Information for Employers

Please click on the topic below for details:

• Absenteeism
• Appraisals & Career Development
• Communication
  
• Pay
• Personal Support
• Premises
• Systems
• Support and approachability
• The social side
• The Work/Life Balance

 

Virtually every business needs employees. We cannot do it all ourselves and if we did, our horizons would be seriously limited. Employing people can at times, appear to be fraught with dangers. Getting it wrong can be terribly expensive in more ways than one.

The most obvious dangers concern the law. Employment law is complex and employers can be left with the impression that it is stacked in favour of the employee. Whenever anything goes wrong, it seems that the poor old employer gets it in the neck and ends up writing a big cheque. That view, of course, is not strictly correct. It is true that there are precise procedures that need to be followed but if they are adhered to and each case is approached in a considered and consistent way, no employer should find themselves unfairly penalised by an Employment Tribunal award.

More importantly though, there is a great deal more to the employment of people than the essential matter of keeping out of the tribunals. Happy, contented staff are more productive, more considerate towards both clients and colleagues and less prone to make costly and client-losing mistakes. Happy offices attract and retain good people. If you have ever worked in an organisation that suffered a high turnover of staff, you will know how desperately debilitating it can be. New recruits inevitably take several months to settle in, so productivity suffers until they do. The cost of endless recruitment agency fees can be enormous and the unsettling effect of constant changes on the other staff can be very significant.

So what makes a good employer? We can distil it down to the following key areas:

Systems

You need a simple set of rules, consistently and firmly applied with understanding. If everyone knows the rules that apply to them at work, there is much less risk of people making mistakes or abusing the system. You may already have an Office Manual and if so, this should cover everything. If you do not have one, draw up a Staff Handbook. In this, outline your policy on everything to do with the people in your organisation and how you want them to work for you.

You will need to set out clear policies on:

• Recruitment and probationary period
  
• Remuneration: salaries, expenses, overtime etc
  
• Benefits: Pension, Private Health Insurance etc
  
• Hours of work
  
• Flexitime, if you allow this and the rules that go with it
  
• Holidays and all the rules that surround them:
  • whether you want to contain holidays at certain times of the year such as January if you have a lot of Scheduled clients and the inevitable rush to the deadline on January 31
    
  • whether you want to limit the maximum length of any holiday period at one time and how you control the numbers allowed to be away at any given time from each depar
• Policies on smoking, alcohol, drugs, internet, e-mail, telephone usage and general conduct at work
  
• Disciplinary procedures
  
• Grievance procedures
  
  • How employees can make complaints and to whom they should talk
    
  • Harassment, bullying and discrimination
• Training
  
• Promotion policies
  
• Sickness periods and other absences
  
• Retirement policy
  
• Termination:
  
  • what an employee must do if they wish to leave
    
  • what you will do when they resign
    
  • entitlement to pay for holiday allowance not taken
    
  • exit de-briefing interviews – these are a very good idea

This list is not exhaustive or complete and you need to spend a little time working out what should be on it and then what your policies are or will be. There is information on the Internet and there are many publications on drawing up the policies and procedures you need to safeguard both yourself and your staff.

You should also ensure that you have Health and Safety policies in place and that your staff know about them and comply with them.

You should undertake a Risk Assessment, which will give you a clear idea of where the weaknesses are in your organisation. How, for example, would you continue to run your business if there should be a catastrophic event, such as a fire? Are your computer systems backed up and an up-to-date copy kept off site? Do key staff have access to appropriate telephone numbers to keep the business going from home, if necessary?

As we said, if the rules are clear and if they are applied fairly and consistently, you should be able to avoid many of the stresses that can arise in offices. Above all, do remember that people all have lives outside the office. If your policies can be flexible enough to allow for your colleagues’ personal lives, you will reduce stress and will gain a lot of goodwill among your staff.

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Communications

Whenever anything goes wrong in an organisation, it can virtually always be traced back to poor communication. A badly-worded instruction or information passed on carelessly can so easily lead to errors or omissions, so the need to take real care needs to be emphasised to everyone.

