Professional June 2021

PROFESSI NAL Official publication of The Chartered Institute of Payroll Professionals in Payroll, Pensions & Reward Issue 71 June 2021

Recruitment, retention, succession

Returning to the workplace A pressingmoment An uncomfortable period Life-changing You’re on your own Risks

CIPP UPDATE POLICY HUB PERSONAL DEVELOPMENT

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Editor’s comment

It seems probable that the pandemic has irrevocably changed how and where people work. Indeed, this is evidenced by the large number of press releases I continue to receive that identify a wide range of concerns

Along with the many press releases about the return to work, I note an increase in those about pensions. Hence, this issue carries several articles on developments in this field.

and wishes employees express about their workplace and work. So, I think many of you will find the article on page 10, exemplary, as it details how the CIPP is handling the return of staff to the office.

Mike Nicholas MCIPP (editor@cipp.org.uk) Editor

Chair’s message

This issue provides some interesting articles containing practical advice to help with finding, retaining, and developing colleagues. There are many challenges throughout the recruitment, retention and succession planning journey that have

Providing employees with opportunities for growth means they will be less likely to seek it elsewhere. Promotion rates will increase together with your employee engagement and retention rates. Internal promotions send the right signals to your workforce that career progression within the organisation is possible, encouraging and improving retention. When employees can envision a promising future, they are more likely to go above and beyond to excel in their role. Succession planning means they are more likely to stay, to achieve their desired career goals. Of course, retention and development come at a cost. Calculating, assessing, and agreeing the available budget will be a challenge. Consider the true costs of retention by incorporating the turnover costs if the right candidate is not chosen or leaves because no development or succession is available. When employees discuss development budget with their employers, the availability of lower cost, online courses that remove travel expenses, should not be forgotten.

seen significant changes in the last year due to the pandemic. Some of these will automatically be adopted due to the benefits and improvements they provide to the way new employees are interviewed, assessed and recruited. Finding the right person is a critical part of the process. Whilst external candidates bring a fresh perspective, increased diversity and new skills, internal recruitment (where there is a strong internal talent pool ready-to-go) provides employees with the opportunity of promotion. Whether you recruit a candidate for the skills and knowledge they will bring or for their can-do attitude and adaptability for development, will depend on the role available. The fit of an employee for the organisation should always be assessed. You could recruit the most highly skilled candidates, but if they do not fit in with the current workforce the likelihood of them staying will be reduced. Internal candidates will already be vetted for culture-fit, and you will have a strong understanding of their current skills and their ability to learn new ones.

Liz Lay MSc FCIPPdip FHEA ACIPD (liz.lay@cipp.org.uk) Chair, CIPP

The CIPP board recently formally met with the CIPP senior leadership team (SLT) to review the rolling strategic vision for the next five years as well as the progress from our strategic meetings held in earlier years. This is not an easy task, but with regular input CEO’s message

strategy meeting. Considerable work and investment on refurbishing our Foundation Degree in Payroll Management and the Foundation Degree in Pensions Administration and Management began in July 2019, under project management of the CIPP. We are leading the content development of all technical modules whilst the Heart of Worcestershire College leads content development in the soft-skills modules. See page 13 for a detailed account of the progress. The pandemic has shown the importance of payroll and pension professionals; and the demand for training and qualifications – driven both by employees and employers – continues to be a key focus for the CIPP and the board of directors in ensuring all staff working in these key worker positions are suitably skilled in continuing to keep the UK paid. Keep safe and well.

from all levels of membership – through the market insight survey, the future of payroll survey, special interest group input or informally by members – this feedback all helps with the direction of the CIPP. At the 2019 strategy meeting, the SLT confirmed with the board the following strategic objectives to be achieved over the next five years: ● growing membership and brand awareness (membership) ● leading innovation and engaging certified solutions (qualifications) ● providing knowledge and skills to practitioners (training) ● providing governance and advice to all payroll professionals (governance). Work continues apace on all these objectives, but I mention particular work on our Foundation Degree offering as we continue to keep this relevant and timely, as this was a key focus at the 2020

Ken Pullar FCIPP (ken.pullar@cipp.org.uk) Chief executive officer, CIPP

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| Professional in Payroll, Pensions and Reward |

Issue 71 | June 2021

in Payroll, Pensions & Reward PROFESSI NAL

Also available online at professionalmag.co.uk

Contents

June 2021

THIS ISSUE’S FEATURE TOPIC RECRUITMENT, RETENTION, SUCCESSION

40 How employee engagement benefits from a payroll strategy by David McCormack

Features

13

10

Can we really motivate using a few easy steps? by Subio

Returning to the workplace by Vickie Graham

Not just a lick of paint! by Sue Smith

16

19

22

Recruitment, retention, succession by Jerome Smail

The practice of correcting overpayments by Lora Murphy

An uncomfortable period by Lesley Salem

| Professional in Payroll, Pensions and Reward | June 2021 | Issue 71 2

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Emergency vehicles benefits reporting by Peter Minchinton 24

Editor Mike Nicholas 0121 712 1000 | editor@cipp.org.uk Advertising Vickie Graham 07775 564 352 | advertising@cipp.org.uk Design James Bartlett and Nicole Davis design@cipp.org.uk Printing Warwick Printing Company Ltd

