What’s so great about asynchronous working?

Asynchronous working. It doesn’t quite roll off the tongue, does it? But even so, there’s a good chance that you’ve experienced it at some point at work. So what’s all the fuss about asynchronous working? Read on to find out what to expect and what you can gain from this way of working. 

Working practices in focus

The pandemic brought huge attention to remote and flexible working. With workforces suddenly spread far and wide, organisations everywhere had to find new ways of working that suited a remote workforce. This led to explosive growth of a method called asynchronous working.

But asynchronous working was around long before the pandemic. In fact, most companies will have had a degree of experience of it without even realising. Especially those working on different time zones. 

Asynchronous working isn’t new

What’s new is that there are now an abundance of tools that facilitate asynchronous working. Not just that, but asynchronous working supports the principle of flexibility. The demand for greater flexibility among workers was one of the key outcomes of the pandemic.

For these reasons, it would appear that now is the time to embrace asynchronous working. 

What is asynchronous working?

When looking at an asynchronous definition, it may seem a little different to what many workplaces are used to. We work in an age where the expectation has been that we’re always reachable. 

With smartphone apps and emails directly pinging through to our phones, we’ve grown to expect instant responses. Asynchronous working flies in the face of this. 

How does it work?

Asynchronous principles are centred around the fact that two people can work together without being present at the same time. With this in mind, you no longer have to be in a meeting room together at the same time to discuss a project. You could do this via message, email, or using project management tools. 

This way of working isn’t new. In fact, companies that work with those based overseas have long been used to finding clever ways to collaborate despite different time zones. 

The meaning of asynchronous working

Let’s delve deeper into what asynchronous working really means and how it works. 

It’s easy to class asynchronous working as a form of remote working. The reality is that an asynchronous working model has distinct differences from remote working.

A remote workforce isn’t necessarily asynchronous

In fact, it can often be quite the opposite. Organisations may have embraced remote working, but they have, at times, clung to the rigour of the 9-5.

There has been the expectation that employees will be available between the usual office hours and take part in ‘live meetings’. Asynchronous working looks different to this.

During office hours, those working will complete their part of a task. Requests for information and updates will be sent to colleagues, but a response will only come when those colleagues are within their working hours. Meaning they don’t respond immediately. 

Asynchronous working enabled employees to work at the best times for them. They could handle their personal commitments and still achieve their work goals. As restrictions were lifted, many found that they actually quite liked this way of working. 

Asynchronous working supports flexibility, autonomy, and an increasingly diverse workforce

If you look at the meaning of asynchronous working, the purpose of this approach is abundantly clear. 

Asynchronous working allows for flexibility, autonomy, and an increasingly diverse workforce. Those who may, in some way, have been excluded from the typical approach to working for a company now have new opportunities.

Flexibility became key in the pandemic

If we take the pandemic as a starting point, many of those who had been forced to work from home just wouldn’t have been able to stick to a typical 9-5 schedule. Many employees had to juggle commitments such as home schooling, as 87% of parents did. Or fulfilling caring responsibilities while also trying to work. 

So for many, typical working hours became almost impossible to hold down. Without embracing asynchronous working, both employees and businesses would have suffered. 

For employees, they could never have stayed on top of their workloads. The direct impact on organisations would have been severe too. It would have effectively meant a workforce that was unable to work. 

Asynchronous working provided the solution and has led to ongoing benefits, besides solving the initial problem. 

How can organisations benefit?

Your instinct may tell you that asynchronous working might be great for employees, but not great for the business as a whole. A workforce that isn’t present at the same moment surely leads to misunderstandings, lack of productivity, and frustration. Or does it?

A more productive workforce 

While you may think that having a workforce under a watchful eye will boost their productivity, the truth is that the asynchronous working model does. This is because it allows your team to plan working hours that suit them best, free from distractions. 

Many distractions come from work itself. Synchronous working can result in constant interruptions from emails, messages, and meetings. In contrast, allowing employees to work when it suits them allows them to get their heads down and work uninterrupted.

Increased transparency across operations

To work asynchronously, your employees need tools that leave a paper trail. Whether communication takes place via email or a specific platform, everything is going to be in writing. 

This is ideal for keeping records of key decisions or actions. And it means that anyone can jump into the conversation and look back at what’s happened to date. 

A way to widen your talent pool

Without the absolute need to adhere to a 9 to 5 schedule, organisations can hire employees who can’t or don’t want to work traditional hours. This opens up opportunities to seek out and employ the most talented individuals. Individuals who may have previously been excluded. 

How do employees benefit?

When it comes to your employees, asynchronous working can:

• Reduce stress: This is because working in this way removes the expectation to be available instantly and constantly by colleagues. 
• Increase engagement: Employees are empowered to make the decisions that benefit them in terms of when, and where, they work. This can boost their engagement levels.
• Support work-life balance: By allowing your team the flexibility to work in the way they choose, it can help them achieve a positive work-life balance.

Best practices for asynchronous working

Asynchronous working has some clear benefits, but that doesn’t mean that adapting this way of working will be an overnight success. 

Workforces have to adapt while embracing asynchronous working to realise their full potential. The learning curve doesn’t have to be slow, but it does take time for a business to get it right. 

Here are some of the factors that you should consider before implementing a more sustained asynchronous working model:

1. The tools for the job 

Asynchronous communication must be organised in order to work. And to organisse your communications, you need the right tools. 

Project management tools – Here at Openwage, we like ClickUp. Asana and BaseCamp are just a couple of many alternatives available. Find what suits your team.  

Collaboration tools – platforms like the design tool Figma and feedback tool Markup.io allow you to comment on digital content without having to leave the platform. 

Presentations – We like Loom, the video messaging tool. It’s great for recording presentations to share with the team or for explaining something that is simply too complex for an email or message.

2. Help your team to become effective communicators

With responses being delayed, it’s important that employees working asynchronously can get the right message across, the first time. This avoids the need for constant back and forth that can slow productivity. 

3. Synchronous working still has its place

Not everything can or should be done via asynchronous working. Performance issues are just one example where asynchronous communication wouldn’t be appropriate.  

4. Set clear deadlines

Just because your teams aren’t working at the same time, it doesn’t mean they can finish tasks whenever they like. Being clear with deadlines can help ensure projects maintain momentum. 

5. Create guidance 

Ensure that employees have guidance and somewhere to turn for troubleshooting. Not everyone is comfortable using new tech tools or working in this way. Offer support to employees to keep the process running smoothly.

Adapting to a model of asynchronous working may take some time but once your employees begin to see the benefits of it, they’ll be more likely to embrace it. 

5 of the biggest HR news headlines in 2022 (so far)

As the end of March approaches, we’ve already witnessed an abundance of news stories in the UK impacting the HR sphere. Many of these stories hold significant political or legal importance, while others are a potential ticking time bomb. Let’s dive right into the 5 biggest HR news headlines in 2022 so far. 

1. P&O Ferries makes shock redundancies 

The events of 17th March 2022 certainly grabbed plenty of headlines – and not just HR headlines. In response to this story, we witnessed mass outrage with demonstrations, furious unions, and politicians demanding answers.

As a P&O Ferries ship returned to port, employees were initially asked to stay on board. When the last passengers had disembarked, the crew were greeted with a video message. The message told them that some 800 employees had just finished their last shift, ever. 

While 800 redundancies were bad enough, the company may not have expected the PR disaster that followed.

Reportedly, security guards were called to escort staff from the ship. The situation got even worse when the company shared their future staffing plans. To replace the employees made redundant, P&O Ferries would be hiring agency workers and paid at rates as low as £1.81 per hour.

As reported by Personnel Today, P&O Ferries bypassed minimum wage laws by registering vessels outside of the UK. 

Why have politicians got involved?

It’s not every day that politicians get involved with HR news headlines. By the way the P&O Ferries handled these redundancies demanded a higher level of involvement.  

Yes, any redundancies have a huge impact on workers, their families, and the economy as a whole. Here, however, P&O Ferries reportedly broke the law because they didn’t follow the correct consultation process. 

Did P&O break the law?

