I-Resources - Latest News

Safety representatives 'key' for businesses

Safety representatives are crucial to achieving successful health and safety in the workplace, the watchdog's boss says.

Judith Hackitt, chair of the Health and Safety Executive (HSE), says worker involvement in health and safety is important for the system to be effective.

The industry representative delivered a keynote speech at the Health and Safety and Worker Involvement conference.

During her talk, Hackitt stated health and safety should not be seen as a barrier to people doing their job, but as a tool to help them do it more effectively.

She added that worker involvement is crucial, regardless of the size of the firm, meaning small businesses still have a responsibility to adhere to guidance.

Hackitt adds that following health and safety requirements can enable small companies to comply with legislative requirements in 'a simple, proportionate manner'.

The HSE boss says there has been a reduction in workplace deaths since the Health and Safety at Work Act was introduced 30 years ago.
Last week the HSE was shortlisted for a National Business Award, which recognise the achievements of successful companies in the UK.

Source: www.smallbusiness.co.uk

Gap in small business insurance cover

Internet and email insurance is the least popular policy among small business owners, meaning they could be leaving themselves open to being sued by victims of internet fraud or virus attacks.

Small business owners are leaving themselves open to legal action by failing to take out insurance against internet attacks, according to a study by Hiscox.

The research found that only 16% of small business owners that had bought some form of business insurance had taken out internet and email insurance, which protects owners from being taken to court by those who had suffered as a result of internet fraud, breach of privacy or virus transmission.

"If the ‘slip and trip' was one of the main sources of old-fashioned liability claims against businesses, then the rapid growth of the internet could see it replaced by the ‘click and trip' liabilities of doing business online," warned Gary Head, UK underwriting director at Hiscox.

"Legal suits for defamation, breaches of privacy or fraud can literally be one ill-advised click away and small business entrepreneurs must not underestimate the threat to their hard-earned business."

Directors' and officers' insurance - which protects owners against allegations of health and safety breaches or discrimination claims - was similarly unpopular, despite the growing trend towards holding business owners directly responsible for their firm's failings.

Only 22% of the small businesses that had taken out insurance had taken out this kind of policy.

The most common types of insurance taken out by small business owners were public liability (used by 77% of respondents) and office contents (70%). These were followed by professional indemnity (65%), employers' liability (65%), office buildings (55%) and personal accident cover (44%).
The most popular method of buying insurance remains through a broker, either face-to-face or over the phone (52%), the research found. But 22% said they bought their policies online, either using a broker or direct with an insurer.

Source: www.newbusiness.co.uk

HSE urges more business leaders to "take advantage"

The Health and Safety Executive (HSE) is urging business leaders to take advantage of a free guide that could bring significant benefits to them. The guidance, entitled, ‘Leading health and safety at work’, is issued jointly by the Institute of Directors and HSE.

The call comes as research revealed that a quarter (25%) of business leaders surveyed knew of the publication.

Tony Bandle, Head of HSE’s Business Involvement Unit, said, "We know that these are trying times for businesses, their suppliers and customers. Whilst it’s pleasing to see 25% of businesses know about this publication I would urge other industry leaders to take advantage of this free publication that is written by business people for business people."

Source: HSE

Firms urged 'try to keep staff'

Redundancies should be a "last resort" as firms trim costs in the economic downturn, the Chartered Institute of Personnel and Development (CIPD) says.

Planning for recovery by keeping staff is a better approach, it added, saying an average redundancy costs employers £16,375 before any savings are made.

The CIPD earlier warned 600,000 UK jobs could go this year. Others have said unemployment could hit three million.

Latest UK statistics say 1.86 million people were out of work in October.

That figure was the highest since 1997, taking the overall unemployment rate to 6%.

'Huge pressure'

The CIPD's chief economist John Philpott conceded that, with the UK widely acknowledged to be in the grip of a recession, many firms were under "huge pressure".

"Restructuring is a fact of economic life that can never be ruled out," Mr Philpott added.

"But while making people redundant can seem one of the most straightforward ways of cutting costs, redundancy is itself a significant cost to most organisations with a number of direct and indirect or hidden costs."

He added that this was particularly true if redundancies were an employer's first resort in difficult times "and have to be quickly reversed by renewed hiring when economic conditions improve".

"We urge employers to plan for recovery by investing in and growing their people, rather than reducing their workforce."

"Employers should hold their nerve and focus on retaining talent and investing in the skills of their people.

"It is these people with their commitment, productivity and ability to add value who will ultimately keep individual businesses and the whole of the UK competitive, and put us in a strong position to recover from the downturn quickly."

'Good sense'

The CIPD has put together a formula which it says helps firms calculate the financial price of cutting its workforce.

And it estimates the average cost of redundancy reaches £16,375 per sacked employee before hidden costs - such as higher staff turnover and falling productivity are factored in.

"This is likely to be a conservative estimate and provides a hard business case for why redundancies should be a last resort in the downturn," Mr Philpott said.

The TUC welcomed the report which it said made it clear "that it makes good business and economic sense to explore all the alternatives before laying off workers".

"Unions often have to challenge employers who turn to redundancies as their first response in troubled times," general secretary Brendan Barber added.

He added that raising statutory redundancy pay would be a good way for the government to make redundancy "a less attractive option for employers".

Source: BBC

Failing technology costs UK SMEs �5k a year

The number of days lost as a result of problems with IT or failing technology is double that lost to employee sick days adding up to a big headache for UK small businesses according to a study conducted by O2.

Nearly half (49%) of the 500 firms that took part in the research said they’d lost business as a direct result of malfunctioning technology or internet outages. In addition 43% said staff frustration at IT issues had lowered productivity.

Taking this lost time and productivity into account 22% of SMEs assessed the total annual cost to exceed £5,000.

This situation is made worse by a DIY approach to fixing IT problems as small businesses shun professional help to cut costs. This comes at a time when the survey suggests that small firms are leading the way in adopting new technology as a means to compete more effectively.

Almost a quarter (24%) of those surveyed said they rely on mobile technology as they spend up to half of their time out of the office.

Gary O’Connel, managing director of Burn Marketing, commented on the research saying:

We never thought twice about downing tools and just trying to fix any technical hiccups ourselves … It wasn’t until we’d expanded a bit and got a dedicated tech support service we realised how much valuable time we were losing trying to be IT technicians and not marketers. Now we’re able to concentrate on doing what we’re good at.

The old issues of delegation and false economies are as relevant in the technology space as any other for startups and small businesses. Clearly, however, SMEs are facing tougher decisions on what they spend their money on as the economy continues to look bleak.

Source: www.smallbizpod.co.uk

CIPD disappointed with the removal of the 48-hour opt-out

Responding to the vote in the European Parliament signalling an end to the UK's opt out from the Working Time Regulations, the Chartered Institute of Personnel and Development (CIPD) warns against a statutory restriction on maximum working hours and advises that it should be down to employers and employees to work towards a better work-life balance.

Mike Emmott, CIPD's Employee Relations Adviser, said:

'The CIPD opposes long working hours but believes that a healthy work-life balance is best achieved through better work organisation and progressive people management.

'Good employers do not make their staff work longer hours, but business demands may occasionally arise, requiring employees to put in extra hours. Additionally, the removal of this flexibility neglects to recognise that employees may value the freedom of choosing whether to work more hours or not.'

'The overall fall in working hours since 2000 shows that the current legislative framework on working hours is an appropriate one.

'This is not the final nail in the coffin though as the opt-out will remain until 2012 in any case and there are further rounds of negotiations to be had with the employment ministers of the various EU countries. We urge the government to remain firm and retain this opt-out to protect the long-term flexibility of the UK labour market.'

Source: CIPD

Latest statistics on deaths highlight dangers of the agricultural industry

Agriculture remains one of Britain’s most dangerous industries, according to the latest agricultural statistics report published today by the Health and Safety Executive (HSE). In 2007/08 another 39 workers died bringing the ten-year total death toll to 455. Alarmingly, year on year, over the last ten years the number of deaths in agriculture has remained at a consistently high level.

Less than 1.5 per cent of the working population is employed in agriculture yet the sector is responsible for between 15 per cent and 20 per cent of fatalities to workers in Great Britain each year.

Judith Donovan, non-executive HSE Board member and agriculture champion, said: “It is simply unacceptable that, almost every week, someone dies in a needless farm accident. These accidents don’t just destroy lives; they destroy whole families, and often their farms too. They continue to happen, year after year after year and for this reason HSE is launching a new campaign in January 2009 to help encourage farmers to take extra care to stay safe.”

The major causes of deaths in 2007/2008 were:

    * 34 per cent dying in accidents involving overturning vehicles or being struck by vehicles
    * 21 per cent dying as a result of a moving or falling object
    * 14 per cent dying in falls
    * Seven per cent dying as a result of injuries by an animal

The winter months are a particularly dangerous period in the farming calendar. Farmers are working during hours of darkness, with cattle indoors and poor weather conditions increasing the risks. Over the last ten years there has been no significant drop in the number of fatalities on farms, the major causes have also remained unchanged.

“The latest statistics highlight that farming is dangerous and now in these difficult financial times, farmers might be tempted to take risks to save money by cutting back on help or taking shortcuts. We want to make farmers, their families and their helpers to stop and think how they can be aware of the dangers around them.” Concluded Judith Donovan.

