At a glance: reward and benefits headlines this week 24-30 April 2020
The headlines you might have missed between 24-30 April 2020.
How to let your employees know they have been furloughed
HR Review: As nearly three-quarters of businesses have furloughed staff, a leadership and management provider has given tips on how to have the furlough conversation with your staff. Read story
PMI announces first professional trustee accreditation
Professional Pensions: The Pensions Management Institute (PMI) has announced that CBC Pension Services director Michael Clark has become the first fully-accredited professional trustee in the UK. Read story
BGC, XPO and Northwell Health reward staff with appreciation bonuses
Employee Benefits: Brookshire Grocery Company (BCG), XPO Logistics and Northwell Health have awarded employees appreciation bonuses. for their hard work during Covid-19 (Coronavirus). Read story
Northern Ireland teachers to receive 2.25% pay rise in September 2020
Employee Benefits: Northern Ireland teachers will receive an increase to their salaries in September 2020, following on from an agreement with Northern Ireland union parties. Read story
CMS splits bonus payments and defers salary reviews for 3,500 staff
Employee Benefits: International law firm CMS is deferring bonus payments and annual salary reviews for 3,500 employees to remain financially secure during the Covid-19 (Coronavirus) pandemic. Read story
Furloughed employees to receive full parental leave pay entitlements
Employee Benefits: Employees planning to take paid parental or adoption leave whilst on furlough will be entitled to full pay based on their usual earnings rather than a furloughed pay rate. Read story
One in three SMEs plan to increase flexible working after pandemic
Workplace Insight: The coronavirus crisis has already cost UK SMEs an average £277,893 each – and 64 percent expect their revenues to decrease by half in coming months, according to a nationwide survey released by Fiverr. The study of 1,000 SME owners and decision makers in 19 cities across the UK also claims that nearly one in three (29 percent) of UK SMEs plan to increase flexible working post-pandemic. Read story
Don’t overlook benefits for home workers: access to specialist support ramped up for Covid-19
Employer News: From increased access to online GP and Specialist consultations, to cancer treatment in the home; health and wellbeing benefits are being adapted for employees working from home, and it’s important that employers know what’s available and how to make them accessible to staff. Read story
How to make rewards COVID-19 friendly
HR Review: One issue the COVID-19 pandemic has brought with it is the pressure it is placing on rewards and performance management. A consultant business is advising companies to take a “balanced approach in the face of the current uncertainty and avoid making rash, short-term decisions that could lead to future retention challenges.” Read story
Analysis: Cutting through the wellbeing waffle
Corporate Adviser: Separating the empirical from the anecdotal is key to achieving genuine employee wellbeing improvements finds Suzanne Clarkson. Read story
Updated: Firefighters launch fresh legal battle against government pension benefits delay
Professional Pensions: The Fire Brigades Union (FBU) has filed court proceedings over the government’s withholding of improved pension benefits for its employers, citing it a ‘dirty trick’. Read story
Where now for the pensions dashboard?
Professional Pensions: Enormous amounts of work are still required in order to deliver the pensions dashboard. Ros Altmann looks at the issues involved and urges politicians not to abandon the idea of an independent public dashboard. Read story
Government should use IR35 delay to ‘completely rethink’ legislation, report says
People Management: House of Lords committee finds the proposed changes to off-payroll tax rules are ‘riddled with problems’ and calls for an independent review. Read story
Transport for London furlough 7,000 staff on full pay
Employee Benefits: Transport for London (TfL) will place 7,000 employees on furlough with 100% pay, effective immediately. Read story
Prezzo gives 3,000 employees early access to furlough pay
Employee Benefits: Italian restaurant chain Prezzo is offering all of its 3,000 employees early access to furlough pay during the Covid-19 (Coronavirus) pandemic. Read story
21% of UK employers have introduced special pay for front-line staff
Employee Benefits: One in five (21%) of UK businesses have, or are considering, implementing special pay policies for essential employees, according to research by insurance organisation Aon. Read story
Firms paying CEOs millions choosing to furlough staff
HR Grapevine: FTSE 100 firms that have furloughed staff under the Government’s Coronavirus Job Retention Scheme (CJRS) paid their chief execs an average of £3.6million per year before the pandemic hit, a new analysis has claimed. Read story
More than 50% slump in staff wellbeing
HR Grapevine: The recent coronavirus pandemic has proved to be an incredibly challenging time for managers, particularly due to the immediate change to work circumstances, under which the majority of employees have had to start working on a remote basis. Read story
Bouyant Pay Picture for 2020 hits a Coronavirus Wall
Employer News: Pay awards have hit a brick wall after the coronavirus pandemic lockdown brought three months of increasingly buoyant settlement data to a sudden halt. Read story
Public service unions take govt to court over pension ‘robbery’