CEO of P&O Ferries, Peter Hebblethwaite, seemed to acknowledge himself that the company may not have acted in line with employment rights. However, what emerged afterwards tells a different story. 

P&O Ferries have referred to Changes to the law in 2018. The change means that because P&O Ferries registered its staff outside of the UK, no laws have been broken.

It’s an intriguing case and HR professionals across the UK will be keen to see the outcome.

2. Ukrainian refugees and the workplace

With conflict still raging in Ukraine, millions of citizens have left the country to escape the invasion by the Russian forces. 

In response to this humanitarian crisis, the UK government launched its ‘Homes for Ukraine’ scheme. Under the scheme, UK households can welcome Ukrainian refugees into their home for a minimum of 6 months. 

As People Management reports, the UK government will grant Ukrainians a visa that includes the right to work in the UK. With over 100,00 UK citizens already offering their homes to Ukrainian refugees, this could lead to a huge influx of workers entering the UK job market. 

The impact on HR

HR teams are well versed in dealing with the Right to Work legislation. However, this set of extraordinary circumstances may pose new challenges. 

With Ukrainian refugees benefiting from the right to work in the UK for three years, companies need to be planning in advance to review visas when necessary. 

While reviewing visas is nothing new to HR teams, what’s different in this case is the scale on which it needs doing. 

Helping Ukrainians settle in

HR teams are also likely to be involved from the perspective of helping Ukrainian refugees settle into the workplace. The article on the subject by People Management, suggests HR teams can:

• Assign work buddies
• Ensure adequate support is in place including language-based support
• Offer flexible working

3. The UK’s approach to resilience and wellbeing is not fit for purpose

An article in HR Magazine reports that UK business’ current employee wellbeing strategies are falling  short.

There is specific reference to a report from the House of Lords COVID-19 Committee. The report shows that the UK needs to place a greater emphasis on the wellbeing of employees and long-term issues. 

Given HR’s involvement in supporting employee wellbeing, this HR news story was sure to attract great interest. The original report is clear that the responsibility of employee wellbeing doesn’t sit solely with politicians. 

Instead, businesses, charities, and communities as a whole should work together to tackle employee wellbeing. There are calls for dramatic change so that the UK is better placed to face a future crisis from a better starting point.

The impact of work

HR Magazine quotes Gosia Bowling, Emotional Wellbeing National Lead at Nuffield Health. She talks about the stresses and strains employees face at work.

Tight deadlines, growing workloads, the need to adapt to new technology, and the complexity of workplace relationships. All of these aspects of work are having a serious impact on employee wellbeing. 

How should employers be helping?

This HR news story emphasises that employers need to recognise warning signs when it comes to employee wellbeing.  

As well as monitoring for warning signs, employers should also focus on proactive means to protect employee wellbeing. This will mean tackling the source of the problem instead of treating the symptoms.

Employers need to ensure that they’ve created a culture where employees can be confident that they’ll get the wellbeing support they need. 

Building comprehensive wellbeing strategies that encompass wide-ranging support will become even more important. This should include physical, mental, and financial wellbeing.

4. No obligation to report ethnicity pay gap 

When the Government implemented gender pay gap reporting, it was big HR news across the UK. For some time there have been sustained calls for ethnicity pay gap reporting too. But it now looks like this is well and truly off the cards. 

As this article in Personnel Today reports, there are no plans for the Government to mandate ethnicity pay gap reporting. That’s not to say that the Government has turned its back on increasing diversity and inclusion in the workplace.

Will there be any reporting?

While there won’t be a legal requirement to report ethnic pay gaps, organisations are still encouraged to publish this information voluntarily. In the summer of 2022, the Government will release guidance detailing how organisations should approach ethnicity pay gap reporting. 

How else will equality and diversity be addressed?

In recent years, there has been a growing focus on fairness in the workplace as a whole. This led to an announcement an Equality Hub will be created in 2023. The role of the hub will be to tackle issues around unfairness and bias at work. 

5. Growing pressure to mandate the right to disconnect

Also making HR new in 2022 has been the growing debate around workers’ rights to disconnect.

The right to disconnect would mean that employers would be unable to contact their employees outside of working hours. COVID-19 blurred the lines between home and work, meaning that employees are already struggling with enforcing boundaries. There’s also an increased risk of employee burnout. 

Legislating workers’ right to disconnect would mean companies would have to halt all communications via email, phone, instant messaging, or any other means outside of working hours. 

6 out of 10 workers are supportive of legislating the right to disconnect. And according to an article by People Management, the Scottish government is in the process of holding discussions around this very topic. 

Beyond the UK

Now that Scotland is giving the right to disconnect serious consideration, it’s certainly possible that England and Wales could follow. But we’re somewhat late to the party when you look overseas. 

Ireland has already introduced legislation protecting employees and their downtime. Countries such as Italy, France, and Spain have also taken similar action long before the pandemic. 

While the UK awaits any firm decision, it may be wise to follow the lead of Germany in the meantime. While the country has no direct legislation surrounding the right to disconnect, German businesses have taken the initiative and voluntarily implemented this approach. 

Can you build remote teams successfully?

Remote working is rapidly growing. A study by Upwork found that 73% of businesses will have remote teams by 2028. So how can you build a remote team successfully? Every aspect from hiring and managing remote employees to creating a great company culture is important. Read on for key insights into building a successful remote team.

Remote working increases productivity

The pandemic led to a seismic shift towards working from home. Some managers and business owners were initially sceptical about this transition from the office. And their concerns were not unfounded, but perhaps not for the reasons we expected.

In the UK, 67% of employees felt isolated while working from home. A further 56% said they found it harder to switch off. Isolation and lack of engagement are two of the very real issues with remote working that can lead to burnout.

Despite some reservations, the data shows UK managers actually found that when managed correctly, remote teams were 52% more productive than before the pandemic. Since the pandemic, boosting productivity in remote teams has become increasingly important.

So whether you opt for 100% remote working or a hybrid of office and home working, knowing how to build a successful remote team is essential.

Companies who’ve built successful remote teams 

Gitlab and Hotjar are two great examples of companies that have operated using fully remote teams for years. Both of these companies say that building successful remote teams requires implementing intentional strategies, ones that they have carefully refined. 

It’s clear that supporting remote working is very different from simply allowing it. To explore how to build effective remote teams and manage productivity, what better place to gain insights than from the companies who have been doing it successfully.

Gitlab

Gitlab, a DevOps platform, was launched in 2014. For the folks at Gitlab, remote working is not just another perk. It’s a way of life.

The company boasts an 85% employee retention rate and productivity is high too. So what’s their secret?

How Gitlab build and manage effective remote teams 

1. Use handbooks and how-to guides to promote seamless collaboration

Gitlab places a lot of emphasis on documentation and handbooks. One of the downfalls for companies early on in the remote process is often the delays around creating a company hand book. 

Team members need to have a single source of truth to refer to. The contents can include things like device security, home office set up, work chat etiquette, and work culture.

Creating these types of reference documents early is useful. That’s because they provide the groundwork for seamless collaboration within your remote team. 

2. Excel in onboarding to reap the benefits later on

Companies such as Gitlab and Hotjar spend a lot of time onboarding new employees. They make this process as asynchronous and self learning-focused as possible. 

Gitlab says that successful onboarding leads to greater productivity, less stress, and clearer expectations. And the data support this. Companies that invest in onboarding report a 54% increase in productivity.

In Gitlab’s case, they allocate a total of two weeks for this process. They divide the process into technical, organisational, and social onboarding. 

3. Informal communication helps remote colleagues to connect

Informal communication is interaction about anything other than work. In the office, employees can chat around the coffee machine or over lunchtime. While some employees thrive on informal communication, others can find it distracting. 

Gitlab believes that the best way to manage informal communication in remote teams is to make it formal. They do this by implementing what they call ‘community impact outings’. 

These are a meaningful alternative to Zoom happy hours. Giving remote employees a framework to connect with others helps avoid burnout and isolation. It also provides clarity about how and when to communicate.

