FLExIBLE WorkIng Arrangements
Transcription
FLExIBLE WorkIng Arrangements
UUPPbeat beat MICA (P) 237/04/2009 an EMPLOYER ALLIANCE Publication FLExIBLE WorkIng Arrangements In The Recession Best Practice Case Studies from 4 Companies The Case for Work-Life Integration Enhanced WoW! Fund About Employer Alliance U pbeat is just one more service of Employer Alliance (EA), designed to complement its comprehensive website, www.employeralliance.sg, as well as the numerous Work-Life seminars and forums it organises. Employer Alliance is a network of corporations committed to create an enabling work-environment to support WorkLife integration. Its vision is to build corporate awareness of the contribution of Work-Life to business results. Singapore corporations are challenged by talent management and staff retention; therefore a sound Work-Life strategy is the key. More than 500 companies have joined EA as corporate members and the number continues to grow. These corporate members come from different industry sectors such as manufacturing, retail, services, financial and hospitality, thus offering a rich array of resources and innovative WorkLife enhancement ideas. Membership is free and member benefits include access to our resources and invitations to forums, events and key Work-Life conferences. To join as member, simply log onto the EA website www.employeralliance.sg or call (65)6827 6953 for the application form. You can also browse the website for resources, information about Work-Life strategies and useful links to ministries and organisations which promote Work-Life integration. Message from Chairperson W elcome to the inaugural issue of Employer Alliance’s newsletter, Upbeat. Providing this quarterly newsletter is yet another service we wish to render our partners to complement the Employer Alliance webpage, talks and seminars that we frequently host. In this newsletter, you will mine a wealth of useful information such as new and valuable government grants; learn the best practices of top companies who embrace Work-Life; and glean advice from Work-Life experts. For this newsletter to work best for you, I encourage you to be generous with your feedback. Perhaps you know of a company with a handsome Work-Life practice that you think should be emulated? Or you have a burning question that you wish to pose to our panel of Work-Life consultants? Simply write to us at [email protected] I mused long and hard over the appropriate title for this little publication. In the end, I want to stand by the name “Upbeat” as I feel this should be our attitude, and it will also be the logical conclusion if we choose to take a positive attitude to the present economic environment and our valued staff. Work-Life strategies are particularly vital in these times, as you will discover in this issue. I believe you will find it very apt that we have chosen, for this issue’s theme, the topic on flexible solutions in the recession. Can flexibility be practised in such uncertain times? Yes; and you will find that it is, indeed, the ideal solution. But I shall let the following organisations speak for themselves. Claire Chiang Chairperson, Employer Alliance co ntent content 2About Employer Alliance 3The Chairperson’s Message By Claire Chiang Cover Story 5 Flexibility can offer alternatives to downsizing by Jennifer Swanberg 8Best Practice Companies Flexible work options offer better solutions than layoffs. A look at how four local companies are responding to the economic times Employees Work Harder in Recession – Lucky Joint Construction Focus on the Spirit of FWAs – OTi Consulting Make Your Organisation an Irresistible Workplace! – IBM Singapore Master Tricky Rostering for Maximum Impact - Alexandra Hospital 12In Conversation with Work-Life Expert EA Executive Committee 13From The Case for Work-Life Integration Sharing their thoughts are Mr Danny Teoh, Managing Partner of KPMG, Ms Teresa Lim, Managing Director of IBM Singapore, Mrs Helen Lim-Yang, CEO of OTi Consulting and Mr Liak Teng Lit, CEO of Alexandra Hospital. Information 14Work-Life Enhanced WoW! Fund 15Spotlight on EA Activities FLXIBILITY flexibility can offer alternatives to downsizing by Jennifer Swanberg Hardly a day goes by without reading about plant closures, company downsizing, or small businesses folding. Layoffs are hitting record-setting proportions. Yet some companies are containing labour costs not by slashing their workforce, but by working flexibly. 5 6 Y es, that’s right. Innovative employers are instituting flexible work options as an alternative to, or in hope of avoiding, layoffs. Reduced work schedules, 4- to 10-hour days, telecommuting, job-sharing or unpaid vacations are solutions that have minimised job cuts at places such as Dell, FedEx and The Courier Journal. Dell has requested that employees take one week of leave without pay. FedEx has cut salaries of senior executives and salaried-exempt employees by 5 to 20 percent. This delivery giant estimates a $600 million savings through salary reductions. Cali Yost, author of Work+Life Fit and Fast Company Blogger, contends that “using strategic work and life flexibility can help organisations avoid at least some layoffs. Reduced schedules, sabbaticals, telecommuting and flexible scheduling are not just isolated, downsizing tactics. They are part of a broad, coordinated growth and cost-cutting business strategy with multiple