In this issue we look at some of the key employment law developments that have taken place over the past month. In particular, we examine: the benefits and pitfalls for employers who want to move to smart working; tips for employers on running effective performance management processes; issues for employers who offer employee loans; and considerations for non-disclosure agreements.

Find out more about our team, read our blog and keep up with the latest developments in UK employment law and best practice at our UK Employment Hub.

Could your business, and your employees, benefit from a move to smart working in 2019?

In this article we look at the government's recent decision to relocate thousands of employees in departments formally based in Whitehall to a hub in Canary Wharf. We analyse potential benefits or pitfalls private sector employers could face if they decide to pursue similar "smart working" aims.

On 16 October 2018 the Minister for Implementation officially opened a new inter-departmental government hub in Canary Wharf. This followed the government's announcement that it would look to move more than 6,000 civil servants to Canary Wharf to save money and reduce Whitehall office buildings. HMRC's agency estates director has recently confirmed that more than 2,000 HMRC staff are already benefiting from the hub's "modern flexible workspaces, great IT and excellent transport links". It is estimated that £20 billion of savings may be achieved in reduced running costs over 20 years. A further 14 regional hubs have already been announced.

So what could private sector employers learn from the government's focus on smart working?

Day-to-day employee occupancy may be reduced by allowing some homeworking, or flexible working. This may enable employers to increase staff numbers or the concentration of employees, without overcrowding. Employers may also introduce shared spaces for collaboration, and quiet areas for work requiring an intense focus. Spaces may also be shared with partner or mutually interested organisations to promote collaborative working.

Businesses should consider:

  1. There may be ways in which their existing workplace could work better for it and its employees. Potential benefits may include:
    • a greater pool of potential employees (based in a broader range of locations) from which to recruit;
    • reduced travel and real estate expenses and liabilities for the employer;
    • a positive impact on the employer's health and safety record; and
    • improved environmental performance and reduced fuel costs
  2. If a relocation is on the horizon, this can be sold as a positive change. Potential benefits may include:
    • opportunities to forge stronger links with clients and the communities that employees support - employees may feel more connected and engaged;
    • diversification of the workforce;
    • more cash to invest elsewhere; and
    • an improvement to work life balance, assisting in recruitment and retention.
  3. Cultural changes may make a drastic difference to output and engagement without being particularly costly. Potential benefits may include:
    • time back that could, if used effectively, improve output; and
    • the ability to interact with and feel connected to colleagues in more distant locations.

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The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.