Reporting benefits and expenses by CIPP policy team

31

28

You’re on your own by Ian Neale

32 Widening powers of entry by Danyal Enver and Anne-Marie Winton

Chief executive officer Ken Pullar FCIPP CIPP board of directors Jason Davenport MCIPP MIoD Louise Gray ChMCIPPdip

33

Stuart Hall MCIPPdip Helen Higson ACIPP Dianne Hoodless MSc ChFCIPP FHEA Liz Lay MSc FCIPPdip Jeremy Montgomery BA(Hons) FCIPP

DB schemes consolidation by Chris Parlour

Mind the gap by Henry Tapper

Carole Pearson MCIPP Katie Sharpe MCIPPdip

36

Equal pay, redundancy bumping, unfair dismissal by Nicola Mullineux 34 Integrating payroll and benefits by Jaspal Randhawa 41

Cliff Vidgeon BA(Hons) CMA ACG ChFCIPP Clare Warrington MSc FCIPPdip AFHEA

Useful contacts

Annual leave by Danny Done

Education education@cipp.org.uk 0121 712 1023 Events events@cipp.org.uk 0121 712 1013 General enquiries enquiries@cipp.org.uk 0121 712 1000 Marketing and sales marketing@cipp.org.uk 0121 712 1033 Membership membership@cipp.org.uk 0121 712 1073 Training training@cipp.org.uk

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Payroll: the undercover superhero by Daniela Porr

Regulars

01 Editor’s comment, and

29 Payroll news 31 Reward 38 Industry news 40 Technology 43 Wordsearch 50 Conf manager

Chair’s andCEO’smessage

04 CIPPupdate 05 CIPPupdate

Events, news and developments

0121 712 1063 cipp.org.uk @CIPP_UK

Policy hub: On your behalf, Advisory; Spotlight on…

11 Movers and shakers 11 Development news 13 Personal development BePayroll, Diary of a student 22 Compliance

Articles Please support this magazine so that it can continue to be a part of your membership package. Trademarks The CIPP logo, the initials ‘CIPP’ and the words ‘Professional in Payroll, Pensions and Reward’ and ‘CIPP Consult’ are trademarks of the Chartered Institute of Payroll Professionals. Copyright: The Chartered Institute of Payroll Professionals 2021. The Chartered Institute of Payroll Professionals, Goldfinger House, 245 Cranmore Boulevard, Shirley, Solihull, West Midlands, B90 4ZL. Switchboard 0121 712 1000 Copyright This magazine is published by The Chartered Institute of Payroll Professionals in whom the copyright is vested. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or any means, electronic, mechanical, photocopying, recording or otherwise, without the prior written permission of the publisher. The views expressed in this publication are not necessarily those of the CIPP or the editor. The information and comment contained in this publication are given in good faith, their accuracy or completeness cannot be guaranteed.

essions of a payroll

Additional online content 44. Payroll myth busting 45. Supporting mental health, wellbeing and absen c e

Full issue including additional online content available at professionalmag.co.uk

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| Professional in Payroll, Pensions and Reward |

Issue 71 | June 2021

CIPP update

Webinars and forums THOUGH THE first five months of this year have passed quickly, they were filled with activities, such as the popular BeKnowledgeable webinars, the Annual General Meeting, the BeConnected: National Forums, and the 2021 Budget Day website and social media ‘takeover’. We hope you enjoyed the BeConnected: National Forums and found them entertaining and useful in equal measure. If you attended, you should have received a recording of the session so you can refer to it should you need to. The successful BeKnowledgeable webinars will return at the end of this month and continue throughout the summer, so do try to book your place when you see them advertised, as the previous sessions proved incredibly popular. Foundation Degrees refresh THE ARTICLE, ‘Not just a lick of paint’ (see page 13), reveals that the CIPP has been working alongside industry professionals and educators to refresh the Foundation Degree offerings, to ensure the qualifications stay up to date and relevant to the issues facing payroll and pensions professionals today. The refreshed modules for year two will roll out this autumn, with the reviewed content for years one and three launching in 2022. CIPP listed among best to work for THE CIPP is delighted to announce that it has been recognised by Best Companies Live (https://bit.ly/3yBznXC) as ‘Officially a very good company to work for’, awarding the Chartered Institute: ● 7th place, in The Top 10 Not For Profit Bodies to Work For ● 80th, in The Top 100 Small Businesses to Work For ● 84th, in The Top 100 Best Companies to Work for in the Midlands. Once again, the listings recognise the hard work and dedication that has gone into the past twelve months to keep the industry updated and the UK paid.