benefits that include, but are not limited to, creative downsizing.” coVeR StoRy A study of 100 Chief Financial Officers (CFOs) co-sponsored by her company reveals that CFOs are using strategic flexibility to reduce their workforce without severing ties with employees. According to Yost, “...nearly one third of CFOs used flexibility as a workforce reduction strategy, allowing them to stay connected to employees through contract project-based work, reduced hours with full-benefits and sabbaticals with full benefits.” Yost urges employers to consider working flexibly before considering layoffs. She shares an example of a company that found a creative way to deal with dwindling budgets and minimise employee suffering. In 2008, Sigma, a full-service advertising agency in New Jersey, asked its employees to consider part-time hours or monthly sabbaticals as a way to avoid layoffs. “When given the choice, Sigma found employees were more than willing to take time and a reduction in pay, rather than leave the company,” said Yost. These are tough times. None of us wants to take a pay cut. But earning less may be better than earning nothing. Telecommuting or telework is another costsaving and potential alternative to layoffs or pay reductions, and one that avoids the distress associated with downsizing and pay cuts. Charlie Grantham, author of the book Future of Work, boasts that working flexibly can reduce workforce supports by 40 percent. The biggest source of cost reduction is real estate and associated facilities management costs, followed by savings related to a reduced need for IT, HR and administrative support. An added boon of telecommuting is that it avoids the plunge in employee morale and motivation that often accompanies downsizing. Studies show a 15 percent increase in productivity among remote employees, and demonstrate that remote employees achieve results in fewer hours and often of higher quality. The business proposition for flexibility is convincing — it reduces workforce support costs, boosts productivity, enhances recruitment and retention, increases corporate agility and minimises traffic congestion. Yet business leaders still resist it. “ …nearly one third of CFOs used flexibility as a workforce reduction strategy, allowing them to stay connected to employees through contract project-based work, reduced hours with full benefits and sabbaticals with full benefits. ” Peter Drucker, considered by some as the father of modern management, said that successful leadership is about doing the right things. Now, more than ever, the time is right for business leaders to do the right thing— consider working flexibly an alternative to downsizing. Jennifer E. Swanberg, Ph.D., is the executive director and founder of the Institute for Workplace Innovation (iWin) at the University of Kentucky and an associate professor in the UK College of Social Work. This article, dated 5 February 2009, is reproduced with permission from Business Lexington magazine. coVeR StoRy 7 Interviewed by Pauline Loh emPloyeeS WoRk HaRdeR deR de R in ReceSSion 8 Lucky Joint Bu rsary - Lucky Joint Construction L ucky Joint Construction, an underground telecommunication installation company, says they have nothing to complain about in these uncertaintimes.“Ourindustryisbooming and we have increased manpower by 30 personnel since February,” said a company spokesperson. Lucky Joint specialises in underground cable installation and termination, fibre splicing and blowing; building construction and horizontal directional drilling (HDD). The company is commended in the industry for breaking the Singapore record of laying the longest submarine cable work with a distance of 1280 meters. In terms of human resource, Lucky Joint is a leader in Work-Life policies, winning the national Work-Life Excellence Award this year. It has been observed in Lucky Joint that employees have kept abreast of the recession by reading the daily news and some have responded by working more diligently than before. Thus, there appears to be no pressing need for the company to upgradeitsalreadygenerous Work-Life measures. Nevertheless, Lucky Joint has implemented further benefits for its 157 staff. It has increased its subsidy for employees’ meals. Labourers receive three subsidised meals daily and office staff enjoy free lunch four days a week. Managing Director Mr Yeow Kian Seng shows his care and connection with his staff by occasionally preparing dinner for employees who have to work overtime. beSt PRactice comPanieS R Award 2009 Staff who approach the company for loans have increased by 30 percent since the economic downturn; most of these stem from family needs. Far from seeing these requests as irrelevant to daily operation and productivity, the management views it as the employees’ statement of trust in their employers and they weigh each request carefully. On trial is a new employee benefit where the lorry for transporting labourers is substituted by a weekend car. This will greatly improve the employees’ travelling comfort if the scheme proves feasible. On top of these new benefits, Lucky Joint continues to implement its ongoing Work-Lifestrategies,forexample,allowing staff to telecommute as part of its flexible work arrangements. Telecommuting is an arrangement where the job is performed at a location other than the workplace; it may be exercised during emergencies or as part of the