But there is an equally important point here.

When people are kept fully in the picture they relax, confident that they will be consulted whenever change is being considered. Should things happen to us that come as a surprise, they may also come as a shock. We will inevitably find them highly disconcerting and possibly, actually upsetting.

We dislike change as it unsettles us. We prefer familiar and regular routines. Most of us do understand that change is inevitable and that both we and our businesses need to keep up to date with the latest in systems, technology and procedures. If we are kept “in the loop”, consulted fully, our opinions listened to and given proper consideration, we are happy to be open-minded about change, but if we are kept in the dark, rumours spread that can paint the worst possible scenario and the entire organisation is de-stabilised. Productivity falls as people speculate anxiously in the office kitchen, imagining things that may not even be under consideration. Stress levels rise, possibly without reason.

Good management is open and communicates freely. The more staff know and above all, the more they feel their opinion goes into the decision-making process, the more likely they are to support the results.

E-mail can be invaluable in this respect but be careful. A hastily written e-mail may be poorly worded and can fuel fear rather than allay it. E-mail is also cold and cannot assess the response of the recipient. When we talk, we send and receive many unspoken signals: a look in the eye, an expression, body language, smiles, nods and so on that tell us a very great deal about how we are being received. We can adjust the message to suit the response we are getting. E-mail allows for none of that.

So communicate, listen to your staff and take their opinions on board. When you reach your decisions, explain them and win support for them, don’t simply force them onto your staff. If you have something to convey that needs sensitivity, it is usually better done face to face.

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Support and Approachability

A major cause of stress in the workplace is the feeling that we lack support, that no-one understands the pressure we are under and that no one cares. We may also feel that there is no-one to go to if we need help or advice.

People do not like to acknowledge that they cannot cope. They are reluctant to admit to weakness and feel that their futures may be threatened. As a result, they struggle on, overloaded and perhaps trying to deal with work for which they are inadequately qualified or experienced. Risk management goes out of the window and the danger of costly errors rises.

Poor managers are too busy. They fail to delegate and so take too much work upon themselves. They then have no time for subordinates and, being under pressure, will often waive them away when they approach. They also fail to communicate with their staff and so do not pick up on problems until they become serious and damaging to the firm.

Good managers make themselves available. They put time into building good working relationships with their team and they understand that delegation is a powerful tool and that those to whom work is delegated, will often feel trusted and pleased. They can see that it is the performance of their whole team that matters and not only the work that they do themselves.

By making themselves available to their team, they provide the support and assistance that results in an efficient, well-run and productive unit.

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Personal Support

People have problems. Few of us go through life without being affected by painful, stressful events of one kind or another and good employers will actively look to support their staff at such times. Partners and departmental heads will often say they have an ‘open door’ policy but all too often they merely pay lip service to the idea. When someone really is in trouble, they are too busy or too distracted to provide anything of value. Good Managers will have a genuine concern for their staff and will want to see what they can do to help, pushing work to one side so as to give full attention to a troubled member of their team. In return they will earn a loyalty that will reward them fully.

Don’t forget that you need policies to deal with serious problems, such as problems with alcohol. In such cases, the best employers will be fair but firm. They will give all the support they can but on the clear and strict understanding that the employee accepts professional help and sticks to the programme decided upon. By being caring and compassionate without being a soft touch, you will not be taken advantage of.

The word ‘stress’ is mentioned more and more with regard to work. It is essentially an overload, a situation in which we are faced with more volume or more pressure than we can handle, often both. It can lead to actual physical symptoms such as chest pains and breathlessness and a very real feeling of being unwell. Productivity always drops heavily, leading to feelings of inadequacy as the pressure builds further and becomes unbearable. Indeed, feelings of guilt and of low self-esteem frequently accompany stress, despite the fact that the employee’s commitment is all it could be expected to be.

