Business case - Recruitment & retention

There is intense pressure on employers to retain their most productive employees and to attract new talent from the widest possible pool. In 2002, 69% of organisations experienced recruitment difficulties.

Companies who develop work-life balance policies taking these factors into account are likely to have the competitive edge:

• The DTI revealed 49% of companies surveyed found work-life policies had a positive effect upon recruitment .

• Graduates are interested in CSR track records:
  • Graduates value corporate social responsibility (CSR), putting pressure on companies to brand themselves as good work-life employers - see the joint Future Foundation / Work Foundation research.

• Fathers want more time with their families:
  • A TUC report revealed that almost two-fifths of fathers would prefer to work fewer hours, with two-thirds saying spending more time with their family was the reason.

• All employees are interested in good work-life policies:
  • 37% feel that the only way they can get their work life balance right is to give up work, change jobs or reduce their working hours.

  • A DTI poll of 4,000 job seekers revealed that 33% would prefer to work flexible hours rather than receive an extra £1,000 a year.

  • 70% of job seekers want to work more flexibly.

  • 46% chose flexible working as the benefit they would most look for in their next job.

• Labour turnover costs are prohibitive:
  • The labour turnover for all employees stood at 16.1% in 2003.

  • The average cost of labour turnover in 2003 was £2,500 per leaver.

  • Turnover among managers cost an average of £5,000 per leaver.

  • 66% of organisations feel that turnover has a negative impact on their organisation.

  • BT’s work-life balance policy created a £3m saving in recruitment costs in the year to March 2003 since 98% of women returned after maternity leave. More…

• Working parents need more support:
  • Working and Caring in London 2002 found that 92% of parents believe that employers should be offering more practical support to help meet the demands of work and caring.

  • Eight out of 10 people had difficulty fulfilling family duties and household tasks.

  • According to the DTI, supporting working parents had a positive affect on the following:
    • 79% on performance
    • 75% on labour turnover
    • 73% on employee motivation
    • 72 % on commitment.

• .Parents want to maintain their careers:
  • Four in 10 fathers in the UK work more than the 48 hours per week legal ceiling, compared with two in 10 fathers in the Netherlands and in Sweden.

  • One in 3 mothers say they have had to downgrade their career expectations as a result of having children.

• Eldercarers want recognition for their responsibilities:
  • One in 10 employees care for older people in an informal capacity.

  • Lack of openness exists about eldercare in comparison with childcare.

  • Eldercarers use policies that do not publicly identify them as carers, such as annual leave entitlement.

• Women in particular want flexibility to help with their dual responsibilities:
  • Even when employed full-time, women still bear the overall responsibility for running the home and looking after children.

  • 92% of non-working mothers said that flexible working arrangements would be essential or important in helping them back to work.

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