Chartered members THE NEW chartered membership process, which is live, offers two clear routes for application; via either your qualifications or your extensive experience. You can find out more information about Chartered membership here: www.cipp.org.uk/grades/chartered- membership.html. The next Chartered member panel will sit on 13 June. a benchmarking report based on the activities of the whole profession. This report will establish salaries, error rates and current trends so you can benchmark your organisation against current industry standards, assisting you in your future decision making and supporting you in future improvements and enhancements to your processes. You can access the CIPP benchmarking Survey 2021 here: https://bit.ly/3xJswek . Benchmarking survey THE CIPP’S benchmarking survey remains open throughout June, so please take the time to complete it, as this will aid the Chartered Institute in creating O

CIPP shortlisted for awards THE CIPP is thrilled to announce we are shortlisted as finalists in three categories in the Association Excellence Awards. The categories are: ● Best Membership Support During Covid-19 (5,001+ Members) ● Best Association Magazine (Circulation under 25,000) ● UK Association of the Year Being shortlisted in these categories is a moment of huge recognition and we accept these positions on behalf of the profession which has worked tirelessly throughout the pandemic to keep the UK paid. Winners will be announced on 29 June.

National Payroll Week YOU CAN continue to celebrate the important role pf payroll professionals by requesting the digital National Payroll Week pack.

PAYR LL NATIONAL WEEK 2021

Last year saw the most successful National Payroll Week to date, with over 5,500 packs downloaded and engagement rates at an all- time high. Let’s build on the success of 2020 and ensure that payroll professionals continue to be at the forefront of their industries, whilst celebrating themselves and their colleagues for their outstanding performance and achievements. You can request your pack here: www.cipp.org.uk/events/npw-landing.html .

2021 Annual Excellence Awards DON’T FORGET that the CIPP’s 2021 Annual Excellence Awards are open for nominations, including our four new award categories. To find out more and to make your nominations, visit: www.cipp.org.uk/events/annual-excellence-awards.html.

| Professional in Payroll, Pensions and Reward | June 2021 | Issue 71 4

Policy hub

The CIPP’s policy and research team provide an update on developments. The teamhas been busy delivering the first in a series of new-style BeConnected: National Forums, attending consultation forums, and keeping payroll professionals up-to-date with all of the latest news Policy team update On your behalf

BeConnected: National Forums Over the past year the CIPP has, like many organisations, adapted to delivering updates and webinars virtually. Traditionally, such events have been held face-to-face, so the transition meant several departments being involved and substantial changes made to event processes. With this change came the opportunity to trial a new style for the BeConnected: National Forums. The sessions now involve policy and research officers Gemma Mullis and Lora Murphy providing the traditional legislative update of all the changes with the focus shifting in part two to practical payroll and the exploration of implications of coronavirus. The BeConnected: National Forums also feature new policy lead, Samantha Johnson, who discusses the future of the profession, providing an overview of some of the recently launched consultations which could have significant impact on payroll. Samantha also considers how payroll teams might look in the future, and how to maximise the benefits of membership with the CIPP. This is followed by a Q&A session, which provides the opportunity for delegates to submit any questions that they may have. The BeConnected: National Forums also include questions for the audience to answer, which feed into the research that the policy team undertakes. When the BeConnected: National Forums programme ends, the BeKnowledgeable webinar series will resume following a brief hiatus. The policy team would like to know which topics you would like to see featured. Please send your ideas to the team at policy@cipp.org.uk . Payrolling of benefits The CIPP’s policy team, in conjunction with HM Revenue & Customs (HMRC), has

been looking at ways in which the use of payrolling benefits can be encouraged and advertised more widely to businesses. Payrolling involves processing benefits through the payroll in real time, negating the requirement to issue annually a P11D return for those provided with those benefits. There are currently a couple of benefits that cannot be payrolled, which are employer-provided living accommodation and interest-free and low interest loans. There is still a requirement for details relating to those benefits to be reported in the P11D return. ...the pandemic has disproportionately impacted some sectors... Given the impact of the pandemic and the subsequent enhanced focus on financial wellbeing of individuals, employers may opt to payroll benefits as this means employees effectively pay the tax associated with the benefits at the same time as they receive them. The P11D process means that they are not taxed on those benefits until the following tax year, as their tax code is adjusted accordingly only once HMRC has received the relevant information. The CIPP will be hosting a survey asking organisations about the process they use to report taxable benefits to HMRC, and what the barriers are to payrolling benefits. Please keep an eye out for this survey, and respond where possible, as your feedback is invaluable to both the CIPP and HMRC. A Quick Poll recently hosted on our News Online page revealed that the majority of employers still issue P11D returns (49%), with 20% opting to payroll benefits, and 31% combining the two processes.

If you have any additional feedback on the topic of payrolling benefits, please contact policy@cipp.org.uk . The future of the NMW/NLW In April 2021, the CIPP’s policy team held a virtual roundtable Think Tank, giving full, fellow and Chartered members the opportunity to liaise with the Low Pay Commission about the recently published consultation which explores the national living wage (NLW) and national minimum wage (NMW) rates for use from April 2022 (http://ow.ly/rxKi30rGE4u). The session was beneficial, with attendees giving insight to how businesses, particularly in certain sectors, have been affected by the pandemic. It was interesting, and at times sombre, to hear how some organisations have thrived but how others have consistently struggled. It is apparent that the pandemic has disproportionately impacted some sectors, and this could potentially continue for a long time. The resounding outcome of the meeting was that though increasing the NLW/NMW would be a positive move, wider external economic conditions need to be considered carefully. There was much discussion about the impact of the increases on individuals paid at a rate not much higher than the minimum but who have greater responsibilities than those paid at the minimum. There were also questions raised as to why the minimum rates are linked to age, and not job requirements or skill sets, as somebody aged 18 could potentially be performing the same duties as a 25-year- old but be paid significantly less. The CIPP will be submitting a formal response to the consultation, but we require your feedback. There’s still time to respond to our survey on NLW/NMW rates from April 2022, here: https://bit.ly/33nhmy1 . All feedback and responses are much appreciated, so thank you in advance. n

