Flexible working
See our flexible working guidance for more information on the benefits of flexible working, how to embed it into your organisation, and the different flexible working arrangements available.
You can maximise your employees’ earning potential by developing the skills they need to take on higher-paid roles
For someone living in poverty, a route to progress out of a low-paying job can be a light at the end of the tunnel. Whether it’s developing skills, providing clear pathways free of barriers or challenging perceptions, people professionals play a vital role in helping staff progress in the workplace. To do so, it helps to understand why people get trapped in lower-paying roles in the first place.
People can become trapped in low-paid roles, with little hope of increasing their salaries, for several reasons:
Progression doesn’t just happen naturally – people need a clear path to follow, access to the right training and a supportive line manager. People professionals also play a vital role in breaking down barriers that stand in the way of progression:
Flexible working can both enable or hinder in-work progression, depending on the organisational culture. Many people find themselves stuck in low-paid roles because they can’t sacrifice the flexibility – if progression means disrupting an already precarious work-life balance (juggling work and childcare, for example), their options are limited.
A well-managed flexible working culture – with options like job-sharing, compressed hours, hybrid working or flexibility around start and finish times from the day they start the role – can make higher paid roles a reality for those who need the flexibility. In fact, case studies show that flexible working has been successfully adopted in roles and sectors where you might least expect it.
See our flexible working guidance for more information on the benefits of flexible working, how to embed it into your organisation, and the different flexible working arrangements available.
An organisation’s efforts to support in-work progression will be hampered without skilled and capable line managers who are willing and able to spot and nurture potential in their teams.
Line managers should set aside time for informal development conversations, and encourage employees to speak openly about their long-term ambitions so that they can build the skills and identify the steps they need to take to reach their goals.
However, line managers’ willingness and ability to support in-work progression will be limited if not supported by an organisational culture of life-long learning and inclusive flexibility.
With competition for well-qualified talent increasing, it’s perhaps no surprise that a third of organisations say they are developing more talent in-house. Developing in-house talent is often easier than recruiting new people to plug your organisation’s skills gaps. Businesses that invest in their workforces also enjoy improved staff retention, loyalty and engagement.
In 2020, the Department for Work and Pensions set up the In-Work Progression Commission, which outlines the steps employers can take to develop their workforce’s skills:
The Commission also suggests that businesses monitor progression in the same way that they track other aspects of their business: ‘Put simply, what gets measured gets managed.’
Investing in a dedicated training and development plan may be easier for larger companies than smaller ones, but it’s important not to ignore it.
Take advantage of existing skilled staff and create both formal and informal environments for the+m to pass on their knowledge to lower-paid employees. Mentoring and work experience can form part of this offering.
For any training you do provide, be clear about what you’re trying to achieve and what employees need to learn – find their skills gaps, set clear goals, and then measure the outcome.
As well as offering career progression through training and development, small and large businesses can also help to boost pay packets in the short term by helping people work more hours if they want to (and helping to break down any practical barriers that make this difficult).
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Training opportunities tend to be concentrated amongst those who are already highly skilled and earn more. The government should consider ways to encourage employers to provide more equal access to training and upskilling opportunities, as well as helping individuals overcome barriers, such as financial barriers, to training uptake. This could include rethinking how the apprenticeship levy currently operates as well as mechanisms such as lifelong learning accounts.
In particular, the CIPD is calling on the Government to:
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