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March 18, 2010

Sickness absence: get familiar with the new fit note

Whether you are an employer, employee or doctor, now is a good time to get familiar with the layout of the new fit note, which replaces the traditional sick note from 6 April 2010. A new entry on the statement of fitness for work [subscription required] in the XpertHR policies and documents section brings together the Government's sample version, official guidance for employers and doctors, and an overview of the law relating to the new fit note.

Continue reading "Sickness absence: get familiar with the new fit note" »

Stephen Simpson | | Comments (0) | TrackBacks (0) |

March 11, 2010

2010 public sector pay freeze not as simple as it sounds

Despite the public sector pay freezes announced yesterday (see the coverage in the Guardian, Telegraph and Financial Times, plus the reactions from the First Division Association and the British Medical Association, all on external websites) many public sector employees will still be getting a pay rise in 2010.

Continue reading "2010 public sector pay freeze not as simple as it sounds" »

Sarah Welfare | | Comments (0) | TrackBacks (0) |

March 10, 2010

Prime Minister confirms 2010 pay freeze for senior public servants

As well as announcing the date of the 2010 Budget, the Prime Minister also made some announcements on public sector pay this morning.

In his speech on the economy, he confirmed that there would be no pay rises for senior civil servants, the senior military, the judiciary, senior NHS managers, consultants, GPs or dentists from April 2010.

All these groups have their pay rates recommended by public sector review bodies, which published reports today setting out their proposals. Reports on pay in the prison service and armed forces have also been published.

You can find a statement confirming which proposals the government has accepted or rejected on the Number 10 website.

As the Prime Minister had already pre-announced that these groups were going to have their pay frozen (see our round-up of public sector pay on XpertHR - subscription required), it was quite brave of the senior salaries review body to recommend that senior NHS managers earning less than £80,000 should get a 2.25% pay rise, which the government rejected. 

The Prime Minister also confirmed that government ministers would not be seeing ministerial pay rise in 2010-11 nor would they be taking up the 1.5% pay increase for all MPs from April 2010 that was announced last week.

Sarah Welfare | | Comments (0) | TrackBacks (0) |

March 11, 2010

Research request: regional pay

Regional pay can help employers to meet differing recruitment and retention needs in local labour markets. There are, however, significant issues that employers need to resolve when implementing successful regional pay arrangements: how much, where and why.

Taking part in this IRS survey will provide you with the very latest information on regional pay arrangements.

This survey is a named practice survey to allow participants to benchmark their policies against those of other organisations. It closes on 26 March 2010. Please contact Adam Geldman on 01780 481 195 if you have any questions regarding this research.

Continue reading "Research request: regional pay" »

Ed Cronin | | Comments (0) | TrackBacks (0) |

March 8, 2010

Guidance on fit notes

On 6 April 2010, the new statement of fitness for work, or "fit note" comes into effect. Doctors will be able to advise that an employee "may be fit for work taking account of the following advice" and suggest arrangements that could help the employee return to work. The fit note is intended to give employers and employees greater flexibility in managing sickness absence and result in fewer employees being signed off work when they could do some work with appropriate support.

Continue reading "Guidance on fit notes " »

Clio Springer | | Comments (0) | TrackBacks (0) |

March 15, 2010

Pay awards in 2010: Will UK workers continue to accept pay restraint?

The willingness of UK workers to accept severe pay restraint - in many cases involving pay freezes - has helped many employers minimise job cuts and weather the worst of the 2008/2009 recession. However, with tentative economic recovery now underway and inflation soaring, it remains to be seen if UK workers and trade unions will tolerate a second successive year of pay restraint.

Continue reading "Pay awards in 2010: Will UK workers continue to accept pay restraint?" »

Michael Carty | | Comments (0) | TrackBacks (0) |

March 8, 2010

Benchmarking computer staff salaries with XpertHR

XpertHR's salary survey unit will shortly be sending participation packs for the Computer Staff Salary Survey to organisations which have previously taken part in this long-running research.

Find out more about participating in the Computer Staff Salary Survey or call us on 020 8652 2159.

Continue reading "Benchmarking computer staff salaries with XpertHR" »

Mark Crail | | Comments (0) | TrackBacks (0) |

March 5, 2010

Asda's innovative move on agency workers

An interesting development this week as UK employers prepare for the introduction of new agency worker regulations next year.

Supermarket Asda has struck a deal with trade union Unite that will see thousands of temps working for its suppliers receive the same pay and rights as permanent employees.

Unite said 6,000 workers, who were mostly migrants, would win improved pay under the agreement, which covers 29 suppliers. Asda will now liaise with the suppliers, agencies that provide migrant workers and unions to raise the estimated £2.4m needed to ensure that temporary workers are on the same rates as their permanent colleagues.

Continue reading "Asda's innovative move on agency workers" »

Mike Berry | | Comments (0) | TrackBacks (0) |

March 3, 2010

Pay awards: Three-fifths of UK workers expect a pay freeze in 2010

Pay freezes look as if they're here to stay in 2010. Around three-fifths (57%) of UK workers do not expect to receive a pay increase in 2010 (external website), according to a YouGov survey commissioned by uSwitch, the BBC reports.

Continue reading "Pay awards: Three-fifths of UK workers expect a pay freeze in 2010" »

Michael Carty | | Comments (0) | TrackBacks (0) |

February 26, 2010

National minimum wage: Announcement on 2010/2011 rate likely "within a couple of weeks"

The 2010 report from the Low Pay Commission (LPC) - which will set out its recommendations on the national minimum wage rates for 2010/2011 (due to come into effect on 1 October 2010) - is likely to be published "within a couple of weeks", an LPC spokesperson exclusively told XpertHR.

