Storing and using people data

Do you have any idea how much employee data you collect and store every year? HR departments across the UK are responsible for collecting, processing and storing a multitude of people related information, not just about current employees, former and prospective employees too. That’s a whole load of data!

So how organised is your employee data and how do you currently keep track of it? You’ve probably got a few spreadsheets, maybe some filing cabinets filled with hard copy documents, and perhaps you’ve taken a step towards managing some of your data using online systems (for which you’re always forgetting your login).

Wouldn’t it be easier if you could keep all those people records in one place? Somewhere that’s easy to use and access. When someone asks you for information or to provide a report there would be no more scrabbling around trying to find the right dataset, you could access everything you need at the press of a button.

If this is a familiar scenario, we have a clever solution that you might be interested in. But first, let’s explore the practicalities of collecting and storing people data, why employers have to do it and how you can use the information to support business improvement activity.

What are the legal requirements of storing people data?

UK companies have a legal obligation to store people data, with different storage limits for different types of records. Payroll information and mandatory training records such as fire, health and safety, and first-aid course certification have to be kept for six years, whereas working time records like recording holidays and time off for dependents must be kept for only two years. If you’re unsure how long to retain information, take a look at this CIPD factsheet for guidance.

Why do we collect people information?

The more you know about your people, the better your workplace culture will be.

Aside from the legal requirement to retain information for reporting purposes, employee data can be used to:

• Help organisations solve challenges, inform decision making (e.g. organisational change) and understand the people impacts of decisions already taken.

• Identify trends to improve workforce planning (e.g. peak holiday periods, retention issues). You could also use it to identify who isn’t taking their holidays to address possible health and wellbeing issues.

• Get closer to your employees, profile them and understand their needs and behaviours to engage and retain them within the organisation.

• Find people who are the right fit for your organisation and culture using data as a basis to recruit and attract new employees.

Types of people data organisations collect

The data you might collect about your employees falls broadly into four categories:

Recruitment

We collect plenty of paperwork and information during recruitment, such as job application forms, CVs, ID documents, proof of qualifications, work experience and employer references.

General personal information

Key personal details and private information such as home address, date of birth, next of kin, pension records, national insurance details and financial data for payroll, which all needs to be stored securely.

Performance management

Every organisation stores recognition, reward, appraisal and disciplinary records for each employee, along with salary and benefits information and working time records such as sickness, absence and holidays.

Talent management

Details of personal development and training completed, length of service data, and details of maternity, paternity or adoption leave taken.

Information security is paramount

Every UK employer has data protection responsibilities. The UK Data Protection Act 2018 states that all personal data collected must be stored safely and securely. It’s essential to check that all online systems you use, whether locally hosted or cloud-based software, have the requisite security measures in place.

Using people dashboards

Access to an online HR portal is useful for all levels of management and employees. Managers can quickly access the information they need to manage their team’s performance, training and engagement. People in HR have data at their fingertips to analyse trends and generate reports quickly and share information with those who need it.

From an employee perspective, the ability to self-serve can make tasks simpler. Tasks like updating your address when you move house, booking holidays, recording sickness and absence, and maintaining performance review documentation becomes a whole lot easier.

Linking employee related data to business KPIs

It makes sense to collect people data that’s clearly linked to your organisational goals and Key Performance Indicators (KPIs). HR data should give business leaders the information they need to drive business growth, make major decisions, and help the business achieve its objectives. You may use people data to:

• Identify skills gaps and training needs

• Analyse workforce diversity and characteristics

• Assess core competencies

• Plan holiday cover

• Remind managers to celebrate birthdays, anniversaries and long service awards

• Establish fair pay and reward practices

• Analyse the success of recruitment campaigns, and

• Manage future recruitment and succession planning.

Access to a HR dashboard can help business leaders to make more informed business decisions and set KPIs based on actual data - because the data is far more accessible when you don’t have to trawl through multiple spreadsheets! As a HR team you should consult with your leadership team to establish the top level data they require to support business KPIs as well as meet your own HR objectives.

How we can help

MyHR is an ultra-secure, state-of-the-art cloud based HR system designed to keep all your employee data in one place. Available as part of our Admin service, it’s a great tool for proactive and good business management. It gives HR teams, people managers, leaders and employees instant access to employee data anytime, anywhere. Managing, viewing and reporting on data is straightforward via an easy-to-use dashboard.

MyHR helps you to collect people data seamlessly and store it in a central, secure, online platform. The system lets managers create people ‘to do’ lists so they know whose birthday or work anniversary is coming up. Future updates for 2023 also mean employees can keep track of their own data and request holidays using an app.

MyHR comes with a one-off set up fee with training included. And the licence fee is calculated on a headcount basis, so you’re only ever paying for the size of system you need. You also get free automatic upgrades throughout the term of your licence. Contact us to take a free online demonstration and experience the benefits for yourself.

Further support

If you have any questions about MyHR or would like to discuss how to integrate a people dashboard in your organisation, please call us on 0161 941 2426 or email charlotte@p3pm.co.uk

For further reading, take a look at GDPR and data security and Data Subject Access Requests, or download our free eBook - Big Data and HR Analytics.