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| Professional in Payroll, Pensions and Reward |

Issue 71 | June 2021

MY CIPP

The CIPP's Advisory Service team provides answers to popular questions

Q: Can an agency engage with a sole trader? A: Agencies should not be engaging sole traders. The legislation does not allow self- employment when an agency is involved in the contractual relationship between the supplier and client. For income tax purposes, where the conditions in section 44(1) of the Income Tax (Earnings and Pensions) Act 2003 (ITEPA) (https://bit. ly/2Qzdrva) apply, the worker is treated as holding an employment with the agency. The remuneration which the worker receives as result of entering into such arrangements with an agency is treated for income tax purposes as earnings from employment. In these circumstances, sections 688(1) and (1A) of ITEPA (https://bit.ly/3gGwcay) suggest that the agency is the employer who is responsible for operating PAYE (pay as you earn). HM Revenue & Customs (HMRC) could also pursue the agency for any unpaid income tax and National Insurance contributions (NICs). Q: We know that tax cannot be deducted above the regulatory limit which is 50% of gross pay, but does this apply to notional amounts that are included only for the purpose of increasing taxable pay for benefits in kind? A: From 6 April 2015, the regulatory limit which ensures employees have no more than 50% of their pay deducted as income tax under PAYE was extended to all tax codes. If the tax hits 50% of gross pay, the tax exceeding the limit is carried forward to the next pay period, as tax cannot exceed 50% of gross pay in a pay period. Effectively an employee will have both taxable pay and gross pay in their payslip. The payroll section should ensure that the notional benefits are not included in gross

pay as the regulatory limit applies to gross pay only. This is achieved when the notional benefit is created in the background of the payroll software. When setting up the ‘allowance code’, the user would ensure the allowance was subject to tax and class 1A NICs but not included in gross pay. An employer may need to contact their software provider to help with this. Q: We have an employee who during her statutory maternity leave (SML), which started on 9 March 2021, set up her own small business and became self-employed. Can she remain on SML and receive statutory maternity pay (SMP)? A: Once an employee becomes entitled to SMP she continues to be entitled even if she undertakes self-employment. Although classed as working in the maternity pay period, undertaking work in a self-employed nature during this period will not affect the employee’s SMP, and she would remain on SML. Q: We have four contractors working for us for whom we have used HMRC’s check employment status tool to establish their status. Two of them are self-employed for tax purposes and two are outside of the off-payroll working rules. For which contractors do we have to send a status determination statement (SDS)? A: If the end client or hiring organisation is not regarded as a small business under section 382 of the Companies Act 2006 (https://bit.ly/3exuw0B), they should communicate the result of the status determination test (SDS) by issuing the contractor with a copy. From 6 April 2021, the end client must inform the worker and the agency, or other organisation they contract with, the results

of the determination. End clients should forward the SDS to these parties regardless of whether their determination shows that the off-payroll working rules apply or not. They must also provide reasons for their determination. If the working practices of the engagement change and a new contract is negotiated with the worker, the end client will need to perform another assessment. The off-payroll working rules relate to the specific contract for services that a worker undertakes, so if at any time there is a change to that contract the end client should assess whether the rules apply. Q: We acquired two small companies in tax year 2020/21. Each has its own PAYE reference, and there is a total of 25 employees. Should each company be paying the apprenticeship levy? A: If an individual employer becomes connected to another company mid-way through the tax year, then by virtue of the connectivity rules both continue to have the levy allowance which they had at the start of the tax year for the remainder of that year. At the start of the new tax year, the companies will be classed as fully connected and they will have to determine how the levy allowance will be allocated between them. For reference, see section 3 of the National Insurance Contributions Act 2014 where it discusses the connected persons legislation (https://bit.ly/3tmP5TI). Q: Can you please advise whether there is an obligation for an employer to pay extra if an employee works a shift when the clocks have gone back? Also, can we pay an employee less when the clocks go forward? A: If the employee has worked an extra

| Professional in Payroll, Pensions and Reward | June 2021 | Issue 71 6

Policy hub

Gain a detailed overviewof National MinimumWage (NMW) &National LivingWage (NLW) including the current rates payable. Learn to identify who is eligible, the calculation steps needed, record-keeping and compliance activities required. National MinimumWage and other worker entitlements