Pensions Age: Four public sector trade unions have filed court proceedings against the government, accusing it of withholding improved pension benefits for hundreds of thousands of public service workers. Read story
Employee engagement levels lower compared to 2008 financial crisis
HR Review: COVID-19 has hit employee engagement levels worse than the financial crisis of 2008. Read story
Northern Ireland health and social care staff receive 3.3% pay rise
Employee Benefits: Agenda for Change employees in Northern Ireland will receive a 3.3% pay rise, backdated to 1 April 2019. Read story
Government introduces £60,000 life assurance scheme for front-line healthcare workers
Employee Benefits: Front-line health and care employees in England will be covered by a life assurance scheme that financially benefits their family if they die due to the Covid-19 (Coronavirus). Read story
Government suspends pension tax charges for retired NHS staff returning to work
Employee Benefits: The government will temporarily suspend pension tax charges for all retired NHS employees who decide to work during the Covid-19 (Coronavirus) pandemic. Read story
TPR responds to your Covid-19 guidance queries
Professional Pensions: The Pensions Regulator has issued a raft of guidance on how DB schemes should face the current crisis. Here, David Fairs sets out more details in response to common questions. Read story
Mercer urges government to allow 6-month DRC suspensions
Pensions Age: Mercer has written to the Chancellor, Rishi Sunak, urging the government to allow sponsoring employers of defined benefit (DB) pension schemes to defer deficit recovery contributions (DRC) for up to six months. Read story
BP DB pension deficit falls by £1.15bn
Pensions Age: BP’s defined benefit (DB) pension scheme deficit fell by £1.15bn between December 2019 and March 2020, according to its Q1 2020 results report. Read story
Employers want CJRS to allow furloughed staff to work reduced hours
HR Review: Employers would like the Government to make the Coronavirus Job Retention Scheme (CJRS) more flexible, making it possible for furloughed workers to work reduced hours and for the scheme to be extended to the end of September. Read story
TPR Covid warning letter for DB transfers
Corporate Adviser: Pension schemes are being urged to send DB members looking to transfer a Covid-19 transfer warning letter highlighting the risks of doing so during the pandemic, following new guidance from the regulator. Read story
Outsourced cleaners at Lewisham Hospital receive pay rise
Employee Benefits: Cleaners at Lewisham Hospital, who are employed by private outsourcing company ISS, will receive an hourly pay rise, effective immediately. Read story
Shearman and Sterling offers 2,066 employees sabbatical leave on 30% pay
Employee Benefits: Global law firm Shearman & Sterling is offering all of its 2,066 global employees a sabbatical on 30% pay during the Covid-19 (Coronavirus) pandemic. Read story
Salary cuts call eavesdropped on by rival company
HR Grapevine: Staff at national news outlet The Independent were on a ‘confidential and sensitive video’ Zoom call to learn about salary cuts and furloughs when it was ‘zoom-bombed’ by an employee from a rival media organisation. Read story
Four in ten fathers cannot afford to take shared parental leave
Workplace Insight: New research commissioned by PowWowNow claims that four in ten fathers cannot afford to take Shared Parental Leave (SPL), suggesting there is a need for policy change to ensure it does not compromise families financially for a father to be equally involved in parenting. Read story
IA calls for executive pay review amid Covid-19
Money Marketing: The Investment Association has called on companies to review their executive pay structures to ensure they are still appropriate in light of the coronavirus crisis. Read story
Record emergency tax paid on pension withdrawals
Corporate Adviser: Pension withdrawals incurred a record £167m of emergency tax payments to HMRC in 2019/20, up from just over £90m in 2015/16, according to figures released today. Read story
Record pension withdrawals ‘but no Covid dash for cash’
Corporate Adviser: More than £35bn has been withdrawn from pensions since freedoms were in 2015 with £2.5bn withdrawn in Q1 2020, up 19 per cent on the same period last year. Read story
TPR publishes 2020 annual funding statement
Professional Pensions: The Pensions Regulator (TPR) has published its 2020 annual funding statement outlining how defined benefit schemes should approach forthcoming scheme valuations. Read story
Government reportedly preparing return to work guidance
People Management: Department for BEIS said to be producing advice on reopening in ‘granular detail’ as CIPD launches its own guide for bringing employees back. Read story
Dentons asks 1,100 UK employees to work four day week on 80% pay
Employee Benefits: Global law firm Dentons is asking its 1,100 UK employees to work a four day week or reduced hours for six months, effective 1 June 2020. Read story
Aon to reduce pay by 20% for 70% of employees
Employee Benefits: Insurance organisation Aon has temporarily reduced the pay of 70% of employees worldwide, due to the financial constraints of the Covid-19 (Coronavirus) pandemic, effective 1 May 2020. Read story
Salesforce, Cisco and Hilton named UK Best Workplaces 2020
Employee Benefits: Salesforce, Cisco and Hilton are among the organisations that have been named best UK workplaces to work for in 2020 by Great Place to Work UK. Read story
Covid-19 causes Sainsburys’ DB pension surplus to rise 16%
Pensions Age: Sainsburys’ defined benefit (DB) pension surplus has risen by 16 per cent due to the impact of Covid-19 on financial markets and the global economy. Read story