Source: HSE

27,000 staff will lose jobs by January 5 as over 800 stores closed

Woolworths will close all of its stores by early January as administrators Deloitte look to wind down the business, it has been confirmed.

The ailing retailer, which has 807 outlets, will begin closing down sales at each of them by December 27 and will have closed the doors at every shop by January 5. All 27,000 staff stand to lose their jobs.

Administrators will sell more than 300 of the stores individually to other retailers, but have admitted they had “not come close” to finding a buyer for the whole Woolworths chain. Efforts will be made to find departing staff jobs at new owners where a branch has been taken over, Deloitte have said. While the firm will not be able to pay all of its creditors, staff will be paid and will also be entitled to statutory redundancy pay.

Woolworths’ pension fund is heavily in deficit so staff will be eligible for help from the Pension Protection Fund (PPF). Existing staff are expected to be covered by the fund for 90 per cent of their eventual pension, while existing pensioners will continue to receive their full payments.

The firm’s distribution arm, Entertainment UK, has already made 700 staff redundant.

Source: PM Online

Sharp rise in company failures

The number of firms going out of business jumped sharply in all sectors and regions in October and November, according to data released by Equifax.

Small businesses owners should use rigorous credit checks to verify the health of customers after research revealed an increase in the number of business failures in October and November.

According to Equifax, there was a 27% increase in the number of firms going to the wall in the two months compared to the same period last year. This is on top of a 20% rise in the third quarter and a 10% and 9% hike in the second and first quarters of 2008 respectively.

The rise was most notable in the construction industry, which saw a 48% increase, and transport and communications (47%). The services sector (19%) and manufacturing (18%) also saw big jumps.

"With significant downturns in orders, combined with restricted access to credit for a wide range of business organisations, it is not surprising that some have simply had to close their doors for good in the last couple of months," said Neil Munroe, external affairs director at Equifax.

"Hopefully the initiative taken by at least one bank over the weekend to inject funds into business lending could stem this flow of failures."

The figures also revealed regional variations in terms of companies closing. Manufacturing hotspot the north-east saw a 48% jump in failures, with the East Midlands (40%), the south-west (38%) and Yorkshire & Humberside (37%) all faring badly.

There was a rise in failures across the country, with the east of England (17%) and London (18%) the least affected.

"While many businesses are doing all they can to protect themselves from failure, there is no doubt that external factors, such as lack of credit to fill gaps in cashflow, could have much greater consequences," added Munroe.

"Now more than ever it is crucial that businesses continue to use rigorous credit checks, alongside ongoing monitoring of the financial status of their customers - and suppliers - to protect their future.
"By operating best practice and harnessing the power of the latest risk management solutions, firms can at least minimise the threat of bad debt."

Source: www.newbusiness.co.uk

Suspended sentence for hotel owner who flouted the law

The Health and Safety Executive (HSE) today (Thursday 11) warned companies to comply with their notices after a Lincolnshire hotel owner was sentenced for a number of offences.

Kulwinder Bola, owner of the Royal Renaissance Hotel in Skegness, was found guilty on Tuesday 28 October of ignoring a prohibition notice issued by the HSE.

He was also found guilty of employing an unregistered gas fitter to install pipework and gas catering appliances and failing to appoint a planning supervisor in respect of the project to refurbish the hotel.

Today (Thursday, 11 December) at Skegness Magistrates' Court, Mr Bola received a 12 week custodial sentence, suspended for 1 year for ignoring the HSE prohibition notice. He was also ordered to carry out 200 hours of community service within the year and to pay the full court costs of £20,623. Mr Bola received a conditional discharge for the other two charges.

The three charges resulted from an HSE inspector's site visit in July 2006.

Mr Bola was found guilty of breaching Regulation 6 (1) of the Construction (Design and Management) Regulations 1994; Regulation 4 of the Gas Safety (Installation and Use) Regulations 1998; and section 22 of the Health & Safety at Work etc Act 1974.

HSE inspector Judith McNulty-Green said:

"It is extremely important that gas appliances and pipework are installed by a CORGI-registered fitter. Always use a registered fitter. It is easy to check if a fitter is registered as there is a free phone number to call or you can check on the CORGI website. Never be tempted to cut corners or save money - you will be putting your health, or even your life, at risk. Every year 20 people lose their lives from carbon monoxide poisoning.

"When the inspector visited the hotel on 4 July 2006 a number of items were found to be immediately dangerous, including the gas supply to appliances. Four appliances were fitted with flues and required extraction but no extraction system was operational. Due to the danger of carbon monoxide, those appliances were disconnected from the gas supply and a prohibition notice was served banning their use.

"However, the defendant told his chefs they could use the banned equipment.

"HSE takes very seriously breaches of notices. Ignoring the ban was extremely dangerous and posed a serious risk to employees at the hotel. I agree with District Judge Blake's comments that notices are issued to keep people and places safe and this sentence sends out an important message."

Source: www.hse.gov.uk

Non cash benefits to employees on maternity leave

The government has introduced measures forcing employers to offer non-cash benefits to workers on maternity leave.

The rule, introduced at the start of October, means that employers have to continue to provide non-cash benefits for staff on maternity.

Since UK staff previously paid for childcare vouchers with a percentage of their salary, the new rule means that employers offering this benefit are being forced to pay for something that was previously free.

"By confusing the system and introducing potential costs for employers who provide it, the government risks undermining any incentive to take it up," said Chris Hanant of the British Chamber of Commerce (BCC).

This BCC has written to the financial secretary of the Treasury to warn that the rule will undermine the government's recently announced flexible working plans.

Source: www.newbusiness.co.uk

Recession 'brings big IT changes'

The recession will bring 'significant' changes in IT for businesses, as firms look to cut costs and improve functionality and performance.

Michael Dean, group marketing manager of the National Computing Centre, says more companies will adopt virtual desktop infrastructure (VDI), which involves the desktop being located remotely so it can be accessed from anywhere, in a bid to cut outgoings and create profitable companies.

'Traditional fat-client technologies are expensive and time consuming to maintain, VDI offers a way for organisations to provide similar levels of functionality and performance but at reduced cost,' he adds.

Dean states the technology, which allows workers to access virtualised IT resources over the web, is also more flexible.

The expert says it means more employees can work from home and still access their desktop, potentially cutting costs further as less office space will be needed.

He adds that virtual desktops have been around for a number of years and so are 'generally considered robust'.

A recent report from the International Data Corporation, which made key IT predictions for 2009, states more firms will expand 'into the cloud' or virtualisation as it presents low costs.

Source: www.smallbusiness.co.uk

'Be part of the solution': HSE launches its new strategy for health and safety

The Health and Safety Executive (HSE) is today launching a consultation on its new strategy: 'The Health and Safety of Great Britain ' Be Part of the Solution'.

HSE's decision to develop a new strategy has been prompted by a range of factors. These include: the recent slowing of improvement in Great Britain's (GB) health and safety performance; the changing industrial landscape with an increase of small businesses and the self-employed; the different risks posed by new sectors, and the need to regain the health and safety brand from those who misuse it to proliferate bureaucracy and as an excuse for other things.

The strategy, which is resetting the direction for health and safety, sets out a number of goals to be achieved:

    * HSE and Local Authorities (LA) will continue to work together to investigate work related incidents and secure justice;
    * Encouraging strong leadership and championing a common sense approach to health and safety;
    * Building competence of those charged with delivering health and safety in workplaces;
    * Promoting the benefits of worker involvement, whether the workplace is unionised or not;
    * Customising the support for small businesses to help them comply with their health and safety obligations;
    * Avoiding catastrophes in GB's high hazard industries; and
    * Taking account of the wider issues that impact on health and safety and its delivery.

Source: www.hse.gov.uk

Commission pay errors cost companies over 5 million pound a year

Survey by OpenSymmetry shows that many companies struggle with managing sales incentives; according to a survey amongst UK sales directors, companies are losing large sums of money over badly managed sales commission plans.

Almost a quarter of companies surveyed by market research specialist Vanson Bourne said they regularly saw errors of over 10 percent of the total commission paid - with over a quarter spending over 50m pounds on commission annually. Another 20 percent said they didn't know what errors occurred when paying out sales commissions. The survey was carried out on behalf of OpenSymmetry, an independent consultancy firm that offers highly specialised services focused on delivering Sales Performance Management (SPM) solutions to clients worldwide.

Over half of the sales directors admitted they regularly had to deal with queries and complaints from the sales force. 63 percent said they worried 'occasionally' or 'frequently' about the accuracy of their sales commissions.

The survey also found that only just over a quarter of respondents believed their compensation plans motivated and drove their sales force effectively. More than two in three said their compensation plans needed improving in order to keep up with the changing business, market or company direction.

Asked what kind of system was used to handle commission calculations, one third of the sales directors surveyed said they did not have a single system in place. Of those who do have a system in place, more than half rely on a home grown solution built by their own IT department. 12 percent use Excel based or other spreadsheet packages. Less than a third of respondents said they had a special, customised third party software solution installed.

The study also revealed that across industries, there is no clear assignment of responsibility for the sales compensation plans - primary responsibility was either with the sales department, finance, marketing or human resources.

