Homelessness is a serious issue in the UK with 271,000 people recorded as homeless in England at the start of 2023.

As the cost of living crisis rumbles on this number is only expected to rise, following an increase since 2021.

This means that employers could potentially be faced with an employee at risk of homelessness.

Homeless charity Crisis recently launched a new initiative called The Homelessness Covenant, in partnership with the government, to try and address the problem.

Household names including Monzo, Pret a Manger and Thames Water have signed up to play their part in helping reduce the homelessness epidemic.

A vicious cycle

The Homelessness Covenant will encourage employers to help employees who are living in temporary accommodation or sofa surfing.

Supported by the Department for Work and Pensions (DWP) and the Department for Levelling Up, Housing and Communities (DLUHC), it calls on employers to use fundraising, partnerships and volunteering to reduce and try to end homelessness in local communities.

The number of people in temporary accommodation is at a 25-year high, with 104,510 households living this way.

Crisis found that over half of employers only consider people who are sleeping rough as homeless, whereas those who are sofa surfing or living in temporary accommodation should also be held in the same bracket.

Whenever anyone is or becomes homeless it has an immense impact on their mental and physical health. This impacts every area of their life, including work.

Completing the most menial tasks, such as eating, sleeping, and maintaining personal hygiene, becomes a struggle when battling housing insecurity, which further impacts their capability and confidence.

Whenever anyone is or becomes homeless it has an immense impact on their mental and physical health. This impacts every area of their life, including work

Fulfilling employer duty of care

This is an issue that employers need to take seriously. Employers have a duty of care for their employees, therefore reasonable steps must be taken to protect employees during times of hardship.

Managers should ensure that they are making themselves visible and approachable, so employees have a port of call at the times they need support – don’t just be the person paying the wage!

Having competent communication with the team and monitoring any changes in behaviour, such as lateness or cleanliness, can be an indication of increased stress levels.

If the business boasts facilities such as showers and laundry amenities, then offering this to the employee at their discretion can help alleviate anxiety.

Where possible, offering enhanced incentives such as discounts and financial education can be a massive help when someone is trying to get back onto their feet.

Flexibility and social safety

During this time of uncertainty, it is likely the employee will have more appointments to attend than usual, so try to be flexible with working hours or give them paid time off to attend the appointments.

All businesses should already have an Employee Assistance Programme (EAP) in place to help employees in situations such as this one.

As the number of employees facing uncertain times skyrockets, having a dedicated clause that refers to homelessness will aid both parties massively, and a robust policy designed to protect employee wellbeing can provide a social safety net at a time of great uncertainty.

Being able to demonstrate financial stability is key to obtaining housing, so ensure that employees get payslips and are able to demonstrate their income.

Managers should ensure that they are making themselves visible and approachable, so employees have a port of call at the times they need support – don’t just be the person paying the wage!

Proactive and subtle support: every little helps

Ensuring that all employees are paid a fair wage and properly compensated for their work helps to alleviate some of the financial strain. In tough economic times, many businesses are not able to offer pay raises, but this is another way to support employees, if viable.

Landlords typically require character references to get a comprehensive view of the person they are allowing to live in their home – as an employer you should know your employees well enough to provide this if required.

Although there are many proactive ways in which employers can lend a helping hand to employees facing hardship there are other less obvious ways in which employers can help.

Being approachable and someone employees can talk to or confide in will go a long way to ensuring employees feel appreciated, and confident in you as a boss.

Eliminating the fear of judgement

It’s important to embed this culture across the business and throughout your team. Create a workplace where everyone feels comfortable and able to talk freely without judgement and you’ll find it a lot easier to know if any of your employees are struggling.

The fear of judgement can stop many employees from speaking up due to the fear of losing their jobs or being isolated from their peers. If everyone within the company adopts the attitude of looking out for each other, then not only will this boost team morale but will also help anyone who falls on hard times.

Employment and progression are integral to ending the homelessness epidemic. If employers educate themselves on the matter and how business plays a part, then employees will feel protected and cared for.

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