UK businesses are introducing a range of perks to retain staff but are failing on pay and flexibility, according to research from business performance consultancy Avming UK. Its data shows that only 8% of businesses have given all employees inflation-matching pay rises. On average, employers have given less than half (47%) of their staff a pay rise in line with inflation.
Additionally, the research revealed that almost half (47%) of businesses have not introduced any form of flexible working, despite many offering other incentives such as expanding training and development programmes (31%), introducing loyalty bonus (24%) and stress management programmes (23%), increasing annual leave (18%), paying for commutes (18%), upgrading food and beverages for staff (18%), upgrading offices (13%), subsidising gym memberships (14%), and allowing dogs into the office (13%).
Scott Ward, partner of people, performance and development at Ayming UK, said: “Businesses face a fight for talent. It’s not always possible to give all staff inflation-proof salaries, especially when firms are seeing their own costs go up. Nor is it always possible for employers to offer flexible working. But in this market, the best talent will be receiving higher paying offers elsewhere as well as tempting work packages and will leave if they feel their needs are not being met. Above all, employers must weigh up the costs of salary increases against the cost of losing key people.”