Many employers in the UK are still adjusting to the long-term effects of the Covid-19 pandemic five years after the first lockdown on 23 March 2020 according to the CIPD, the professional body for HR and people development.
The pandemic impacted businesses and individuals in multiple ways – including health concerns, job losses and business closures. However, it also accelerated changes such as greater flexibility in working arrangements and the wider adoption of technology for collaboration.
Since then, economic uncertainty, the cost-of-living crisis and ongoing workforce challenges have added further pressure on employers.
Impact on Workplace Practices and Employee Attitudes
The CIPD notes several key trends in how working practices and employee attitudes have evolved since the pandemic. Flexible working has increased, with 60 percent of UK workers having flexible arrangements in 2023, compared with 54 percent in 2019.
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Hybrid working has also become established, with 41 percent of organisations having formal hybrid policies and 24 percent allowing hybrid work on an informal basis. Only 9 percent of employers do not permit hybrid working at all.
Despite these changes, employee engagement has declined. A 2024 CIPD survey found that 47 percent of employees see their job as being “just about the money”, compared with 38 percent in 2019. Similarly, the proportion of employees willing to work harder than required to support their employer has fallen from 57 percent in 2019 to 51 percent in 2024.
Peter Cheese, chief executive of the CIPD, said this is part of the ongoing impact of the pandemic.
“The pandemic may be over but its after-effects are not. Many individuals are affected on a day-to-day basis by long Covid and the pandemic’s lasting effect on mental wellbeing and flexible working practices and wellbeing support in organisations are important.”
Balancing Flexibility, Productivity and Workforce Engagement
The CIPD is urging businesses to remain open to new ways of working and to use evidence-based approaches to workforce management. Cheese noted that many employers are still searching for a “new norm” in hybrid and flexible working while also balancing productivity, collaboration, attraction and retention.
He also pointed to broader labour market challenges, including increased economic inactivity. Government initiatives such as “Get Britain Working” and “Keep Britain Working” aim to boost employment rates, but he stressed that businesses must play a role in addressing these challenges.
“As has become clear, many more people are economically inactive than at the start of the pandemic and employees are increasingly more likely to view work as ‘just about the money’, which is concerning for engagement and productivity.”
The Role of Employers in Workforce Planning
The CIPD advises businesses to use data and workforce evidence when evaluating working arrangements. Any changes to hybrid or remote work policies should be based on a clear business rationale rather than assumptions. Employers should also consider offering flexible options beyond hybrid work, such as flexitime, compressed hours, job-sharing and term-time working, particularly for frontline employees.
To address declining engagement, the CIPD recommends investing in skills development, training for line managers and fostering positive workplace cultures. Cheese urged employers to continue the adaptability and innovation they showed during the pandemic as they navigate new workforce challenges, including skills shortages, inflationary pressures and the impact of AI.
“There will be no one-size-fits-all solution to these challenges. Employers should continue to embrace the curiosity and openness to new approaches they showed at the height of the Covid crisis to address emerging issues as the world of work continues to shift,” he said.