4. Transparency

Maintaining productivity in remote teams is about trust and company culture. In fact, building a culture of trust is even more important in remote teams than in office-based teams.

Truly valuing your team members means sticking to your core values. Both Gitlab and Hotjar put special value on employees being able to spend quality time with their families. They do this by holding regular family days for their employees. 

Hotjar

Hotjar is a platform for analysing website user behaviour. It was launched in 2012 and, like Gitlab, has been 100% remote since day one. 

Across the tech industry, turnover is at 18.3% globally. At Hotjar, turnover is 14%. So clearly they’re doing something right when it comes to their employees. 

How Hotjar build and manage effective remote teams 

1. Use communication as a way to celebrate success 

For any successful remote team, communication is key. For this reason, regular check-ins and meetings are important to keep remote teams connected and engaged. 

At Hotjar, employees join daily scrum meetings. Every Friday, team members have a remote meeting where they can share their achievements from the week. It’s a pretty nice way to end the week on a high.

2. Constantly reinforce values to promote a positive culture 

In teams that share an office, it’s often the loudest voice in the room, the neighbourhood, or the décor that dictates company culture. 

But in remote teams, company culture needs to be intentional and based on an organisation’s core values. Hotjar showcases its core values on its website as: 

• Respect
• Transparency
• Collaboration
• Direct feedback

It’s one thing identifying these values, but quite another to constantly reinforce them. Hotjar lives these core values by constantly seeking feedback both from clients and employees. Hotjar also implements discretionary bonuses and promotions linked to values.

The folks at Gitlab say:

3. Use perks to empower your employees’ personal growth and wellbeing 

The perks that a company offer its remote employees are a reflection of its core values and company culture. The benefits on offer at these remote companies are more than just pleasant offerings with the aim of attracting new recruits and retaining talent.

Hotjar, for example, is serious about the personal development and empowerment of its remote workforce. Hotjar employees receive:

• €1000 per year for personal growth.
• €200 per month as a wellbeing allowance.
• A Fitbit.
• Plus other benefits (including a twice-yearly retreat).

According to a survey by Gallup, when employee wellbeing is prioritised over productivity, employers actually see an increase in productivity. 

4. Commit to regular team gatherings to build trust and strengthen connections

While Hotjar rewards employees with a retreat, regular team outings don’t need to be so ambitious. They can be as simple and as fun as a virtual quiz or online game. 

These regular get-togethers improve communication, connection, and engagement. In turn, this helps improve remote team cohesion. 

5. Self-learners make great remote employees

Hiring employees on a remote basis means access to a global talent pool. The recruitment process can also be quicker. That’s because there’s no need to make sure everyone is physically in the office at the same time. 

When hiring remotely, it’s a good idea to make sure that potential candidates align with your company core values. Candidates who are suited to remote teams are what Hotjar and Gitlab call ‘a manager of one’. 

Remote employees should be self-learners and appreciate the importance of documentation. Again, once the team member is hired, the importance of the onboarding process mustn’t be underestimated.

6. Build an awesome tech stack for your remote employees 

No remote team building can be successful without the correct tech to support collaboration, communication, and management. 

Tech stacks tend to include projects management tools, data sharing and storing resources, video conferencing and more.

Here’s what Hotjar’s tech stack looks like:

1. HipChat (for internal communication)
2. Basecamp (for company announcements)
3. Trello (for collaboration)
4. Jira (for organisation)
5. GSuite (for collaboration and planning)
6. Hotjar (for user insights and feedback…obviously)
7. 15five (for gathering employee feedback)

Openwage is also a remote-first business

The foundations of Openwage were built during the pandemic, so a remote-first approach was essential. From the very beginning, we embraced remote working and have built our culture around it ever since.  

With strong core values and a compassionate company culture, we’re on a mission to make access to earnings as fair and rewarding as possible. We’ve successfully created remote teams where clarity, transparency, and employee wellbeing are a priority.

And we’re so proud of what we’ve created! Learn more about our awesome team.  

Is it possible to build successful remote teams?

Yes, with commitment and intention, it certainly is possible. Here are some key takeaways:

1. Allow sufficient time for a comprehensive onboarding of remote employees. 
2. Have core company values that are clearly documented and frequently constantly reinforced.
3. Create an intentional company culture – this is an ongoing commitment.
4. Transparency and effective communication are essential. Give equal value to feedback from employees and clients.

What is people analytics and why is it important?

People analytics can provide you with insights into your workforce. Using this data, you can make data-driven decisions that improve your business. But what exactly is people analytics? And why is it important to organisations? 

What is people analytics?

People analytics, also called HR analytics or workforce analytics, is the process of gathering and analysing data about employees. By analysing this HR data, you can identify a particular trend that could highlight a problem or an opportunity in your business. The data will then help you understand what you need to do to solve that particular challenge.

How does people analytics work in practice?

The process starts with a question. For example, you might be asking ‘why is employee turnover so high?’. 

To find the answer, you could gather past data to see if there is a pattern that shows why employees leave. You could also analyse data on employee wellbeing and performance too to give you a more complete picture. 

By analysing the data, you’ll be able to make conclusions about why people leave. Armed with this knowledge, you can make decisions on how to improve aspects of your organisation. This might include the work environment, the onboarding process or perhaps management approach. 

What evidence can be used for people analytics?

The evidence you gather will depend on what you want to find out. Evidence can come from HR records such as:

• Internal data such as annual leave records, salary data, and recruitment information. 
• Specially-collected data like employee surveys.
• External sources such as research studies, training providers, and employee monitoring software.

What is employee monitoring software?

While many have reservations about employee monitoring software, it does have its uses. For instance, employee monitoring software allows you to review email exchanges within your company.

By checking for patterns, you could discover that an employee who has gone unnoticed in the company is quietly supporting others to perform their jobs. That individual is in fact a key influencer in their team.

But you wouldn’t have known this had it not been for the employee monitoring software.

However, using employee monitoring software can be a contentious issue. By law, employers must inform their employees how they are being monitored. Employers mustn’t invade an employee’s privacy and right to family life under Article 8 of the European Convention on Human Rights. 

In any case, unnecessary employee monitoring is counterproductive as it could destroy trust in a company. It could also create a stressful working environment for employees. That’s why it’s important to only gather information that’s of true value to your business. 

Why is people analytics important at an HR team level and at an organisational level?

Data analytics provide evidence of how HR strategies help a business to solve problems and achieve goals. For instance, if a business has a high turnover of employees, then it isn’t operating productively. 

To understand why employee turnover is high, you might ask:

• Are there any patterns in the data that shed light on high turnover?
• Which group of employees is most likely to leave the company within a defined period?
• Is there anything that’s impacting high turnover rates? Are training initiatives or employee wellbeing packages having a positive impact, for example?

People analytics can support effective decision-making

This is possible because HR data is evidence – instead of a person’s opinion (which could be biased). 

Employers may be more likely to take data-driven HR seriously. For instance, if HR analytics and reporting show that a past training programme resulted in financial benefit to the business, then they’re more likely to invest in future training. 

On a team level, people analytics can be used to inform HR strategies to address problems at an organisational level. For example, HR data could identify skills gaps which impacts other aspects of HR including recruitment, training, and mentoring.  

How can people analytics drive business value?

People analytics measure a range of factors to help a business make evidence-based decisions that help improve organisational performance. 

Here are some HR analytics examples and reasons to use people analytics in your organisation:

1. Professional development  

HR CIPD metrics can provide evidence that a particular training course has had a positive impact on business outcomes. Meanwhile the data could show that another training course is ineffective. In this way, HR data analytics can identify training that delivers the best value for money.

Human resources analytics can also identify skills gaps within a workforce as well as skills that may have gone unnoticed but are important to develop.

2. Employee engagement

People analytics can measure employee engagement and identify where improvements need to be made. Employee engagement is multi-faceted. That means that any employee surveys you implement shouldn’t be oversimplified. 

Employees who feel valued, are engaged, and motivated are vital to the success of a business. So if your business only uses people analytics for one thing, then this is a great place to start.