And, while almost a half said they were going to revise their policies for commission payments in the context of the economic slowdown, one in four respondents also said it took more than six months to create and implement a new compensation plan.

'We are being asked more and more to assist with the sales challenge to get control of incentive costs and ensure incentive plans drive performance and behaviour. It is one of the greatest challenges in the marketplace,' commented John Stuart, business development director at OpenSymmetry.

'One of the key barriers to driving sales performance through effective compensation is often mis-alignment in the management team. CEOs need to challenge the ownership and responsibility for this important area of their business, being very aware of its direct impact on the bottom line. We also come across many circumstances where the inability to launch products directly relates to the lack of flexibility in customers' existing systems, creating a bottleneck which affects departments across the entire organization,' he added.

Vanson Bourne surveyed 153 sales directors in the UK in companies with more than 100 direct sales representatives or other indirect channels, in the telecoms, insurance, financial services, pharmaceutical, hi-tech and manufacturing industries. The survey was carried out in November.

Source: OpenSymmetry

Cosmetic Surgery - Sick Pay or Holiday?

Under the employment contract the employee may be entitled to go on sick leave if incapable to work whatever the reason. The contract should state pay entitlements for that sick pay i.e. how long at full pay, half pay before claiming SSP.

Statutory sick pay (SSP) is available when an employee is incapable of working regardless of the reason, in order to qualify the employee must be sick for more than 3 consecutive days and must satisfy criteria for National Insurance contributions.

A company policy that states leave required in relation to cosmetic surgery must be taken as holiday may lead to sexual discrimination as a policy that disadvantages a larger proportion of women than men could be indirect sexual discrimination.

The employer could decide that the operation is a lifestyle change and that if your employee chooses to have what could be defined as non-essential surgery then holiday entitlement should be used. This approach however should be used with caution as the reasons behind cosmetic surgery can often be complex and psychologically connected.

A situation like this should always be treated with sensitively and as a general rule the employee should be given the time as sick leave and should be paid in accordance with workplace policy.

As an employer you should consider introducing a policy which could include a right to paid leave for essential cosmetic surgery and encourage employees to take holiday or unpaid leave where surgery is minor or non-essential. This would have the additional benefit of all employees knowing where they stand.

Recruiting staff at Christmas

When business starts to increase you may find yourself in the position to recruit additional members to your team, albeit on a temporary basis. But how should this be approached?

Your Legal obligations

Regardless of whether the position is temporary or permanent there are employment laws with which you need to comply with, your recruitment decisions must be fair and non-discriminatory and, as an employer you should ensure that they have the legal right to work and live within the UK.

All employees are entitled to 24 days holiday pro rata and pay rates must comply with the national minimum wage (non compliance can see fines up to £5000) and tax and NI contributions should be paid accordingly.

All employees should be presented with a minimum statement of particulars within the first two months of employment, click here for more information on how we can help. Holiday entitlement is calculated on a pro rata basis and for further information on how this should be calculated please contact us. You will also need to provide time off for specific issues such as emergencies involving a dependent.

You should also consider the working time regulations, should any of your employees work in excess of 48 hours per week then you should look at creating an opt out agreement.

For more infomation on recruitment procedures please contact us.

Health and Safety Policies - does your business have one?

After talking to a number of small business owners I was surprised to find out how many of them felt that they did think they had to formally record their Health and Safety procedures.

Under the Health & Safety at Work Act 1974 if you employ 5 or more employees then it is a legal requirement that your Health and Safety Policy and risk assessments are recorded and made available to all employees.

But even if you do not employ that many people that should not mean that you do not have the appropriate documentation in place. By having these documents in place it sends out an important message not only to
your employees but also to existing and prospective clients. Some businesses demonstrate a preference to deal only with other businesses who place the appropriate importance on health and safety procedures and systems
and therefore increase the safety of your organisation and improve the image of your business.

Although just have the correct records in place is not enough, they have to be communicated in an effective way to your employees and customers in an appropriate way. Induction training can play a vital part in ensuring employees
are aware of what is expected of them and should be regularly refreshed.

Do you believe the VAT reduction will help you?

There has been a very mixed reaction to the 2.5% cut in VAT and on the whole it has has been a negative. Small businesses have been quick to comment that the amount of administrational work has increased pressure on them and that their products were already heavily discounted sometimes up to as much as 50%. So what is an additional 2.5% going to achieve?

Business owners especially from the hospitality industry have commented on the huge amount of work involved with amending all point of sale materials as well as the administrational duties that are attached. With the media stating quite clearly (and rightly so) that it will have to be paid back at some point and therefore with a tax hike now ever looming on the horizon what can small businesses expect?

Estimated cost of the reduction of VAT is estimated to be around 12.4 billion and many believe that a reduction in income tax would have been more effective, however only time will tell.

With the busiest trading period for many businesses now underway it will be interesting to see if the incentives put in place will have a positive effect and become the turning point desperately required.

Small businesses 'hit with VAT burden'

Small firms will be especially burdened with administration costs from the reduction in value-added tax (VAT), according to the Chartered Institute of Taxation.

John Whiting, chairman of the management of taxes committee at the organisation, claims the group has a 'mixed' reaction to the proposals revealed in last week's pre-Budget report.

Whiting identifies the taxpayer's charter and alterations to duty on foreign profits as welcome amendments, but says the 2.5 per cent reduction in VAT to 15 per cent will have a particularly deep impact for small businesses.

Furthermore, Whiting points out that the Treasury estimates the admin cost of the VAT decreases could be up to £300 million and suggests this is a high price to be forced upon companies.

According to the British Retail Consortium, the cut in VAT will be beneficial to the economy, although smaller firms will find it more difficult to enact the necessary changes to their IT and shopfloor systems.

HSE reminds health and social care organisations to conduct risk assessments after a 90-yr old lady dies

The Health and Safety Executive (HSE) is warning health and social care employers to ensure that risk assessments are carried out to determine the suitability of equipment used in everyday tasks.

The warning follows an incident that occurred on 25th March 2006 in the Elderly Directorate of Moseley Hall Hospital. Two auxiliary nurses were transferring 90-yr old Alice Belle from a commode to a bed, using a large sling and a battery-operated lifting hoist, when she fell from the sling to the floor and died at the scene.

HSE's investigation found that neither the hoist nor sling was defective but that the patient had slipped from the sling as it was too large. A coroner's verdict, in September 2007, was recorded as 'accidental death to which neglect contributed'.

South Birmingham Primary Care Trust was fined a total of £20,000 and ordered to pay costs of £17,500 at Birmingham Crown Court, on 1st December, 2008, after pleading guilty to breaching section 3(1) of the Health and Safety at Work etc Act 1974.

HSE investigating inspector Amanda James said:

"Alice Belle was a frail and vulnerable 90-yr old for whom the large sling, used at the time of the accident, was unsuitable. The moving and handling risk assessment, in place at the time, did not specify which sling should be used for the patient. A suitable risk assessment, carried out by competent staff, would have identified and recorded the appropriate type and size of sling and this should then have been communicated to all staff involved in moving and handling the patient.

"South Birmingham Primary Care Trust failed in its duty by exposing the patient to grave risk. It is essential to ensure that all equipment, including hoists and slings, is appropriate for the individual being moved or handled. It is also vital that professional carers and nursing staff receive adequate information, instruction and training in the correct selection and safe use of that equipment."

In a three-year period, from April 2004 to April 2007, HSE and local authorities received reports of approximately 92 incidents involving falls to patients or service-users, in the health and social care sector, where a hoist or sling was involved.

Judge Bill Davis QC, in summing-up, said: "Those who are most vulnerable need the most careful care and by pleading guilty the PCT accepted that, in this case, they didn't give proper care."

Source: www.hse.gov.uk

Dramatic 9,500 pounds drop in UK average advertised salaries in just one month

Latest analysis of the UK jobs market has shown a dramatic drop in advertised salaries, with the average salary offered plummeting by nearly 9,500 pounds in just one month.

The slump has wiped out a year's worth of increases in advertised salaries, according to jobs search engine AllTheTopBananas.com.

It analysed 875,560 jobs published between May and October 2008.

The average advertised UK salary including London figures is now 31,969 pounds, down from 41,397 pounds last month.

This latest figure is only slightly ahead of the November 2007 average advertised salary of 31,672 pounds, despite 12 months of steady increases.

The current UK average advertised salary excluding London figures is 27,969 pounds, down 3,371 pounds from last month.

In London, the average advertised salary is now 38,504 pounds, down from 41,397 pounds last month.

Dave Martin is MD of AllTheTopBananas.com, the jobs search engine which carries one in three UK vacancies.

He said: 'Every day there is extra evidence that the country is heading for tough economic times and here is more. After 12 months of strong growth with a slight levelling off of figures last month, it is a shock to see a dramatic drop like this.

'These are tough times to be an employee. Unemployment and redundancies are up, and average advertised salaries have dropped sharply.

'It could be that employers know there are more people competing for jobs and are cutting their cloth accordingly.'

AllTheTopBananas.com gathers, collects and displays jobs from hundreds of websites across the UK, giving it access to enormous amounts of data about the UK jobs market.

Right now the site has 199,422 vacancies online.