Continue reading "National minimum wage: Announcement on 2010/2011 rate likely "within a couple of weeks"" »

Michael Carty | | Comments (0) | TrackBacks (0) |

February 23, 2010

Managers' pay - the long-term story

The National Management Salary Survey is one of the largest pay surveys conducted by XpertHR through its Celre salary survey arm. The 2010 report is being launched today jointly with the Chartered Management Institute.

There is more about the headline findings in our Celre blog, and my colleague Michael Carty has also written about it. Data will also be found in the XpertHR Job Pricing tool in due course once further checking and number crunching has been carried out. This will be live very soon now.

Continue reading "Managers' pay - the long-term story" »

Mark Crail | | Comments (0) | TrackBacks (0) |

February 19, 2010

Pay awards collapse back to zero as 2010 gets underway

Today sees many parts of the UK waking up to a return of heavy snow (external website). The outlook for pay awards across the whole economy is similarly wintry this morning, with pay freezes reasserting themselves as the median pay award. The headline pay award has collapsed back to its all-time low of nil (subscription required) over the three months to 31 January 2010, according to latest data from IRS for XpertHR.

Continue reading "Pay awards collapse back to zero as 2010 gets underway" »

Michael Carty | | Comments (0) | TrackBacks (0) |

February 23, 2010

Recession hits top pay hard, National Management Salary Survey reveals

The recession has had a severe impact on UK managers' pay packets, with executive pay showing its lowest rate of growth in at least a decade, according to latest pay benchmarking research from XpertHR salary surveys.

Continue reading "Recession hits top pay hard, National Management Salary Survey reveals" »

Michael Carty | | Comments (0) | TrackBacks (0) |

March 10, 2010

Pay awards: Has the 'national minimum wage effect' gone into reverse?

As well as a collapse in the headline pay award back to the record low of zero, latest data from reward specialists at IRS suggest a change in the way the national minimum wage influences the headline pay settlement.

Continue reading "Pay awards: Has the 'national minimum wage effect' gone into reverse?" »

Michael Carty | | Comments (0) | TrackBacks (0) |

February 16, 2010

TUC: Unions willing to push for pay increases in 2010

The recession has taken the heat out of pay awards, with pay freezes becoming the norm for many as employers, employees and unions worked together to minimise job losses by embracing pay restraint. But the TUC warns that trade unions may not be so willing to accept a second consecutive year of pay freezes (external website) in 2010.

Continue reading "TUC: Unions willing to push for pay increases in 2010" »

Michael Carty | | Comments (0) | TrackBacks (0) |

February 9, 2010

Graduate starting salaries to be frozen for second year running in 2010, says AGR

The graduate recruitment market is expected to begin a slow process of recovery in 2010, but the average graduate starting salary will remain frozen at £25,000 (external website) per year for a second consecutive year. This is according to the winter survey 2010 from the Association of Graduate Recruiters (AGR) (external website).

Continue reading "Graduate starting salaries to be frozen for second year running in 2010, says AGR" »

Michael Carty | | Comments (0) | TrackBacks (0) |

February 12, 2010

Has the office cuppa fallen victim to the recession?

Reward has taken something of a beating during the recession, with pay freezes becoming the norm for many UK workers during 2009. But there could be a further, hidden casualty among our most valued workplace perks, with potentially serious implications for morale: the free office cuppa.

Continue reading "Has the office cuppa fallen victim to the recession?" »

Michael Carty | | Comments (0) | TrackBacks (0) |

February 3, 2010

Mervyn King: "Little scope" for pay growth in 2010 and beyond

The prognosis for pay awards across the UK economy in 2010 and beyond is less than rosy (PDF format, 47K) (external website), according to Bank of England governor Mervyn King.

Continue reading "Mervyn King: "Little scope" for pay growth in 2010 and beyond" »

Michael Carty | | Comments (0) | TrackBacks (0) |

January 26, 2010

Good practice on maternity

Supporting women who are due to go on maternity leave, and those who are returning from maternity leave, can help employers retain experienced and dedicated employees and ensure that they are working to their full potential. There can be a number of significant benefits to business, including saving on recruitment and training costs and ensuring productivity levels are at their peak. However, knowing what practical support to give pregnant women or new mothers can be difficult. That’s why at XpertHR we’ve commissioned a good practice guide on maternity from Liz Morris of Mayfield Associates.

Continue reading "Good practice on maternity " »

Bar Huberman | | Comments (1) | TrackBacks (0) |

January 25, 2010

Public sector pay 2010: Pay cuts in prospect?

Many public sector workers already face low pay increases or pay freezes in 2010. Now, in an interview with the Sunday Times, Chancellor Alistair Darling has indicated that public sector pay will be subject to "restructuring" (external website), which could result in pay cuts for some jobs.

Continue reading "Public sector pay 2010: Pay cuts in prospect?" »

Michael Carty | | Comments (0) | TrackBacks (0) |

January 22, 2010

Pay awards holding up at 1.2%

Pay awards staged a slight recovery in the closing months of 2009 (subscription required), with the headline award standing at 1.2% over the three months to 31 December 2009, according to latest data from reward specialists at IRS. But the pay outlook is uncertain: pay awards could either stage a further weak recovery in 2010, or slump back toward their recent all-time low of zero.

Continue reading "Pay awards holding up at 1.2%" »

Michael Carty | | Comments (0) | TrackBacks (1) |

National minimum wage 2010/2011: "Absurd" to increase younger workers' rates, say CIPD/BCC

"[W]hile the government is rightly devoting taxpayers' money to helping Britain's one million jobless young people, it would be absurd at the same time to raise the youth minimum wage," according to CIPD chief economic advisor John Philpott. His comments coincide with the publication of a joint letter to Peter Mandelson - penned by the CIPD in partnership with the BCC (external website) - in which they call for a freeze on "further statutory increases in the cost of employing staff during what looks like being a 'jobs-light' recovery".