Metrics such as the Utrecht Work Engagement Scale can be an indicator of employee engagement. This is because it breaks engagement down into three scales: vigour, dedication and absorption. This assesses employees’ resilience, energy levels, and passion for their work.

Data must be collected with action in mind. For example, if an employee is disengaged with their work, why is that? And how can the organisation support them better?

3. Employee retention  

Research from Oxford Economics and Unum found that replacing an employee (with a salary of £25,000 per year) costs on average £30,614. Knowing this, it’s not surprising the businesses everywhere are on a drive to reduce turnover. 

When it comes to increasing employee retention, people analytics can offer real value to a business. Using HR data, you may notice a pattern of certain specialists leaving a business. Or perhaps employees in certain teams tend to leave sooner. 

This leads to the question, why? Taking a deep dive into questions like this is much easier when you have data to refer to. 

Perhaps the job doesn’t live up to employees’ expectations in specific teams? Maybe there are too few opportunities for progression within the business? This information could bring about changes in recruitment strategy or a new approach to training opportunities.

4. Fair pay

Fair pay is vital for a business to attract and retain the best talent and to comply with the law. People analytics can shine a light on a problem with fair pay and help craft a solution.

HR data analytics can provide a view of pay levels against nine protected characteristics outlined in the Equality Act 2010. These include disability, gender, and race among many others. 

In addition, pay can be compared between roles across different teams within a business and compared to the pay rates offered by competing organisations. HR analytics can therefore be instrumental in adopting pay transparency. 

5. Greater diversity  

Sometimes employers believe their business is diverse and inclusive. But people analytics can reveal an unconscious bias. 

Characteristics such as age, gender, disability, and race can be cross-referenced against job level, redundancy rates, access to training, and more. This can lead to important revelations that can stimulate positive change within an organisation. 

It’s becoming increasingly recognised that a diverse workforce can strengthen a business. A diverse workforce encompassing unique perspectives can lead to more informed decision-making.

It can also promote alternative ways of thinking. Not to mention new approaches to problem-solving that can significantly benefit a business. 

6. Recruitment

Data drawn from people analytics can also be hugely informative when it comes to recruitment strategies. With quality, talented individuals harder to hire than ever, it’s companies with superior recruitment strategies that are winning the war.  

For example, analytics might reveal that the most successful employees are not those who enter a business with high level technical skills. But those who have particular character attributes. This can lead to a drastic change in recruitment strategy.

7. Workforce planning

Human resources analytics can break down employees’ individual skills providing a bird’s eye view of a company as a whole. This can help if a business needs to identify a specific skill set to adapt to sudden changes in the market or to meet a particular client’s needs. 

Improving your business’s workforce performance 

People analytics can lead to changes in a business to create a more productive workforce. According to a report by McKinsey, people analytics can lead to a 25% rise in business productivity. 

By analysing the data collected through HR metrics and reporting, you could identify that your employee wellbeing package isn’t covering a specific area. This could be mental health or perhaps financial health. 

Openwage is a pay on demand and salary advance provider. It’s a benefit that empowers employees to access a portion of their gross monthly salary as soon as they earn it.

On-demand pay from Openwage doubles as a powerful tool for organisations wanting to promote financial wellness among its employees. Learn more about Openwage and how it can complement your wellbeing package. 

Key takeaways

• People analytics is more than just collecting data. It’s analysing that data to identify and solve workforce problems and help prevent problems in future. 
• Business leaders can make informed evidence-based decisions using people analytics, then take proactive steps to improve business operations.
• Employers should only collect data that will translate into value. Data must be collected with action in mind.

What’s the future of diversity and inclusion in the workplace?

Diversity and inclusion in the workplace can be a bit confusing for organisations and the stakes are high if they get it wrong. We take a look at the future of diversity and inclusion, how it’s likely to evolve in the coming years, and the potential benefits. 

Did you know, the first openly gay pub opened in London in 1912? From the beginning of the 20th Century, immense progress has been made in the area of equality and diversity in society. 

Things took a little longer in the workplace. But there was a key moment in 1920 when the Sex Discrimination Removal Act was passed. This opened up the legal and accountancy profession to women for the first time. 

However, there’s more to consider than gender diversity alone. Diversity and inclusion in the workplace is vital to an organisation in multiple ways and not just from a cultural perspective. Let’s take a closer look.

Diversity in the workplace

When it comes to defining diversity in the workplace, there are numerous forms to consider. These include:

Cultural diversity

Cultural diversity in the workplace is based on ethnicity and the characteristics instilled in us from the society that we’re brought up in. 

Race

Examples of racial diversity include African, Asian, and Caucasian. 

Religion

Religious diversity relates to a workforce made up of those with differing religious beliefs, including those who have none. 

Age

A diverse workplace has a wide range of people of different ages. Think Millennials and Generation Z working side by side. 

Gender and sexual orientation

A diverse work environment has a mix of different genders and sexual orientations. The evolution of our understandings of gender mean that companies must keep up to remain inclusive.

If you’d like to find out more, Gender Spectrum, a US organisation that creates gender sensitive and inclusive environments for young people, has an insightful article about understanding gender. 

Disability

Disability encompasses both physical and mental disabilities. As part of improving diversity in the workplace, companies have to make reasonable adjustments to accommodate an employee with a disability. 

Many of these forms of diversity are actually protected by law. This means that discrimination against any of the protected characteristics is illegal (as this article about discrimination by ACAS explains). 

Emerging diversity

There are also additional types of diversity to consider such as:

• Class/socio-economic background
• Life experience 
• Education
• Personality traits
• Worldview and opinions

These characteristics are harder to identify, or even group. However, if your company intends to fully embrace diversity, equality, and inclusion in the workplace, then they should also form part of your inclusion strategy. 

The benefits of a diverse and inclusive workplace

Whether you’re looking at the future of diversity and inclusion in the workplace, or at diversity in business right now, you’ll find that there are some key benefits. 

The bottom line is that a diverse work environment leads to companies that perform better. If you’re not convinced, take a look at these figures:

• Ethnically-diverse companies are 35% more likely to earn above-average revenue.
• A gender-diverse company is 15% more likely to achieve above-average revenue.
• Balanced teams in terms of gender outperform others in the quality of their work.

Aside from being the right thing to do, this data demonstrates that promoting diversity and inclusion in the workplace brings significant and profitable benefits to the business. 

A diverse workforce has a greater impact

But what about the employees themselves? The reason that diverse businesses outperform others is down to the impact of the workforce. Diversity in business helps promote:

• The feeling of being valued by an employer.
• Feelings of loyalty towards the company.
• Environments where employees work more productively. 
• Greater creativity as people bounce ideas off a wider range of people.

With these benefits in mind, you wouldn’t be alone in thinking that promoting diversity and inclusion in your workplace is a sound strategy. But how should you go about this? 

How can you promote diversity and inclusion in your workplace?

One thing that promoting diversity and inclusion isn’t, is giving certain groups preferential treatment. Promoting diversity and inclusion is about offering equal opportunities to all. This will allow your company to find, hire, and work with the most talented individuals from all walks of life.

Companies that excel in diversity and inclusion 

There are many companies that are doing a great job when it comes to managing diversity and inclusion. However, there are some companies that are totally killing it in this area. Here’s a look at just three companies featured in the Diversity Inc Top 50 Best Companies for Diversity:

Mastercard

This company is a giant in the financial services sector. Mastercard makes regular appearances in the Top 10 of Diversity Inc’s list. From a quick glance, the company’s stance on diversity in business is a positive indication that diversity is fundamental to the way they run their business. Here’s what Mastercard have to say about the topic:

Marriott International 

As a business operating in the hospitality and tourism industry, Marriott International has reaped the rewards of its approach to diversity. This is a business that has previously won awards including the ‘World’s Best Multinational Workplace’.

Back in 2016, this business also won the ‘Best Place to Work for LGBT+ Equality’. This was on the back of the company achieving a perfect score on the HRC Corporate Equality Index. This is an accepted means of measuring diversity and inclusion. It was also one of the top-rated businesses in 2022 by The Human Rights Campaign.

