2.2% UK’s BEST WORKPLACES 2010
AVERAGE INCREASE IN THE NUMBER OF EMPLOYEES IN EUROPEAN BEST WORKPLACES, DESPITE THE RECESSION
PREPARING FOR THE UPTURN
As we emerge from the recession, those businesses that have been focusing on their employees are likely to prove more competitive, writes Nic Paton
Unemployment may finally be on a downward trend but, as workers and businesses begin to feel more confident again, so employers face the return of an old, pre-recession- ary challenge - retention of staff. Not only are we starting to see signs of hiring again in some indus- tries as order books slowly pick-up, but workers who have perhaps stayed put for longer than they might have done otherwise because of the un- certain climate are becoming more prepared to dip their toes back into the jobs market.
Poll
In March, a poll of almost 400 managers by recruitment firm Step- Stone Solutions found that one-third expected to lose key people as the recovery gathered pace, while four out of 10 chief executives in a poll by consultancy PricewaterhouseCoopers in February said they expected to be hiring new people over the next
“If one person asked a question – which perhaps 10 others had wanted to ask – it got answered” 4 actionetwork
few months. Even in firms where the outlook remains uncertain, there are signs of growing confidence among workers. While two in five workers in a poll earlier this year by the Keep Britain Working Campaign said they anticipated being asked to reapply for their jobs because of continuing recessionary pressures, nearly two in three also said they would now be prepared to take their chances rather than do so. What all this indicates is that the firms that may have the com- petitive edge as we go into the new business climate are those that have gone out of their way to look after their workers during this recession, and managed to maintain rather than erode trust, loyalty and engagement - in other words, those firms that appear on the Great Place to Work® Institute’s latest list of the UK’s Best Workplaces. This recession has been a bruis- ing experience for many, says Linda Bellis, HR director at law firm Wragge & Co, one of two organisations that has achieved a place in the ranking 10 consecutive times. The firm which employs just over 1,000 people was forced to make 97 people redun- dant during the downturn, 42 of them through compulsory lay-offs. “People still feel wounded, how- ever well you deal with it. We had never made redundancies before, so it was a massive culture shock,” she says.
Yet the firm went to great pains to ensure there was not a communi- cation vacuum into which morale- damaging gossip, rumour and intrigue could rush. Initiatives included posting up an extensive question-and-answer document on the company intranet. Every question posed through the staff council or directly on to the site was answered and then added to it. “It was a massive commitment but it meant if one person asked a question – which perhaps 10 other had wanted to ask but had not wanted to raise their head above the parapet it got answered,” says Ms Bellis.
In a second round of redundan- cies in the summer of last year the company ensured senior partners also got closely involved and that the emphasis on honest, open communication continued. “People do not want it dressed-up or spun. We have intelligent and highly skilled people here, and they just want to be treated as adults,” adds Ms Bellis.
Even in firms that have had a rel-
atively ‘good’ recession, how people have been treated and managed is vital when it comes to preparing for the upturn, agrees Jez Langhorn, head of talent and education at McDonald’s in the UK. “Almost everyone has experienced some sort of effect from the reces- sion, whether it is in their family life or in their income. So it is im- portant that companies make every effort to engage with their people and provide additional support,” he advises.
Recent initiatives at the fast-food chain, which employees 80,000 staff and runs 1,200 restaurants in the UK, have included the launch in January last year of a hospitality apprentice-
“We made a point of sharing information, including why people might have to work longer hours”
ship scheme, offering staff the chance to gain the equivalent of five GCSEs. Honesty and openness are essen-
tial if you want to maintain trust and therefore build momentum going into the recovery, says Tom Nicholls, group HR director of London and Quadrant Housing Trust, which em- ploys 1,100 people. The company, for example, has
over the past 18 months developed a new L&Q Leadership Academy for managers, with around 170 man- agers so far having gone through its three-day residential programme.
Culture
“It is about developing leader- ship skills, but also looking at our culture and how we can work more collaboratively,” says Mr Nicholls. The company has also developed a new bonus scheme linked to res- ident satisfaction, launched in April last year, whereby staff receive a bonus of up to 5% of salary that comes out of any additional profit made as a result. “It has been more important than ever to be able to demon- strate to people that we are pre- pared to listen and respond,” says Mr Nicholls.
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