WOMEN AND WORK TASK FORCE
The Structure of Work: Addressing the practicalities Discussion paper for Northwest Women and Work Task Force, January 2010 1 Introduction The focus of this paper is on structural and policy measures which make it easier for women to take up leadership roles. These include changes to the way work is organised and structured and initiatives to support working parents (of both sexes). We have summarised the case for change, collated the available evidence from the Northwest and nationally, analysed barriers to change and highlighted examples of good practice. In discussion, Task Force members will be invited to suggest further sources of evidence from the region and to suggest recommendations which could be investigated over the coming months. 2 The case for change Loss of talent • Women who prosper in high-pressure companies during their 20s drop out in dramatic numbers in their 30s and then find it almost impossible to regain their earlier momentum1 •
A survey of 1500 mothers who had recently returned to work found that one in three (32 per cent) felt their promotion prospects had been reduced since having a baby, while 13 per cent had reduced seniority since returning to work 2.
Employee expectations • The 2009 TUC Equality Audit revealed that guidance about work/life balance was the single biggest equality issue that members took to their union.3 •
A CBI report on business trends in the next 10 years highlights an increased concern about work life balance for employees. 16% of those interviewed in 2008 felt it was one of the two or three issues which most need addressing, compared to 13% the previous year. 4 3 Baseline position 1
The Economist, January 2010 Back after the bump, NCT press release, 30 November 2009 3 Changing Times campaign, TUC, January 2010 4 Annual Institute of Business Ethics/Ipsos MORI Survey of UK Adult Opinion on Business Ethics 2
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Despite the growing pressure to improve work-life balance, having children continues to have a serious impact on women’s career prospects. Whilst some argue that it is not possible for women to “have it all”, others would say that caring responsibilities should be shared more equitably between men and women so that it is not always the woman who has to put her career on hold. Companies are rethinking the structure of careers, as people live and work longer. Barclays allow five years’ unpaid leave and John Lewis offers a sixmonth paid sabbatical to people who have been in the company for 25 years. Other companies are allowing people to phase their retirement. Child-bearing years will thus make up a smaller proportion of women’s potential working lives. Spells out of the labour force will become less a mark of female exceptionalism.5 Nationally, the number of workplaces offering staff the opportunity to work flexibly has almost doubled in the last six years, according to the latest ACASand DTI-sponsored Workplace Employment Relations Survey (WERS). Organisations’ current practices re flexible working, by availability (%) Total availability Part-time working Term-time working Job-sharing Flexitime Compressed hours (eg 4-day week) Annual hours Working from home on a regular basis Mobile working Career breaks/sabbaticals
86 38 63 55 47
Available only to some staff 43 23 34 34 32
Available to all staff 43 15 29 21 15
28 55
20 48
8 7
27 42
24 17
3 25
Base: 5856
5
6
The Economist, January 2010 Flexible working: The implementation challenge. CIPD, 2005
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However, a recent report from the All Party Parliamentary Small Business Group concluded that “There is still a significant stigma and an overwhelming assumption that flexible working is designed for, and only available to, some workers; specifically parents, carers, and women” and that SMEs are more likely to use informal arrangements rather than formal “right to request” procedures. The report highlights the need for culture change to reduce the stigma attached to flexible working and to part-time work, and recommends measures to heighten the profile of part-time work through job brokerage schemes, ‘golden handshakes’ and influence by local employment partnerships.7 There is not sufficient data in the public domain about the availability of flexible working and other measures to facilitate women/working parents and others across different sectors of the Northwest economy for us to produce a comprehensive baseline position for the region. However, the case studies in Appendix One give a flavour of the position in the Northwest, as well as a broader national picture. 4 Barriers to change Ten years ago, HR Directors interviewed by Saxton Bampfylde acknowledged children to be the major obstacle to retaining female talent but felt that to recoup their investment in training, companies should find ways to retain female talent beyond and through childrearing. The report highlights significant practical barriers: • Part-time working has not proved a viable route to the top. Work spills over into non-working time and clients demand attention over the weekend. • Job sharing doesn’t work at senior levels. Learning curves and intellectual property that develop over time do not lend themselves to being passed back and forth. • Mornings or afternoon only working are difficult because of meetings which often run over lunch or into the evenings • 3 or 4 day weeks have proved workable for some, but weekends can be annexed at short notice8 To what extent does the Task Force consider that these concerns are still valid in 2010? If the NW wishes to attract more women into senior roles in target sectors, what can be done to overcome these barriers? 7
Flexible working – Challenges for Business. All Party Parliamentary Small Business Group, December 2009 8
Glass ceilings or mirrors, Saxon Bampfylde, 1999
