How can construction companies help their employees with the looming cost of living crisis?
It is no secret that the UK is facing an increasingly daunting cost of living crisis, that seems bound to impact every industry. In a bid to attempt to offset the devastating effects of this adverse situation, The Chartered Institute of Building (CIOB) has shared an article outlining some of the ways that construction companies can support their employees, during this difficult period. Given the magnitude of this issue, we wanted to share the steps that Construction Management has outlined, to ensure that employees in the construction industry are supported as best as possible.
Training:
If as an employer, you’re not currently in a position to offer motivation to your employees in the form of financial benefits, there are alternative ways to incentivise employees. A key one is training. If your employees feel that you're invested in them and their future career path, they are likely to reciprocate and in turn offer value to your business.
It’s also worth mentioning that although financial incentives may not be feasible as things stand, as your employees progress on their career path, they will unlock salary increases along the way. So, highlighting that there are opportunities for them to progress internally is incredibly important to reap rewards.
Selling annual leave:
In the wake of the pandemic, many individuals have found that they've accumulated a lot of annual leave. This is often of no use to them (especially if they have been furloughed for a prolonged period already). It could be very appealing for employees to be able to sell these additional days back to their employer for short-term financial gain. It is (of course) important from both a physical and mental health side of things that employees are well rested and take the time that they need to perform their role at an optimal standard.
Fuel allowance:
There are government guidelines surrounding mileage allowance, however, it is at the discretion of the employer as to whether or not they would like to go above and beyond this. We must mention though, that if this is the route the employer decides to take, it is definitely worth seeking external advice beforehand.
Loans:
Whilst some firms do offer loans at present to their employees (to help with lump sum/upfront costs - such as travel season tickets etc), they could explore the option of providing additional loans for ‘hardship’. Once again, it’s worth seeking external advice before executing this, as anything greater than £10,000 becomes a taxable loan.
Conclusion:
If you feel strongly about any of the aforementioned points or similarly feel that we’ve missed anything that would be of merit to those in the construction field, please do highlight this in the comments section below.
Additionally, we’d love to hear the impact that these measures or measures alike have had or may have on your business/team or even yourself.