hour when the clocks go back then they must be paid for this. To refuse to pay for the extra worked hour could potentially be a breach of contract and the National Minimum Wage Regulations 2015. When the clocks go forward the employee works an hour less and therefore might be paid an hour less subject to the terms and conditions of employment. Q: If an employee leaves before 6 April 2021, what tax code should be used if a payment is going through for them at the end of April? A: The guidance in HMRC’s P9X notice (https://bit.ly/3dUvPHK) states that an employee who leaves before 6 April 2021, regardless of whether a payment is being received in April or not, should not have their tax code uplifted. You should not uplift these tax codes but instead leave them as they were at the end of the previous tax year for the payment in April. Q. When calculating the average weekly earnings (AWE) for SMP, should the value of shares received by the employee during the relevant period be included in the calculation? In accordance with professional advice we put the value of the benefit through the payroll as a notional payment to ensure the correct PAYE tax and NICs are calculated. A: Payments in kind (‘benefits in kind’, according to income tax terminology) may be liable to class 1 NICs. Such payments might fall to be treated as ‘readily convertible assets’. Section 171(4) of Part XII (Statutory maternity pay) of the Social Security Contributions and Benefits Act 1992, provides that “…a woman’s normal weekly earnings shall…be taken to be the average weekly earnings which in the relevant period have been paid to her or paid for her benefit under the contract of service with the employer in question”. Regulation 20 (Meaning of ‘earnings’) of the Statutory Maternity Pay (General) Regulations 1986, provides that “For the purposes of section 171(4) of the Contributions and Benefits Act, the expression ‘earnings’ refers to gross earnings and includes any remuneration or profit derived from a woman’s employment except any payment or amount which is excluded or disregarded in the calculation

of a person’s earnings under regulation 25, 27 or 123 of, or Schedule 3 to, the Social Security (Contributions) Regulations 2001 (payments to be disregarded…)”. Part II of Schedule 3 (https://bit. ly/3nqZN9B) refers to payments in kind that can be disregarded but specifies that (amongst other things) “the conferment of any beneficial interest in any asset mentioned in Part III or Part IV” is not to be disregarded. Part III lists payments by way of readily convertible assets; and Part IV lists payments by way of specific assets. Part IX (Incentives by way of securities), provides that “Payments by way of securities, restricted securities and restricted interests in securities, and gains arising from them, are disregarded in the calculation of an employed earner’s earnings to the extent mentioned in this Part”. As you have been advised that the value of the shares are ‘earnings’ the amount is subject to class 1 NICs. Accordingly, you have correctly made a notional payment through the payroll thereby increasing the individual’s NICable earnings and the amount of class 1 NICs due. So, when calculating average weekly earnings the amount should be included. Q: Where there are connected companies, do you have to add the total NICs paid amongst the group to calculate whether a company is eligible for small employer’s relief or is each company treated separately? A: HMRC guidance (https://bit.ly/3ns5vIk) states: “You can reclaim 103% if your business qualifies for small employers’ relief. You get this if you paid £45,000 or less in class 1 National Insurance (ignoring any reductions like Employment Allowance)”. Potentially, this could mean that if the companies are connected for items such as the employment allowance SMP funding for the smaller company would not be allowed. However, regulation 2 of the Statutory Maternity Pay (Compensation of Employers) and Miscellaneous Amendment Regulations 1994 (https://bit.ly/3aIXoBQ), makes no reference to connected companies for this purpose. Our understanding is that this is solely based on the information sent in the employer payment summary for the PAYE reference, and not upon the total sum of the connected companies’ NICs. n

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| Professional in Payroll, Pensions and Reward |

Issue 71 | June 2021

MY CIPP

Spotlight on...

application of policy, legislation, regulation, and case law on payroll has always been of particular interest to me. I’ve always been keen to remain close to what is coming next and work closely with my team to prepare the business for the changes that were coming. I enjoy the problem-solving element, studying the legal framework, and interpreting that framework into a practical reality. When I saw the policy role vacancy with the CIPP it felt like the perfect role, an opportunity to influence policy from the outset, represent the voice of payroll, and then help payroll professionals across the UK put those changes into practice. Did you study a specific course to help you enter this career? When I first joined the Leicestershire Constabulary payroll team, I had no experience of payroll. I was, and still am, incredibly grateful that my manager was keen to support me in learning more about payroll and enrolled me onto the CIPP Foundation Degree in Payroll Management. The course provided me with an in-depth and thorough education in the wide-ranging role of payroll – from the relationships between internal and external customers, to calculating statutory payments and deductions. This qualification provided a fantastic foundation to my payroll career. Was there amoment in your career/life that made youwant to enter a career in payroll? Payroll often isn’t particularly well understood by those outside the industry, and I was one of this group before I joined the profession. So, it’s difficult to say a moment that made me want to enter payroll. However, the opportunities I had with JCB – working on some really exciting projects that brought big changes to the business – showed me the impact that payroll can have. It was then that I knew that this was what I wanted to do for the long term. Howdo you feel when you knowyou havemade a positive difference through your advice andwork? I have so much respect for the payroll community across the UK. Payrollers are