regular work week. This is useful for staff who need to tend to temporary domestic needs or who are working on site. Job sharing is allowed, thus staff can apply for leave knowing that the area of responsibility will be taken care of by colleagues. The management has looked into the possibility of a prolonged economic slowdown. If this happens, it may institute three new employee awards with cash rewards. Judging by the enthusiastic response from staff at company events and employee surveys, the company’s Work-Life measures have achieved their desired objectives. ather than chasing after new strategies to maintain and attract staff in the economic downturn, OTi Consulting believes in focusing on the spirit of existing Work-Life measures and ensuring that this spirit of “flexibility with accountability” is practiced by staff and management. OTi Consulting is an international human resource and organisational development consultancy firm. It has won numerous awards including People Developer Standard award, HR Vendor of the Year for two years running and Inscape Publishing’s President’s Club award for their psychometric profiling tools, among others. OTi management believes that external circumstances like news about the bleak economy are not as influential upon employees as the culture of the organisation they work for. This is borne out by its latest employee satisfaction survey which demonstrated that staff’s continued commitment and motivation are influenced largely by their immediate supervisors and the learning and development opportunities available to them. OTi has put in place telecommuting and part time schemes for its 30-strong staff. Other staff members telecommute or work flexi hours on a need basis. These flexible work arrangements (FWAs) have been fine-tuned and formalised over years of implementation and has become very much part of OTi’s culture. Besides FWAs, OTi also has an interesting buffet of employees’ benefits like Durian and Pizza parties, barbecues and games nights organised throughout the year. Management, staff and their families mingle and interact during these fun events. This year, OTi is stepping up on staff training and development as its response to the economic climate. If the recession were to be prolonged, the company may encourage staff to plan and utilise their annual leave early where possible so that, when the upturn comes, the personnel will be refreshed and ready. focUS on tHe SPiRit of fWaS - oTi Consulting The OTi Family beSt PRacticeS comPanieS be 9 10 T make m ake yoUR oRganiSation oRgani oR gani an iRReSiStible iRRe iRR e WoRkPlace! - IBM Singapore he management in IBM Singapore closely monitors the response of its 3000 staff to the economic downturn. In February this year, it conducted its Employee Pulse Survey and was satisfied with the results that employee satisfaction had increased by 3.6 points since the last survey done six months ago. The Survey gauges employees’ satisfaction, commitment and response to the management’s communication. IBM Singapore’s suite of FWAs is impressive. 60 percent of its workforce is mobile! This is made possible with the company’s ‘Mobility’ Programme, which equips employees with the technical freedom to work from anywhere outside the IBM office. But more important to the programme’s success is the atmosphere of mutual trust and accountability between management and staff which has been carefully cultivated over the years. The results assure the management that there is no need to alter their existing Work-Life strategies, as yet. However, such close monitoring allows the company to respond immediately to any change. If the downturn is to be beSt PRactice comPanieS prolonged, the company is prepared to re-evaluateitsflexibleworkarrangements (FWAs) and benefits in order to meet its employees’ changing needs. IBM also embraces staggered start and end times, part-time and a WorkLife Leave Programme which gives employees the leeway to work a reduced schedule in lieu of taking a full leave of absence in order to balance work and personal demands. In the present pervasive doom and gloom climate, IBM’s employee programmes have made it a fun, creative and irresistible work place. For example, last year’s IBM Day featured beach activities, band performances by staff and climaxed with a fireworks performance. Employees with children also look forward to Kidz@Work, a day where their little ones are invited into the offices to observe their parents at work. Last year’s Kidz@Work Days were themed “Charlie and the Chocolate Factory” and “Harry Potter”. Such efforts assure the employees about the management’s commitment to their welfare, thus building their sense of trust and loyalty to the IBM family. R ostering work schedules and yet ensuring alert and efficient service by staff at the end of their shift is a particular challenge for hospitals who operate round the clock and need to maintain impeccable standards of hygiene and service. Alexandra Hospital has successfully implemented compressed work week for its inpatient nurses. Compressed Work Week is an arrangement in which an employee works her full-time hours in fewer than the normal number of days per work week. The Hospital has arranged a novel shift for its nurses, a majority of whom are female and married. By working 45 minutes more per shift, nurses gain an extra off day every two weeks which gives them more