Continue reading "National minimum wage 2010/2011: "Absurd" to increase younger workers' rates, say CIPD/BCC" »

Michael Carty | | Comments (0) | TrackBacks (0) |

January 28, 2010

2010: the year pay and RPI inflation part ways?

Retail prices index (RPI) inflation is long established as a key factor influencing private sector pay awards. But with pay awards subdued at present, and inflation set to prove volatile over the coming months, could 2010 prove to be the year in which RPI and pay awards come uncoupled?

Continue reading "2010: the year pay and RPI inflation part ways?" »

Michael Carty | | Comments (0) | TrackBacks (0) |

January 14, 2010

France employment law guide

Do you need to know about employment law in France? The latest European employment law guide added to XpertHR looks at key elements of employment law in Frances as it applies to: recruitment and selection; pay and benefits; employee rights; contracts of employment; training and development; equal opportunities; industrial relations; health and safety; and termination of employment.

XpertHR regularly publishes information on industrial relations law and practice across Europe - providing expert analysis of developments at European level and in individual European countries. In addition, other guides to national employment law in European countries include: the Netherlands; Italy; Germany; Greece; Poland; and Ireland. For ease of reference, we’ve rounded our European information up on one European employment law and practice page.

Remember that we want to provide information on the countries that are relevant to you in your HR role - so let us know which countries you’d like to see guidance on in the future.

Joanna Stubbs | | Comments (0) | TrackBacks (0) |

January 13, 2010

Cameron promises hardline stance on unions if elected in 2010

Conservative leader David Cameron has drawn the battle-lines for his relations with UK trade unions (external website) if his party wins the 2010 general election. The Daily Telegraph reports that Cameron has said he would be "very happy" to strengthen the laws governing trade unions in order to prevent any planned strike action in protest at Conservative plans to freeze public sector pay.

Continue reading "Cameron promises hardline stance on unions if elected in 2010" »

Michael Carty | | Comments (0) | TrackBacks (0) |

January 8, 2010

Snow chaos, pay, leave and employee rights

UKsnow.jpg

Snow chaos across the UK means many employees can't get to work, through no fault of their own, because travel is not possible and/or schools are closed. Many believe they are entitled to be paid as usual in these circumstances - and are unhappy when they find otherwise.

A blog post of mine on snow, pay and employment rights from last February has seen a flurry of comments in the past few days, so I thought it would be worth returning to the issue today.

Continue reading "Snow chaos, pay, leave and employee rights" »

David Shepherd | | Comments (14) | TrackBacks (0) |

Employment tribunal decisions making the headlines: 26.12.09 to 08.01.10

A round up of links to recent employment tribunal rulings, including the reinstatement of a Territorial army soldier who was made redundant after he returned from Afghanistan, a successful claim by a park ranger who was dismissed for making a joke about the colour of a black colleague's legs, and an award to a woman whose husband did the same job for the same employer but was paid more than her.

Continue reading "Employment tribunal decisions making the headlines: 26.12.09 to 08.01.10" »

Stephen Simpson | | Comments (0) | TrackBacks (0) |

January 5, 2010

National minimum wage 2010/2011: Freeze younger workers' rates, says CIPD

The national minimum wage rates paid to workers aged under 21 should be frozen at their current level (PDF format, 1.5MB) (external website) when the 2010/2011 national minimum wage uprating comes into effect on 1 October 2010, according to the CIPD. The CIPD argues that freezing the statutory pay floor for younger workers would help "ensure welcome government efforts to combat soaring youth unemployment are not fatally undermined just as the economy is beginning to recover".

Continue reading "National minimum wage 2010/2011: Freeze younger workers' rates, says CIPD" »

Michael Carty | | Comments (0) | TrackBacks (0) |

January 15, 2010

Can pay continue to take the strain in 2010?

Six months ago, I noted that pay was taking the brunt of the current recession: given the scale of the economic downturn, the rise in unemployment was surprisingly low, with pay awards absorbing a lot of the shock. Now, as 2010 gets into full swing, an increasing number of commentators argue that pay will continue to take the strain this year.

Continue reading "Can pay continue to take the strain in 2010?" »

Michael Carty | | Comments (0) | TrackBacks (0) |

January 6, 2010

Three-fifths of UK employers plan to freeze pay in 2010, says BCC

2010 will bring a second successive year of pay freezes for millions of private sector workers (external website), according to research from the British Chambers of Commerce (BCC).

Continue reading "Three-fifths of UK employers plan to freeze pay in 2010, says BCC" »

Michael Carty | | Comments (0) | TrackBacks (0) |

December 22, 2009

HR questions on Twitter

Want to receive the answer to a frequently asked HR question every day? If you’re on Twitter, you can do so by following HRdailyquestion. The questions come from the popular XpertHR FAQs section, which contains over 1,000 frequently asked HR questions - and more importantly the answers.

Joanna Stubbs | | Comments (0) | TrackBacks (0) |

December 18, 2009

Snow: its effect on your employees and organisation

With snow across much of country once again, your organisation may be affected, with employees perhaps unable to get to work because of transport problems. Take into account the need to be flexible and make sure line managers use their common sense when dealing with the issues that arise. Guidance and a model policy on severe weather conditions and their impact on the workplace are available on XpertHR:

Joanna Stubbs | | Comments (0) | TrackBacks (0) |

Pay awards hold at 1.2% as 2010 approaches

Pay settlements over the three months to the end of November 2009 have remained at the same level, 1.2%, as the previous rolling quarter, according to the latest provisional analysis by IRS (subscription required).

