Here’s our round up of the most frequently asked HR questions this year:
1.We are just about to review salaries for our staff, but what is everyone else doing as far as pay reviews/increases?
New research has found that UK employers are planning to give their staff an average annual pay rise of 2.9% in 2022.
A total of 725 UK firms took part in a study about salary budgets and recruitment by Willis Towers Watson (WTW), which revealed that 2022’s pay increase is set to be more than the 2.4% average this year. As inflation is forecast at between 2-4% for next year, this is a significant increase in previous years.
According to the research, this finding comes as the proportion of businesses that are expecting to completely freeze staff pay looks likely to fall from more than 10% this year to just 1.7% in 2022.
Average rises in 2022 are anticipated to be higher in the media, leisure and hospitality, and high tech sectors, at 3.3%, 3.2% and 3.1% respectively. Those working in the banking automotive and chemicals sectors will have smaller increases, at 2.3%, 2.4% and 2.5% respectively.
The findings also highlighted that this year, UK businesses have fought to motivate and retain staff by awarding their top-performing employees a pay rise that was 2.6 times greater than that given to those with average performance ratings.
In addition, more than half (54%) of UK organisations said their business outlook is ahead or well ahead of where they thought it would be at this time, while 3% stated it was below expectations.
So make sure you are paying the right salaries for your roles and awarding market rate pay increases if you can afford to so, to make sure you are able to retain your team. But if you want any further advice on salary benchmarking, please don’t hesitate to get in touch.
2.What are the key HR topics that we should be focussing on as a business in 2022?
Understatement of the year award incoming, but 2020 and 2021 changed the way we work forever. But like most things in life, it’s how you deal with change that counts, and 2022 is certainly the year that your business will need to make its people a top priority if you want to avoid the mass resignations that are predicted.
So, what are the key HR/People trends for 2022 going to be and how can you prepare for them? If you want to get ahead of the curve, here’s the top 5 areas we feel our clients should be focussing on to ensure they can attract and retain the best people and make sure they are creating High Performing Teams in 2022.
- Creating a recruitment process that delivers an exception candidate experience
- Managing and promoting from within by creating career paths and learning and development opportunities.
- Motivating multi-generational workforces – what Gen Y & Z want and need is different to the needs of Generation X.
- The revamping of employee perks and benefits to create an Employer Value Proposition that attracts the right people to work for you and stay with you.
- Creating a culture and values that attracts a diverse employee population.
Not got these topics on your radar? Want to discuss one or all of these for your business? Make sure you book your FREE 30 minute Strategy session in January to help you get on track. Book your call here:
3.Do we need to update our contracts of employment if people are now working permanently from home?
4.I’ve made a terrible mistake with a new hire, how should I deal with this?
5.I’m think about moving onto a retainer with a competitor of Meraki HR as they are cheaper and offering Employment Tribunal Insurance, but they want me to sign up for a 5 year period. They’ve got me really worried, do I need Tribunal Insurance?
Link to blog: Do you need employment tribunal insurance?