hardworking, meticulous and seem to have this innate superpower of attention to detail. They never fail to amaze and inspire me. They’re pragmatic problem solvers, customer focused and are committed to delivering accurately and on time, every time. The opportunity of making a positive difference to this industry makes my role so rewarding. I really understand the pressure that payroll teams are under, and if the CIPP and the policy team can ease some of that pressure, give them a shoulder to lean on, or offer them support – whether that be through our Beconnected: National Forums, our BeKnowledgeable webinars, our webcasts, special interest groups or via News Online or Professional magazine articles – it makes me feel so proud to be a part of that. What has been you biggest sense of achievement since joining the policy teamwith theCIPP? For me, this is a brand-new journey with the CIPP. However, even this early into my journey I’ve had some fantastic opportunities – being part of the BeConnected: National Forums, a member of Reward Strategy’s global payroll question time panel, and joining a roundtable to discuss the future of national minimum and living wage – all in my first few weeks! However, I think the biggest highlight so far is having the opportunity to be a part of the consultations and calls for evidence that came out of Tax Day in March 2021. The future is certainly not going to stand still in the world of payroll and I’m so excited to be at the heart of it. Tell us about a typical week as a policy teammember? The policy team have such a varied working week. The team work really hard on pushing out lots of content to support our members and payroll professionals to keep up to date. We produce articles for Professional magazine and prepare for and present on webinars. (We can’t wait to deliver some face-to-face events when safe to do so again.) Another big part of the role in the policy team is working on government consultation responses and being a part of working groups and forums. The CIPP are keen to ensure that the views of the payroll profession form part of changes that impact the profession in the

Samantha Johnson LLB(Hons) MCIPPdip CIPP’s policy lead

As one of our newest team members here at the CIPP, Sam is excited to work closely with members over the coming months and years. Howdid you start your payroll career?Was it choice, or did you fall into the role likemany payrollers do? Throughout my teens, I’d always planned on becoming a barrister. I had this ‘court room drama’ view of a legal career sporting a (not so) fetching wig and arguing my case to a judge and jury. On completing a law degree, you have to study for another year and complete a bar vocational course to fully qualify as a barrister; well, at this point, and now in my early twenties, I wasn’t sure if law was my true passion. I wanted to experience more of what the world had to offer, and as a typical skint student I wanted to earn some money. So I took up a civilian role working for Leicestershire Police. After a few years, I did some soul- searching and reflected on what I really wanted from my career. I’d always loved studying maths at school, so I decided to begin studying accountancy to see if I was suited to a career in finance. Not long after, an internal vacancy came up within the finance department for a payroll administrator. I applied for the role and was lucky enough that they took a chance on an eager twenty-something with no experience. Since then, I’ve never looked back. Howdid you thenmove into policy? With a legal background, the practical

| Professional in Payroll, Pensions and Reward | June 2021 | Issue 71 8

My CIPP

future, and the policy team is at the centre of this ambition.

of all shapes and sizes – which helps us ensure we can deliver our updates in a way that makes them relevant and clear to our members. The team also need to be able to research and digest information, understand the impact on our industry, and accurately summarise that information in articles or news updates. Presentation skills are really important too, as we deliver a lot of our updates on webinars, webcasts and at events. Being a bit of a payroll geek is helpful as well. What’s themost interesting fact you have ever heard about payroll? The reason the tax year starts on 6 April is linked back to Britain being stubborn in the sixteenth century. Europe moved from the Julian calendar to the current Gregorian calendar in 1582, but Britain didn’t make the change for almost another 200 years. This created a problem because the Julian calendar wasn’t accurate, so over the years

the calendars had fallen out of sync by eleven days meaning Britain lost those days in the transition. In the space of one day, the calendar moved from 2 to 14 September. With an eagle eye on revenue, the treasury was keen that the tax year remain 365 days so moved the end of the tax year from 25 March to 5 April. Where do you receive your knowledge and updates from? In my previous role, I have always looked to the CIPP for updates on the ever-changing world of payroll. It’s so tough to find the time to do the research when you’re delivering against payroll deadlines, so I used whatever tools I could to make it easy for myself. As a part of the policy team, I subscribe to updates

What techniques do you use to provide detailed accurate content? Accuracy is part of the payroll mantra, so check and double check is often the technique I adopt. A second pair of eyes is often important, too. Sometimes when you’ve looked at something for too long, it’s difficult to see the wood for the trees. Finally, and hopefully it goes without saying, I always make sure I’m using a reputable source. There is so much content out there on the internet now, it’s vital that we only rely on sources that we know are accurate and trustworthy. What type of skills does a policy teammember need? The policy team are payrollers at heart, so it is important to us that we understand and have experience of how payroll operates practically – both in businesses and bureaus

from a wide selection of sources. Gov.uk is also a great source of knowledge, and a good reference for

established policy and legislation. I also look to my payroll network through LinkedIn and beyond to stay up to date with the challenges of operational payroll. n

2021 Benchmarking Survey It’s your chance to take part Want to discover how your organisation compares to others?

Take part in our annual benchmarking survey and help to produce this critical report

Give your payroll team the power to be the best they can be .

Visit cipp.org.uk/benchmarking to complete the survey today.