Accenture

Another top 10 business merited for it’s approach to diversity and inclusion is Accenture. This company breaks it down into three key areas:

• Diversity awareness – ensuring that everyone understands the benefits of a diverse organisation.
• Diversity management – equipping managers with the tools to lead a diverse team.
• Professional development – assisting those from minority backgrounds to develop their skills for success.

The future of diversity and inclusion in the workplace

In recent years, companies around the world have made immensely positive steps forward in terms of improving diversity and inclusion. But there’s still a lot of work to be done. Both in terms of changing ingrained attitudes and positively managing diversity and inclusion. 

So what changes does the future hold for diversity and inclusion in the workplace?

Greater openness 

A more diverse work environment will evolve to create greater openness. This will allow more open discussions around sensitive subjects and help eliminate negative stereotypes. 

Challenging unconscious bias

Operating according to bias, whether it’s conscious or not, can harm organisations. When looking at improving diversity in the workplace, it’ll become more important to challenge unconscious bias.

Company commitments 

As companies increase their awareness of the benefits of diversity and inclusion, they’ll up their investment in these areas too. This could be in the form of a more widespread rollout of training for employees. Or recruitment drives that promote diversity more openly. 

A data-driven approach

A more diverse workforce gives companies the opportunity to harness the power of data. Collecting this data, through people analytics, leads to greater insights and facilitates data-driven decisions.

Diversity in leadership

There are ongoing challenges around the number of women holding top positions in organisations. As further progress is made in the areas of diversity and inclusion, the focus of diversity in leadership will extend beyond gender.

Final thoughts

The data surrounding the benefits to organisations of having a diverse and inclusive workplace speak for themselves. As the benefits of a diverse and inclusive workplace become more well-known, the curve of companies embracing diversity and inclusion will see a huge uptick. 

But let’s not forget that diversity and inclusion isn’t simply a strategic aim. Every individual, irrespective of where they’re from, the colour of their skin, to the way they choose to live their lives, deserves equal opportunities in all aspects of life. Not just the workplace.   

How to cope with burnout: symptoms & recovery strategies

Are you wondering how to cope with burnout? A 2021 survey of US workers found that 67% of employees believe workplace burnout has worsened since 2019. The effect of burnout can be devastating. Let’s take a deep-dive into what exactly burnout is, the symptoms of burnout, and some recovery strategies to cope with burnout.

Burnout is unmanageable stress 

The World Health Organisation classifies burnout as a ‘state of vital exhaustion’. It’s chronic workplace stress, which hasn’t been successfully managed. 

Some stress is normal though, right?

Feeling nervous before a presentation or important meeting is understandable. Nerves come and go but chronic stress keeps you awake at night. Coping with stress leads to emotional, physical, and mental exhaustion. If left unchecked, it can lead to burnout.

Clinical burnout manifests in many ways, both physically and mentally. Burnout syndrome can be hard to spot, so it’s worth being aware of the symptoms:

Common signs of stress or burnout

• Racing thoughts or difficulty concentrating on tasks at work.
• Irritability.
• Feeling constantly anxious or worried.
• Lack of self-confidence and feeling overwhelmed.
• Feelings of energy depletion or emotional exhaustion.
• Avoiding things or people you are having problems with – absenteeism from work.
• Eating or drinking more or less than usual.
• Drinking or smoking more or less than usual.
• Not enjoying work anymore. Feeling detached from your job and colleagues.
• Less able to keep to deadlines and loss of productivity.

What can you do if you’re feeling burnt out?

Acknowledging feelings of burnout is a key step. Now you can start to take back control. Here are some steps on how to cope with burn out:

1. Broach the subject of burnout with your HR team or manager

Over 70% of people in the UK have experienced burnout in the last 12 months. That’s according to a study completed in 2021 by THE OUT. So if you’re feeling burnt out, it may be some comfort to know that you’re not alone. 

Companies are well aware of this phenomenon and your HR team is likely to be sympathetic. Ask them or your manager to work with you to find solutions that alleviate the way you’re feeling.

2. Take time off to cope with burnout

Whether you can take two weeks or two days off, make sure you use that time to focus on yourself. 

A Gallup study found that taking short regular trips improved mental and physical wellbeing. Even a three day break improved subjects’ physical complaints, quality of sleep, and mood. That’s according to a separate Gallup study. 

3. Find support outside of work 

If going to your HR team isn’t an option, then seek help elsewhere. You could try reaching out to colleagues or friends. 

You may be surprised at how many of those around you have experienced burnout and recovered. After all, 70% of people in the UK have felt burnt out at some point. 

Another option is to seek professional help. Often simply talking over your options with someone else can give you clarity on what you need to do next.

4. Challenge your thoughts around stress and burnout

Refocusing your mind using mindfulness techniques to challenge your thoughts can be helpful. There’s plenty of information about mindfulness techniques from the NHS as well as an extensive list of wellbeing apps you can try.

Reframing unhelpful thoughts can also be extremely effective. Check out this video created for the NHS’ Every Mind Matters initiative.

5. Exercise can be helpful when coping with burnout

Getting outdoors and breathing in the fresh air is one of the most underrated but powerful activities to promote overall wellness. Taking up a new sport or simply going for short walks during the day is a great way to tackle stress and help cope with feelings of burnout.

6. Set boundaries and know your limits to prevent further burnout

Saying no to projects and tasks that you know will push you to your limit is important, even though it may be tempting to take on the extra work to prove yourself.

Knowing your boundaries and sticking to them is essential, especially if you work from home. Replying to emails or taking calls outside of working hours can really take its toll because you’re not having the downtime that your body and mind need.  

Coping with burnout has long-term effects too

It’s easy to focus on the immediate issues associated with burnout and the challenges it can create for our work lives. But we mustn’t forget that chronic work-related stress has long-term implications on your personal life too.

Burnout can wreak havoc on relationships and family life

Someone who is living with chronic stress, isolation, and disengagement is also likely to experience negative effects on their personal life and relationships. Unfortunately, disengagement at work can translate into irritability and detachment at home.

Frequently feeling under the weather? Coping with burnout affects your health

Someone coping with the kind of stress associated with burnout will be more susceptible to colds and flu as well as longer-term conditions such as diabetes and heart attacks. In 2020, stress-related illnesses cost the NHS over £11 billion.

How can you help a colleague to cope with burnout?

While organisations are becoming more aware of burnout and some are taking positive steps to help prevent it, there’s still much more that needs to be done. 

Employers have a responsibility to create and maintain a healthy culture. But as employees, we can also help each other on a peer-to-peer basis. It’s important to work as a team, one that looks out for each other. That includes spotting the signs of burnout at work.

Three of the main causes of burnout (according to Gallup) are:

• Unfair treatment at work
• An unmanageable workload
• A lack of clarity in job expectations

Reach out to your colleague if you think they are feeling burnt out

Here are some positive steps you can take to help a colleague that could be suffering from burnout:

Create a connection

Taking a moment to ask someone else how they’re doing can make a huge difference. Sometimes that’s all that’s needed for a colleague to confide in someone that they’re feeling burnt out.

Burnout isn’t a personal failure

Often, we see burnout as a sign that we ‘can’t cope’. At the same time, we imagine everyone is coping better than we are. Help your colleague understand how common burnout is and that their feelings have nothing to do with their competence or ability.

Use open questions to find out how you can help

Ask questions rather than steering a colleague towards solutions. Sharing your own experiences of burnout may be helpful. But remember that everyone copes with burnout and stress differently. What helps one person might not help the next. 

Try suggesting talking to a burnout expert (yes they do exist)

The physical and mental exhaustion caused by work burnout can affect an individual’s personal life and it can be difficult for a colleague to separate the two. That’s why speaking to a professional can be helpful in getting to the bottom of the causes of burnout.

Collaborate with your team to find ways to help with burnout

Employers are increasingly understanding the importance of cultivating workplace wellbeing. Help your employer by suggesting strategies or perks that may help. 

This is best done as a collaborative effort from all team members. This will help break the stigma that can surround burnout and it means that you can compile a greater list of ideas to present to your HR team.