Continue reading "Pay awards hold at 1.2% as 2010 approaches" »

Rachel Sharp | | Comments (0) | TrackBacks (0) |

December 17, 2009

April 2010: maternity, paternity and adoption pay to go up, but sick pay to stay the same

The Department for Work and Pensions has published some of the key employment-related statutory rates for April 2010, including statutory maternity pay (SMP), statutory adoption pay (SAP), statutory paternity pay (SPP) and statutory sick pay (SSP).

Continue reading "April 2010: maternity, paternity and adoption pay to go up, but sick pay to stay the same" »

Stephen Simpson | | Comments (0) | TrackBacks (0) |

December 16, 2009

NHS pay rise 2010: pay review body decides not to seek review

NHS staff will receive the 2.25% pay increase due as the final stage of their three-year pay agreement from April 2010. The NHS Pay Review Body has concluded that the conditions have not been met for it to seek a remit to review the increase.

Continue reading "NHS pay rise 2010: pay review body decides not to seek review" »

Rachel Sharp | | Comments (0) | TrackBacks (0) |

December 17, 2009

Pay data sets low baseline for 2010 pay rises

With the busiest months of the pay setting calendar now upon us, employers can turn to some bang up-to-date salary data from CELRE, published exclusively on XpertHR Job Pricing, to inform their decisions.

Annual reports published in the final few weeks of 2009 as part of CELRE's core business survey cover staff working in HR and personnel, finance and accounts, and sales and marketing roles.

There is also fresh data for engineers and technicians, and for the distribution and media industries.

Continue reading "Pay data sets low baseline for 2010 pay rises" »

Mark Crail | | Comments (0) | TrackBacks (0) |

December 24, 2009

Policies and documents: the 10 most popular additions in 2009

Around 50 new model policies and documents have been added to XpertHR in 2009. But what have been the most popular? The XpertHR employment intelligence blog provides a round-up.

Continue reading "Policies and documents: the 10 most popular additions in 2009" »

Stephen Simpson | | Comments (0) | TrackBacks (0) |

December 9, 2009

Pre-Budget 2009: reactions, links and more small print for HR

Here's a useful list of reactions to the Pre-Budget Report from unions and employers on ePolitix, plus a "wordle" from the guardian which heavily features the word "tax".

The TUC's Nigel Stanley has done a useful summary of the pensions proposals in the PBR, and the Institute for Fiscal Studies has just released its initial reactions, which are always worth reading.

Continue reading "Pre-Budget 2009: reactions, links and more small print for HR" »

Sarah Welfare | | Comments (0) | TrackBacks (0) |

Pre-Budget Report 2009: the small print on bankers' bonuses

 The reactions are coming in to the Chancellor's widely trailed proposal for a one-off tax on bonuses in the banking sector. Unsurprisingly the CBI warns that the "threat of an exodus of talent is real" while the TUC describes Darling's proposal as "at the modest end of what he could have done". Bankers have "no divine right to giant bonuses every year," says TUC General Secretary Brendan Barber.

But how will the tax actually work and are there any loopholes?

Continue reading "Pre-Budget Report 2009: the small print on bankers' bonuses" »

Sarah Welfare | | Comments (0) | TrackBacks (0) |

December 31, 2009

Ten employment cases to watch out for in 2010

As usual, 2009 was a busy year in the employment tribunals, courts and in the European Court of Justice. But what employment law cases can we look forward to in the next 12 months? Here are 10 significant employment decisions expected in 2010.

Continue reading "Ten employment cases to watch out for in 2010" »

Stephen Simpson | | Comments (0) | TrackBacks (0) |

December 15, 2009

Retaining top talent will lead the 2010 employment agenda, says CBI

Retaining key employees will rise quickly to the top of the employment agenda for 2010 (PDF format, 10MB) (external website) once economic recovery gets underway, according to research from the CBI/Harvey Nash.

Continue reading "Retaining top talent will lead the 2010 employment agenda, says CBI" »

Michael Carty | | Comments (0) | TrackBacks (0) |

December 17, 2009

RPI inflation: Back in black for 2010

After spending much of 2009 in negative territory, retail prices index (RPI) inflation has risen sharply, climbing out of the red and back into the black to see out the calendar year.

Continue reading "RPI inflation: Back in black for 2010" »

Michael Carty | | Comments (0) | TrackBacks (0) |

December 14, 2009

Will the new spirit of workplace collaboration survive the recession?

Earlier this year, research from the CBI and consultants Harvey Nash argued that the recession had forged a new cooperative spirit between employers and employees, with both sides assuming a collaborative and flexible approach to stave off job losses for as long as possible. But will this new willingness to collaborate survive the recession? The CBI certainly thinks so.

Continue reading "Will the new spirit of workplace collaboration survive the recession?" »

Michael Carty | | Comments (0) | TrackBacks (0) |

November 27, 2009

Goodbye to the Average Earnings Index in 2010

An obscure and unnnoticed report published by the UK's National Statistics Authority yesterday reveals that the existing national statistic for earnings growth - the long-established Average Earnings Index - is to be replaced with a series called Average Weekly Earnings (AWE) as the official monthly measure of wages and salaries.

While this may sound like a story that is mainly of interest to pay or statistics anoraks, it shouldn't be seen as such.

The earnings figures provide a critical indicator of supply and demand in the labour market - big pieces of the jigsaw of information on which decisions by the Bank of England and HM Treasury on the management of the UK economy are based.

Continue reading "Goodbye to the Average Earnings Index in 2010" »

Sarah Welfare | | Comments (0) | TrackBacks (0) |

December 8, 2009

National minimum wage: How the 2009/2010 increase measures up

The 2009/2010 national minimum wage increase - which saw the adult rate rise by 1.2% to £5.80 per hour when it came into effect on 1 October 2009 - was the lowest since a statutory minimum wage was introduced in April 1999. But now that the key economic indicators for October 2009 are in, how does the 2009/2010 national minimum wage increase stack up against rises in inflation and in whole economy pay awards? It all depends on what measure you use.

