As we begin the new year, employers are grappling with numerous challenges such as the cost of living, staff wellbeing, hybrid working and economic headwinds.
Hybrid working has a number of benefits for staff and businesses – it can boost productivity, improve employee wellbeing, help to retain staff and reduce premises costs as not everyone needs a dedicated desk in the office. However, hybrid working can be difficult to manage. It requires a bit of extra coordination to ensure everyone feels included, that clear expectations and deadlines are set for both home and office working, and all employees are taking regular breaks and keeping to their regular hours.
To manage any potential issues, employers should have a written hybrid working policy which sets out clear expectations of staff when they are working from home. Managers should ensure that they regularly catch up with remote workers and any performance matters should be recorded on a regular basis, in a format that is set out in the hybrid working policy.
Employment contracts should also clearly state any expectations around attending the office on “connect days”, etc. so that everyone is clear on what is required.
Cost of living and staff wellbeing are issues that are often interlinked. If your team are stressed or have worries about whether they can cover their electricity, mortgage, heating or other bills, their performance at work will likely deteriorate. While it may not be possible for all businesses to increase wages, it may be worth considering putting assistance schemes in place for their employees who are struggling with the cost of living.
Economic headwinds are another key trend for 2023. Large international tech businesses are cutting back and thousands of jobs have been lost at firms such as Twitter, Meta, Coinbase, Amazon and Snapchat. Businesses in other sectors may start to struggle as the economic environment worsens due to high inflation, higher borrowing costs due to increased interest rates, the global semi-conductor shortage and other factors that are affecting the UK and the wider global economy. 2023 looks set to be a challenging year, but it may also present employers with an opportunity to rethink their strategy and change course accordingly.