Workforce optimization likely as employer confidence drops
While currently not planning any major cuts, companies are likely to start considering optimizing their workforce amid a major drop in employer confidence last quarter.
The latest JobsOutlook survey from the Recruitment & Employment Confederation suggests that twenty-four per cent of employers would take on more permanent staff in the next three months, while 64 per cent said they will maintain their existing headcount. Just 3 per cent of employers expect to shrink their permanent workforce within the next three months.
Going somewhat against the trend, 26 per cent of SMEs say they would take on more permanent staff and 12 per cent predicting that their temporary staff base will increase in the short term.
The research also revealed that confidence has deteriorated in recent months. In July, one in five (21 per cent) UK employers reported feeling more confident about economic conditions, down from 45 per cent in June and 51 per cent in May.
Confidence has also fallen month-on-month around hiring and investment decisions. In May, 47 per cent of employers expected their organisations to become more confident when hiring. In June this fell to 39 per cent, and in July to 25 per cent.
REC Chief Executive Kevin Green says:
“It’s not surprising that confidence took a knock following the referendum result, but there are reasons to be cautiously optimistic. SMEs are the lifeblood of our economy and it’s encouraging to see that hiring intentions remain strong within this group, suggesting they have taken the referendum result in their stride.
“In general employers have avoided knee-jerk reactions to staffing and this ‘business-as-usual’ approach bodes well for the UK jobs market in the next few months. Recruiters tell us that while their clients are taking longer to confirm permanent appointments, vacancies have continued to grow since the referendum. As business continues to do its bit we now need government to show the same level-headedness to restore economic confidence.”
Workforce optimization – just one of the benefits provided by a modern Time and Attendance system
A reliable smart-card based Time and Attendance solution will bring about multiple benefits for any company that decides to have one installed, including real and sizeable savings in terms of workforce management-related budgets.
The first area where companies will almost immediately start to save money is employee attendance. Typically, whenever employees are fully aware of the fact that their clock-in/out times are carefully and automatically monitored, their overall attendance will improve, staff members doing their best in order to avoid arriving late, leaving early or taking longer than normal lunch breaks.
By using a reliable Time and Attendance systems, companies will be able to avoid overpayments, which, it its turn, will prompt employees to become more efficient at their workplaces. Additionally, when a combination (smart card + biometric) system is employed, the famous “buddy clocking” system is virtually eliminated.
An automatic clocking system will also eliminate human error, minimizing chances of mishaps in the transfer of worked hours to the payroll. It will prove extremely useful for HR departments as well, given the fact that it will enable HR managers to carry out all personnel management-related tasks in a much faster and simple manner, while granting them sufficient time for additional activity-optimization tasks.
Tensor offers an extensive experience in the field of workforce management, with the WinTA.NET being the flagship product of our proven range of Windows based time and attendance products.
This system offers complete and comprehensive control over the creation of working rules, Access Control, Job Costing and System Security and has specifically been designed for multiple companies, each managing multiple sites.
A complete smart card time and attendance system including European Working Time Regulations checking and reporting, ensuring that your company remains compliant with both regional and national legislation.
The Enterprise edition software has a familiar Windows interface, providing quick and easy access to information.
If you’d like to find out additional information regarding the WinTA.NET range of products, just get in touch with our dedicated product team, they’ll be more than happy to answer any questions and queries you might have.