About Neil Franklin

Neil Franklin is Insight's news editor

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New OECD study sets out link between a dynamic business environment and productivity

New OECD study sets out link between a dynamic business environment and productivity 0

The OECD has published a new report which uses data from firms in eight countries (Belgium, Brazil, Canada, Costa Rica, Japan, New Zealand, Norway, United Kingdom) to assess the link between ‘business dynamics’ and productivity. The study, Business Dynamics and Productivity, claims that a dynamic business environment plays ‘an important role not only as a key driver of job creation but also as an engine of productivity growth. A growing body of research highlights significant differences in business dynamics across countries and over time, in particular over the different phases of the business cycle.’ Although the definition of ‘dynamic’ remains vague, the report suggests that firms who go beyond the average that is expected of them are not only better equipped to capitalise on the good times but also better at dealing with major economic shocks. The report looks in depth at the question of whether business growth and productivity are best served by organic growth through job creation or non-organic growth through mergers and acquisitions.

UK productivity crisis deepens…but technology probably isn’t the solution

UK productivity crisis deepens…but technology probably isn’t the solution 0

Following last week’s report from the ONS on the UK’s intransigent productivity  challenge, and the Bank of England’s Chief Economist Andy Haldane’s intervention on the issue, a new report from accountants and business advisers BDO claims that the UK’s productivity crisis is deepening, rather than improving. The latest report claims that while firms are continuing to hire more staff, business output is struggling to pick up. The amount of output produced for each hour worked is therefore likely to slow further, undermining the UK’s already low productivity levels. This is despite the steady increase in employment levels which have been relatively unaffected by the uncertainty surrounding Brexit.

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Over three quarters of workers prefer traditional employment to the gig economy

Over three quarters of workers prefer traditional employment to the gig economy 0

Much has been written about the inexorable rise of the gig economy. However, a new survey from jobsite Glassdoor, claims that only 13 per cent of workers across all employment types would even consider this route for future employment, and the vast majority of employees (76 percent) feel more secure sticking to permanent employment in 2017. As with any work arrangement, using temporary or “gig” workers has both benefits and drawbacks when set against traditional employment.

The survey suggests that the major perceived benefit is flexibility, both for job seekers and employers. When asked the question, “What do you think would be the biggest advantage of working in the gig economy?”, most (35 percent) of employees selected  “flexible working”, followed by “better work-life balance” (11 per cent) and the ability to “be my own boss” (10 percent). Furthermore, 39 percent of female employees feel that the biggest advantage of working in the gig economy would be the flexible working, compared to just 31 percent of men. However, 73 percent of women also reported they already enjoy a good work-life balance in their current roles.

Salaries and benefits remain the most important workplace factors for both men (56 percent) and women (63 percent), something which is typically less stable in gig or contract work.

Gig employment for task-based jobs like car rides, accommodation rentals, and food deliveries are all now mainstream services. Glassdoor’s previous research for the US labour market suggests a slowdown for gig work in 2017, especially as job seekers weigh the pros and cons of this employment type. This new UK survey finds that only 12 per cent of those already self-employed feel they would earn more if they left a job to take on work which paid “per activity” (rather than an annual salary), with 21 per cent of those in full time work feeling the same. On a wider level, just one in ten of all respondents across all forms of employment believe that the gig economy would become the “future of work,” with double that amount (20 per cent) feeling it actually exploited workers and harmed employees’ rights.

In terms of job generation, only 13 per cent of all respondents predict that the gig economy would be a good way to reduce unemployment and create jobs in the future. When broken down by gender, nearly a third of women (31 per cent) feel that the gig economy would only ever be for a “limited number of workers” and was not accessible across a “wide range of roles”. This was opposed to just a quarter of men.

The millennial generation of employees has been labelled as the group who will structure and shape the way we work in coming years. However, only 10 per cent of 18-24 and 9 per cent of 25-34 year olds are of the opinion that the gig economy will eventually become the “future of work.”

Dr. Andrew Chamberlain, Glassdoor’s Chief Economist said: “The gig economy may be associated with prodigious growth of app-based taxi rides and food delivery, however, as we’ve already witnessed in the U.S., the impact on the UK workforce could remain minimal in the longer term.

“The main reason is size. Although many ride-sharing and travel platforms have popped up in recent years, they’re still confined to a small corner of the workforce. Further, gig roles only really work for relatively simple jobs that are easy to measure, don’t require deep institutional knowledge, and don’t rely on long-term relationships. The majority of the fastest growing jobs in the labour market today require human creativity, flexibility, judgment, and soft skills. For some jobs, the UK gig economy is here to stay. But don’t expect the majority of the workforce to be part-time contractors any time soon.”

Image: Jack Lemmon finally gets a corner office in The Apartment

New guide aims to advise employers on how to prepare for Brexit

New guide aims to advise employers on how to prepare for Brexit 0

Sick of hearing about Brexit? Of course you are. Nevertheless, things have only just begin and we’d better get used to it so consultancy XpertHR has launched a new guide for UK employers on how to prepare for Brexit, after Prime Minister Theresa May triggered Article beginning the ‘divorce proceedings’. The guide, which the authors claim will be updated as negotiations between the UK and EU progress, focuses on how employers can prepare for potential changes to the right of free movement. It outlines the practical steps employers can take and suggests how they could support their European workforce in the UK. The report suggests that, while the Free Movement Directive, which allows European Economic Area (EEA) citizens and their dependants to live, work and study in any country within the EEA, will remain in force for the next two years, free movement is set to be a thing of the past with EEA nationals expected to become subject to an immigration regime under UK law.

