4 Key Trends Autumn UK Reward Management Survey

Our UK Reward Management Survey is live and there is still time to contribute your views for our autumn edition. The survey is designed to provide you with an accurate picture of the latest activity in the HR and reward world. This is the first time we will be exploring employee benefits. We continue to track current practices and topical concerns, including the gender pay gap. We hope you’ll take ten minutes to contribute your experience and views so that we can continue to capture and build upon trends from the last nine years. We wanted to share with you the following four key emerging trends.

Business activity projections for 2019

The survey captures the usual pay and bonus trends for the year. Whilst the past few years have captured a cautious growth story and reflected the slowed economic growth that has dominated the last decade, business activity headlines are starting to show signs of projected growth in relation to order books, business revenues and business profitability. Businesses are indicating that if Brexit can be negotiated successfully, just over half of organisations expect their activity levels to increase over the next twelve months.

Pay reviews and out of cycle pay reviews

In keeping with the positive outlook for business, the most common pay budget for 2018 was three per cent based on the data from respondents so far. Respondents anticipate that they will maintain this level of pay increase for 2019. Our survey explores the key drivers behind this, which potentially includes targeting high performing people, external relativities and core roles. The picture of pay reviews is also being scrutinised throughout the year. The rise of out of cycle pay increases is a trend that we have been tracking recently. They came to our attention as some employers faced constrained wage growth budgets which struggled to match inflation and address the associated recruitment and retention challenges. Out of cycle pay reviews vary from none being granted to as high as six per cent. Our survey report will explore the reasons behind these additional wage increases that skew the true picture of wage growth.

An increasingly creative approach to benefits

Recognition schemes are increasingly seen as important. Voluntary and flexible benefits feature high on the HR agendas of respondents. The majority of respondents so far have said that they have reviewed benefits in the last year. This is beyond a review to ensure that HR teams are receiving value for money from their providers. HR teams have reviewed the actual system itself, signalling its increasing importance in the picture of recruitment and retention. Their importance go beyond financial, covering tokens of appreciation to the workforce. In sectors where traditional benefits covering cash, base salary and allowances have been valued for years, HR teams are realizing that they need to be more flexible to bolster their recruitment and retention. A focus on employee wellbeing and volunteering alongside promoting work-life commitments through generous maternity and paternity packages are increasingly valued by employees.

HR agendas continue to tackle gender pay and wider equality issues

More organisations (76 per cent) are measuring than are required to report (70 per cent), suggesting that more companies are monitoring their employee statistics to be aware of equality issues arising throughout their organisations. The gender pay reporting requirements have been widely seen as a success in highlighting the importance of diversity in organisations. In order to build on this progress towards closing the gap, companies with more than 150 employees could soon be asked to comply with the reporting requirements.

Take part to receive a free report and sector analysis

To find out more about the key HR and reward challenges facing organisations over the next 12 months, how they are responding to their gender pay reporting results and the likely shape of HR budgets over the next 12 months. The whole survey should take 10 minutes to complete and you will receive a free report of the results when they are published in November. Subject to participation, there will also be additional sector analysis reports created that compares your industry against the general market.

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& Design

Employee Engagement

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4 Key trends emerging in our autumn UK Reward Management Survey

Business activity projections for 2019

Pay reviews and out of cycle pay reviews

An increasingly creative approach to benefits

HR agendas continue to tackle gender pay and wider equality issues

Take part to receive a free report and sector analysis

Our commitment to confidentiality

Tim Kellett

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