Continue reading "National minimum wage: How the 2009/2010 increase measures up" »

Michael Carty | | Comments (0) | TrackBacks (0) |

November 20, 2009

Pay awards lifted as national minimum wage rise takes effect

Pay awards have risen over the past quarter, with some help from the 1.2% increase to the national minimum wage that took effect on 1 October 2009, according to the latest analysis from IRS appearing on XpertHR today [subscription required].

Basic pay settlements were worth a median 1.2% in the three months to the end of October 2009, up from the pay freeze recorded for the past three rolling quarters.

We don't usually see such a significant boost from the minimum wage in our headline pay statistics, but as so many employers have been freezing pay this year, a 1.2% increase to minimum rates appears to have had a more significant effect on pay patterns than the higher minimum wage increases seen in previous years.

Continue reading "Pay awards lifted as national minimum wage rise takes effect" »

Sarah Welfare | | Comments (0) | TrackBacks (0) |

November 19, 2009

National minimum wage: 2009/2010 increase could result in job cuts, says CBI

The 2009/2010 increase to the national minimum wage - which resulted in a 1.2% rise in the national minimum wage adult rate to £5.80 per hour - could result in job cuts (PDF format, 10MB) (external website), according to the CBI.

Continue reading "National minimum wage: 2009/2010 increase could result in job cuts, says CBI" »

Michael Carty | | Comments (0) | TrackBacks (0) |

November 13, 2009

Employment tribunal decisions making the headlines: 31.10.09 to 13.11.09

A round up of links to recent employment tribunal rulings, including a £190,000 payout to four redundant managers, a successful tribunal defence by Bollywood star Shilpa Shetty's restaurant group, and an unfair dismissal claim involving a missing barrel of beer.

Continue reading "Employment tribunal decisions making the headlines: 31.10.09 to 13.11.09" »

Stephen Simpson | | Comments (2) | TrackBacks (0) |

November 12, 2009

Nearly 1% of UK jobs still pay below national minimum wage in 2009

Almost one in every 100 UK jobs pays less than the national minimum wage (PDF format, 97K) (external website), according to preliminary findings on low pay from the Annual Survey of Hours and Earnings (ASHE) 2009, published today.

Continue reading "Nearly 1% of UK jobs still pay below national minimum wage in 2009" »

Michael Carty | | Comments (0) | TrackBacks (0) |

Gender pay gap narrows to 12.2% in 2009

Progress towards closing the gender pay gap resumed in the year to April 2009 (PDF format, 147.8K) (external website), according to headline findings from the Annual Survey of Hours and Earnings (ASHE) 2009, published today.

Continue reading "Gender pay gap narrows to 12.2% in 2009" »

Michael Carty | | Comments (0) | TrackBacks (0) |

November 16, 2009

Has the recession created a 'new normal' in reward?

The current recession has resulted in a sea-change in UK reward, with cash no longer representing the central part of the reward offering for many employers, according to research from consultants Mercer.

Continue reading "Has the recession created a 'new normal' in reward?" »

Michael Carty | | Comments (1) | TrackBacks (0) |

November 9, 2009

Pay freezes dominate in 2009; but will the same be true in 2010?

Pay freezes dominated the UK reward landscape in 2009 (external website), but look set to exert very little influence in 2010, according to research from consultants Mercer.

Continue reading "Pay freezes dominate in 2009; but will the same be true in 2010?" »

Michael Carty | | Comments (0) | TrackBacks (0) |

November 4, 2009

UK labour market: healthiest outlook in two years

"The UK jobs market looks healthier today than at any time in the last two years," according to the Recruitment and Employment Confederation's latest monthly Report on Jobs, out today. The key stats can be found on XpertHR [subscription required].

"Based on the latest findings, we anticipate that unemployment will not reach three million in 2010 as some predicted," says REC's chief executive Kevin Green.

Continue reading "UK labour market: healthiest outlook in two years" »

Sarah Welfare | | Comments (0) | TrackBacks (0) |

November 2, 2009

National minimum wage 2010/2011: TUC calls for £6 per hour adult rate and proposes apprentice rates

The national minimum wage adult rate should be increased by 3.5% to stand at £6.00 per hour (external website) in 2010/2011, according to the TUC's latest submission to the Low Pay Commission (LPC). The TUC's submission also sets out proposals for three new age-based hourly minimum rates for apprentices.

Continue reading "National minimum wage 2010/2011: TUC calls for £6 per hour adult rate and proposes apprentice rates" »

Michael Carty | | Comments (0) | TrackBacks (0) |

November 13, 2009

Public sector pay outpaces private sector... for now

There is no question that public sector pay rises have outperformed the public sector in the 2008/2009 bargaining round. Latest analysis of whole economy pay trends from reward specialists at IRS (subscription required) reveals that the median public sector pay award stands at 2.3% over the 12 months to 31 August 2009, while the private sector median is 1.5%. But this stark sectoral pay divide could reverse over the coming year.

Continue reading "Public sector pay outpaces private sector... for now " »

Michael Carty | | Comments (0) | TrackBacks (0) |

October 30, 2009

Pay-setting in uncertain times requires informed decisions

While it remains possible that the UK will exit the current prolonged recession in the near future, economic recovery is by no means guaranteed. This makes pay-setting decisions for the 2009/2010 pay bargaining round all the more problematic. Employers are therefore well advised to ensure that they understand what impact their reward decisions are going to have on their abilities to recruit, retain and motivate employees. The XpertHR Group offers a wealth of resources to help pay-setters make the right decisions in these circumstances.