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5 Areas for further discussion/investigation 1. Regional baseline Data is not available at a regional level to assess the availability of flexible working and other initiatives to support working parents in the Northwest in comparison with other regions. Primary research could be commissioned to establish such a baseline, if TF members feel this would help to accelerate the pace of change in the region. The Task Force is requested to identify which of the following benchmarks they would like to establish for the Northwest, as a result of further research: • • • • • •
% female applicants/shortlist and recruits to senior roles % women on board and at Executive management level % women returners after maternity leave % resignations due to work/life balance pressures take up by men of flexible working options differences by ethnicity/disability or other factors
2. Awareness-raising campaigns • The Equality and Human Rights Commission’s Transformation of Work investigation highlighted the leadership role that government and sectoral bodies can play. • Employers suggested that case studies could be categorised based on the business driver. So all the case studies focusing on cutting accommodation costs, opening for longer hours or retaining skilled staff would be clustered together, allowing an organisation to see different ways of doing this across different sectors. We believe that this would encourage innovation.9 Do Task Force members feel there is a need for more regional case studies? Would a regional awards scheme help to promote good practice? 3. Information and guidance for employers There is a wealth of information and guidance on flexible working arrangements from employer organisations, government agencies, trade unions and third sector bodies. Do Task Force members agree that there is no need for further guidance to be produced in the Northwest? 9
TRANSFORMING WORK: REVIEWING THE CASE FOR CHANGE AND NEW WAYS OF WORKING, EOC 2007
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4. Incentives and benefits for employers •
In recent European research, employers underlined the need for government support to encourage the take up of work-life balance initiatives such as tax credits, financial benefits and the setting up of subsidised childcare centres10
•
Research published by the Daycare Trust in November 2009 argued that spending on childcare must double from the current £4.4bn to £9.4bn, taking spending up to approximately 1% of GDP, in line with OECD recommendations11.
What scope is there for any regional incentives? Is this an area that the Task Force should investigate further?
10 11
European Commission website, 2009 Quality costs, Daycare Trust, November 2009
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APPENDIX ONE
CASE STUDIES
1. Digital and Creative industries 2. Energy and Communications 3. Professional Services 4. Pharmaceutical 5. Public Sector 6. SME
page 7 page 8 page 9 page 12 page 13 page 14
Case studies taken from Working Families, Opportunity Now, Work Foundation, BERR, TUC and CIPD websites.
NB. Flexible working pilots at the Co-operative Group The Co-op is currently assessing the impact of flexible working pilots introduced in 2009. Amanda Jones, Head of Business Change and Transformation, has agreed to share information with the Task Force next month.
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Digital and Creative industries Sector specific barriers: IT Research at Salford University12 found that women working in public and private sector IT organisations gave accounts of long hours being used as a bargaining tool by women with families in return for four-day working weeks and reports of working 50 hours plus. The flexibility required by clients often means constant availability (Hoque and Noon 2004), particularly for those in technical and managerial roles. This can involve time spent away from home, sometimes for long periods. An interviewee explained how she often worked long hours and away from home ‘I know I am single and don’t have a family to take care of but I still have priorities and don’t just want home to be somewhere I dump my bags at weekends’. Those women (10 out of the 11 women interviewed) who were aware of flexible working practices within their organisation, described how attitudes of resentment were evident as comments were made relating to ‘unfair policies’ as part-time and home working were only offered to women with caring responsibilities. The research found that flexible working models severely limit women’s progression opportunities as employers assume it shows a lack of commitment to their career (Guffens et al 2004). A substantial proportion of women who wish to work part-time or have primary caring responsibilities results in a section of the workforce being excluded, neglected, not encouraged to enter or forced to leave the industry.
12
Women and the IT Workplace – Issues from Northwest England, University of Salford, 2005
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Energy and Communications Centrica: “Work is what I do, not a place I go” For Centrica, flexibility initially took the form of Project Martini – with the slogan ‘any time, any place, anywhere’. It was an initiative to identify the opportunities for the company to improve the versatility of its employees and the utilisation of its office space. The aim was for Centrica employees to be able to work in the location that best suits the needs of their job, and their preferred working style. Many will have the flexibility to work from all offices, their home and remotely, thus reducing their reliance on a permanent desk. The focus was on the headquarters and corporate buildings for four brands/business units within Centrica. Key drivers for the project included: • the low utilisation of current offices • the fact that the company’s IT infrastructure is now more mobile and technical solutions are well developed • the realisation that over the last two decades the way we work has changed from an individual to a collaborative approach, but that office design principles haven’t changed accordingly • the need to introduce new ways of attracting and keeping employees.