The regional figures are:

Region Average advertised salary (pounds) Sample size

London 38,504 332,439
Wales 31,518 22,502
East Anglia 29,360 71,829
West Midlands 29,169 62,258
Scotland 28,638 34,612
South East 28,209 97,686
South West 27,564 66,179
North West 26,827 82,740
Yorkshire & Humber 26,657 45,707
North East 26,016 13,840
East Midlands 25,954 45,768

Source: Publicity Heaven

Transatlantic survey shows nervous workers offer to double their hours and reduce their salaries to secure employment

It would seem desperate times call for desperate measures as a survey released today shows that workers will do almost anything to keep their jobs - but at a cost to the employer.

The survey, into 'The Global Recession and its Effect on Work Ethics', carried out by IT security data experts Cyber-Ark, found that more than one third of the 600 office workers (from New York's Wall Street, London's Canary Wharf and Amsterdam, Holland), confirmed they would be willing to work 80 hours a week, with 25 percent prepared to take a salary cut, if it meant they could keep their jobs. Nevertheless, these workers are conspiring behind their bosses' backs to download vital, useful and competitive information to take with them if and when they get the push.

Interestingly, 56 percent of workers surveyed admitted to being worried about losing their jobs. Alarmingly, in preparation, more than half have already downloaded competitive corporate data and plan to use the information as a negotiating tool to secure their next post: 71 percent of workers in Holland confessed to having already downloaded data, 58 percent in the US and just 40 percent in the UK. When confronted with the prospect of being fired tomorrow and ethics go out the door (so to speak), 71 percent surveyed declared they would definitely take company data with them to their next employer. Top of the list of desirable information is the customer and contact databases, with plans and proposals, product information, and access/password codes all proving popular choices. HR records and legal documents were the least most favoured data that employees were interested in taking.

Redundancy is a sore word and rumours that they were looming would send 46 percent of the global workers interviewed scurrying about trying to obtain the redundancy list. Half said they'd try using their access rights to snoop around the network and, if this failed, they'd consider bribing a 'mate' in the IT department to do it for them.

Adam Bosnian, VP of Products, Strategy and Sales of Cyber-Ark says, 'Employers have a right to expect loyalty from their workforce, however this works both ways and in these dark days, everyone is jittery especially with lay offs at the top of most corporate agendas - the instinct is to look out for number one. It would be unthinkable to leave money on a desk, an obvious temptation to anyone passing, instead it is always safely locked away and its time sensitive information is given the same consideration. If times get hard, and they invariably will, companies need to ensure that any cutbacks aren't deeper then expected when stolen data unexpectedly eradicates any chance of survival - our advice is only allow access to sensitive information to those that really need it, lock it away in a digital vault and encrypt the really sensitive data.'

Surprisingly companies do seem to be heeding the danger that data leakage poses. The study reveals workers globally believe it's becoming harder to take sensitive information out of the company - 71 percent in the UK acknowledged it was difficult and 46 percent in Holland agreed. Yet in the US the message still isn't getting through with only 38 percent admitting they had found it difficult to sneak information away.

Memory sticks are the smallest, easiest, cheapest and least traceable method of downloading huge amounts of data, which is why this is often considered the 'weapon of choice'. Other methods were photocopying, emailing, CDs, online encrypted storage websites, smartphones, DVDs, cameras, SKYPE, iPods and, rather randomly yet quite disconcerting, in the UK 7 percent said they'd memorise the important data.

Additionally, the study discloses that universally we're not all as equally conscientious and prepared to work all the hours available. 50 percent of US workers were prepared to work that much harder compared to 37 percent in Holland and just 27 percent in the UK in favour of an 80 hour week. Additionally, when asked what other lengths they would go to in order to keep their jobs, the data wasn't just limited to the hours employees were willing to put in. For the US there were no boundaries with 15 percent admitting they'd consider blackmailing the boss and 26 percent prepared to buy the next round of drinks for a year. The Brits and Dutch were less dishonest with just 3 percent contemplating bribery, and only 6 percent in Holland and 2 percent in the UK willing to buy the drinks.

Source: Eskenzi PR

'Fit for work' services to be piloted from next year

Ministers have announced a package of initiatives in response to Dame Carol Black’s report into the health of the working population, published earlier in the year.

As previously reported in PM, the Fmed3 sick note will be replaced next year by a “fit note” to focus GP advice on what work people can rather than cannot do. An electronic version, currently being piloted in Wales, is then likely to be rolled out in 2010.

Health secretary Alan Johnson said the new system paved the way for a culture change away from “protecting people from work”. He said previously GPs and employers had felt “there was no in between – you are either in fit for work or not fit for work”.

Following Black’s recommendation, “Fit for work” services, based on “early intervention, case managed and multi-disciplinary” approaches to get people back to work, will be piloted across the UK from next year until 2011. Work and pensions secretary James Purnell said they wanted to try lots of methods – some led by medical professionals, others by the private and voluntary sectors – to find out what worked best.

The £45 million package will also see a national education programme for GPs, an occupational helpline for small businesses, a business health check tool to help understand the costs of absence, and a review of the health and well-being of the NHS workforce.

Source: CIPD

'Invest in IT' to boost business

Small firms need to encourage more flexible working practices and invest in IT skills to increase productivity.

A recent survey from BT Business found small companies are not investing as much as they should into IT training for staff, which could enable them to harness new technology and in turn make the company more productive.

The newspaper states one area which could benefit from IT investment is increasing flexible working practices for staff.

BT research shows more than 14,500 of its employees work from home, which has increased productivity by 20 per cent and given the company 'huge' cost savings.

Research from the Centre for Future Studies finds there are three generations of flexible working, the first consisting of offering short term or part-time hours, the Financial Times reports.

The second level involves flexi-hours and giving staff the capacity to work on the move, while third generation involves setting up a complete virtual office, meaning employees can work in an entirely separate location.

Many small firms have yet to adopt third generation working, which the report says is due to lack of training, as three-quarters of these businesses say they offer no IT skills sessions.

Small businesses are less likely to adopt the third generation working than larger companies but recognise the benefits of doing so.

Source: www.newbusiness.co.uk

Government money made available for SMEs

In his Pre-Budget Report Alistair Darling has announced a £1 billion small business finance scheme to help struggling companies gain credit.

As part of a host of proposals targeted at SMEs, the chancellor pledged help to small businesses through improved access to credit and a proposed easing of their tax burden.

Speaking to SmallBusiness.co.uk, Phil Orford, chief executive of the Forum of Private Business, said both the finance scheme and proposed tax measures were good news for SMEs.

‘Although we are not yet sure of the mechanisms through which the finance scheme will be delivered – whether via banks or other channels – it has to be broadly welcomed.

‘For us the issue is whether small businesses will be aware of these initiatives, particularly as the finance scheme is only temporary.

‘We would urge all small businesses to go into the banks as soon as possible and enquire about the scheme. They should also ask specifically about the European investment money he announced seven high street banks have now made available.’

However, Orford said the proposed increase in National Insurance by half a percentage point in the next 18 months was the ‘sting in the tail’ for both employers and employees in the chancellor’s report.

Offsetting of losses against taxes for the next three years, and an increase in empty property rate relief on properties worth less than £15,000, were also among the roster of proposals made by the chancellor.

Source: www.smallbuiness.co.uk

The new disciplinary and grievance procedures: A simple success

The new draft statutory disciplinary and grievance procedures are due to come into effect in April 2009, with a promise of being far more simple and far less time-consuming. Charles Price examines whether this is indeed the case and what HR professionals need to know about the new Acas code.

he new Acas Code to deal with workplace disputes will be slashed from 40 pages in length to 10. A review of how workplace disputes are handled was conducted last year by Michael Gibbons and the shorter, simpler code is a result of that. The review found that regulations governing dispute handling had failed and needed to be less prescriptive.

The last code, although worthy of admiration in principle, made matters worse with its Byzantine complexity and stringent provisions. The source of law from which the old procedures emanated, the Employment Act 2002 (Dispute Resolution) Regulations, was incredibly lengthy and yet posed more questions than it answered.

The Employment Appeals Tribunal in London was left to fill in the gaps with a chain of case judgments which, for example, told us what medium and language actually constituted 'a grievance' under the Act and that the requisite request for an appeal could be a verbal one.

Solicitors and HR professionals have spent more hours than usual when confronted with a dispute in attempting to comply with the legislation. Whatever benefits the regulations gave us in encouraging workplace mediation have been stripped away by the time it took to guess their meaning.

The new law, approved by the Secretary of State for Business, Enterprise and Regulatory Reform (BERR) Peter Mandelson, will now be put before Parliament before coming into effect on 6 April 2009. It promises to free up the over burdened HR and legal teams and yet hopefully still encourage mediation.

Crucial function

The code will have a crucial function in employment cases once the government's Employment Bill becomes law. The failure alone to use the code does not in itself make a person or organisation liable to proceedings, although failure to follow the code in relevant cases will be taken into account.

Tribunals will be able to increase any award by 25% (as opposed to the old 50% maximum) if the employer has not followed it. Conversely, if the tribunal feels an employee has unreasonably failed to follow the guidance set out in the code it can reduce any award they have made by up to 25%.