Key takeaways:

1. Burnout has increased since the COVID-19 pandemic.
2. Many people suffer with burnout in silence, afraid that they’ll be seen as a failure.
3. We don’t need to put up with chronic stress. It’s not good for anyone. 
4. Chronic stress leads to burnout which negatively affects our personal and professional lives.
5. Burnout has long-term health consequences.
6. It’s possible to prevent and reverse burnout.
7. Encourage your employer to implement ways to manage burnout. 

Advantages and disadvantages of pay transparency

Discussing how much you earn is generally a taboo subject. However, in the employment market the call for more pay transparency is growing. Here we discuss the advantages and disadvantages of pay transparency to help you decide if pay transparency is the right approach for your company.

What are the potential advantages of adopting pay transparency?

In the post-pandemic world, taboos of all sorts are being swept away. Invisible barriers and glass ceilings are starting to crack. Adopting transparency when it comes to pay is certainly one way of ensuring greater diversity and gender equality in the workplace. But there’s more to it than that.

Advantage #1: Help close the gender pay gap

The pay transparency movement is growing around the world. Despite this, the progress achieved through pay transparency may be incremental and slow.

There’s growing evidence that pay transparency is advantageous for the company. A research study conducted in Denmark found the country’s 2006 pay transparency legislation closed the gender pay gap by 13%. 

When employees are treated equally, this improves workplace trust. This has been found to increase productivity by 50%. Closing the gender pay gap promotes a positive image among customers and clients which may result in increased profits for the company.

Advantage #2: Access a wider pool of quality talent

By promoting pay transparency and therefore equality, companies can recruit from a wider pool of candidates.

According to an analysis of job adverts during 2020 by Reed.co.uk, job adverts that show the salary get 43% more applications than those that don’t. When US-based company Buffer implemented pay transparency, their job applications more than doubled.

That’s not all. In today’s candidate-driven market, being able to draw talent from a wider pool is essential. Greater pay transparency attracts more women and candidates from minority backgrounds. This allows employers to cast the net wider when looking for the perfect candidate. 

Advantage #3: Higher productivity

Being transparent about rates of pay has been shown to actually increase productivity. That’s according to a study published by the Academy of Management Journal. When employees know that they’re paid fairly, they not only perform better, there’s also evidence that they’re more effective. 

When marketing analytics company SumAll implemented a policy of pay transparency, they found that awarding employees based on merit increased efficiency. Not only that, but people also felt more able to ask for help and access the right information when needed.

The advantages of pay transparency when it comes to productivity don’t end there. An in-depth study on the effects on productivity of communicating pay to employees found that companies that switched from pay secrecy to pay transparency noted “a large and long-lasting increase in productivity.”

Advantage #4: Transparency builds trust – that’s a positive for retention

Before COVID-19, listing salary information to attract great talent wasn’t necessary. But today, when attracting and retaining quality talent is harder, posting salary information (or not) can really make a difference.  

Social media management platform Buffer is another success story when it comes to the advantages of pay transparency. By increasing workplace wellbeing and cultivating trust, Buffer employees were 110% more likely to stay with their company. As of August 2018, their retention rate was 94%. 

Employees feel more valued and engaged, creating more close-knit and effective teams. Retaining quality talent reduces the high turnover of employees and associated HR costs that can have a damaging effect on a business.

Advantage #5: Streamline your hiring process

Another advantage of pay transparency is that it makes the hiring process easier. 

When the uncertainty of salary negotiation is removed, people can focus on other important things in an interview. That’s not all. Knowing upfront what the salary range is avoids wasting time for both the candidate and the employer. 

Being vague about the salary in job adverts can be problematic. Being specific about what you’re looking for is often more effective and that includes how much salary the company is willing to pay.

The benefits of pay transparency aren’t black and white

There are advantages and disadvantages of pay transparency and it’s important to look at both sides of this complex HR question. Let’s take a closer look.

What are the potential disadvantages of adopting pay transparency?

Despite changing attitudes when it comes to pay transparency, only 12.6% of companies around the world actually practice it. So what are the disadvantages of pay transparency?

Disadvantage #1: It could spread employee resentment

Some employers worry that if everyone knows each other’s salaries, then it could create resentment among employees. 

This is because employees may make false comparisons without having all the information. That’s what our brain is trained to do. We fill in the gaps if we don’t have the information.

Here are some of the areas that employees are unlikely to have complete information on:

• Higher earners may have a particular skill set in a much-needed area that the organisation values highly.
• Since interviews are private, nobody else besides those present is aware of the arguments put forward by the employee for a higher salary. 
• Unless everyone in the business has access to everyone else’s CV and information on each other’s professional background, there’ll always be a chance of misunderstanding why some employees’ salaries are higher or lower than others.

Disadvantage #2: You may end up paying unnecessarily higher salaries

One of the biggest fears when considering the disadvantages of pay transparency is that it could lead to overpaying employees. 

With pay transparency, candidates might demand employers pay them the same amount as the next person. Regardless of the fact that they don’t have the same skill set. Staffing costs could rocket, and that’s not great for business. 

Disadvantage #3: You might not catch those ‘purple squirrels’

Purple squirrels are what is known in the HR world as the perfect candidate. When you find that perfect fit, you may want to offer them a higher salary to secure them.  

However, doing this could create resentment among other employees where pay transparency is the company policy. So you don’t. The risk is that the perfect candidate may go elsewhere. 

From this example, it’s possible that pay transparency could limit employers’ ability to hire the right people. This in turn could lead to a talent drain.

Disadvantage #4: Employees may have privacy concerns

Another potential disadvantage of pay transparency is privacy. 

Making personal data in the form of employees’ salaries publicly available could cause problems for companies in the future. Ultimately, an employee could have a case for suing their company for sharing private information about their salary. 

This risk could be navigated by companies by giving an average salary for each position as opposed to exact salaries of each person. But it’s still a concern worth mentioning.

Disadvantage #5: The work environment could suffer

Morale and engagement are key to productivity and performance. But adopting a policy of pay transparency, where everyone knows each other’s salary, could lead to some employees feeling underpaid and undervalued. 

Those who earn less than someone else may feel unfairly treated. This could negatively affect engagement with colleagues and work in general.

A culture of unhealthy comparison

On the flip side, higher-qualified candidates may feel less valued. This is because employers wouldn’t be able to offer them a higher pay bracket that reflects their superior experience or seniority. 

With pay being a key driver for retention, this type of situation could lead to quality talent actually leaving the company. If an employee’s individual performance isn’t sufficiently rewarded, it’s tempting to go elsewhere.

HR teams work hard to boost employee engagement. So with this in mind, pay transparency policies are often approached with caution.  

Is pay transparency right for your organisation?

Taking into consideration the advantages and disadvantages of pay transparency, we can see that it’s not entirely straightforward. 

Many believe that pay transparency will only be workable with some form of government regulation. In Germany, for example, it’s a legal requirement to disclose pay information in the form of salary bands. This allows companies to keep individual pay levels confidential while still being transparent. 

Here in the UK, the Government recently launched a pilot scheme aimed at improving pay transparency. It’ll be interesting to see the results of this scheme and whether this becomes a pivotal moment in HR history. 

Over 50% of HR professionals identify pay transparency as one of the key trends that will shape recruitment in the future. With this in mind, together with the fact that this is clearly a controversial topic, it’s certainly possible that sooner or later all companies will have to address it.

Key takeaways on the advantages and disadvantages of pay transparency

• This is going to be a hot topic for years to come.
• Pay transparency can reward companies with higher productivity, better workplace wellbeing, and increased trust.
• Potential downsides to pay transparency include harm to the workplace culture, hiring challenges, and unnecessarily higher staffing costs.

Job interview tips for recruiters: Make hiring decisions a cinch

As a recruiter, one of the key aspects of your role is interviewing candidates for jobs. Selecting the right person for the role can sometimes feel like finding a needle in a haystack. So whether you’re new to hiring or a seasoned recruiter, here are our top interview tips for recruiters to help identify the best candidate. 

