Probation reviews – how to make them work for you…

The first day, the first week, perhaps even the first month! These are generally key milestones for you as a new employee. Hopefully, by the first month you’ve mastered the tea/coffee round, you’ve found your place within the team and you’ve fallen into the pattern of the day-to-day routine; you may even have even forgotten that you’re still a newbie… until you’re reminded of the, often, dreaded probation review.

‘Is it a test?’, ‘Have I been doing my job as well as they’d like?’, ‘This is a waste of time!’, ‘What is the point of this?’  the questions are endless and I presume the feelings are mixed.

An employers approach to the probation review varies from company to company. Some have a very structured approach and almost treat it as a ‘test’, whereas others have a 5 minute chat over coffee to ‘check in’. However, either approach can bring about negative feelings for the employee if not managed properly, so employers beware!

The probation review is often viewed as a tool only for the employer.

  1. To check the employees true skills and understanding of the role and job.
  2. A check to ensure the company have hired correctly and effectively an employer’s safety net, as you will.

However it can also be a powerful tool for you the employee, here’s how:

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Review

The review provides you with a chance to check the work you have done so far against what you were employed to do. You can do this by looking at your job description. This will highlight areas that you may not have covered yet, which is something you can discuss with your employer to ensure you are covering the full responsibilities of your role.

Assess

Use the review as an opportunity to assess whether the job has met YOUR expectations. Think about what you have liked so far and what you have disliked. Reflect on your initial perception of the job before starting and how the reality matches up. Do you have any concerns?

This is very useful for your well being, if you feel any negativity towards the role this is a great time to put this to bed. It could be resolved with a change in your working environment, a change or clarification of a complicated process or simply some reassurance that ‘’you are doing a great job, keep it up!’’

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Discuss

Employers use reviews as a way to assess your performance. You can use this as a way to show off and reaffirm what you have learnt to date. Don’t be scared to ask questions about things you aren’t sure of or may need extra training on. To experience the full benefits of a review it is important to be completely open with areas you are struggling with. This allows your employer to support you and ultimately strengthens your relationship.

Also use this as an opportunity to show your employer your aspirations! A helpful tip: go in there with a project, perhaps there is something you have noticed that could be developed or implemented or something you would like to learn, big or small, that will not only aid in your development but add value to the business.

Ask

Ask for feedback for your own progression and improvement. This will give you a good understanding of how you’re doing. It also gives you an idea on what you need to work on in the coming months leading up to your first quarterly or annual appraisal and the willingness to improve will always be noted by an employer.

Take ownership of your probation review, don’t treat it as an examination or a quick conversation by the photocopier. Treat it as an adult discussion, where both parties can benefit and support each other; a discussion that will pave the way to a healthy and strong employment relationship.

If you need any advice or guidance, please get in touch with us to find out more:+44 203 538 5311 or email: hello@hrrevolution.co.uk or visit www.hrrevolution.co.uk where our expert CIPD HR professionals are waiting to help you with any questions you may have.

HR Revolution; supporting you, your employees AND your business.

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FRIDAY HR FAQS – Can you fire an employee for lying on their CV?

Well you might think that lying on your CV may seem harmless, but in the eyes of the law it’s committing fraud by false representation, which could certainly lead to dismissal or a maximum penalty of ten years in prison! A seemingly little white lie on paper, in an email or even an interview is a crime under the Fraud Act of 2006, if the candidate knows the lie to be untrue.

The lie could be anything from making up exam grades to over elaborating previous job responsibilities. A misinterpretation could even be made through body language – a nod or shake of the head can lead to questions if they appear to confirm a lie, such as in an interview.

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Lying about qualifications is especially serious in industries like healthcare, engineering and roles in the public sector. When an employee in one of these sectors says they have a particular qualification and it turns out they have lied, they could be putting their colleagues, your customers and the general public in danger. A dishonest employee could damage the reputation of your company, especially if you have clients who rely on expert knowledge and it also doesn’t make you look like a very diligent employer.

If you decide to dismiss an employee because you found out they have lied on their CV, the longer your employee has been working for you, the harder it will be to justify the dismissal as fair. An employee may have been with you for a few years before you discover they lied and they could argue that they are still good at their job, even without the qualifications fabricated on their CV.