The code still advocates the same principles of the old one but is less prescriptive. For example, rather than prescribe a rigid structure of three meetings when dealing with a disciplinary it sets out principles by which the employer must adhere. Broad statements such as, 'employers should raise and deal with issues promptly' and 'employers and employees should act consistently' replace set timetables. Other useful guidance is given when dealing with disciplinary cases for example, 'where practicable, different people should carry out the disciplinary and investigation meeting'.

Subtle differences in the law seem to appear in the new code. Two that caught my eye were that there is no guidance in the new code stating that an employer 'must' inform the employee of a right to appeal. Further, the employee is told to let the employer know their grounds of appeal 'in writing', a change of approach from the old. Another change is that the code does not apply to redundancy – expect to see another new code to deal with that.

When you look at the new draft code it seems almost like a list of principles with which to apply to a dispute rather than a prescriptive old list of strictures and heavy handed penalties. This should in practice save a lot of time whilst preserving admirable principles, however as with every codified document it will need legal interpretation, so I am not convinced that the new code will not require another raft of case decisions to help us interpret its meaning.

For example, what is the meaning of 'act promptly'? Is this three weeks or three months? I fear we will still need lawyers to help us interpret what seems like the obvious. Those dealing with employment disputes however, will welcome the new code and should see it as a simple guide to dealing with workplace problems and those who stick to it are unlikely to fall foul of an employment tribunal.

Source: www.hrzone.co.uk

Workplace stress on the rise

Stress in the workplace is on the rise, and employers are being warned to take seriously employees complaining of feeling stressed or they could face costly personal injury claims.

Ginny Hallam, head of employment at Nottingham law firm Berryman says that stress in the workplace is set to increase in the wake of businesses restructuring and reorganising as part of a strategy to survive the current economic downturn.

However, in a recent case heard in the Court of Appeal, judges ruled that in the circumstances, providing a counselling service for stressed employees without more support was considered insufficient as a defence to a personal injury claim, as Ginny explains:

'The Court of Appeal stated that providing a counselling service is unlikely to act solely as a defence for employers when defending a personal injury claim made by a stressed employee.

'Employers shouldn't dismiss employee's comments that they are stressed at work as merely a passing comment. They have to remain watchful of an employee and take positive steps to assist the employee to alleviate the stress, even if the employee is under the care of a GP.'

The Court of Appeal also suggested employers could be responsible for the employee's entire losses, as Ginny explains: 'Previously, losses may have been apportioned between the employee and employer, depending on how material the employer's involvement was in causing the damage and stress suffered.

'Employers should follow some basic rules for supporting stressed employees,' says Ginny. 'They must listen to an employee if they say they are stressed, acknowledge their comments and provide appropriate support and possible solutions. A stress audit could be carried out, and managers should be trained on how to recognise stress triggers in the workplace. Employers should also avoid placing unreasonable demands on employees and could help them prioritise workloads and delegate effectively by offering training on how to cope with a busy workload.

'Employers could offer employees an occupational health service and should carry out return to work interviews after an employee's sickness absence.'

Source: Berryman

Are you the weak link in your workplace's Internet defences?

As Get Safe Online Week draws to a close today (Friday), the TUC is launching a new toolkit to help improve workers' Internet security awareness and skills.

The TUC is concerned that while employers are improving their Internet security systems, their good work could be undermined if they fail to ensure that their staff's skills are up-to-date.

The 2008 Get Safe Online Report, published earlier this week, revealed that 66 per cent of internet users admitted to using the same password for multiple websites, 23 per cent had posted confidential or personal information online, and 17 per cent had opened email attachments from an unknown source, potentially putting themselves at risk from viruses or other malicious software.

This could have a huge impact on employers, who may stand to lose valuable commercial or customer data, or lose money through damage or downtime due to attacks.

In response, the TUC has teamed up with GetSafeOnline.org and the Department for Innovation, Universities and Skills (DIUS) to produce Not Safe For Work? - a free online toolkit for staff.

The toolkit brings together video interviews from industry experts, quizzes and reading lists, and offers a personalised prescription on Internet security issues that is tailored to an individual's Internet usage.

Areas of advice include the four main threats to workers' online security including;

    * Malicious software - viruses and other programs that attack your computer and company's IT system;
    * Identity theft - criminals breaking your passwords in order to steal valuable personal and company data;
    * Your rights at work -the dos and don'ts of personal computer use at work and whether you are being monitored;
    * Your privacy online - tips for social networking users, whose personal and work life could be visible to more people they think.

As well as being used by many UK workers directly, it is hoped that employers will make time available for their staff to use the toolkit, as a kick-start into longer term plans for training in this area and to ensure their employees are as up-to-date as possible.

TUC General Secretary Brendan Barber said: 'The benefits that the Internet brings to UK business are growing every day. Social media and networking are increasingly important to people's professional and personal lives.

'But employers must make sure that staff are aware of the dangers associated with working online. Without training, staff may well find themselves the weakest link in the security chain, without ever knowing what they are doing wrong.'

GetSafeOnline.org Managing Director Tony Neate said: 'The Internet is a fantastic place to be, and a valuable resource for both individuals and employers. But having the right software and infrastructure in place is not enough on its own to protect your organisation against online threats.

'Behaviour plays a key part, and knowing what should and shouldn't be done while we're using the Internet is just as important. As a result, staff training is an essential part of protecting organisations and employees against Internet threats and risks.'

Minister for Skills Lord Young said: 'IT skills are crucial to every business and employer in the country, and will increasingly determine the success of our economy in the future. But IT security skills are sometimes overlooked. Social networking, instant messaging and file sharing offer tremendous potential but they also raise new challenges around data, identity theft and corporate reputation. I invite employers to encourage their staff to use this new tool from the TUC and Get Safe Online, as well as looking at their policies and training to see what more they can do.'

Source: www.tuc.org.uk

Tax cuts possible to boost spending

The pre-Budget report, due out today, may see cuts in value added tax (VAT) to encourage Britons to increase spending in the run up to Christmas.

It is hoped the potential cut from 17.5 per cent to 15 per cent – the lowest allowed inside the European Union - will encourage more people to shop in the festive period and in turn boost retail businesses.

The Financial Times reports British officials are hoping other countries on the continent will follow the drop, following a Group of 20 meeting in Washington earlier this month when a global fiscal stimulus was agreed.

Some reports say the cut will be in place for at least a year and could last as long as two years.

UK economists told the Guardian the VAT cut is 'psychologically attractive' as it will encourage people to spend in the retail industry now and can easily be reversed later on.

Richard Lambert, director general of the Confederation of British Industry, told the newspaper: 'More than anything, we need to bolster consumer and business confidence.'

The move will cost around £12.5 billion, which will increase the government's debt levels further.

Conservative leader David Cameron told the BBC he thinks the public will be surprised at the level of government borrowing, saying it could be over £100 billion next year.

Source: www.smallbusiness.co.uk

Construction firms warned to keep health and safety under review after two companies fined following fatal accident

Construction companies were today warned by the Health and Safety Executive (HSE) to keep health and safety under constant review throughout the life of a project.

The warning comes on the day when Sellafield Ltd and P C Richardson & Co. (Middlesbrough) Ltd (demolition contractors) were fined after pleading guilty at Carlisle Crown Court to charges brought by HSE following the death of 36 year old Richardson employee Neil Cannon on 9 January 2003.

The incident happened whilst work was taking place to decommission one of the pile chimneys on the Sellafield site in Cumbria. Mr Cannon was removing steelwork inside the chimney when he fell approximately 95 metres and suffered fatal injuries.

Sellafield Ltd (then operating under the name of British Nuclear Fuels Ltd), of 1100 Daresbury Park, Daresbury, Warrington was fined £150,000 for a breach of Section 3(1) of the Health and Safety at Work (HSW) etc, Act 1974 in that it failed to conduct its undertaking in such a way as to ensure that persons not in its employment, but who were affected by it, were not exposed to risks to their safety. They were also ordered to pay £50,500 costs.

PC Richardson & Co (Middlesbrough) Ltd of Courville House, 34 Ellerbeck Court, Stokesley Business Park, Stokesley near Middlesbrough was fined £100,000 for a breach of Section 2(1) of the HSW Act in that it failed to conduct its undertaking in such a way as to ensure that its employees were not exposed to risks to their safety. They were also ordered to pay £25,000 costs.

HSE Principal Inspector Mark Cottriall says: "This tragic accident need never have happened. A safe working method had been prepared for removing the steelwork in the chimney. If this had been followed, Mr Cannon would not have had to leave the safety of the working platform that had been built inside the chimney. As often happens on construction projects, however, the proposed method was changed as the work progressed. These changes took place over a period of time and resulted in workers, including Mr Cannon, having to work on an unprotected ledge inside the chimney approximately 95 metres above ground level. At the time of the accident, Mr Cannon was trying to remove a girder from the ledge. The girder tipped upwards, sliced through Mr Cannon’s safety lanyard, and caused him to fall through the gap between the ledge and the working platform. Ongoing monitoring of the work in progress should have identified the changes and the increased risk. If this had been done it is almost certain that a way could have been found to do the work without leaving the safety of the platform.

"As this case sadly illustrates, any changes to planned work methods must be identified and properly assessed to ensure that they are safe."

Sellafield Ltd was the client and principal contractor while P C Richardson & Co. was the decommissioning and demolition sub-contractor.