time with their families and helps them to unwind effectively. Rosters are arranged such that nurses take turns to enjoy their day off on a weekend. This was a strategic move as it attracted more women to rejoin the workforce and helped retain quality employees. Other flexible work arrangements include part-time work, which helps retain experienced mature workers who prefer a lighter workload but are not prepared to retire yet. Parttime staff relieves the workload in departments during peak hours, thus meeting the needs of both employer and employee. The healthcare sector is generally not affected by economic downturn, but the management is confident that its existing FWA will still benefit employees’ family members who may be affected by the current job market. If the recession was to worsen or be prolonged, the Hospital is open to consider such unique measures as creating job opportunities for family members of staff whose skills are relevant to healthcare work. The management is sensitive to the impact of family working under the same roof as they can render moral support to each other. Meanwhile, the Hospital continues its training and upgrading programmes for staff. The organisation’s employees’ benefits also receive a boost this year with more subsidies for health programmes. It is little wonder that the most recent employee climate survey, conducted in November 2008, shows an increase in Alexandra’s staff satisfaction and engagement. maSteR tRicky icky RoSteRing foR maximUm m imPact - Alexandra Hospital beSt PRactice actice comPanieS comP com P anie anieS S 11 In Conversation with WoRk-life exPeRt xPeRt 12 Diane Burrus is a Senior Consultant and Workplace Flexibility Practice Leader with WFD Consulting, a leading global consulting firm specialising in attracting, retaining and engaging critical talent. Upbeat: How important is workplace flexibility to employees? DB: Flexibility (both formal and occasional) is extremely important to employees because it provides them with more control over their work schedules to manage work and personal commitments. Flexibility also contributes to job satisfaction and commitment. WFD’s New Career Paradigm Study* found that flexibility is highly valued - 84% of participants rate it as ‘important’, ‘very important’, or ‘extremely important’ to their satisfaction with work, yet only 49% are satisfied with the flexibility they currently have. When asked to identify the top two factors contributing to job satisfaction, work/life balance and flexibility follow in importance after the essential elements of salary/wage, job security, and benefits, and are more important than other factors like meaningful work, development and advancement opportunities and one’s immediate manager. Clearly, work/life balance and flexibility are critical to employees’ satisfaction with work. Upbeat: Employee resilience is critical in these challenging times. Does flexibility contribute to resilience? DB: Resilience is the employee’s ability to work under pressure and effectively manage work and personal responsibilities. We can use four items to measure employee resilience: confidence in ability to manage pressures of work, having enough energy to accomplish important tasks, ability to spend time on things that are important and having a fulfilling life outside of work. We have observed that employees who use some type of workplace flexibility report higher level of resilience than those who do not use a flexible work option. Significantly higher resilience levels are observed in those using flexible start/end times, parttime or other reduced hours arrangement, and occasional flexibility. Flexibility and control over work reduces stress and helps build employee resilience. Upbeat: How do flexible arrangements impact a company’s recruitment? DB: To understand what contributes to an individual’s decision to accept an employment offer, WFD asked “recent joiners”—those who had signed on with their current company within the last three years—about the most important factors in their decision. We found that exempt women rate the importance of work/life balance and flexible work options higher than benefits and job security; among non-exempt workers, flexibility plays a more prominent role in women’s decision to take a job than it does for men. Upbeat: Does flexibility contribute to a company’s retention of staff? DB: Flexibility is a factor in retaining employees and saving the costs of turnover. WFD has identified seven factors that will be helpful in analysing predicted turnover of employees in a company. One of these is “Schedule control (flexibility, workload, work/life balance)” This factor is one of the strongest predictors of expected tenure. Early career workers (under 30 years of age) who are dissatisfied with schedule control are more likely to plan on leaving. For mid-career workers (30-49 years of age), parents who are dissatisfied with their schedule control are twice as likely to plan on leaving; and non-parents are ten times more likely to plan on leaving. Late career workers (50+ years of age) who do not have the flexibility they need and are dissatisfied with job meaning are 48% more likely to leave. *The New Career Paradigm Study was conducted by WFD in 2006 with 2,775 exempt and non-exempt employees from medium and large US companies. The purpose was to better understand what drives today’s job choices— and