Continue reading "Pay-setting in uncertain times requires informed decisions" »

Michael Carty | | Comments (0) | TrackBacks (0) |

October 28, 2009

Government should not focus on raising national minimum wage in 2010/2011, says CBI

The Government should "boost minimum wage enforcement efforts [in 2010/2011] rather than focussing on a rise in the level", according to the CBI's recommendations for the Pre-Budget Report 2009 (PDF format, 143K) (external website).

Continue reading "Government should not focus on raising national minimum wage in 2010/2011, says CBI" »

Michael Carty | | Comments (0) | TrackBacks (0) |

October 23, 2009

Pay settlement trends in 2009 and the outlook for 2010

Today XpertHR publishes a summary of what has happened to pay awards over the past year, plus a forecast of what will happen in 2010 [subscription required].

Flick through these slides for some of the key findings.

It used to be possible to use the phases "pay rise" and "pay settlement" interchangably, but not any more. This year has been the year of the pay freeze, with one third of all the basic pay awards monitored by IRS over the year to August 2009 giving no pay rise at all.

Continue reading "Pay settlement trends in 2009 and the outlook for 2010" »

Sarah Welfare | | Comments (0) | TrackBacks (0) |

October 21, 2009

Pre-Budget Report 2009 must include clampdown on public sector pay and absences, says CBI

The Government must take drastic action on public sector pay and absence rates in 2010 and beyond in order to tackle the current budget deficit, according to the CBI's recommendations for the Pre-Budget Report 2009 (external website).

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Michael Carty | | Comments (0) | TrackBacks (2) |

October 22, 2009

What will the 2010 general election mean for the national minimum wage?

The October 2009 national minimum wage uprating marked the lowest increase to the statutory pay floor yet seen. The focus is now on what can be expected from the 2010/2011 national minimum wage increase, which will come into effect from 1 October 2010. Much hinges on who wins the 2010 general election.

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Michael Carty | | Comments (0) | TrackBacks (0) |

October 20, 2009

The UK minimum wage is (arguably) 100 years old today

This year has already seen the 10th anniversary of the introduction of the national minimum wage, which was introduced just over a decade ago, in April 1999. But our colleagues at CELRE - XpertHR's specialist salary surveys unit - note that today (Tuesday 20 October 2009) actually marks the 100th anniversary of a UK minimum wage.

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Michael Carty | | Comments (0) | TrackBacks (0) |

October 6, 2009

Public sector pay 2010/11- the Government's approach

The letter from Liam Byrne, Chief Secretary to the Treasury, to the chairs of the public sector pay review bodies has now been published on the Office of Manpower Economics website

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Rachel Sharp | | Comments (0) | TrackBacks (1) |

Public sector pay: Darling calls for mix of pay freezes and low increases for 2010/2011

Chancellor Alistair Darling has written to public sector pay review bodies recommending that senior public servants receive a pay freeze in 2010/2011 (external website), while middle-ranking public servants receive pay awards worth between nil and 1%, the BBC reports.

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Michael Carty | | Comments (0) | TrackBacks (1) |

October 5, 2009

A new Conservative Government: what could this mean for employment law?

With the 2009 Conservative Party conference taking place in Manchester this week, and a general election looming, XpertHR looks at the employment law changes that an incoming Conservative Government might make.

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Joanna Stubbs | | Comments (0) | TrackBacks (0) |

October 14, 2009

UK unemployment rate hits 7.9%

The headline unemployment rate now stands at 7.9%, according to latest official unemployment data (PDF format, 345.9K) (external website) published today (Wednesday 14 October 2009). While the rate of increase in unemployment now appears to be slowing, the unemployment level nonetheless remains on track to peak at three million in early 2010.

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Michael Carty | | Comments (0) | TrackBacks (0) |

October 2, 2009

National minimum wage: BRC calls for nil to 1% rise for 2010/2011

The 2010/2011 national minimum wage increase (external website) should be "in the range of zero to one per cent and certainly no higher than" the 2009/2010 rise of 1.2% which came into effect yesterday (1 October 2009), according to the British Retail Consortium (BRC).

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Michael Carty | | Comments (0) | TrackBacks (0) |

October 1, 2009

Public sector pay: pay freezes and "minimal pay rises" forecast for 2010

Senior civil servants, judges and NHS managers will see their pay frozen in 2010 (external website), while the remaining five million public sector will receive "only minimal rises" as the Government seeks to cut costs in order to reduce the budget deficit, according to a report in The Times.

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Michael Carty | | Comments (0) | TrackBacks (1) |

October 12, 2009

National minimum wage: EEF calls for formula to decide future increases

A formula to determine future national minimum wage increases (external website) should be introduced to provide employers with "some form of certainty about its potential impact", according to EEF, the manufacturers' organisation.

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Michael Carty | | Comments (0) | TrackBacks (0) |

September 30, 2009

National minimum wage: Brown promises increases for 2010 to 2014

The national minimum wage will rise each year between 2010 and 2014 (external website) if Labour wins the 2010 general election, according to Gordon Brown in his speech to the Labour party conference in Brighton yesterday (Tuesday 29 September 2009).

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Michael Carty | | Comments (0) | TrackBacks (0) |

September 28, 2009

Government launches draft Regulations on extension to Paternity Leave

Following the Government’s recent confirmation that it intends to push ahead with proposals to allow mothers to transfer the second six months of their maternity leave to fathers, a consultation has been launched including draft Regulations that set out how the proposals will be administered.

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Bar Huberman | | Comments (0) | TrackBacks (0) |

CBI calls for 'cautious' national minimum wage for apprentices in 2010/2011

"[A]ny new minimum wage for apprentices must be set at a cautious level," according to the CBI (external website).