Source: www.hse.gov.uk

Women entrepreneurs predict growth

Women are more likely to have the business structures needed to succeed in place then men but a lack of financial understanding is the biggest barrier to growth, research finds:

Female entrepreneurs tend to be more optimistic about their business prospects over the next five years but may be held back from achieving these goals due to a lack of financial awareness.

According to a study by everywoman and NatWest, 88% of women predicted business growth over the next five years compared to just 74% of men.

But while 74% of men said they understood the financial services available to their business, this was only the case with 48% of women. Over half (53%) of women said they did not feel confident they understood the financial products available, compared with just over a quarter of men.

The research revealed that the average female small business turned over around £200,000 a year and predicted an average increase of 25% over the next five years, which would add £12bn to the UK economy.

Those sectors most confident about growth were healthcare (where 51% predicted expansion) and marketing/media (42%).

"The fact that female-owned businesses are reporting a greater desire for growth is testament to the progress we have made as a sector in such a short space of time," said Karen Gill, co-founder and director of everywoman.

"In this current economic climate it is imperative these business owners have access to the advice and information necessary to maximise their business skills and achieve this growth."

Women also tended to have the structures in place to support their business, the survey found, with 55% working to a business plan (compared with 34% of men) and 47% allocating specific revenue and profit targets to their business (compared with 37% of men).

The biggest area for growth was seen as increasing brand recognition, cited by 61% of women, followed by increasing services (45%). Only 14% said they were happy to sustain their business at its current level.

Source: www.newbusiness.co.uk

Do you need financial advice?

Small businesses are increasingly seeking financial help from accountants rather than their bank on account of declining levels of customer service, the Forum of Private Business claims.

Small businesses are reluctant to seek financial advice that could help put their business on a safer footing, according to research conducted by the Forum of Private Business (FPB).

The poll, conducted in conjunction with commercial credit agency Graydon, found that only 20% of small business owners sought advice on a quarterly basis or more, with 68% saying they only did so when they thought it was necessary.

Despite the current economic conditions, 36% of those polled said they had not received any advice in the past year on financial matters with 24% saying this was due to a lack of faith in advisers' knowledge of their business or the fact they have received poor advice in the past.

When it came to sources of such advice, the research suggested small businesses are increasingly turning to accountants, with 70% choosing this source as opposed to 47% who looked to their bank manager.

According to the FPB, this is a reflection of a declining level of service being offered by the banks.

"There is an increasing trend of established relationship managers being replaced by individuals in call centres, which leads to the loss of long-standing and profitable business banking relationships," said Phil Orford, chief executive.

"It is a concern that small businesses are not sourcing help more frequently, particularly in these testing times.

"A return to previous levels of service - which means good working relationships between bank managers and business-owners - would allow banks to manage risk more effectively and provide the appropriate access to finance to those that need it."

On a more positive note, 29% of small firms said that they were seeking more financial advice now than they were a year ago, and 37% said they expected to seek out more over the coming year.

"The traditional ‘grey-haired pillar of society' stereotype of the bank manager as a trusted and respected source of financial advice has faded into the past," said Martin Williams, managing director of Graydon UK.

"But as the economy hits hard times and banks become increasingly nervous about credit limits, small businesses need now, more than ever, to maintain a close dialogue with their bank managers."
"We certainly do not want a repeat of the last recession, when the relationship between banks and small businesses broke down completely."

Source: www.newbusiness.co.uk

Generation Y workplace is cancelled - welcome to Generation X v2.0

The whole Generation Y concept of work - where flexibility, work life balance and a socially responsible employer is demanded by jobseekers - is set to change. That's according to Steve Carter, Managing Director of accountancy and finance recruitment specialist Nigel Lynn.

'I'm not suggesting that we shouldn't have flexibility in the workplace', says Carter, far from it, but according to recent research from the London Business School, while Generation X often requires flexibility for childcare, Generation Y demands it for lifestyle reasons. And according to a report in The Observer back in May, Generation Y jobseekers are 'ready to resign if their jobs are not fulfilling and fun, with decent holidays and the opportunity to take long stretches off for charity work or travel.'

'In this market, that attitude isn't going to go down terribly well with potential employers - many of whom may well be boomers and Generation X themselves and who had to really buckle down during the last major recession. And it's going to be those people who can demonstrate that they can add real value to a business that will succeed. That means getting back to the Generation X ethos of hard work, long hours and potentially less time off. There will also need to be an acceptance that Generation X managers and leaders who have worked through a major downturn in the past will have valuable lessons to pass on. And above all, job seekers will need to demonstrate an attitude which reflects what they can do for their employer - not what their employer can do for them!'

Generation Y is a group that has never witnessed recession or economic hardship. They have grown up in a booming economy with rising house prices and a raging war for talent and so it is not surprising that they tend to talk about what they want from work. They may have some hard lessons to learn in the months to come.

Source: BlueSky PR

82% of small firms will have a Christmas party

The majority of small businesses will still have a Christmas do this year despite the current economic conditions, according to a survey by the Chartered Institute of Personnel and Development (CIPD).

The research found that 82% of businesses with up to 49 staff will offer either a party or lunch, a higher rate than those with between 50 and 249 employees (74%) and those with between 250 and 999 (60%).

Companies in the private sector services industry are the most likely to host a festive get-together, while those in the public sector are least likely with only 24% likely to have a party or lunch (down from 26% in 2007).

The number of businesses doing so in the manufacturing and production industries dropped from 77% in 2007 to 67% this year, although this sector was the most likely to offer staff a Christmas gift in the form of a hamper or voucher, with nearly 16% doing so.

"As ever, employers need to think about why they are providing a Christmas party in the first place," said Charles Cotton, CIPD reward adviser. "If it is to recognise the collective contribution of their employees, then what are the alternatives and are they more effective?

"If holding a Christmas party is the most effective way of achieving this, then employers should be wary about scrapping them in response to the economic downturn because the long-term impact could be damaging on employee engagement and organisational performance," he added.

"The Christmas party is one way of reminding staff that they are part of a common endeavour."
The research was taken as part of the CIPD's annual reward management survey; the results of which will be unveiled in February 2009.

Source: www.newbusiness.co.uk

Are you meeting the minimum Health & Safety Requirements?

If you employ 5 or more people in your business then it is a legal requirement for you as an employer to formally record a Health & Safety Policy and make it available to all employees.

Inspections, depending on the industry your business operates within can be common and will usually require all documentation and penalties for insufficient documentation can be severe.

A health and safety policy is usually split into 3 sections, for more detail on policy content click here, it is important to comment that all businesses no matter what size (including self employed) should have adequate Health & safety arrangements in place and should be communicated to all relevant persons.

A health and safety policy is an important tool in promoting a positive health and safety culture within your place of work, for more information on how we can help you create an effective Health and Safety Policy contact us on 0845 166 1592 or alternatively email us at info@i-resources.co.uk.

Redundancy, Redundancy, Redundancy

With a recession now inevitable and unemployment at its highest for over 10 years it is no surprise that the media are fuelling the fire with speculation over redundancy.

Large companies and household names such as BT have announced that redundancies will happen in early 2009 however other large companies have stated that they will not be following the redundancy route as it can prove to be an expensive solution for what some experts state could be a short term problem.

So rather than reduce wage costs through redundancy what other measures can be put in place?

Contract amendments can be an effective and financially viable solution by reducing working hours, to discuss further please contact us.

Analyse ‘natural wastage’; by identifying staff turnover patterns you might find you are able to avoid compulsory redundancies.

Redeployment, different areas of business can vary in success in different economic climates, through training and development offering suitable alternative employment within the organisation.

Redundancy Facts

An employee has the right to a redundancy payment if he/she has worked continuously fro your employer for at least two years.

As well as redundancy pay, your employer should give you proper notice of termination of employment (or pay in lieu of notice)

Your company may of included in your contract how redundancy pay is calculated, however if this is less than statutory pay, the statutory amount applies.

The first £30,000 redundancy payment is tax free

If you would like further information on statutory redundancy please contact us.

Total payouts more than �32 million

Employment tribunals paid out a record £32 million in 2006/7, figures show.

The sum, revealed by a freedom of information request from a newspaper, shows a continued rise in payouts from 2004/5, when the figure was £25 million.

Unfair dismissal awards have made up the bulk of the increase, accounting for £26.6 million, but equal pay and discrimination claims are also up.

And because out-of-court settlements are not included in the figure, the real cost to employers may be much higher.
“These figures confirm that the tribunal system continues to strain under the weight of a very high volume of claims, many of which are weak or vexatious,” said a spokesman for the CBI.

Separate figures from the Tribunal Service have already shown that the number of claims lodged has increased markedly in recent years, from 156,000 in 2004/5 to 238,000 in 2006/7.

The increased burden for tribunals was partly caused by flaws in the dispute resolution procedures that came into force in 2004. They will be replaced by new procedures in this year’s employment bill.

"The government has set out a package of measures aimed at simplifying the dispute resolution process and encouraging more informal resolution of workplace disputes as part of the employment bill," said a spokesman for the Department for Business, Enterprise and Regulatory Reform.

"Business wants to see streamlined, simple and effective procedures to deal with disputes and employees want to have safeguards in place. These changes will help achieve that."

