News: Pay and promotion not based on merit, believe UK staff
Two-thirds of UK employees doubt that pay and promotion are merit-based, according to a Towers Watson survey of 2,628 workers. The study found that 66% see no clear link between performance and pay, while only 32% believe their employer promotes the most qualified staff, leaving many feeling stuck in their roles.
Blog: Debunking 5 employee performance myths
Discover the truth about employee performance management. This article debunks five common myths, from the ineffectiveness of mission statements alone to the importance of translating company vision into individual performance goals and acting on employee engagement survey results.
News: Diamond to receive £2m payoff
Bob Diamond will receive a £2 million payoff following his resignation as Barclays chief executive, though he has forfeited bonuses worth up to £20 million amid the bank’s rate-rigging scandal. The payment equals roughly a year’s salary and pension contributions, approximately double his contractual entitlement.
Blog: Fact – Improve management practice by 1% or hire 25% more staff
Research shows that improving management practices by just one point is worth as much as hiring 25% more staff or increasing capital investment by 65%. The key isn’t knowing what good management looks like—it’s actually implementing performance planning, coaching, and evaluation consistently.
News: Land Securities proposes bonus clawback scheme
Land Securities proposes introducing a bonus clawback scheme for executives, allowing the company to recover bonuses and share awards if company results are misstated or performance conditions aren’t met. The commercial property firm’s wide-ranging proposals aim to shift compensation away from discretionary payments toward longer-term shareholder returns, with shareholders voting on the changes in July 2012.
News: Greater reliance on army reservists ‘could lead to more tribunal cases’
Doubling the size of the army reserves to offset 20,000 job cuts could trigger more employment tribunal cases unless employers better understand reservist rights and protections. Philip Henson, an employment law expert, warns that many businesses lack knowledge of the Reserve Forces Act and related legislation governing reservist employment and mobilization procedures.
Blog: How to boost employee engagement
Boost employee engagement by focusing on recognition, organizational reputation, and performance management. Aon Hewitt research shows that positive reinforcement, employer branding, and clear performance objectives are key drivers that increase employee motivation to go above and beyond.
Case Study: Medtronic introduces global well-being scheme to cut absenteeism
Medtronic launched a global well-being programme to help employees address health issues like obesity, stress, and smoking while reducing absenteeism. The initiative uses confidential health assessments and personalized coaching to identify high-risk individuals, with early results showing significant improvements including a 15% reduction in smoking rates.
News: London bus workers set two pre-Olympic strike dates
London bus workers have scheduled two strike dates—July 5 and July 24—demanding £500 Olympic bonuses, disrupting at least 40 routes during morning rush hour. The action comes as rail and tube workers have already secured similar payments, while bus companies and the union remain in dispute over compensation.
News: HR salaries rise at nearly twice the national average
HR salaries grew at nearly twice the national average in 2012, with HR business partners in commercial roles seeing the most significant increases. The Robert Walters survey found permanent UK HR staff wages rose 2.6% year-on-year, far outpacing the 1.5% average across other industries.
News: Northumbrian Water wins award for health and well-being initiative
Northumbrian Water has won the Business in the Community Workwell Award for its health and well-being initiatives, which reduced sickness absence rates by 3.1% and cut musculoskeletal disorder absences by 40%. The company introduced RehabWorks and NWLsupport schemes to provide employees with early access to physiotherapy and confidential counselling services.
Are you being paid what you’re worth?
Discover whether you’re earning fair market value with these five benchmarking strategies: job alerts, recruiter consultations, salary surveys, reward professional networks, and technology tools. Compare your total compensation package against similar roles to gain clarity on your earning potential.
Equal pay tribunals could lead to near £20k of audit and legal costs
Companies losing equal pay tribunal claims face mandatory wage audits costing around £12,800 plus legal fees averaging £6,556, totaling nearly £20,000. The new rules aim to deter gender pay discrimination by requiring employers to examine all staff salaries after tribunal losses.
Fancy a reward-ing career?
Reward professionals face strong long-term demand despite economic challenges, requiring compensation expertise, benefits knowledge, and strong analytical skills. Career progression requires demonstrating business acumen and adaptability beyond narrow technical focus.
Blog: The employee impact of a recognition desert – survey
A Globoforce survey reveals that 86% of employees want workplace recognition, yet 46% feel unsatisfied with what they receive. The study shows frequent recognition significantly impacts manager effectiveness and employee engagement, with 41% receiving no recognition in six months.
News: Hospital staff stick two fingers up to Kit Kat reward
Torbay Hospital faced backlash after rewarding staff with 60p Kit Kat vouchers for winning a prestigious NHS award, while managers who attended the ceremony received a meal. Union representatives reported dozens of complaints about what workers called an insensitive token of appreciation.
A typical HRD: Part 3 – Small-to-medium enterprises
HR directors in small-to-medium enterprises typically possess entrepreneurial mindsets and self-sufficiency, handling diverse responsibilities from talent management to strategic planning without specialist support. The SME sector increasingly attracts ambitious HR professionals seeking greater autonomy and direct business impact, though career advancement often requires eventual transition to larger organizations.
News: M&S staff up in arms as bonuses cut by two thirds
Marks & Spencer staff are furious after bonuses were slashed by up to two thirds due to falling profits, while Dutch chief executive Marc Bolland remains in line for over £4 million in pay and perks. Full-time employees’ maximum bonus dropped from £350 to £100, sparking angry staff meetings about what workers describe as shabby treatment.
News: Half of pubic sector workers got zilch in April pay settlement
Over half of public sector workers received zero pay increases in April 2012 pay settlements, according to XpertHR data covering 29 reviews. This contrasts sharply with the private sector, where only 15.1% of deals resulted in no wage rises, with median pay awards reaching 2.5%.
News: Workplace disenchantment hits “crisis” levels
Workplace disenchantment has reached crisis levels as employers struggle with below-inflation wage increases. A CIPD survey found 51% of employers cannot predict salary increases this year, while those offering raises average just 2.6%—below the 3% inflation rate. HR professionals must focus on employee engagement and financial support beyond pay to retain talent.