Retaining talented women at BT BT is a leader in the field of equality and diversity practice. 99 % of women working at BT return after maternity leave, saving £3m in recruitment costs, and the absence rate is down to 3.1 per cent (compared to average of 8.5 per cent in UK).
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Professional Services Eversheds, winner of Opportunity Now’s Advancing Women in Business Award 2009, was the first law firm to introduce a comprehensive flexible working scheme, badged ‘Lifestyle’. The firm has an ambition that 50% of its people will benefit from the informal aspects of its Lifestyle arrangements by 2011. Men are increasingly taking advantage of the scheme as well as women and the board has led by example, with members regularly working from home one day a week. The following are examples from the Manchester office: • • •
a solicitor who put in a short-term Lifestyle request to change her hours during Ramadan an associate who works 2 full days and 3 shorter days in term time, and 4 days a week in school holidays a senior associate who works reduced hours - 4 days a week, spread over 5 days
Benefits to the firm • The ability to work flexibly has also been shown to have a positive impact on an individual’s performance by up to 30% • The cost of training a solicitor is over £100k – therefore if it can save just ten people from leaving the firm a year, it is saving more than £1 million. • More effective management of peaks and troughs in workloads • Helping the firm to significantly lower its carbon footprint • Reduced stress and related healthcare costs • Eversheds now has the highest number of female partners of any of the top ten UK law firms at 23%.
Ernst and Young changing attitudes towards flexible working The HR team at Ernst & Young are working to dispel the idea that taking up flexible working may be in some way career-limiting. The firm is focusing on sharing success stories of where flexible working is working effectively, and it is showcasing flexible working case studies on the firm’s intranet to create role models and get some dialogue in the business. A number of the firm’s staff members have taken up an option to work reduced hours. This benefit was initially designed for mothers returning from maternity leave. It allows the employee to reduce their hours by ten hours a 9
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week and still receive full-time equivalent pension, private medical insurance and car allowance. This benefit is available for a limited period of five years, or two periods of three years – and has now been extended to those with other caring responsibilities. Little Additions: Support for new parents at Addleshaw Goddard A review of the firm’s maternity programme showed a lack of consistency of experience for expectant and new parents. A significant amount of time was also being spent talking individuals through the maternity process, which was inefficient and wasting resources. The Little Additions network, set up as a result of this review, is available to all expectant and new parents, both male and female, and offers support:• During pregnancy - practical advice includes regular sessions with a dedicated HR contact and lunchtime network meetings providing an open forum for discussion. A free annual subscription to Practical Parenting magazine and discounts at various high street and online parent-related retailers are also available. • During maternity leave - mothers-to-be identify a buddy within their department who will keep in regular contact and those with laptops and blackberries have the option to retain these should they so wish. A quarterly Little Additions newsletter updates on firm-wide news. • On return to work - arrangements include a structured programme of re-orientation and further Little Additions lunchtime meetings to offer advice and support throughout this important time. Links from the company website provide access to emergency childcare. A buy and sell holiday scheme (which enables the purchase of up to one week’s additional leave) and sabbatical programme are both popular. The firm offers two weeks full pay for paternity leave, encouraging individuals to be flexible as to how best they manage this time. Results: • 90% of those who commenced a maternity leave period during 2007 returned, (compared to a national average of 40%). Approximately 75 per cent of these did so on a flexible working basis. • Over the past two years, around 50 per cent of partners joining the firm have been women and almost 40 per cent of the firm's Governance Board is female.
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Abbey – support for new mothers Abbey offers full support throughout the duration of the pregnancy and beyond, including: • extended absence period for employees with longer service • tailored policies for adoption, fostering and fertility treatment • a returner bonus paid for two years following maternity leave • childcare voucher scheme. Approximately 70% of employees who go on maternity leave return to Abbey.
HSBC’s Childcare scheme HSBC’s award winning Childcare Scheme provides access to over 500 nurseries UK wide. Childcare assistance is provided to parents with children up to the age of 16, with the introduction of a Childcare Voucher Scheme. Employees can achieve huge savings on their childcare expenses from tax and National Insurance free benefits that are offered via a salary sacrifice scheme The bank offers a range of family friendly policies to assist employees in balancing their work and home responsibilities. This includes family leave, which around 20% of employees use each year. This is paid time off in emergencies to look after sick children, elderly, disabled or chronically sick relatives or other close dependants. The bank’s flexible working policy is open to all employees to request flexibility, not just those with statutory rights. An on-line job share register is also available, which enables employees to form a professional job sharing partnership.