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Michael Carty | | Comments (8) | TrackBacks (0) |

October 9, 2009

The curious incident of the subdued pay awards (2009 edition)

The words of Sherlock Holmes regarding "the curious incident of the dog in the night-time" (external website) have once again been alluded to with reference to pay awards. Describing the failure of summer 2008 warnings of a wage-price spiral (in which higher inflation, coupled with higher inflation expectations, would feed through into higher wage demands), the Guardian's Ashley Seager states that wage inflation "was the dog that didn't bark" (external website).

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Michael Carty | | Comments (0) | TrackBacks (0) |

October 7, 2009

Pay awards: the worst may be yet to come in 2010

Pay awards remain depressed, languishing at 1% over the three months to 31 August 2009, according to latest data from IRS. But the worst may be yet to come, with both private sector and public sector pay awards likely to come under significant downward pressure in 2010.

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Michael Carty | | Comments (0) | TrackBacks (0) |

October 5, 2009

Pay awards will play a key role in UK economic recovery in 2010

Pay awards will play a key role in economic recovery (or otherwise) over the coming year. There is a risk that inflation could accelerate rapidly once 2010 arrives, with the Bank of England Monetary Policy Committee warning that inflation could rise "sharply" (PDF format, 91.7K) in the immediate future. This could be worrisome for private sector employers involved in pay setting, particularly for those currently engaged in negotiating pay settlements for January 2010.

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Michael Carty | | Comments (0) | TrackBacks (0) |

September 25, 2009

No recovery in pay settlements

 Pay awards remain remarkably weak, the latest analysis from IRS reveals [subscription required]. The median, basic pay settlement for the whole economy was unchanged at 1% in the three months to the end of August 2009. The median basic award for the previous rolling quarter has been revised down to a pay freeze. This is the first time that the headline measure has been a pay freeze in IRS's history of collecting pay settlements.

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Sarah Welfare | | Comments (0) | TrackBacks (0) |

October 6, 2009

Why the 2009/2010 national minimum wage increase is outperforming most pay awards

The 2009/2010 national minimum wage increase, which came into effect last week, is significantly lower than those seen in recent years. Yet when measured against the latest trends in pay awards, it could almost be argued to represent a competitive increase.

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Michael Carty | | Comments (0) | TrackBacks (0) |

October 2, 2009

Economic outlook October 2009: Recovery is by no means guaranteed

As autumn 2009 gets underway, the economic situation is looking decidedly mixed. The UK could already have exited the 2008/2009 recession, but economic recovery remains precarious with a relapse back into recession possible, according to the October 2009 economic commentary from CELRE - XpertHR's salary surveys unit.

Continue reading "Economic outlook October 2009: Recovery is by no means guaranteed" »

Michael Carty | | Comments (1) | TrackBacks (0) |

September 24, 2009

Every 1% on pay = 10,000 jobs cut, warns senior NHS executive

"[E]very 1% on pay is 10,000 potential job cuts" (external website) in the NHS, according to a Health Service Journal interview with University College London Hospitals Foundation Trust chief executive Sir Robert Naylor.

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Michael Carty | | Comments (0) | TrackBacks (1) |

TUC supports calls for wages for talent show finalists

The Trades Union Congress has backed calls by Equity to pay talent show contestants, reports The Stage (external website).

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Bar Huberman | | Comments (0) | TrackBacks (0) |

September 23, 2009

Weak wage growth in prospect for 2010, says CBI

The UK economy will exit the 2008/2009 recession in the current quarter, but both economic growth and wage growth will be "weak" in 2010, according to the latest quarterly economic forecasts from the CBI (external website), published today.

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Michael Carty | | Comments (0) | TrackBacks (0) |

September 24, 2009

Pay awards must recover before unemployment falls

The 2008/2009 recession could already be over, yet economic recovery looks set to be protracted. And given the current circumstances, we will need to see a recovery in pay awards before unemployment begins to fall (external website), according to Sunday Times economics editor David Smith.

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Michael Carty | | Comments (0) | TrackBacks (0) |

September 21, 2009

Cable calls for long-term public sector pay freeze

A long-term public sector pay freeze is on the cards (external website) should the Liberal Democrats win the 2010 general election, according to an interview with the party's leader Nick Clegg in the Guardian on Saturday (19 September 2009).

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Michael Carty | | Comments (0) | TrackBacks (1) |

September 18, 2009

What will the public spending "squeeze" mean for public sector pay in 2010?

The UK faces the "tightest squeeze" on public spending since the 1970s (PDF format, 382.7K), according to research published on the Institute for Fiscal Studies (IFS) website. The impact on public sector pay awards for 2010 and beyond could be severe.

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Michael Carty | | Comments (0) | TrackBacks (2) |

September 15, 2009

Gordon Brown set to go public on public spending cuts

Gordon Brown's TUC conference speech later today (15 September 2009) is expected to mark the first time that the word "cuts" is publicly used by a senior Labour figure with regard to the current focus on the future of public spending.

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Michael Carty | | Comments (0) | TrackBacks (0) |

October 1, 2009

National minimum wage: increases for 2009/2010 effective today

The latest national minimum wage (subscription required) increase comes into effect from today (Thursday 1 October 2009), taking the adult rate from £5.73 to £5.80 per hour for 2009/2010, an increase of 1.2%.

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Michael Carty | | Comments (0) | TrackBacks (0) |

September 22, 2009

Closing the gender pay gap: long-term perspective reveals slow progress

The UK gender pay gap narrowed by fewer than five percentage points over the near four decades between December 1970 and April 2008, a comparison of latest official data with 1970s research from IRS reveals.

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Michael Carty | | Comments (0) | TrackBacks (0) |

September 10, 2009

Pay and reward links, 10.09.09

I'm copying my colleague Martin Couzins's HR links idea with some pay and reward links for this week:

IRS pay prospects survey

This week is the last chance for reward professionals to complete our survey of private sector pay and gain access to a comprehensive report on the outlook for pay in 2010. 