SOurce: www.cipd.co.uk

What is TUPE?

TUPE which stands for the ‘Transfer of Undertakings (protection of employment) Regulations is a piece of legislation which protects employees in the event of a business being sold or in circumstances that may be considered similar.

TUPE affects a large number of businesses and it is important that you as an employer are aware of your responsibilities in order to avoid potential legal claims.

In order to protect your business you need to be aware of the following:

•    When does TUPE apply?
•    What does it mean?
•    How to comply with TUPE
•    How to protect your business from TUPE

TUPE applies where a ‘relevant transfer’ has taken place; the 2006 regulations have clarified this as:

‘transfer of an economic entity which retains its identity’

To determine whether or not this is the case the courts will take into account a variety of factors, these include:

•    The type of undertaking being transferred
•    Whether any tangible assets (buildings, moveable property etc) are transferred
•    Whether any intangible assets are transferred and the extent of their value
•    Whether the majority of the employees are taken on by the new employer
•    Whether any customers are transferred
•    The degree of similarity between the activities carried on before and after the transfer
•    The period for which the activities were suspended, if any

It is always important if you are unsure whether or not TUPE will affect any business proceedings you have in mind to seek professional advice.

How does this affect my business?

Employees have the legal right to transfer to the new employer on there existing terms and conditions of employment with all existing rights and liabilities. (Note: Some pension schemes may be excluded)

It is therefore important that the new employer is fully aware of all related information in order to protect them from any employment liabilities which may of arose before taking over the business. The old employer is now required to provide written details of all employee right and liabilities that will transfer. Any dismissals that occur as a direct result of the transfer will be deemed as unfair.

For further information on TUPE please contact us on 0845 116 1592 or alternatively you can email us at info@i-resources.co.uk

Shopfitters fined �20,000 after man falls from tower scaffold

Health and Safety Executive (HSE) is warning shopfitters to have correctly assembled mobile tower scaffolds after a worker fell three metres from unprotected scaffolding at a new shopping centre, in Enfield, on 15 September 2006, and suffered serious head injuries. E&F Joinery, based in Hailsham, East Sussex, pleaded guilty at the Old Bailey, (Central Criminal Courts), to three breaches of the Work at Height Regulations 2005. The company was fined £20,000 and was also instructed to pay costs of £11,895.

Helen Donnelly, HSE Inspector said: "This incident resulted in the injury of a worker, which should never have been able to happen. Falls from height remain the most common kind of accident resulting in severe injuries. Companies involved in refurbishment, building or maintenance should ensure that the work is planned properly and sensible measures taken so that workers are not exposed to risk. This case graphically illustrates that work should be planned, and that scaffolding should be checked to have the adequate edge protection."

The prosecution followed an incident that took place during the fitout of a shop as part of the construction of Enfield Shopping Centre. The injured person was working from a mobile tower scaffold while fitting ductwork for a shop when he fell three metres onto a concrete floor. He suffered serious head injuries, which consequently lead to deteriorating physical and mental health.

The HSE inspection showed that while the injured person was not working directly for E&F Joinery, they were in control of the work and for planning and supervising it. It also showed that the tower scaffold did not have the correct edge protection on it, and it was also not inspected before use. Both of these measures would have helped prevent the injured person from falling.

Source: www.hse.gov.uk

Are you providing the statutory benefits to your employees?

Failure to do so could result in fines and breach of contract, below we have provided a summary of current statutory benefits for employees.

Statutory Maternity Pay (SMP)

An employee qualifies for this beneift after 26 weeks by the end of the 15th week before expected week of childbirth: and average earnings at or above £90 per week. Rate of pay; 90% of average earnings for six weeks, followed by 33 weeks at flatrate or 90% of average weekly earnings if lower.

Statutory Paternity Pay (SPP)

26 weeks by the end of the end of the 15th week before expected week of childbirth. 1 or 2 weeks at 90% of average weekly earnings or
£117.18 if lower. Paternity leave should be completed within 56 days of birth.

Statutory Sick Pay (SSP)

No qualifying period although average earnings must be at or above £90 per week. Rate of SSP is currently £75.40.

Minimum Wage Entitlement (As from October 1st 2008)

£5.73 per hour for persons over the age of 22 or older
£4.77 per hour for persons aged 18 - 21 inclusive
£3.53 per hour fo all workers under the age of 18 who are no loger of compulsory school age

For more information on any of the above please contact us on 0845 116 1592 or email us info@i-resources.co.uk

The Health and Safety Executive supports National Stress Awareness Day 2008

The Health and Safety Executive (HSE) is pleased to support National Stress Awareness Day with the launch of a new and improved stress management standards analysis tool and user manual. This year’s campaign is focused on taking positive action. One of the positive actions employers can take is to adopt HSE Management Standards for Work-related Stress.

HSE Chief Executive Geoffrey Podger said:

"We must make a conscious effort to deal with work-related stress as we lost over 13.5 million working days to stress last year.

"Pressure is part and parcel of all work and helps to keep us motivated, but excessive pressure can lead to stress which undermines performance, is costly to employers and can make people ill. The Stress Management Standards highlight the components of good organisation, job design and management that keep stress levels in check and enhance productivity.

"We are working towards improving the management standards process and enhancing the analysis tool is the first step to making this happen."

In 2007/08 work related stress, depression and anxiety cost Great Britain in excess of £530 million. The number of workers who reported new cases of work-related stress increased by 237,000.

Many successful organisations use the HSE Management Standards. In this simple approach, employers work together with employees and their representatives to bring about a reduction in levels of work-related stress.

Following this year’s theme of ‘Don’t worry take action’ HSE are taking steps to make acting on potential problems easier.

The Analysis Tool is one part of the Management Standards process and allows organisations to identify areas of potential stressors at work. The main improvement to this version is the option to benchmark against either data drawn from organisations in both the private and public sector, or the current data from the Psychosocial Working Conditions (PWC) survey 2004. The revised Analysis Tool User Manual includes a full description of the two data sets.

A brand new HSE stress website will be launched in February 2009, which will include all the latest information about the Management Standards plus an extra tool for line managers.

Source: www.hse.gov.uk

Half of small firms 'could lose everything'

Almost half of all business owners could lose their home or everything they own if their company goes under, according to new research.

The Federation of Small Businesses' (FSB) survey of 8,600 members found 49 per cent are risking everything to keep their firm going.

Many of the company owners work from home, meaning their abode is tied up in their business assets.

Following this research, the FSB has appointed a professor of small business in order to aid firms in the economic downturn.

Professor Anderson, the new academic to join the organisation's team, says the findings are worrying and another example of how small firms 'put themselves in the firing line'.

He advises companies to 'keep watching your cash flow, get to know your bank manager and give your customers value in the way that only small businesses can'.

Research released this week from insurance firm RSA found 470,000 small businesses have already ceased trading since the credit crunch began.

Source: www.smallbusiness.co.uk

Braced For Redundancies

A survey of 721 UK employers reveals that the UK economy should be braced for yet more redundancies in the year ahead, with older workers set to bear the brunt. The CIPD/KPMG Labour Market Outlook ‘Redundancy Special’ reveals that more than a quarter of employers (26%) have contingency plans to make new or further redundancies in the next twelve months in addition to those already planned.

Organisations who have already made or planned to make redundancies in the next three months are more likely to be considering further job cuts in the next twelve months. The news comes on the back of grim unemployment statistics, which show that redundancy activity has increased sharply in recent months.

Almost one in five employers say that they are going to enforce the Government’s retirement age policy - which allows UK organisations to make workers over 65 redundant without having to provide a business reason for doing so - more vigorously. The report also shows that the average cost for making workers redundant now stands at more than £10, 000.

Dr John Philpott, CIPD Chief Economist comments, “The spectre of redundancy is beginning to haunt the UK jobs market once again. Employers have held off from making large scale redundancies until recently but we are now on the verge of a torrent of bad news. The onset of recession is already putting jobs at risk but many more are in the firing line as employers consider their next move in a fast deteriorating economic situation. Hopefully, the Bank of England will help improve business confidence by continuing to cut interest rates and signaling that further sharp rate cuts are on the cards in the coming months so as to prevent a nightmare scenario for jobs.

“Ideally, employers will do their utmost to limit the scale of redundancies too. With the average cost of redundancy to employers now running at more than £10,000 pounds for each person losing their job, there is a financial incentive for organisations to hold on to staff where they can. This is obviously easier said than done in such tough times, but the business performance of organisations will be strengthened if they have the right people and skills in place to prepare them for the upturn in the economy, whenever it comes.”

Dave Conder, KPMG HR Director comments:

"Redundancy doesn't have to be the only cost reduction option for businesses during difficult times. Closing down recruitment avenues, deploying flexible resource management and simply having controls on optional spending will all help in the long run. Redundancy is sometimes a short term fix to the problems that businesses experience in a downturn. The survey clearly shows that making redundancies will cost employers on average £10,000 per head which could take several months to recoup. There is no doubt many businesses will have to look carefully at their cost reduction options and weigh up the short and long term effects to their businesses."

Key findings:

· Of the 26% of organisations who have contingency plans in place to make further redundancies in the coming year, 59% of them are planning to make redundancies in the next 3 months. In comparison, of the 73% who don't have contingency plans in place to make further redundancies in the coming year, just 13% of them are planning to make redundancies in the next 3 months.

