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Work Life balance. Autumn semester 2010. What is WLB?. being aware of different demands on time and energy having the ability to make choices in the allocation of time and energy knowing what values to apply to choices making choices. Striking a balance.
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Work Life balance Autumn semester 2010
What is WLB? • being aware of different demands on time and energy • having the ability to make choices in the allocation of time and energy • knowing what values to apply to choices • making choices.
Striking a balance • For employees: Different individuals will have different expectations and needs at different times in their life • For customers: Organisations need to respond to the demands of their customers if they are to continue to be successful • For organisations: Organisations need to be able to manage costs, maintain profitability and ensure that teams work effectively together.
Why the change? (1) • Changing structure of working population • In full- or part-time education until oldermore of us are opting to retire earlier • UK: Largest growth in labour market participation 1990-2000 = mothers with young children • UK: 66% of the increase in population 2000-2025 because of immigration • Generation Y (born 1978+): Look at an organisation’s track record on corporate social responsibilityNot afraid to negotiate flexible working
Why the change? (2) • UK: 22.5 m +people in service sector just 4.6 million in manufacturing • Intensity of work has increased: average working hours are shorter, but work is carried out fasterAffects all EU countries, all industries, all occupational categories. • Changes in technology (IT and telephony:Give employers more flexibility in how ask people to work80% of managers: virtual working (e-working) = key business issue
Why the change? (3) • 24/7 culture - Customers expect service at times that suit them • More and more people have to juggle responsibilities at home and in the workplace • Surveys show two concerns that emerge most frequently:- are long hours- work intensity
Why the change? (4) • ¾ say they are working very hard; many say working as hard as they can, not imagine being able to work any harder. Many people find that work gets in the way of non-work commitments • 1/5 take work home almost every day • Technology means many are continuously accessible, but at what cost? • 1/3 partners of people who typically work more than 48 hours a week feel negative effect on personal relationships • Only 33% of workers say employer has any family-friendly practices
Business benefits of WLB (1)Increased productivity • Employee control over their tasks affects effectiveness • 49% of companies saw a positive increase in productivity (DTI, 2003).
Business benefits of WLB (2)Recruitment and retention: • Labour turnover is expensive:- direct replacement costs - loss of skills and knowledge. • All workers interested in good work-life balance- particularly important to carers, parents (mothers and fathers), graduates and older workers (DTI ) • “Employer of choice” • Case: BT saved £3 million in recruitment costs / year to March 2003:- 98% of women returned after maternity leave
Business benefits of WLB (3)Absenteeism • The CBI believes that absenteeism levels are the main reason why UK productivity lags behind the US and some parts of Europe, costing the UK £11.6 billion per year. • Good work-life balance policies take account of long-term absence, the causes of stress and the needs of different groups. See our work on Health and Wellbeing • The London Borough of Camden experienced a 2.5% reduction in the cost of sickness absence in the first year it introduced a work-life balance strategy.
Business benefits of WLB (3 ...)Absenteeism • Absenteeism levels main reason why UK productivity lags behind the US etc- costing the UK £11.6 billion per year (CBI ) • Good work-life balance policies take account of:- long-term absence- causes of stress- needs of different groups • Case: London Borough of Camden experienced a 2.5% reduction in the cost of sickness absence in first year
Business benefits of WLB (4)Overheads/ Customer experience • Case: BT saved £52 million in overheads in 2003:- increasing its number of home workers- annual saving of £10 million in fuel costs • Improved customer experience- cover for absence & holidays • More motivated, satisfied and equitable workers • Improved morale, commitment, engagement
Targets Work-life balance is achieved when an individual’s right to a fulfilled life inside and outside paid work is accepted and respected as the norm, to the mutual benefit of the individual, business and society • Not just for women • Adult carers • Sandwich generation • Generational differences (Gen X, Gen Y, PC generation)
Business benefits Work-life balance business benefits include: • Increased productivity • Improved recruitment and retention • Lower rates of absenteeism • Reduced overheads • An improved customer experience • A more motivated, satisfied and equitable workforce.
Best practice • Review business and employee needs to meet customer needs, employee satisfaction and ensure compatibility with legislation • Research other organisations’ experiences • Set success measures, including productivity markers, labour turnover, sickness and absence rates • Consult with management and staff representatives about implementation. • Support management through implementation • Monitor progress & adapt
Demographics don’t go away • Spend longer in education/ choose to retire earlier • Growth in labour market among mothers with young children • Immigration account population growth • Young workers not afraid to negotiate flexible working
What are employers doing? (1) • Flexible working
Note: Gap between offer and take-up. Indicates that offer is suitable?
What are employers doing? (2) • Employee assistance programmes • Financial services eg subsidised insurance or loans • Loans /allowances to help pay for childcare • Workplace crèches or medical centres • Wellness to protect health/ prevent stress
What about law? Legal demands include: • Annual leave • Working time • Parental leave • Time off for dependant care • Maternity leave • Paternity leave • Adoption leave • Right to request flexible working • Part-time work • Detriment
What to do? • Identify business need • Adapt policies to match operational • Include measures for performance • Develop clear • Lead from the top • Communicate • Monitor progress and draw lessons from experience
In conclusion ... • Meeting place:- employers desire productive organisation and highly motivated workforce- governments wish for a high-value-added, high-employment economy and just fair society • Complementary not conflicting forces • Traditional view:- battle with lazy workers- burden of legislationVERSUS- employees juggling commitment- workers overworked, excessive hours, stress • High performance firms - empower workforce, get discretionary effortFW employees – more engaged, more productive