Local government unions agree to pay deal

The pay award for around 1.4 million local government employees [subscription required] has been settled.

CIPD executive pay guidelines published

A set of principles from the CIPD to help HR directors and remuneration committees develop executive pay policies

The European Industrial Relations Observatory's review of pay across the EU in 2008

Download the full report on pay rises across the EU in 2008.

Latest LRD data on pay awards

Shows a median of 2% (June to August 2009) for negotiated pay awards reported to LRD by trade unions.

 

Sarah Welfare | | Comments (0) | TrackBacks (0) |

September 8, 2009

The gender pay gap in the finance sector: EHRC inquiry reports

The report on the finance sector published yesterday by the Equality and Human Rights Commission (PDF format, 1.85Mb, on the EHRC website) is essential reading for anyone with an interest in the gender pay gap.

 

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Sarah Welfare | | Comments (1) | TrackBacks (0) |

September 7, 2009

Union pension scheme under threat

Unison, the public sector union, is looking at cutting back its final salary pension scheme for its own staff, according to the Times website.

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Clio Springer | | Comments (0) | TrackBacks (0) |

Pre-Budget Report to spell out the bad news on public sector pay for 2010

Government plans for extensive cuts to public sector spending - likely to include severe pay restraint for 2010 - will be set out in Chancellor Alistair Darling's Pre-Budget Report 2009, which is expected to be delivered during the autumn.

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Michael Carty | | Comments (0) | TrackBacks (4) |

September 9, 2009

HR is least optimistic about post-economic recovery pay rises, Australian survey finds

Latest news from down under indicates that Australian workers on the whole are extremely optimistic regarding their pay prospects for the coming year, but HR professionals are least likely to share this sunny outlook on reward.

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Michael Carty | | Comments (0) | TrackBacks (0) |

September 3, 2009

NHS should cut 10% of workforce, say consultants

The NHS should cut 137,00 clinical and administrative posts (external website) - equivalent to 10% of its workforce - in order to achieve a planned £20 billion-worth of cost savings by 2014. This is according to a confidential report to the Department of Health commissioned from consultants McKinsey and Company.

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Michael Carty | | Comments (0) | TrackBacks (0) |

September 1, 2009

What can we expect from the 2010/2011 national minimum wage increase?

Although the implementation date for the 2009/2010 national minimum wage increase is still a month away (coming into effect on Tuesday 1 October 2009), attention is already turning to what we can expect from the 2010/2011 increase, which will be implemented on 1 October 2010.

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Michael Carty | | Comments (5) | TrackBacks (0) |

August 27, 2009

"Red Adair" gets radical on City bonuses

Capping City bonuses misses the point - instead the government may need to attack the source of the problem and tax the millions of City transactions that bring in the money that funds the bonuses, according to Chairman of the Financial Services Authority (FSA) Adair Turner.

The man tagged as "Red Adair" when he headed the CBI told Prospect magazine (as reported in the Guardian, Times and other papers), that: "If you want to stop excessive pay in a swollen financial sector you have to reduce the size of that sector or apply special taxes to its pre-remuneration profit". He described many of the City's activities as "socially useless".

Continue reading ""Red Adair" gets radical on City bonuses" »

Sarah Welfare | | Comments (0) | TrackBacks (0) |

August 26, 2009

Which day of the week should you ask for a pay rise?

Wednesday, apparently. According to a survey reported in the Telegraph, an employee who asks for a pay rise on a Wednesday is more likely to extract a positive response. Employers surveyed confided that on Mondays they are too frantic preparing for the week ahead, and by Thursday they are already dreaming of the weekend... Read more on the Telegraph website.

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Jeya Thiruchelvam | | Comments (0) | TrackBacks (0) |

What pay prospects does 2010 hold?

 This recession has proved record-breaking in many ways (the lowest ever interest rates, the lowest headline inflation and the biggest annual drop in GDP growth since records began...) and pay deals are no exception.

While this time last year many employers were setting basic pay awards at 3.5%, the going rate has been 1% for each rolling quarter since April 2009 - the lowest recorded by IRS since we began collecting pay information in 1971. This chart shows the extent to which pay deals have plunged since the start of 2009.

In such exceptional times, how are employers expected to prepare for pay reviews due over the coming year? By taking part in our pay prospects survey, of course.

paydealchartjul09.gif 

 

Continue reading "What pay prospects does 2010 hold?" »

Sarah Welfare | | Comments (0) | TrackBacks (0) |

August 21, 2009

Pay awards slide to 1%

Employee pay awards are running at just 1%, according to provisional analysis from IRS out today (subscription required).

The median basic pay award was 1% over the three months to the end of July 2009. This is a quiet period for pay deals, however. More significantly, our figures for the busy April pay bargaining round have also been revised downwards as more awards are settled, showing that the median basic pay deal has been 1% for each rolling quarter since the three months to April.

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Sarah Welfare | | Comments (0) | TrackBacks (0) |

August 13, 2009

Gender pay gap reporting in the private sector

A consultation has been launched by the Equality and Human Rights Commission (EHRC) on proposals to help tackle the pay gap between men and women, by the voluntary reporting of gender pay information by private and voluntary sector employers.

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Bar Huberman | | Comments (1) | TrackBacks (0) |

August 12, 2009

Conservatives plan to freeze local government pay if elected in 2010

A pay freeze is on the cards for some 1.6 million local government workers (external website) if the Conservative party wins the next general election, according to a report in The Times.

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Michael Carty | | Comments (0) | TrackBacks (1) |

August 11, 2009

Model pre-maternity leave interview policy and letter

Any sensible employer should realise the importance of making maternity leave run as smoothly as possible, so that valued members of staff are more likely to return to work after their leave. One important tool is the pre-maternity leave interview.

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Stephen Simpson | | Comments (0)