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| Professional in Payroll, Pensions and Reward |

Issue 71 | June 2021

MY CIPP

Returning to the workplace

Vickie GrahamDipMACIMACIPP, CIPP’s business development director, outlines the Chartered Institute’s evolving policy for its office-based staff

F rom 23 March 2020, all CIPP employees were working from home. Some were remote workers prior to the pandemic, but most had been phased out of the office in anticipation of a national lockdown. At the time we had an office sweepstake with the majority anticipating us being back by June – but no one imagined that would be June 2021! The senior leadership team (SLT) started communicating with colleagues, daily initially, via email to confirm what discussions were being had regarding returning to the workplace, and how to keep positive during difficult times. These emails would sometimes include a video message, as well as positive messages for colleagues. As the working conditions became the ‘norm’ we reduced the frequency to twice a week. In addition, following announcements made by the prime minister, Ken Pullar, CIPP’s chief executive officer, would write to colleagues to advise on the SLT’s thoughts regarding what they would mean for those looking to return to the office. Through these communications to the team, we issued surveys asking what employees would like to see to make them feel safer when returning to the office. Following the feedback, along with timely government guidance, we made plans to phase a return of employees from 20 July to 4 September 2020. To do this in a covid secure way we conducted a risk assessment and made the following changes.

were aware of what had changed and their obligations and responsibilities to their colleagues, such as to clean surfaces in communal areas if used and to maintain social distancing at all times. 4. Temperature checks on entering the building. 5. Contactless hand sanitisers were placed at all doorways where hand washing facilities were not available, and colleagues were encouraged to use these prior to touching surfaces such as door handles or rails in stairways. In addition, we placed hand sanitiser bottles in all meeting rooms. 6. Face coverings and gloves were provided. 7. Antibacterial wipes were provided for wiping desks during the day, as well as in communal areas to maintain the cleanliness of surfaces until our nightly clean. 8. Although our desks are 2 metres wide and 1.5 metres deep, enabling social distancing, screens were erected between them to provide extra protection following feedback from employees. As mentioned, we phased the return over an eight-week period. This allowed for us to test the changes and policy without having everyone being back at once, and made people feel more comfortable. Which phase a person returned in was determined by job role and therefore requirement to be in the office. In determining who returned during which phase, consideration was given to vulnerable employees and their families. This did not just consider health but took into consideration how people travelled to the office and those within their households. The phased return was successful, ...no one imagined that would be June 2021!

and we issued surveys to determine how employees felt once they had returned, with those who completed the survey confirming that the office felt safe and covid-secure. Shortly after returning, we went into lockdown two and as government advice was to again work from home where possible we moved employees out again during October. However, there was more emphasis on mental health and wellbeing, and recognition that not everyone could work from home, so the office remained open for those who needed an office environment; and this has been the case from 29 March 2021 during lockdown three. Approaching the end of lockdown three, the SLT are discussing what a return would look like. We are planning to return from 21 June and, again, this will be phased. We are having discussions with our teams and keeping on top of government updates to ensure we are covid-secure and that the teams are comfortable in their working environment. Where roles allow, there will be a degree of flexibility moving forward, but this carries its own challenges when considering hardware and software requirements, and changes to contracts.

Generally, there is much debate regarding whether employers can insist upon their employees being

vaccinated before returning to an office environment. Whilst this is understandably something employers would consider, we acknowledge that not all employees will be willing, nor able, to be vaccinated. There are some groups who have been advised not to have the vaccine due to potential risks, others will have personal or religious reasons for choosing not to be vaccinated, and as an employer we cannot discriminate because of this. Therefore, the issue is not how we enforce vaccines in the workplace, but how we make it secure without them. n

1. Health and safety checks were completed in the office, including

legionnaires’ disease checks for the water and servicing of our air conditioning and fresh air systems. 2. A deep-clean of the office was organised for the week before employees returned, including a clean of the air conditioning units. 3. Introduced a policy so all employees

| Professional in Payroll, Pensions and Reward | June 2021 | Issue 71 10

O N L I N E L E A R N I N G

To appear on this page contact editor@cipp.org.uk

Case law continually produces changes to employees’ statutory holiday leave and pay entitlement, which are covered in this informative course, along with the various types of leave and the calculation of pay. Holiday pay and leave

activpayroll APPOINTSDAVIDDEACON GLOBAL PAYROLL and tax compliance specialist, activpayroll, has appointed David Deacon as chief people officer, bringing over thirty years of international HR experience to the team. The position of chief people officer is the first of its kind within activpayroll and has been designed to drive forward the global people strategy and build on the strong culture that already exists while keeping in line with strategic global expansion plans. David Deacon commented that “it’s a really exciting time to

be joining the team and I’m thrilled to have this opportunity”, adding “I look forward to contributing my own expertise to help activpayroll achieve its full potential over the coming months.” Alison Sellar OBE, chief executive officer of activpayroll, commented: “The invaluable experience and fresh outlook that David brings to the team is already evident and I know that he has an important part to play in the future of the company as we continue to drive our people strategy to be the best employer we possibly can be.”

Visit cipp.org.uk/training to book your place

CPD 3 points

Personal development news

WORKFORCE ISSUES ANDTRENDS A RECENT survey conducted by PwC of 32,500 workers in nineteen countries looked at a range of workplace issues, some of which reflect the fact the pandemic has accelerated a number of workforce trends, including: ● 60% are worried that automation is putting many jobs at risk

● 48% believe traditional employment won’t be around in the future, and ● 39% think it is likely that their job will be obsolete within five years.