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Corporate occupiers turn to coworking space to keep down property costs

Corporate occupiers turn to coworking space to keep down property costs 0

Demand for coworking spaces is growing at an average of 10-15 percent per annum across all regions as firms look to cut their real estate costs by embracing the concept based on shared work spaces and collaboration. That is the key finding of a new report from Cushman & Wakefield. As the trend gains momentum, according to the study, developers are increasingly incorporating  the aesthetic and function of such flexible working environments into mainstream building design. However the main driver of uptake continues to be concern about the cost of renting offices in prime locations and it is no surprise that coworking is focussed on major globalised cities.

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Europe’s workers turn to the gig economy

Europe’s workers turn to the gig economy 0

European employees appear ready to embrace the ‘ gig economy ‘, according to research by ADP. The study of nearly 10,000 European working adults claims to reveal how employees across Europe feel about the future of work. As many as 63 percent of UK employees and 68 percent of European employees are interested in, or would consider self-employment or freelancing although the desire for this style of working does vary drastically across regions. According to the report a third (33 percent) of UK employees say work-life balance is a key motivating factor although pay is still the ultimate driver for all European employees.

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AHMM completes work on New Scotland Yard for Metropolitan Police

AHMM completes work on New Scotland Yard for Metropolitan Police 0

Architects Allford Hall Monaghan Morris (AHMM) have completed design work on the new headquarters for the Metropolitan Police Service (MPS) in London. The practice claims that the design ‘supports cultural organisational and conveys a new image for the MPS by creating a building that looks to engage with public and media alike’. The £60m new headquarters is a re-modelling and extension of the Curtis Green Building, a 1930s riverside site in Westminster, central London currently owned by the MPS. AHMM’s design includes the addition of new entrance and rooftop pavilions and a reworking of the existing accommodation. The new entrance is designed ‘to create a welcoming and non-institutional yet secure front door’ and reinstates the iconic revolving sign. The project has been completed as part of a major rethink of the organisation’s corporate real estate strategy.

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Surge in the number of people working into their seventies

Surge in the number of people working into their seventies 0

The number of British people working past 70 years old has increased markedly over the past four years. Poor pensions, personal choice, greater life expectancy and changes to pension laws have all been highlighted as factors behind the increase in the latest report on demographic trends from the Office of National Statistics (ONS). The largest increase was seen amongst women, with the proportion of women working into their seventies doubling from 5.6 percent in 2012 to 11.3 percent last year. Around 150,000 women over seventy are now thought to be working. Meanwhile, the number of men working past the official state pension age has also increased, but at a slower rate, from 10 percent in 2012 to 15.5 percent last year.

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New report identifies ways facilities management contributes to business success

New report identifies ways facilities management contributes to business success 0

RICS in collaboration with IFMA has now published the full version of Part III in its ‘Raising the Bar’ research series. The report, written by Occupiers Journal, makes a case for how facilities management makes contributes to business success and organisational effectiveness and reviews the current state of the FM sector. An Executive Summary  of Raising the Bar: From Operational Excellence to Strategic Impact in FM is also available. Both versions of the review identify the key issues facing the facilities management sector and suggest ways forward for how FM can build recognition and understanding within the boardroom, among other business leaders, and with related infrastructure groups.

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State of the nation report sets out impact of digital transformation on the UK

State of the nation report sets out impact of digital transformation on the UK 0

The Institution of Civil Engineers has published its State of the Nation 2017 report, looking at how advances in digital technology and data are transforming how infrastructure is designed, delivered and operated. The report claims that digital transformation is bringing benefits to clients and end users as well as unlocking economic growth and productivity across the UK. The report, based on interviews with 350 organisations and industry figures discusses the practical steps firms and government need to take to maintain momentum and truly harness the benefits.

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Only half of people say they are productive at work

Only half of people say they are productive at work 0

Junior members of the workforce are most likely to be disengaged, demotivated and lacklustre about work according to a survey on happiness in the UK workplace from HR consultancy Personal Group. Based on a survey of 800 people benchmarked against a larger database of 41,000 from the University of Warwick, the survey claims that 48 percent of employees are not often happy at work and that almost one in five are rarely or never happy at work. The report suggests that it is more junior employees who are not only less keen to get to work in the morning but are also unhappier at work when compared to senior managers, directors and those who are self-employed. Similarly,  when asked whether they feel enthusiastic about their job, directors and self-employed are the most passionate, reporting 70 percent and 76 percent respectively. Team leaders and frontline employees are significantly less enthusiastic, with 30 percent of the latter saying that they never feel enthusiastic at work.

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Half of UK employers have now introduced wellbeing schemes 0

Nearly two thirds (63 percent) of UK employees experience stress in their jobs, according to a new study of workplace wellbeing by Happiness Works on behalf of Robert Half UK. Of those who find their roles demanding, nearly one in 10 said their job was very stressful.  To address the high-levels of stress and other issues among employees, organisations are introducing wellbeing initiatives to support the physical and mental health of employees at work. Nearly half (48 percent) of businesses offer tools designed to promote wellbeing in the workplace, with one in seven providing stress management seminars or training and annual leave for personal and mental wellbeing. Other initiatives being introduced include counselling (17 percent), leaving work early on a Friday (17 percent) and limiting the amount of overtime that employees can do (11 percent).
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