At a glance: reward and benefits headlines this week 2-8 July 2021

Here are the headlines you might have missed between 2-8 July 2021.

Holiday pay does not accrue on furlough, tribunal rules
People Management: A contractor did not accrue holiday pay while on furlough last year, an employment tribunal (ET) has ruled, in a case that promises to offer certainty around management of people placed on the coronavirus job retention scheme (CJRS). Read Story.

Furloughed jobs fall by 1.2 million since April
HR Review: HMRC figures reveal that the number of employments furloughed has fallen by 1.2 million between the end of April and the end of May 2021.  New provisional data released by Her Majesty’s Revenue and Customs (HMRC) show that employers are slowly weaning off the furlough scheme as restrictions ease. Read Story.

More employers to offer 'burnout weeks'
HR Magazine: The number of employers offering staff paid 'burnout weeks', intended to alleviate the stresses of the pandemic, is increasing and looks set to become a trend. Dating app Bumble announced in April that all its employees will be given one week of paid, fully offline leave in June. Read Story.

Government scraps T level in HR
Personnel Today: The new HR T Level qualification has been scrapped because the government has been unable to find an awarding body to develop it. The Education and Skills Funding Agency (ESFA) confirmed that it had pulled the HR T Level from the list of qualifications that would launch in 2023 because it was unable to award a contract for its development in its latest procurement exercise. Read Story.

Unions and employers seek clarity over ‘dropping’ of health and safety rules
Personnel Today: Unions and medical professionals have called for more clarity as the government plans to announce that requirements such as mask-wearing and social distancing will be removed from 19 July.
So-called “freedom day” was initially postponed for four weeks from 21 June but is now likely to go ahead, despite a rise in coronavirus infections in the UK. Read Story.

Quarter of young people concerned poor mental health affects their employability, research finds
People Management: More than one in four young people said they are afraid poor mental health will affect their ability to find a job in future, according to new research published today. The poll of 8,000 adults aged 18 and older, commissioned by the Resolution Foundation with support from the Health Foundation, found that 27 per cent of 18 to 24 year olds said they were concerned about finding a job in the future because of mental health struggles. Read Story.

BME staff three times more likely to have hours reduced during pandemic
HR Review: Almost one in 10 BME workers have reported having their hours reduced since the start of the pandemic. New research by the Trades Union Congress (TUC) shows that Black and minority ethnic workers are three times more likely than white workers to have lost working hours during the pandemic. Read Story.

Employees scared to ask for pay rises post-pandemic
HR Magazine: Employees are less confident about asking for a pay rise than they were pre-pandemic as they fear their company has struggled financially over the past 18 months. Over half (55%) of UK employees are now more reluctant to ask for a pay rise, according to new research, as the coronavirus pandemic has caused a shift in the way employees feel about demanding a higher salary. Read Story.

38% of employees receive praise at least once a week
Employee Benefits: New research has revealed that 38% of employees said their line manager gave them praise for doing a good job at least once a week. Performance management system Appraisd polled 1,000 workers through Google Surveys and found that while many managers are switched on to the need to provide regular recognition, an almost equal number are failing to do so. Read Story.

57% want their pension to be invested responsibly
Employee Benefits: New research has found that while approximately 3.14 million people (15%) currently invest responsibly in their pension either through their workplace or privately, an additional six million could change to responsible investing once they understand what it involves. Read Story.

Businesses reduce use of BAME over racism concerns
HR Magazine: Reports highlighting racism in UK business are leading companies to distance themselves from the widely used BAME acronym. Kingsley Napley, a London-based law firm, is one business that has renamed its internal BAME and Allies Network in light of concerns about acronym raised in the recent report on inequality in the UK by the Commission on Race and Ethnic Disparities. Read Story.

Lifting of lockdown restrictions leaves employers apprehensive
HR Magazine: The easing of lockdown restrictions on 19 July in England has worried employers, as the change to face covering and social distancing rules could divide the UK workforce. Speaking yesterday evening (5 July) during a live news conference, Boris Johnson said people must now learn to live with this virus and exercise judgement when making decisions over socialising. The prime minister announced an end to social distancing, mandatory face mask wearing and working from home guidance in England on 19 July. Read Story.

Nearly two thirds of employers have made no changes to their benefits tech in response to COVID-19
Incentive & Motivation: Despite the challenges presented by COVID-19, 62% of employers still said they have made no change to their benefits tech or had decreased their use of it over the last year, according to research from Buck, an integrated HR and benefits consulting, technology, and administration services firm. Read Story.

24% asked for financial support in pandemic
Employee Benefits: A quarter of employees have had to ask family and friends for financial support during the Covid-19 (Coronavirus) pandemic, almost triple the number who did so in April 2020, according to new research about the future of work. Read Story.