· The majority of redundancies in both the private and voluntary/not for profit sectors are compulsory (81%) in sharp contrast to the public sector where 62% are voluntary.

· Managers and professionals and skilled non-manual workers are most likely to suffer from the redundancy cull.

· Half (50%) of organisations surveyed offer redundancy pay above the statutory minimum.

· The average cost of making an employee redundant varies greatly across sectors. The average payment in the public sector is £17,926, compared with £8,981 and £7,629 in the private and voluntary sectors respectively. The average payment across all sectors is £10, 575.

Source: Fresh Business Thinking

The Health and Safety Executive and local authorities working together

The Health and Safety Executive (HSE) and local authorities (LAs) need to continue to work together to deliver a new strategy for a safer and healthier Britain – that was the message heard today at this year’s HSE/LA partnership conference.

The conference in Manchester attracted over 250 local authority representatives. In a keynote address, Health and Safety Minister Lord McKenzie of Luton said: "To make workplaces in 21st century Britain healthier and safer we all need to work together. We expect HSE and local authorities to work with employers to help them improve the management of risk so that workers can see the benefit of safer workplaces."

Speaking at the event, HSE Chair Judith Hackitt revealed that the HSE Board is due to launch a new strategy for workplace health and safety in Great Britain in early December. HSE will initiate a consultation process in December which will enable stakeholders to comment on the strategy.

Ms Hackitt said: "The overriding purpose of the strategy is the prevention of death, injury and ill health to those at work and those affected by work activity.

"The strategy will set out to optimise the performance of the overall health and safety system. It will clarify the roles of the regulated, the regulator, the workforce and the many others who are part of the system.

"Together, HSE and local authorities will focus on key activities to ensure that duty holders manage their workplaces to assure health and safety of the workforce and the public where they are affected by work. Those activities will include providing guidance on what the law requires, taking appropriate enforcement action and alerting duty holders to new and emerging risks."

Commenting on the challenges ahead for health and safety professionals, in the 21st century, the HSE Chair emphasised her belief that Great Britain has a first class health and safety system but that there is no room for complacency. Partnership working, Ms Hackitt said, is a key element in ensuring that Great Britain remains one of the safest places in the world to work.

Cllr Geoffrey Theobald, chairman of LACORS, said: "Councils often bear the brunt of the myths and misconceptions about health and safety that exist in some people’s minds. Partnership working with HSE has enabled councils to focus on changing people’s perceptions and making them see the huge benefits for public and workplace safety that councils can deliver.

"It’s vital at this time that the partnership between HSE and councils which has proved so productive over recent years continues to flourish. In these tough times for business it is more important than ever that councils have the resources available to help ensure employers can benefit from a fit, healthy and above all safe workforce. We mustn't forget that a safer business is a more productive one."

Source: www.hse.gov.uk

How bad is it for you?

One in five companies has already been forced to make staff redundant while more than a tenth have cut the number of hours staff work, according to a poll by the Federation of Small Businesses.

More than half of small businesses have seen a decrease in trade over the past two months and one-third of owners are worried they may have to shut the company down if the economy continues to deteriorate, according to a survey by the Federation of Small Businesses (FSB).

Nationally, this would equate to 1.5m small firms ceasing trading, with unemployment soaring as a result.

According to the poll of 4,633 small businesses, almost 40% were less optimistic about the future now than two months ago while one-fifth had been forced to make staff redundant and 32% were actively considering it.

A further third was considering reducing the number of hours their staff worked while 14% had already taken this course of action. And 70% of small firms polled said they had either put a freeze on recruitment or were thinking of doing so.

The FSB has called for a 1% cut in interest rates to help ease the pressure on beleaguered business owners.

"These figures show how serious things have become for small businesses owners," said John Wright, FSB national chairman.

"The first step is for the Bank of England's monetary policy committee to send out the right message this week by cutting interest rates by 1%. This should hopefully encourage banks to lend and secure the future of millions of businesses.

"We don't want to head the way of the early 1990s when 1,000 small businesses a week were collapsing," he added.

"This can be prevented if the banks relent and release money and consumers start to spend a bit more. All this is reliant on that cut in interest rates."

The FSB has already proposed a £1bn small business survival fund be made available to small firms by the government over the next six months.

The government has announced it will secure £4bn from the European Investment Bank but the FSB wants that money to be made available through banks and regional development agencies to help small businesses survive the slowdown.

Source: www.newbusiness.co.uk

London SMEs have 'blitz spirit'

SMEs in the capital are showing the required fighting spirit to see them through these lean and trying times, according to research by advisory service Business Link.

More than half of the companies surveyed say they’re better placed to survive the ‘crunch’ than their larger, corporate counterparts; nearly three in five report plans for growth over the next 12 months.

Patrick Elliot, chief executive of Business Link in London, says: ‘Many of the businesses we spoke to cited low overheads and a loyal customer base as key factors in helping them continue to thrive. For the time being at least, London’s entrepreneurs seem to be keeping doom and gloom away from their door.’

Around a quarter of the 656 SMEs questioned are also planning to hire more staff in the next year to fuel growth, with 44 per cent aggressively seeking out new business opportunities.

However, despite the predominantly upbeat mood, around a third of the 656 small businesses questioned have reported a drop in sales.

Source: www.smallbusiness.co.uk

i-resources are pleased to announce a new, lower pricing structure

Operations Director, Jon Leighton said:

“we pride ourselves on investing in new technology and the development of new applications and as a consequence we have been able to streamline and improve our services and pass the savings onto the customer. This process has taken several months including consultation with some of our existing client base to ensure that our service did not dilute itself in any way and after initial feedback the changes have proved positive”

I-resources are an online HR and Health and Safety support and advice service specifically for small businesses. It provides a variety of online applications that ensure meeting legal duties and requirements are hassle free and time efficient.

For more information on the services provided please visit us at http://www.i-resources.co.uk

Stay at home if you're sick even in hard times, say bosses

Never mind the credit crunch, if you're feeling sick then don't come to work, with employees in the banking sector particularly reluctant to stay at home, British bosses say.

Almost three-quarters of employers said staff should stay at home if they feel ill rather than drag themselves to their desks, according to a survey of 1,000 bosses on Tuesday.

"In the current economic environment, employees may feel the need more than ever to go beyond the call of duty and work through an infectious illness," said Chris Hannant, policy director for the British Chamber of Commerce (BCC).

"But this is not the way to make a positive impression."

The BCC survey, carried out with medicine maker Benylin, found that 73 percent of bosses think employees should stay at home and recover when they fall sick, with more than four out of five believing that poorly staff are less productive.

They were also concerned about the "domino effect" where a sick employee comes to work and spreads their germs to other staff.

However a separate poll of British workers found many are worried or feel guilty about taking a day off sick, with 57 percent saying they would have to be severely ill before deciding to stay at home.

Those working in the banking sector on average took the fewest number of days off sick in the last year, followed by staff in the hotel and restaurant industry.

"Given the gap between employer and employee views, the findings suggest that there needs to be a bit more common sense about taking sick leave when you're ill and maybe employers need to spell this out more clearly," Hannant said.

Source: http://uk.news.yahoo.com/22/20081104/tuk-life-us-britain-sickness-fa6b408.html

Have Your Recruits Got the X Factor?

Recruitment specialist Pareto Law offers its top tips for identifying star talent:

The fifth series of the X Factor is now in full swing with millions of viewers tuning in to see the number of hopefuls whittled down to only one. But when it comes to recruiting the top candidates for your business, how can you identify star talent and discover who really has what it takes?

Spotting top talent is an issue for every industry. Now recruitment specialist Pareto Law, which interviews thousands of graduates every year to find the best for sales careers with brands such as Barclays and Whyte & Mackay, offers its top tips on finding candidates with the ‘X Factor’.

Attitude – How many times have you seen an X Factor contestant dazzle the judges with their vocal gymnastics only to completely ruin their chances of progressing to the next round by acting like a diva. Talent is crucial, but if your candidate has a large ego, then you are probably better off without them.

Appearance – No matter whether it’s a singing audition or a job interview, appearances create that vital first impression. Take a careful look at how your candidates present themselves – everything from the clothes they wear, and how creased they are, to the condition of their shoes, any tattoos, and piercings – they can all reveal a lot about the attitude and approaches of an individual.

Greeting – While candidates are unlikely to greet interviewers with a song, their handshake and first words are just as important as those opening notes. Assess their confidence and manner – if they come to work for you they will be representing your business so they need to come across well from the start.

Preparation – Lack of preparation is one of the most common stumbling blocks for many X Factor contestants, and the same is true for new recruits. Instead of putting in those all-important hours in rehearsals, there are always some who would rather spend a bit longer in the bar. But, make sure you have also prepared, and have questions ready to find out just how much they want the job you have available.

Pro-activity – If a contestant on X Factor has always dreamt of being a singer, you would imagine they would have taken every opportunity to get involved with singing. The same goes for a career. If your candidate tells you they would be perfect for the job, you expect them to have some relevant experience to back this up - whether it is two years, two months or even two weeks, pro-activity is key in identifying your star recruits.

Source: www.onrec.com