Softworld preview: Transforming HR to support the future needs of the business strategy
PA Consulting Group experts will discuss how organizations can transform HR from transaction-focused operations to strategic business partners. The presentation covers HR transformation challenges, practical case studies, and six key elements needed for successful HR function restructuring.
EO scout for mentors
The Employers’ Organisation for local government is recruiting senior managers as mentors for the National Graduate Development Programme, a scheme launched in 2002 to develop high-quality graduates for senior local government roles. Mentors provide business-focused support and help trainees plan their post-programme careers.
PCS attack government over public sector pensions
The Public and Commercial Services union has criticized the government’s plan to raise the public sector pension age from 60 to 65, accusing it of refusing to negotiate and denying real choices in accessing public services through proposed job losses and office closures.
Case Study: Ford revs up staff development with e-learning
Ford Motor Company deployed an e-learning portfolio with 100 online courses through Thomson NETg to standardize staff development across 225,000 dealership employees. The scalable solution addresses training gaps in sales, service, finance, and parts operations while allowing dealers to access content through the FMCDealer.com portal.
Public sector culture drives talent away
Excessive bureaucracy and performance metrics in the public sector are driving talent away, with 66% of employees citing internal procedures that deter applicants. The culture of benchmarking and rigid targets stifles creativity, limiting employees’ freedom to express ideas or disagree with leadership.
Graduates hit the salary jackpot
Starting salaries for UK graduates are predicted to rise 4.8% to an average of £22,000 in 2005, marking the largest increase in five years. Job openings are also expected to surge 14.5% after two years of decline, giving graduates more employment opportunities.
Employees value on-the-job training above all else
A new study reveals that 90% of employees learn skills on the job, with over half rating hands-on learning as more effective than formal training courses. Supportive managers who provide coaching and mentoring are key to improving employee performance and productivity.
Blair rules out increase in top tax rate
Prime Minister Tony Blair ruled out increasing the top income tax rate, rejecting calls from some Labour MPs and Liberal Democrats for a 50% rate on high earners. Blair argued the government’s existing policies on child poverty and pensions represented significant progress, while Conservatives criticized the lack of clarity on funding Labour’s spending plans.
CBI spread fear of ‘redundancy’ reform
The CBI opposes EU proposals that would restrict redundancies to cases of company bankruptcy, warning the reforms would damage business competitiveness and job creation. The employers’ organisation argues that flexible labour markets, not restrictive legislation, drive genuine job security and economic growth.
HR must act to meet OFR
HR professionals at quoted companies must prioritize the new Operating and Financial Review (OFR) requirement, which mandates forward-looking business analysis including people management metrics. Watson Wyatt warns that HR teams need to develop robust KPIs linking human capital management to business value, moving beyond basic workforce data to meet stakeholder expectations.
Business snubs equal pay audits
Most businesses reject equal pay audits, with 62% believing their pay systems are already non-discriminatory. However, experts warn that failing to conduct audits risks overlooking hidden pay bias and damaging employee trust and retention.
Managers face ‘knowledge gap’ on bullying
A UK survey reveals most managers lack knowledge about bullying policies and procedures in their workplaces, with only 17% viewing bullying as a key issue. Two-thirds of managers have received no official training on handling bullying incidents, though most believe their company resources are adequate.
Feature: Childcare vouchers and salary sacrifice explained
Childcare vouchers allow working parents to save on childcare costs through salary sacrifice arrangements with employers. Employees can receive up to £50 weekly tax-free, saving up to £850-£1,000 annually depending on tax status, while using vouchers at registered childcare providers including nurseries, childminders, and pre-school playgroups.
SMEs battle with HR red tape
Small and medium-sized businesses spend an average of ten hours weekly on HR red tape, with over 90% struggling under the burden of employment law compliance. A Peninsula employment law survey found that HR obligations are the biggest concern for 67% of SMEs, while 93% feel overwhelmed by the quantity and variety of regulations.
Payroll Tip: Holiday pay for shift workers
Holiday pay for shift workers must be calculated based on their average earnings over the previous 12 weeks, not their basic hourly rate. This accounts for premium rates paid for different shift times, using average hours worked multiplied by average hourly rate during normal working hours.
Opinion: Exploding the myths of outsourcing
Outsourcing myths suggest it’s only for large companies during economic downturns, but businesses of all sizes can benefit regardless of conditions. HR outsourcing helps SMEs access robust services, reduce costs, and improve compliance while freeing resources for core competencies.
‘Cash bonus planning’: Draft regulations published
Draft regulations have been published to stop tax avoidance schemes involving employment-related securities, effective December 2, 2004. The Inland Revenue says these “cash bonus planning” schemes are increasingly complex and widespread, particularly in the financial sector. The new legislation extends definitions of securities and tightens related rules.
Review: Managing change across corporate cultures
Trompenaars and Prud’homme examine why corporate culture change initiatives often fail, proposing that success requires addressing both hard business issues and soft human elements simultaneously. Using case studies of major corporations, the authors outline four types of corporate cultures and their strengths and weaknesses across international business environments.
Feature: HRZone talks ‘pensions’ with Legal and General
Legal and General’s Pensions Strategy Director Adrian Boulding discusses the UK’s £57 billion annual pensions shortfall, caused by increased life expectancy and stock market decline. He explains how HR professionals can help educate workers about saving adequately for retirement using strategies like his rule of thumb for contribution rates.
Cupid’s arrow hits UK plc
Workplace romance is increasingly common in UK offices, with nearly eight in ten employees admitting to having had a workplace relationship and 65% meeting their partner at work, according to an employment law firm survey. However, experts warn that such relationships require careful handling to avoid workplace disruption and potential legal complications.