Good employers work closely enough with their staff to spot the signs long before they start to do damage. They spend time with their staff, taking care to see for themselves how each is coping and making sure that workloads never go beyond ‘challenging’. They make sure that staff work sensible hours and if anyone begins to work late regularly, they find out why. They know that stressed people do not produce high quality work and that their health is at stake. Care must be taken to make changes before anyone begins to suffer.
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Appraisals and Career Development

If we know exactly what is expected of us and how we are measuring up, we are far more contented and motivated than if we work in a sea of uncertainty. Good appraisals are positive, constructive, avoid criticism and focus on the future. They re-visit the findings after three months or so, to ensure progress is being made on the decisions taken and they allow the upward flow of constructive feedback, so that senior people find out how their staff see their performance.

Pay

Surveys have been done to discover why we all go to work. There are many reasons but perhaps surprisingly, money features quite well down the list. People need to enjoy what they do, to work with people they like and to feel that their employer is fair, reasonable and appreciative. They see their pay in that light and provided it is fair and makes them feel valued, they do not always expect to be paid the highest salary.

Performance pay can be motivating and is seen as a just reward for effort and success but targets have to set carefully. Too high and they can be highly de-motivating which can in turn be stressful, whilst too low and they can lead to false expectations. It is not surprising that many firms believe that regular salary reviews, discussed openly with individuals and focusing on the commercial contribution each is making is the best policy.

Premises

When we go to work we need to be comfortable. A good employer takes care of staff and does everything reasonably possible to ensure their comfort and safety. Many firms resent spending money on décor or furniture and yet a bright, cheerful office will impress clients and put employees in a much better frame of mind. Poor lighting or ventilation, old and uncomfortable furniture, worn out carpets or tatty décor will be depressing and after all, who wants to go to work every day in a good suit only to return home feeling grubby?

This is also a key element in the marketing mix. Stressed employees are bad enough, but who wants to be seen by clients as scruffy cheapskates, living in the past and apparently doing so badly that they cannot afford to replace the carpets or buy decent furniture?

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The Social Side

The expression “Those that play together stay together” was written for couples but applies as well to working teams. An ideal working relationship needs an element of closeness and mutual support and this is strengthened when your staff do things together outside work. What they do is not important as long as they enjoy it. Good employers will encourage such events as well as helping with the cost. It is worth it.

Absenteeism

You can control this. Back-to-work interviews are helpful after periods of sickness so that the individual sees it being taken seriously. Note the cause and the treatment undertaken on their file – it will be valuable in dealing with a malingerer but may also enable you to spot an issue at work that may be the real cause, for example, bullying or excessive pressure. Keep good records so that anyone who is only ever sick on Mondays can be dealt with, sensitively but firmly. Remember always to keep an open mind rather than simply assume that someone is being lazy. Above all, keep in control but remain receptive and supportive.

The Work/Life Balance

Some firms have a ‘long hours’ culture where anyone seen leaving before 7.00 pm is frowned upon and seen as lacking commitment. When considering the contribution of individuals, too much emphasis is placed upon the sheer number of hours put in.

This is a real mistake. Happy, well-balanced staff are more productive and make better judgements than over-worked, stressed staff. If you work your people half to death, you will lose them and may face an employment tribunal as a result – employers have a duty of care to their staff and fail in it at their peril.

Your assessment of an individual should be based on the quality and the quantity of the work they do, their productivity and their contribution to the future of your business, not on the hours they work. If there is a problem, the first question should be “How can we help this person to achieve more?”

Good employers get good staff and so run good businesses. The opposite is just as true. The effort needed to do it right will be well rewarded. It is worth it.

If you are starting your own business, you can use the Institute’s link to Fact sheets on Starting in Practice, letters of engagement etc.

http://www.icaew.co.uk/

There are web-sites that provide very useful information on drawing up Staff Handbooks together with publications that provide guidelines and formats that you can use for your own business.

If you have a particular employment issue within your own practice or workplace which is causing you concern, please contact the 24 hour telephone helpline t on 0800 107 6163. Your call will be treated in strict confidence.

Stress Awareness Training is available to all Chartered Accountants and their dependants. For more information, visiting the training page of the website or contact us by e-mail on training@caba.org.uk or telephone CABA on + 44 (0)1788 556373.