how these patterns affect companies’ recruitment and retention efforts. For more information on WFD Consulting, log on to www. wfd.com. To receive an electronic and/or hard copy of the New Career Paradigm study, log on to http://www.wfd.com/news/ncps.html in conVeRSation WitH WoRk-life exPeRt t The case for WoRk-life integRation The longer term issues surrounding a talent squeeze will be with us long after the current downturn as working populations in developed economies continue to shrink. Work-Life balance initiatives supporting the retention of good talent must therefore be a long term goal. Organisations must aspire to achieve this balance, through fostering an attitude of respect for the personal and professional life of their people. Secondly, corporate leaders must inspire by setting the tone; walking-the-talk; laying the plans and applying the necessary resources to make it happen. Mr Danny Teoh, Managing Partner, KPMG Work-Life integration is deeply embedded in the culture of IBM. Our Work-Life integration platform empowers our employees with the flexibility and freedom to meet their personal needs effectively while delivering on their business commitments. One of IBM's key values is trust and personal responsibility in all relationships, and we especially strive to live this value with our people. Since IBMers have sufficient latitude to take care of their personal and family needs, they enjoy greater satisfaction and peace of mind, and deliver their best towards creating innovations that matter for our company and the world. Ms Teresa Lim, Managing Director, IBM Singapore At OTi, we recognise the wholehearted contributions of our talented people and we want to honour their commitment through Work-Life strategies that will bring out the best in how they manage their Work-Life. We see the reciprocal trust and support generating consistent strong performance from individuals on formalised flexible work arrangements. Mrs Helen Lim-Yang, CEO, OTi Consulting The recession is a sobering hit for many of us but I strongly believe that this global economic crisis will make everyone of us stronger. I always tell our colleagues that there is a silver lining in every financial crisis, and this is no exception. It is also a chance for companies to restructure and better equip themselves for the upturn. With our government’s support and a united community, we will be able to ride this storm out steadfastly. To many of you out there, do not despair but persevere through, and you will see the light at the end of the tunnel. Mr Douglas Foo, CEO, Apex-Pal International In the business of healthcare, we need to be role models. We need to be happy and healthy before we can reach out to care for our patients. At Alexandra Hospital, we champion creative Work-Life solutions such as piloting compressed work-week to woo professional nurses back to the workforce. With this creative rostering, our nurses are able to enjoy an extra day off. In the aspect of the ageing workforce, Alexandra Hospital has tailored a workplace health promotion programme known as Health for Older Persons @ Work (HOP@Work). This programme serves to empower mature employees with healthy lifestyle management. These initiatives will help to reap long-term success in attracting and enhancing employability. Mr Liak Teng Lit, CEO, Alexandra Hospital fRom ea execUtiVe committee fR 13 Enhanced WoW! W W! fUnd f 14 Spotlight on ea actiVitieS G ood news for all Employer Alliance partners and companies interested in promoting Work-Life! Since March 1 this year, the Ministry of Manpower’s WoW! Fund has been topped up with an enhanced tier of $10,000, thus adding up to a grand total of $20,000 of co-funding by the government inclusive of the common tranche of $10,000. The Work-Life Works! (WoW!) Fund is a government grant given to businesses to encourage employers to introduce Work-Life measures at the workplace. The enhancement was implemented to empower applicant companies to achieve more in their Work-Life policies. Along with the additional funding, more flexibility in the usage of the fund has been introduced along with relaxation of the cap on expenditure. Government co-funding has gone up to as much as 80 percent of Work-Life expenditure, provided that the companies give creditable reports on how the Fund has been used. Certain criteria from the grant need to be observed, for example, to qualify for the common tranche of $10,000, the company needs to appoint a staff member to attend MOM’s basic Work-Life training course, implement flexible work arrangements in the company and communicate HR policies to employees. To learn more about the WoW! Fund or to apply for it, please log on to the Ministry of Manpower website or click http://www.mom.gov.sg/publish/ momportal/en/communities/workplace_standards/work-life_harmony/WoW__ Fund/key_features_of_the.html The Ministry of Manpower conducts a free monthly WoW! Fund briefing on every first Monday of the month. To register for the briefing, please contact Employer Alliance at (65)68276953 or email [email protected] Editorial Committee Chief Editor – Yeo Miu Ean Editorial Team – Alice Tang Pamela Sng Michelle Xing Pauline Loh Work-life infoRmation EA Secretariat, SNEF Training Centre, 19 Tanglin Road, #10-01 Tanglin Shopping Centre, Singapore 247909 Tel 6827 6953 Fax 6836 2876 Email [email protected] Website www.employeralliance.sg