However, 40% of workers say their digital skills have improved through the prolonged period of lockdown, and claim they’ll continue to embrace training and skill development. Some 77% are ready to learn new skills or completely re-train; 74% see training as a matter of personal responsibility; and 80% are confident they can adapt to new technologies entering their workplace. In addition, 49% of respondents are focused on building entrepreneurial skills with an interest in setting up their own business. The survey found disparities in access to upskilling opportunities. While 46% of those with postgraduate degrees say their employer gives them many opportunities to improve their digital skills, just 28% with school-leaver qualifications say the same. Industries like retail or transport, which are most at risk of disruption, score just 25% and 20% respectively; while banking scores 42%. The survey also found that half the workforce report missing out on career opportunities or training due to prejudice: ● 50% say they’ve faced discrimination at work which led to them missing out on career advancement or training, and ● 13% report discrimination on the basis of class, with post-graduates and others with higher qualifications more likely to report prejudice. Bhushan Sethi, joint global leader of PwC’s People and Organization Practice, commented: “Government and business leaders need to work together to intensify efforts to ensure people in the most-at risk industries and groups get the opportunities they need. Automation and technological disruption are inevitable, but we can control whether its negative effects are managed or not.”

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| Professional in Payroll, Pensions and Reward |

Issue 71 | June 2021

Can we really motivate using a few easy steps?

T he working environment for many has changed considerably over the past twelve months. Many have found it increasingly difficult to keep themselves or others motivated. So, wouldn’t it be great if we could motivate in a few easy steps? How would you feel if someone had a guaranteed formula to motivate you and everyone else? Sustainable human motivation is an area we continue to explore. Daniel Pink, Barry Schwartz and Simon Sinek are among those leading the social media charge on the importance of purpose, or what is increasingly referred to now as ‘why’. More and more organisations apply greater focus on purpose in order to reach and motivate people, but is purpose really enough? As Sinek suggests, we need to start with why, our very own authentic ‘why’. There are various schools of thought on how to discover one’s own ‘why,’ but let’s start with what each of us hold dear. Shalom H. Schwartz argues that there are ten basic human values, which include our own concepts of: ● Self-direction: freedom, self-respect, curiosity. ● Stimulation: excitement, variety, daring. ● Hedonism: pleasure, enjoyment, indulgence. ● Achievement: success, ambition, influence. ● Power: authority, wealth, recognition. ● Security: social order, health, belonging. ● Conformity: self-discipline, interacting with the expectations of others. ● Tradition: respect, commitment, The Key to Success, and a call to action, by Subio

customs. ● Benevolence: helpfulness, forgiveness, loyalty. ● Universalism: social justice, environment, equality. Almost every human value and compelling reason can be traced back to one or more of these. It is the nuances of interpretation, coupled with the fluid nature of the needs they create which illustrates the problem with motivational hacks. We each have our own unique mix of interpretations and needs based on our life experiences – our own unique ‘why’. Our experiences continue to shape us from cradle to grave, either reinforcing our beliefs or causing us to evaluate some that are less-established. Our values and our needs vary and whilst we will have some commonality, the regular flexing of their importance means they change from person to person and from day to day. This creates almost an infinite number of combinations at play on any given day which is impossible to cater to, right? This is why authentic company values, along with clarity of mission and vision, do play such an important role in motivation – they operate using the law of attraction to help identify some shared core values, but they are not enough in isolation, nor if the rest of your working environment is inhibiting other values or needs from being fulfilled. For over 200 years we have operated on the principal of power being the trump card in motivation. It has therefore become our default answer to everything, yet in certain situations this can be actively

demotivating. In their research, Effort for Payment , James Heyman and Dan Ariely make a case for the danger of this as a default stance using a simple exercise of moving a sofa into a van. Participants were asked either to help as a favour or for a small fee. The very introduction of money switches the decision from a social transaction (is it the right thing to do) to a financial transaction (is it worth the time and effort). You don’t need to read the research paper to know the outcome of the experiment. Unfortunately, there are no quick fixes to motivating unique individuals. If we are to sustainably motivate, we need environments which provide clear anchor points that identify and satisfy whatever specific need is important at any given time. We have to invest in understanding our ‘why’ and those of others around us. Any form of sustainable success comes from being motivated, individually, as a team or as a business. That motivation is fuelled through firstly investing the time and effort in understanding what are the real compelling reasons (why) that drives us to achieve our goals and needs. o A call to action – we would love to hear from you Our Subio Key to Success is a unique framework that can be applied individually or across an organisation to significantly increase the chances of success in any goal. We would love to hear about any successes that you have achieved and how you arrived at your compelling reason behind this success. For those who share this insight, we will select three who will be rewarded with the opportunity to attend our K2S Personal online training programme completely free of charge and without any obligation. If you would like to participate and share details of a recent success, please email details to our chief executive officer, John Cronin (john@subio.co.uk). Further information about The Key to Success can be found at www.subio.co.uk.

| Professional in Payroll, Pensions and Reward | June 2021 | Issue 71 12

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