, with almost three in five (58 per cent) HR managers fearing losing staff to sick leave as a result of the mental health impacts of working in lockdown. Read story
Financial wellbeing moves up the agenda
HR News: The latest survey by Reward & Employee Benefits Association (REBA)[i] into the impact of the coronavirus crisis, highlights that many employers are looking at providing financial wellbeing support, along with increased spend on some employee benefits and insurances. Read story