How to avoid the risk of employing someone who has lied on their CV?

Employing someone who has lied on their CV can be both time consuming and costly to an employer. Fortunately, there are some simple steps you can adopt in order to avoid this happening:

  • Make sure to carryout checks before you onboard the employee.
  • Ask to see proof of certificates/qualifications which have been detailed on their CV.
  • Carry out DBS checks to ensure your employee hasn’t been convicted of any crime.
  • Check previous employer references in advance and ask for details regarding the employees previous role.

If you need any HR help or advice on vetting a new employee. Get in touch: +44 203 538 5311 or email: hello@hrrevolution.co.uk or visit www.hrrevolution.co.uk  where our expert CIPD HR professionals are waiting to help you with any questions you may have.

HR Revolution; supporting you, your employees AND your business.

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What is PILON? and what you need to know from April 2018

PILON (payment in lieu of notice) is a payment made to an employee when their employment has been terminated immediately without notice.

How should an employer deal with it?

PILON only arises when you want an employee to leave straight away therefore ending employment immediately and is a payment to compensate the employee for money they would have earned during their notice period if they had worked it. It is different from ‘gardening leave’, in which the employee is still in employment during the notice period and is paid, even though he or she is not present at work.

PILON will usually depend on what provision has been made for it in the contract of employment. In some instances, a contract may specify that termination can be made immediately by making a payment in lieu of basic salary for the notice period. Benefits and other extra costs that would have accrued during the notice period may not need to be paid. Employers are generally required to pay benefits and any extras when the contractual provision for PILON doesn’t specify what the pay should be, or if there is no contractual clause for PILON.

Employers need to know that without contractual provision, a termination of employment with PILON is likely to be a breach of contract. Usually the employer would compensate for this by including all the remuneration and benefits the employee would have been entitled to during the notice period. To avoid any later disagreement, employers could include a payment for any holiday that may have accrued during the period, even though they may not technically be required to.

Sometimes there can be confusion about when the termination date falls in a PILON situation. To make sure there are no disputes, it is always advisable to make this clear in the contract, whether it’s the date notice of termination is given, or the date the PILON is made or in the end of what would have been the notice period. Some employers prefer to give notice of termination and make the PILON at the same time so that there are no misunderstandings.

Usually in the event of a dismissal for gross misconduct, PILON is not normally paid.

Currently an employer may pay up to £30,000 free of tax and National Insurance but as of 6th April this is set to change in an attempt to make termination payments ‘fair’ and provide more clarity on the rules behind the payments.  From this date all employees will pay tax and Class 1 NICs on the amount of basic pay that they would have received if they had worked their notice, even if they are not paid a contractual PILON.  This means the tax and NICs consequences are the same for everyone and it is no longer dependent on how the employment contract is drafted or whether payments are structured in some other form, such as damages.

Here is a quick overview of the changes:

1. PILON will be subject to deductions for income tax and National Insurance contributions.  This is irrespective of whether there is a PILON clause in the contract of employment;

2. Employers National Insurance contributions (but not employee NI) will be payable on any part of a compensation payment that is taxable; and

3. Foreign Service relief will be abolished.

The good news:

1. The £30,000 tax exemption will stay in place.

2. The tax treatment of legal fees paid under a settlement agreement will remain as it is now.

3. Statutory redundancy payments remain exempt from income tax and NICS.

If you need help or guidance regarding PILON please do get in touch, HR Revolution are here to help: +44 203 538 5311 or email: hello@hrrevolution.co.uk or visit www.hrrevolution.co.uk  where our expert CIPD HR professionals are waiting to help you with any questions you may have.

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Is your HR planning on track?

You might have blinked and missed the first quarter of 2018 and while it may seem like five minutes have passed since you mapped out your big goals at the end of last year, it’s actually a good time to stop, take stock and refocus.

Ask yourself honestly, have you successfully met your HR obligations during the first quarter, or are you lagging behind? Of course it’s undeniable that other things can get in the way, but if you want to be compliant and you want your business to thrive, then it’s absolutely vital that you take time to get your people practices right.

Need some pointers around where to get started? Here’s our checklist for assessing whether your HR planning is on track.

