HR News Roundup - November 2024

Welcome to our November Roundup! Coming up for you this month we have a summary of the UK Budget changes impacting HR. We’ll also touch on employee benefits, financial wellbeing, the top employee experience trends for next year, and look at the highlights from the CIPD annual conference. As always, we’re here to help, so if you read anything you’re unsure about or you would like HR advice and guidance, call us on 0161 941 2426.

There’s a lot to take in so get comfy and let’s begin... 

Budget summary

Chancellor Rachel Reeves has asked UK businesses to bear the cost of £25bn in tax rises by increasing Employer National Insurance Contributions (NICs) by 1.2% from April 2025. The secondary threshold will also be reduced to £5,000 from £9,100 further increasing the tax burden. This means employers will have to pay NI at 15% on salaries above £5,000 from April.

However, small businesses will be protected through increasing the Employment Allowance to £10,500 from £5,000 and removing the £100,000 cap. This means that businesses can employ up to four National Living Wage workers full time without paying employer National Insurance on their wages.

Alongside the NIC rise, increases in the national minimum wage and national living wage were announced:

• Legal minimum wage for over-21s will rise from £11.44 to £12.21 per hour from April

• Rate for 18 to 20-year-olds to go up from £8.60 to £10, as part of a long-term plan to move towards a single adult rate.

CIPD response to Budget

Watch this video response to the recent Budget from the CIPD’s Head of Public Policy, Ben Wilmott. He talks about the additional pressures on businesses to raise productivity and profits in order to meet the costs of the changes announced in the Budget as well as the Employment Rights Bill.

What was missing from the Autumn Budget?

As the Budget news settled, HR Magazine asked HR professionals what they believe was missing from the Chancellor’s statement. Support for small businesses, skills and innovation, funding for training, employment protection measures and support for mental health and wellbeing were amongst the suggestions put forward.

How will the UK Budget impact your business? For expert HR advice on legislation changes and the implications for your business, call us on 0161 941 2426.

Highlights from the CIPD annual conference

The CIPD annual conference took place in Manchester earlier this month. Key themes included the use of AI in the workplace, managing difficult and pessimistic people, stress awareness, and taking a skills-based approach to people planning. The event culminated with a keynote from Countdown’s Susie Dent MBE who spoke about the power of precise language to foster relationships and have more influence at work. You can catch up on the conference highlights here. 

 The role of people professionals in tackling barriers to good work

The CIPD Trust has launched its annual impact report highlighting the Trust’s work on reducing barriers to employment and workplace inclusivity. The report focuses on progress and positive impact the Trust has made on their three key goals:

• Improving access to meaningful work

• Shaping better workplace practices, and

• Fostering a fairer, more prosperous society.

Participants and mentors reported outcomes including acquiring new skills and knowledge, and feeling more confident and better equipped in their role. Read the report and find out more about the work of the CIPD Trust.

Almost 6 in 10 employees would leave their job for better benefits

A report by technology provider Zest has highlighted the role of an employee benefits package in attracting and retaining top talent in the workplace, especially in the 18-34 age bracket. Benefits such as a pension, private healthcare and retail discounts now play a significant role in an employee’s decision to join a company. Almost two-thirds of employees say benefits are important when choosing an employer and financial benefits are at the top of the list. This comes as the Association of British Insurers reveals that a record 4.7 million people in the UK are covered by private medical insurance through their employer. Take a look at Zest’s report findings.

Does your employee benefits package give your business a competitive advantage? Talk to one of our HR Consultants to find out how we can help. Call 0161 941 2426.   

How to weave financial wellness into workplace culture

Whilst on the topic of financial support, HR News shares some interesting tips on how to integrate financial wellbeing measures seamlessly into the workplace. Suggestions include personalised counselling and utilising technology to help with budgeting and setting financial goals. The article also highlights the importance of measurement in implementing new employee benefits and initiatives.

Top employee experience trends for 2025

Survey provider Qualtrics is looking forward to next year already! They surveyed 35,000 people across 23 countries to ask how they feel about various aspects of workplace experience.

The results are in and the top five UK employee experience trends for 2025 are:

• 2025’s best employers will make work less chaotic

• Young employees are (surprisingly) optimistic…for now

• Employee experiences are being ruined by entry and exit

• Prioritising short-term gains are costing you long-term trust

• Your people are outpacing you on AI

Visit HR Director for the full run-down on each of these trends. 

Majority of employees unable to switch off from work

As the Government decided against including the ‘Right to switch off’ in the Employment Rights Bill, new research suggests that the line between work and home life is becoming increasingly blurred. A study by Robert Walters found that 70% of UK professionals struggle to switch off from work and 29% struggle to sleep as a result. The data demonstrates the importance of having HR policies in place to promote boundaries, protect employees’ personal time and reduce the expectation of ‘being available’ outside of working hours. This is of particular importance as more businesses move towards flexible, hybrid and remote working models.

How do you ensure your team disconnects from the pressures of work? Do you set boundaries to protect your employees’ mental health and wellbeing? This is a subject we’re passionate about, please ask us if you need HR advice and guidance.   

And finally...

Friday is the happiest day to work from the office!

If you’re considering implementing or revisiting a flexible working solution, it might be useful to know that 28% of people feel happiest working from the office on a Friday, with Monday and Wednesday drawing in second place. On the flip side, Thursday is the least popular day to be working from the office. 

Why are we sharing this People Management article? Happiness at work is an important factor in both productivity and engagement and part of a positive workplace culture. In fact, happiness can increase productivity by up to 13%. If your team is excited about coming to work they’re more likely to perform at their best when they are there, and be motivated to stay for the long term. There’s a reason we call it the ‘Friday Feeling’!