Today’s job market is a candidate’s playground

Between October and December 2021 the number of job vacancies rose to a new record of 1,247,000 according to the Office of National Statistics. For recruiters, this means candidates can be highly selective about the roles that they take on.

To put your company and the role you’re hiring for in the best possible light, there’s a wealth of opportunity in the interview process itself. The added bonus is these job interview tips for recruiters will help you secure the very best talent. 

Why great interviews matter

When it comes to job interview tips for recruiters, it’s important to remember what the interview process is all about. You and your company need to find the ideal candidate in a pool of people with varying levels of skills and abilities. 

Of course, you won’t be hiring every person that you interview, but there’s good reason to put in the maximum effort every time. You can’t make a first impression twice, after all.

Candidates are assessing you and your company

With the great resignation still in full flow, some 32% of UK employees are considering leaving their jobs over the next 12 months. Attracting, and hiring, talent has become much harder, meaning that the interview process is more important than ever. 

Just as you’re looking at all that a candidate is beyond their CV, you need to showcase your company and demonstrate how it’s the best place to work. You need to impress the candidate as much as they need to impress you.

That’s why approaching an interview as a two-way process is vital so that you can both assess whether you’re a good fit. 

Job interview tip 1: Preparation, preparation, preparation

When looking at how to start an interview as a recruiter or interviewer, it’s a must to be fully prepared. This will allow the interview to flow, highlight to the candidate your level of professionalism, and make them feel valued – something you shouldn’t overlook. 

Having a plan also facilitates the purpose of an interview; it allows you to glean all of the information that you need and to assess whether a candidate is a good fit. 

How you can prepare to interview a candidate

• Re-read the candidates’ CV
• Highlight specific points from the CV that you want to visit 
• Ensure that you have questions prepared (Indeed has a good list to consider)
• Be clear about what the job description includes so that you understand the skills and abilities that you’re trying to identify in the candidate

HR teams are under immense pressure, with so many functions to carry out and not enough time to do them all. Sometimes this means recruitment processes are rushed. 

It’s important to convey to your company that the preparation time that you need is as vital as the interview itself. Without this you’re likely to miss key points and, if your lack of preparedness is noticeable, it could make the candidate more likely to explore other opportunities. 

Job interview tip 2: Be authentic to build trust and rapport

One of the most important job interview tips for recruiters is always to remember that one of the candidates will ultimately become your co-worker. For this reason, you need to think about how you come across and how you make candidates feel.

With research finding that between 60 and 90% of communication is non-verbal, body language is incredibly important when making a good impression. Striking the right pose will help you develop trust and rapport with the candidate.

Being self-aware and working on any bad habits in your body language is a great investment of your time from a personal development perspective too.

Relaxed candidates give better interviews

Putting candidates at ease will help them to perform at their best and allow you to glean more information from them.

Combining the right body language with warm and welcoming language will help you to be authentic. This attribute will give the candidate you’re interviewing a positive impression in terms of your company and its culture.

If you’re authentic, the logical thought process is that this is how the company is as a whole. 

Job interview tip 3: Dig deep and get to know the candidate 

We’ve already covered the need to conduct a job interview with it in mind that it’s a two-way process. Both you and the candidate should be engaged and conversing naturally. Use the time that you have with the candidate to get to know them. 

A good interview tip for recruiters to remember is the importance of encouraging conversation about the candidate as a person, as opposed to simply a role or job title. By doing so, you’re showing that your company cares about who it hires.

Demonstrating a genuine interest in candidates’ hobbies and passions outside of work will go a long way.

It’s not all about you

Don’t forget to give your candidates the opportunity to talk about what they want to. Be sure to allow time for them to ask questions and, as part of your preparation, be in the position to answer the most common ones. You may be asked about:

• Your company’s growth plans
• Chances for development
• Promotion opportunities
• Your benefits package

Job interview tip 4: The early bird catches the worm 

Do you remember the last time you applied for a job? Do you remember how it felt while you were waiting to find out if you had been successful? No doubt you wanted to know as soon as possible.

Understanding these feelings yourself, it’s important not to leave a candidate hanging on. If you want them to feel valued, be sure to follow up when you say you will. This shows your candidate that you respect them and their time.

Radio silence can send your candidates packing

The average waiting time from interview to decision is a whopping 38 days according to a recruiting benchmarking report from 2019. That seems like an awful long time even if internal decisions can take a while.

Keeping candidates informed can help alleviate this. Bear in mind that the longer a candidate is left waiting, the greater the chance of losing them to another company. 

Job interview tip 5: Not everyone loves a task 

A fairly recent addition to interviews is ‘the task’ – a piece of work or project that a company asks a candidate to do either before, during or after an interview. This approach may be more prominent in certain disciplines or even sectors, but it’s definitely on the rise judging by the volume of posts on LinkedIn about it. 

What these tasks and assignments essentially add up to is free work. Given the time that a candidate has already committed to applying for the job and preparing for an interview, it’s unfair to ask them to then undertake more work, especially since it’s unpaid.

Of course it’s tempting to ask a candidate to demonstrate their abilities during the interview. This can be great for you, but consider that candidates may find this quite stressful and it may not give you a true reflection of their capabilities. 

De-risking hiring decisions  

All hiring decisions involve a degree of risk. Recruiters and interviewers may never be 100% sure 100% of the time they’re hiring the best candidate for the job. 

But you can help mitigate this risk by considering the job interview tips listed above to help you select the best person for the job. Your role in recruitment and interviewing puts you in a unique position because your interviewing capability allows you to shape the future of your company.

Now if that’s not a great opportunity, what is? 

What is salary sacrifice and how does it stack up?

Salary sacrifice can bring financial benefits for employees, but there are also pitfalls to be aware of. Join us to find out what exactly salary sacrifice is and how it works. Arm yourself with the knowledge so that you can decide whether these schemes stack up for you financially. 

What is salary sacrifice?

A salary sacrifice scheme is when you agree with your employer that you’ll give up (sacrifice) some of your salary in return for a non-cash benefit. 

You might, for example, give up a portion of your salary to boost your pension or in return for another benefit. This could be a car, a bike or additional annual leave.

Salary sacrifice schemes can be a way to make tax and National Insurance savings. This is because, depending on the scheme, you may not have to pay tax or National Insurance on the portion of your pay you have sacrificed. 

However, this means your take-home pay will be lower, and this can have other impacts on your life. For instance, if you want to buy a house, then it could affect the size of the mortgage you can take out. 

Let’s explore how these schemes work and cover the advantages and disadvantages so you can decide whether they’re right for you.

How does salary sacrifice work?

Not every employer offers a salary sacrifice scheme. You need to check whether your employer has a scheme and, if so, what type of scheme they offer.

When you enter into a salary sacrifice scheme, you’ll sign an agreement with your employer. You’ll agree how much of your salary you will give up in return for a certain benefit. The payments you make will depend on your employer’s terms and the benefit offered.

Example salary sacrifice scheme

Say for example you receive a £3,000 bonus (lucky you!) Normally this would be subject to income tax and National Insurance. But, you decide to sacrifice the whole of your bonus and in return your employer pays it into your pension fund. 

Since your bonus is now invested in a pension fund, you don’t have to pay income tax or National Insurance on the money. This means you receive the entire amount. 

How will salary sacrifice appear on your payslip?

Your payslip will show a reduction in your gross pay. However, if it’s not clear what the deduction is for, then it’s worth talking to your Payroll or Human Resources team to check if your pay is correct.

What are the benefits of salary sacrifice schemes?

Some schemes save you tax and National Insurance. 

You don’t pay tax or National insurance on the following schemes:

• Pensions
• Bicycles
• Some low-emission vehicles
• Childcare provided by the employer
• Specific intangible benefits like buying more annual leave
• Outplacement services and retraining courses

All other salary sacrifice schemes are subject to National Insurance and tax. From 6^th April 2022 this will include accommodation, company cars (except those above) and school fees. 

Salary sacrifice and pensions

Pensions are the most common salary sacrifice schemes. You agree to sacrifice a portion of your salary which your employer then pays into your workplace pension, along with the contribution they would normally make.

