We round up the latest employment news.
EHRC launches short consultation on preventing sexual harassment
The Equality and Human Rights Commission (EHRC) has initiated a consultation on its updated guidance for preventing sexual harassment in the workplace. This follows the introduction of the Worker Protection (Amendment of Equality Act 2010) Act 2023, which will come into effect on Saturday 26 October 2024. The new Act imposes a positive legal duty on employers to take reasonable steps to protect their employees from sexual harassment.
The EHRC's updated guidance includes information on this new preventative duty and reflects recent case law and amendments to the Equality Act 2010.
The EHRC wants feedback from employers (and others) on whether the updated section explaining the preventative duty is clear and will help them to comply with their legal requirements. The responses can be sent via email to PDguidanceconsultation@equalityhumanrights.com. The consultation closes on Tuesday 6 August 2024.
New Code of Practice on dismissal and re-engagement comes into force
The Department for Business and Trade (DBT) has officially implemented the statutory Code of Practice on Dismissal and Re-engagement. Effective from Thursday 18 July 2024, this Code outlines employers' responsibilities when altering contractual terms and conditions of employment. It emphasises that dismissal and re-engagement should be a last resort.
New law to tackle assaults on shop workers
The government is expected to change the law to make assaulting, threatening or abusing retail workers a standalone crime under its Crime and Policing Bill. Retailers have been calling for more action to protect their staff amid a rise in crime. British Retail Consortium analysis shows that violence and abuse against shop workers rose to 1,300 incidents a day last year, with incidents against staff up by 50% in the year to September 2023.
Four-day work week trial in local authority improved retention and productivity
A recent study on the four-day working week trial at South Cambridgeshire District Council has shown significant improvements in employee retention, job satisfaction and productivity.
The study revealed that staff turnover decreased by 39%, saving the council £371,500 in recruitment costs over a year. Additionally, there was a 53% increase in applications for externally advertised roles. Academics from the Universities of Cambridge and Salford found enhanced performance in 11-out-of-24 areas, along with improvements in the motivation and physical and mental health of staff.
The trial was heavily criticised by the Conservative government, who threatened to take legal action to prevent the council going ahead with it.
Second four-day week trial due to start in November
The 4 Day Week Campaign and Timewise have partnered to launch a second four-day week pilot in the UK starting in November, following the successful outcome of the 2022 trial. It aims to persuade the government to consider changes in how people work and anticipates publishing its results in the summer of 2025.
Co-op first retailer to publish its socioeconomic pay gap
The Co-op has published its first socioeconomic pay gap report, highlighting the difference in pay between staff from different socioeconomic backgrounds.
The report collected voluntary data from 48% of its 57,000 employees across the UK between April 2023 to April 2024. It reported a pay gap of 5.2% between employees from lower and higher socioeconomic backgrounds, with those from a lower socioeconomic background being less likely to progress into more senior positions. Women from lower socioeconomic backgrounds experienced the biggest pay gap.
Co-op has called for the government to make socioeconomic background the tenth protected characteristic under the Equality Act 2010.
ECHR publishes 2025-28 draft strategic plan
The EHRC published its 2025-2028 draft strategic plan in July 2024 which identifies three areas it wishes to tackle:
The EHRC will address sexual harassment in the workplace by:
- Improving pay and employment gaps for women, disabled people and ethnic minority groups
- Addressing barriers to participation in the workplace for disabled people, including issues related to reasonable adjustments
- Focussing on the disproportionate levels of discrimination, harassment and victimisation experienced by workers with certain protected characteristics (including ethnic minority groups)
- Addressing the rise of insecure employment, and the discrimination risks associated with technology advancements and the increasing prevalence of home and hybrid working arrangements
It will help foster participation and good relations by:
- Considering the discrimination and privacy issues arising from the use of artificial intelligence and tackling digital exclusion
- Looking at social tensions arising from polarised discussion of equality and human rights issues and the associated risk to freedom of expression if the expression of some views is prohibited
And it will enhance justice and the balance of rights by:
- Seeking legal clarity around issues where there may be tension between the rights of two or more groups (for example, in relation to sex and gender or matters of religion or belief.
Acas releases annual report for 2023-2024
The Advisory, Conciliation and Arbitration Service (Acas) has published its annual report for the period from 1 April 2023 to 31 March 2024. Key highlights include:
- Acas handled 618 collective conciliations, achieving a 94% settlement rate, with pay disputes being the primary cause
- There were 33,500 individual conciliations, with 72% resolved before reaching an employment tribunal
- The Acas website saw over 17.9 million visits, and the helpline received 578,463 calls, with discipline, dismissal, and grievances being the top topics
Half of UK workers impacted by caring responsibilities
A recent Bupa report reveals that 51% of the UK workforce have had their careers adversely affected because of the need to take time off to care for family members. The survey of over 8,000 UK adults also found that 40% of millennials (aged 25-44) and 25% of women were particularly impacted by their caring responsibilities.
Many workers used their holiday allowance and/or took days off sick to manage their responsibilities, with millennials taking an average of six sick days per year for this purpose.
The results emphasises the need for employers to adopt flexible working and family-friendly policies to support employees successfully balancing work with their caring responsibilities.
Survey highlights AI skills gap
A recent report by consultancy firm BCG reveals a significant AI skills gap between business leaders and frontline employees. The survey, which included over 13,000 global respondents, found that 50% of business leaders had received AI training, compared to 30% of managers and 28% of frontline employees.
The report highlights that improving AI literacy among non-tech workers and paying for this training is a key challenge for businesses over the next five years.
Another report finds that homeworking increases productivity and wellbeing
A recent report by Employment Hero called "The State of Wellbeing at Work" reveals that fully remote workers in the UK are both happier and believe they are more productive than their in-office or hybrid counterparts. The survey, taken from over 1,000 employees from various age groups, found that:
- 67% of fully remote workers rated their productivity as high, compared to 54% of hybrid workers
- 59% of fully remote workers said they have time to relax compared to 46% of those working fully in an office
- 57% of employees who had worked entirely from home over the last three months said that their work/life balance had improved, compared to 44% of hybrid workers, and 38% of those working entirely on-site or in an office
Half of neurodivergent workers feel recruitment processes are unfair
A recent survey by inclusion consultancy Pearn Kandola reveals that nearly half (48%) of neurodivergent employees in the UK feel that they are treated unfairly when applying for and being interviewed for jobs. The survey, which included 601 neurodivergent employees, highlighted concerns about bias, negative attitudes, and processes designed with neurotypical assumptions.
The report recommends that employers:
- Train hiring managers to prevent unconscious bias affecting their decision making
- Offer support to neurodivergent people; and
- Make appropriate adjustments.
Support for AI in employment background checks
A recent study by HireRight reveals that 95% of organizations in Europe, the Middle East, and Africa (EMEA) are comfortable with using AI or automation for undertaking employment background checks. The 2024 Global Benchmark Report, which surveyed 1,250 HR, risk, and talent acquisition professionals, highlights that EMEA companies are more open to AI in screening processes compared to their counterparts in North America and Asia.
Key benefits cited by respondents include reducing human error (83%), speeding up the screening process (79%), improving candidate experience (64%), and cost savings (48%). The report emphasizes the importance of transparency and human review to mitigate potential bias and ensure fair hiring practices.
The report also notes that employment verifications and education credential checks are the most common areas where discrepancies are found in EMEA and APAC, while undisclosed convictions are more frequently discovered in North America.
Read more – July 2024
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