1. Have you made provisions for new legislation?

It can be hard to keep up with changes in employment law, but it’s absolutely non-negotiable. Neglect this area and your business could seriously pay the price, you must regularly be pinpointing relevant changes, and making adjustments to your policies and practices accordingly.

2. Is your paperwork in order?

Having a paper trail of key HR decisions might seem like a dull admin task, but if you don’t put some time into creating and filing the right documents, then you may live to regret it. If you run into any problems, your paperwork could make a huge difference to how you rectify the situation.

3. Have employees had performance discussions?

If you only discuss performance with your employees once a year, then you’re seriously missing out on many opportunities. Encouraging your team to thrive should be part of day-to-day processes, but at the very least, formal conversations should be carried out and recorded once a quarter.  Take a look at our effective performance review documents ready to use for your own business.

4. Have you planned the summer holiday schedule?

The second quarter tends to be the time when employees start to think about booking their summer leave. The weather’s getting warmer, and everyone wants to enjoy a little downtime. Make sure that you update any policies that you might have if necessary and consider operational demands in advance.

5. Have you identified training needs?

Some of your employees may need to brush up on their knowledge and skills to keep moving towards your goals. Work out where the gaps are and create your plan so you know exactly what you’re going to do about it. The options are plentiful, and include formal training, coaching, mentoring, job shadowing, and more.

6. Have your managers been brought up to speed with your priorities?

It’s pointless setting wider strategic goals if you aren’t going to make sure that the right people are on board and know how their work plays a part. The end of the quarter is a good time to bring your management team together for a catch-up and refresh.

7. Have you collected feedback from your employees?

Identifying potential issues before they get out of hand could save you headaches later in the year. An employee survey could be a great option here. Just make sure that you act on your findings!

8. Have you arranged a discussion with your payroll provider?

The end of the quarter coincides with the end of the financial year, so if you outsource your payroll, it makes sense to have a chat with your provider so you can ensure that you’re both on the same page. There may be loose ends that need to be tied up, and it’s always best to action these matters in a timely fashion.

9. Have you commissioned an HR audit?

It can sometimes be hard to take a critical look at your own operations. You might feel inclined to brush tricky issues under the carpet, especially if you’re not quite sure how to tackle them, so why not let HR Revolution carry out an HR audit – it is an ideal way to assess the set up and compliance of your HR function.

After reading through the checklist, you might have realised that you missed the mark at least once or twice when it comes to keeping your people practices in order.  When you are running a business, you’ve got a lot of plates you need to keep spinning; between acquiring new customers and clients, managing the finances, and everything else that needs your attention, HR can sometimes get put on the backburner.

However, HR isn’t just another task to add to your to-do list, it can have a real and very tangible impact on your bottom line and at the most basic level, it can ensure that you don’t face costly damaging legal cases against your business. Embrace it, as its full potential could increase your profits, create a much happier and more productive workforce, and help you to smash through your strategic goals.

So isn’t it time that you started giving your HR practices the dedication that they really deserve? If you know that you need to make the change, but you’re not sure what to do first, then get in touch with HR Revolution, we can help you to establish a plan of action that will get your business to where you want and need it to be.

Get in touch: +44 203 538 5311 or email: hello@hrrevolution.co.uk or visit www.hrrevolution.co.uk  where our expert CIPD HR professionals are waiting to help you with any questions you may have.

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What is an employment status?

When you employ someone you need to assign them with an employment status. An employment status defines the rights and responsibilities that an employee has at work and therefore determines what is required from the employer; employee’s will have different rights depending on their employment status.

There are three main types of employment status that a person will fall into, they are:

  • Employee
  • Worker
  • Self-employed

Employee

There is often confusion surrounding the differences between an employee and a worker. It is important to remember that all employees are workers, but employees have extra employment rights that don’t apply to workers who aren’t employees. Employers should be aware of the employment status of the people working for them as they are liable for the majority of employment rights for their employees.

An employee is a person who works under the conditions of a contract of employment. The contract will include, but is not limited to, terms of payment, annual leave and working hours. For a contract to be binding, the terms should be put in writing and presented to the employee within two months of them starting work. A contract can be formed of a mixture of verbal and written terms but it is best practice to put it all in writing.