Since your salary is reduced, both you and your employer will pay less National Insurance. This means that your take-home pay may be higher. 

On top of this, your employer might pay some or part of the money they have saved into your pension to boost their contribution. But they don’t have to do this.

While a pension salary sacrifice scheme may sound like a no-brainer, there are some disadvantages to be aware of. 

What are the disadvantages of salary sacrifice?

Before going ahead, it’s important to weigh up the pros and cons based on your individual circumstances. For example, taking a lower salary could affect your other entitlements as an employee, such as:

Life insurance cover

If you’re receiving life insurance from your employer and the cover is calculated based on your salary, speak to your employer before entering into a salary sacrifice agreement. By reducing your salary, you may receive less life cover.

Other benefits linked to salary

Other benefits you receive from your employer may decrease with your salary such as sick pay, overtime pay, and redundancy payments. Bonuses and pension benefits may also be affected.

Pension contribution refunds

If you’re making salary sacrifice contributions into a defined benefit pension scheme, then it’s important to know where you stand if you leave the company you’re with. MoneyHelper’s pension salary sacrifice webpage is a good place to find detailed information to help you decide whether you’ll be better off agreeing to a pension salary sacrifice scheme.

Loan eligibility

Receiving a lower salary could affect your eligibility for any loans that take into account your income, such as a mortgage.

Access to state benefits

Your entitlement to state benefits such as statutory maternity pay (see below) and paternity pay may be affected. At the time of writing, you’re not legally allowed to enter into a salary sacrifice agreement if it will take your income below the national minimum wage.

Impact of salary sacrifice on maternity pay

Statutory Maternity Pay (SMP) is based on average earnings over a period of 8 weeks or more before the end of the qualifying week. Salary sacrifice payments reduce your salary which could adversely affect the amount of SNP you are entitled to claim. It’s best to check online through sites like Gov.uk or get professional advice if you need help. 

So, is salary sacrifice worth it?

Although salary sacrifice can provide benefits for employees, it may not be suitable for everyone. Ask your employer for information about how their scheme works and whether it will affect your pension and/or other benefits. Your employer can also calculate how salary sacrifice payments will impact your monthly earnings.

Once you understand the scheme your employer is offering, you can weigh up the information and decide whether it’s right for you.

Unlock payday with Openwage 

Managing our finances can be tricky. That’s why we built a solution that empowers employees to access their earnings before their usual payday. We call it on-demand pay.  

With on-demand pay, you have more control over your finances because you don’t have to wait until payday to get your salary. Learn more about Openwage

The information in this article is for general information only. It does not constitute professional advice from Openwage. Openwage is not a financial adviser. You should consider seeking independent legal, financial, taxation or other advice to check how the information in this document relates to your unique circumstances.

How to boost productivity in remote teams

In the post-pandemic world, working from home is the new reality for millions. One of the major challenges associated with this shift is how to boost productivity in remote teams. However, remote working can actually boost productivity by 77%. Let’s cover some of the key strategies you can adopt to boost productivity in your remote teams.

COVID-19 opened the floodgates for working from home

Working from home is where 86% of employees say they’re most productive. Perhaps this is because there’s no hub-bub of office noise, water cooler chit chat, or constant interruptions from colleagues who happen to be passing.

It may also be because overall we feel most comfortable at home, free of the constraints and stress associated with getting to and performing in an office environment.

Key pillars for boosting productivity in remote teams 

Management style is crucial, especially when we know that 79% of employees quit their jobs due to lack of appreciation from leaders. It’s essential that managers align their leadership style with the new hybrid work reality to maximise productivity in remote teams. 

1. Engagement drives higher productivity 

Teams that are highly-engaged result in a 21% increase in business productivity. But how can you build engagement into your remote team?

Video conferencing is a great tool to facilitate daily check-in calls. Whether it’s Google Meet, Microsoft Teams or Zoom, face-to-face interaction is essential and will help remote employees feel part of the wider team.

Daily interaction will also help ward off feelings of isolation, which can be a real issue for some home-workers. 

2. Collaboration improves job satisfaction

Collaboration with others is critical to creativity and building strong team relationships. It’s no wonder that 70% of workers said that collaboration with others increased their job satisfaction (WeWork, 2018). 

Luckily, there’s no shortage of excellent collaboration tools these days. If you’re in the market for something new, check out this list of the top collaboration tools. Organising tasks, tracking progress, and getting everyone involved in the right projects can really help towards maintaining high levels of productivity.

3. Clear goals and deadlines will focus remote teams

When employees are clear about what’s expected of them, and are given the autonomy to deliver, then you have the foundations of a high-performing team.

Make sure all goals, objectives, and expectations are crystal clear and reasonable. Having these documented clearly means everyone has something to reference. Be sure to check-in with remote employees regularly to see how they’re getting on and monitor for signs of burnout.  

4. Foster productivity with access to the right resources

Shared access to files is essential to ensure that remote teams stay connected and can deliver their work. However, businesses need to pay extra close attention to cyber security measures. 

As well as network access, there are many excellent file sharing tools to help boost productivity such as Dropbox, Google Drive, and other cloud-storage tools.

5. Managers may not be visible but they must be accessible

An open-door policy is much harder to maintain when teams are working remotely. Employees in the office can see when others are away from their desk or in meetings all day. But remote employees don’t have that advantage. 

It’s easy for remote employees to think they’re disturbing their manager when contacting them outside of meetings. So be sure that employees know they can contact their manager anytime, but they may not be able to respond immediately. Encouraging open discussions, feedback and questions are keys ways to give remote employees the information they need to do their work. 

6. Build a culture of trust to support engagement 

Research by the UK charity working families found that trust is essential for performance and productivity at work. How does this apply to remote teams? 

• Approach decision-making inclusively. Decisions that everyone feels part of are more likely to be honoured and help your employees feel empowered. Video calls allow everyone to have a voice. 
• Apply flexibility and empathy when it comes to personal requests. Working from home has its benefits, but it also comes with challenges too. 
• Give your employees autonomy. Nothing screams ‘I don’t trust you’ louder than micro-managing. Trust your employees to manage their workload.  
• Commit to transparency. Lead by example, and your team will most likely mirror your behaviour. Share updates with all of your team as soon as you can, and share recordings of meetings if team members can’t be there. 

7. Workplace wellbeing helps avoid burnout

A scientific study from 2015 found that our environment has a direct impact on our wellbeing. While employees’ working environments aren’t under your control when they work from home, it’s vital to support and promote their wellbeing in other ways. 

Having a dedicated workspace, ensuring employees take regular breaks, and using strategies to prevent employees from feeling isolated are all ways to help boost wellbeing among remote workers. It’s also essential to set boundaries and have structured work hours so that the distinction between work and home life remains clear.

8. Wellbeing-focused perks  

Research shows that an impressive 60% of businesses say that offering health and wellbeing benefits boosts productivity among their teams. As early as 2019, one of the most valued perks was flexible working, but there are countless other perks you can add to your benefits package to encourage workplace wellbeing and maximise productivity.

Help alleviate financial stress that drains employee productivity

A whopping 94% of UK employees worry about money (Close Brothers’ Financial Wellbeing Index 2019).

Importantly, employers are now recognising that financial stress negatively affects productivity at work. 

A financial wellbeing solution such as Openwage can greatly enhance your existing benefits package and can be quickly integrated into your workforce at no extra cost to you. 

Openwage unlocks employee pay that they’ve earned but not yet been paid. It’s a way of giving employees more control over their finances and releasing them from the stress of rigid pay cycles. It’s not a loan and it’s free for employers. 

If you’re interested in finding out more about our financial wellbeing platform, then get in touch today.

Key takeaways:

• Successful management strategies increase wellbeing and engagement, and build trust which are all critical to higher levels of productivity. 
• Choosing the right technological tools for your team and your organisation will help your remote teams be more productive. 
• Giving your remote employees autonomy allows them to manage their workload in a way that is conducive to their working style. 
• Great perks and benefits packages are a key part of ensuring your remote employees feel valued and stay connected.