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Pharmaceutical Boehringer Ingelheim UK Ltd – phamaceutical company sets up flexible working project team • • • •
907 employees in the UK, based in Berkshire and 36,000 worldwide Percentage women 49% Turnover 6% Percentage of women returning after maternity 90%
A project team was established to investigate and implement more flexible ways of working. This team comprised members of the HR division and representatives from the business who understood the real potential impact of flexible working on the business. Business benefits of a work-life balance strategy were summarised to the directors of BI. With their buy-in, it has been easier to implement the flexible working policies. Potential barriers to flexible working have been overcome by inviting employees who request to work flexibly to complete a form to indicate the potential impact on the business and possible solutions. Above all, the aim has been to promote a culture where the focus is on performance rather than ‘presenteeism’.
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Public Sector Rochdale Borough Council - flexible working pilot leads to service improvements Rochdale Borough Council secured DTI funding to set up a flexible working pilot in their Revenue and Benefits Service, which has since been rolled out to other service areas. The pilot allowed more flexibility than the traditional flexitime system, with teams working out arrangements between them to cover the service. The scheme improved the service because the office was opened earlier and stayed open later, allowing the phones to be covered from 7.30am. A major project was completed on time because the staff knew that, if they put in extra hours when necessary, they would be able to take them off later. According to the manager: 'We couldn't have delivered the £12 million piece of work on time without WLB without a large overtime bill.' He also noticed a dramatic impact on sickness absence and a massive improvement in morale. Reduced overtime costs The Scottish Legal Aid Board reduced overtime costs from £231,756 to £87,023 within the first twelve months of their new flexible working scheme. Improving Working Lives in the NHS The mainstay of the NHS Improving Working Lives (IWL) initiative has always been flexible working. To achieve IWL Practice Plus accreditation, NHS organisations are required to demonstrate that: • flexible working is making a difference to service delivery through greater access to services and improvements in staffing levels • career progression is not hindered by work/life balance choices and flexible working patterns • managers at all levels enable their staff, including doctors, to work in ways that meet their personal needs, and the needs of the service, at different times of their careers, and structures are in place to support flexible working practices • attitudes and behaviour of managers and staff, as individuals and as teams, promote and support flexible working • flexible careers are established across all staff grades, including GPs, to support service delivery • staff approaching retirement age are informed about the options to take up flexible working patterns/flexible retirement and are encouraged and supported. 13
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SME Flexible working at BikeRight! Ltd, Manchester Although some argue that flexible working is impractical for smaller employers, some use it to their advantage. Winner of the NW Women in Business Awards 2009 – Business of the Year and Growth Business of the Year, BikeRight! Is a women-owned business, established in 2004 by its two directors. The company provides cycle training for Northwest schools, youth groups, companies and health projects. It is also the largest trainer of cycling instructors in the UK. There is a core staff team of 21, plus around 25 freelance instructors. Many BikeRight! Staff manage their domestic commitments by working flexibly, whether term-time only, short days or less than 5-day weeks. Of the 21 permanent employees, only 8 work traditional full-time hours. What is interesting is that out of a staff team that is 40% female, most of the employees taking up flexible working are male. Many of them take prime or equal responsibility for childcare in order for their wife or partner to undertake a demanding full-time job. • • • • •
• •
A is an instructor trainer. He works term-time only, and looks after his two children during the holidays while his wife, a university lecturer, pursues her PhD (on work/life balance!) B works 4 days a week. He shares the care for his two-year old child, and occasionally works at home if his son is sick. His wife is a senior local government manager. C works until 3.30pm and only during term-time. He is the primary carer for his three school-age children. His wife is a headteacher. D is a manager. He works 17.5 hours a week, finishing early on a Thursday to pick up his 6-year old son. His wife is director of HR at a university. D also undertakes some home-based private work. E is also a manager. He works 3 days per week, flexibly according to the needs of the business. He has helped his parents, both in their 90’s, to move into residential care and continues to travel to Wales to support them most weeks. F works 4 days a week, devoting his remaining time to his work as a photographer (during his MA course he worked 2 days per week). G is undertaking an MSc, and works 2 days per week.
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Liz Clarke, Managing Director, says that the business benefits outweigh the loss of flexibility. The main positives are: •
• • •
We are not carrying heavy overheads, and that reflects in our prices to customers. Yet we have a reputation for quality, because we do not outsource to freelance staff the majority of our work – we can therefore keep a tight rein on how our training is delivered. everyone’s time is geared towards being productive – there is very little ‘down time’ Motivation is high, because people feel valued as individuals with needs which the company will try to help to meet – and they work hard when they are at work as a result It has a positive effect on the culture and on people’s commitment. It gives the feeling of being a family firm, as directors we are appreciated for our attitude, and employees frequently “give back” by volunteering to work away, or at a weekend.
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