29% saw work-life split improve in workplace return
Engage Employee: New data has highlighted that 29% of UK office workers saw a positive impact on their work-life balance as a result of returning to the workplace. The research commissioned by digital coaching provider Ezra found that 30% have now returned full-time and 24% have done so on a part-time basis, both up from 17% in April. The number of staff working fully remotely fell by 21% in the past three months. Read Story.

Nine in 10 adults in England and Wales now have Covid antibodies
Healthcare & Protection: The vast majority of adults in England and Wales now have Covid antibodies, according to official data. Figures released by the Office for National Statistics (ONS) revealed that around nine in 10 adults, or 89.8% of the adult population in England, up from 80.3% in May, would have tested positive for Covid antibodies in a blood test in the week commencing 14 June. Read Story.

One in five workers hope they will never return to commuting, poll finds
People Management: One in five workers hope they will never go back to commuting, with car commuters far more likely to say they would travel to the workplace more regularly, a survey has found. The poll of 2,000 UK workers by Kura found 19 per cent said they intended not to commute at all after coronavirus restrictions were lifted. Read Story.

Four day working week trials led to significant improvements in wellbeing
HR Review: Trials of a four-day working week, which took place in Iceland between 2015-2019, were dubbed an “overwhelming success”.  Improved wellbeing, a lower risk of burnout and more time to spend with family were some of the benefits seen by Icelandic workers taking part in a four-day working week trial. Read Story.

Mental health improving and incomes rising finds LV=
Cover magazine: Easing of lockdown has seen worries around finances, job security and the future fall according to LV=.  The latest Wealth and Wellbeing Monitor report shows that in June 2021, mental health issues are beginning to improve as 24% (12.7m) of UK adults felt lonely and isolated, compared to 31% (16.2m) in March. Read Story.

Financial wellbeing directly linked to use of financial advice: Aegon UK
Cover magazine: People with an adviser are four times more likely than those without to have high levels of financial wellbeing, according to Aegon UK. Aegon's Financial Wellbeing Index, based on a representative survey of 10,000 people across UK sectors, found that that just 10% of people who have never used any financial advice are "fortunate to combine healthy finances and a positive money mindset." Read Story.

Right to flexibly working should be extended, TUC states
HR Review: In light of the Government’s announcement that the work from home order will be lifted from the 19th July, various bodies have called for flexible working to remain on the table for staff.  The Trades Union Congress (TUC) have urged employers to consult staff and unions about continuing flexibility in working patterns and location. Read Story.

Sickness absences fall to lowest rate in 15 years, highlighting work from home pitfall
HR Magazine: Despite the coronavirus pandemic, UK sickness absence fell last year, sparking fears that employees are continuing to work while ill and working from home. The number of sick days employees take is now down to 2.2% of working time, compared with 2.7% in 2019 and 2.5% in 2018. Read Story.

One in three young people say they feel ill-equipped for work
Personnel Today: The career ambitions of young people have suffered during the pandemic, with more than a third stating that they do not feel equipped to compete in the job market. According to research by the Social Market Foundation think-tank, significant numbers of people aged 16-25 feel ill-equipped for the world of work, pessimistic about the future, and likely to end up in a “dead end job” – especially those from low income families. Read Story.

Furlough and Universal Credit uplift saved working families
HR Magazine: Government financial support provided a lifeline to workers struggling with in-work poverty during the coronavirus pandemic. A new report from the Institute for Fiscal Studies (IFS) has highlighted the importance government intervention and support schemes offered the UK working population over the past 18 months. Read Story.

One four in five working mothers now want to return back to the workforce
HR Review: Many working mothers – over four in five – who left the workforce during the pandemic now want to return back to the office.  New research from TopCV reveals that 85 per cent of working mothers whose jobs were adversely affected during the pandemic are now looking to rejoin the workforce. Read Story.

Job sharing cost should be reduced to encourage uptake, MPs argue
HR Review: Various MPs and NGOs have called on the UK Government to make job sharing a mainstream working practice by introducing a National Insurance reduction for employees in these roles. Writing a joint letter, MPs have asked the Government to introduce a reduction on employer’s National Insurance contributions for staff in job sharing roles. Read Story.

50% use salary sacrifice benefits for pensions
Employee Benefits: Research conducted by Workplace Pensions Direct (WPD) and YouGov has found that only half of British businesses are using the salary sacrifice benefits available for workplace pensions. According to WPD, this means that more than 15 million people could be missing out on the ability to contribute an average extra £204 into their pension every year, which could be a £30,500 difference for a 30-year-old planning to retire at the age of 68. Read Story.

Employers offering extended parental leave rises by 200 per cent
HR Review: New research finds that employers are three times more likely to offer extended parental leave than three years ago. The number of jobs offering extended parental leave has risen by 201 per cent in the past three years, according to new research by Indeed. Read Story.