Nearly two-thirds (64%) of UK business decision-makers say that they are experiencing more employees asking for pay rises more frequently as a result of the hike in living costs. This is according to new research by Applaud, the leading employee experience (EX) platform.
Over two-thirds (67%) of UK business decision-makers are also seeing their employee’s voice concerns about the upcoming recession; as the UK workforce battles rising prices.
Average prices in the UK rising to 10 percent in the last 12 months alone. For many people, they are seeing no pay rise, and wages are not keeping up.
“Recessions are a scary concept, for business leaders and employees alike. Employees are worried about how they’re going to pay for soaring energy bills, as well as higher food and fuel costs. As such, leaders have to step up and reassure their workforce that they’re doing everything in their power to weather the storm,” says Co-Founder and CTO at Applaud, Duncan Casemore.
No pay rise leads to increased staff turnover
Employees are becoming restless, with half (50%) of businesses experiencing a higher staff turnover than usual.
To combat this, half (50%) of business decision-makers cited that they have increased spending on HR and employee experience technologies over the past two years. This is specifically to:
- Improve employee retention (43%)
- Personalise employee experiences (42%)
- Address the cost-of-living crisis (42%)
- Cut people-related costs (45%)
- Make information and policies accessible all in one place (45%)
HR technology can help
However, the research shows that despite implementing new technologies to bolster workplace experiences, businesses are still suffering from poor HR processes, and paying the price for it. Over half (58%) of business decision-makers say they use more than five separate HR systems, which is likely to be incredibly confusing for their workforce.
Although, despite the increased spending on HR technology, most businesses still have a long way to go. Over half (55%) of those surveyed said the time to implement and get people using the systems has been too long.
Also, a further 57 percent say some processes they had hoped to manage in the new system are still done manually. All the while, employees are suffering from using software that simply is not up to scratch, which could result in many choosing to leave the business.
Amelia Brand is the Editor for HRreview, and host of the HR in Review podcast series. With a Master’s degree in Legal and Political Theory, her particular interests within HR include employment law, DE&I, and wellbeing within the workplace. Prior to working with HRreview, Amelia was Sub-Editor of a magazine, and Editor of the Environmental Justice Project at University College London, writing and overseeing articles into UCL’s weekly newsletter. Her previous academic work has focused on philosophy, politics and law, with a special focus on how artificial intelligence will feature in the future.