Employees are entitled to the same rights as workers plus:

  • Statutory sick pay
  • The National Minimum Wage
  • The right to request flexible working hours
  • Holiday pay
  • Statutory maternity, paternity, adoption and shared parental leave and pay
  • Statutory redundancy pay
  • Minimum notice periods if their employment is being terminated
  • The right to not be discriminated against

Worker

A worker is a person who undertakes work personally as part of a contract or not. They generally have to carry out the work themselves but do have a limited right to sub-contract the work to someone else.

Typically these workers include casual workers, zero hour contract workers, agency workers, freelancers and seasonal workers.

The rights that workers are entitled to include:

  • Receiving the National Minimum Wage
  • Statutory minimum holiday pay
  • To not work in excess of 48 hours a week on average, or have the option to opt out of this right if they choose to do so
  • To not be treated less favourably if they work part-time
  • Protection against unlawful discrimination
  • The statutory minimum length of rest breaks

Self-employed

A self employed person does not have the same employment rights as a worker or employee. They will run their own business and typically will be contracted to service a client. However an individual can be both an employee and self-employed at the same time. For example they could work for an employer during the day and work for their own business in the evenings.

Someone who is self-employed is their own boss. It’s because of this that in most cases they aren’t covered by employment law. However, a self-employed person is entitled to:

  • Protection for their own health and safety
  • Protection against discrimination (in some cases)
  • Their rights and responsibilities set out in their contract with their client

In general the self-employed are not entitled to receive holiday pay.

It is important for employers to know and understand the employment statuses and their rights and responsibilities of their employees, with the rise in the gig economy, companies are being caught out by not knowing the basics.

If you need any further help or guidance for your business in regards to employment status rights and responsibilites, HR Revolution are here to help, please get in touch: +44 203 538 5311 or email: hello@hrrevolution.co.uk or visit www.hrrevolution.co.uk  where our expert CIPD HR professionals are waiting to help you with any questions you may have.

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A version of this article first appeared on breatheHR

Think you wouldn’t benefit from an outsourced HR service? 4 ways we can help you save money

Thinking your business could do with some help with issues that are bubbling away under the surface, but wondering whether you really can spare the budget to outsource?

Is it easier just hoping for the best and carrying on as you are?

We know that it can be scary to make that leap and bring in some HR help, but the reality is that we can often actually SAVE you money.

And that’s an astute investment to make in your business.

Outlined below are just a few of the ways in which we could help you reduce your costs…

1. We can keep you out of tribunals

It’s easy to fall into the trap of thinking that because you’re a fair employer who tries to do your best by all your employees, that you’re not at risk of having to face a tribunal. This isn’t necessary true though.

Employment law is complicated, and if you miss something, you could find yourself with a potentially very costly situation on your hands. We can make sure that your people practices are on the right side of the law.

2. We can increase the performance of your workforce

Imagine if you could double the output of your workforce overnight. Realistically, that’s probably not going to happen, however, HR Revolution can dive deep into your business, pinpoint the exact issues that are at play, and create a step-by-step plan to fix them.

This could increase your productivity and make sure that your employees are firing on all cylinders. You might think that a marketing budget, or some social media tactics are going to give you the edge. But the real breakthrough happens when you look INSIDE your business, rather than outside.

3. We can educate your managers

We don’t just come into your business, work some temporary magic, and then leave. We provide on-site services and can give your managers the skills to ensure that they’re playing an active role in driving your business forward. This means less of a learning curve, less mistakes, and more strides forward.

Your employees are the most important investment that you can make, so it makes sense to nurture that investment. If you know that your managers have room for improvement, take responsibility and talk to us to get things moving in the right direction.

4. We can provide a flexible, pick-and-mix service

Maybe you’re not quite at the stage where you need full-time, permanent HR help. That’s exactly why we can assist you; we don’t tie you into ridiculously long contracts that you don’t need, we can create a bespoke package that’s perfect for your needs.

Just what you really need to move forward and solve your problems, right now. Our aim is to make you a better employer, not tie you up with unnecessary bureaucracy.

HR Revolution can save you money, and can seriously add to your bottom line. Get in touch, call +44 203 538 5311 or email: hello@hrrevolution.co.uk or visit www.hrrevolution.co.uk  where our expert CIPD HR professionals are waiting to help you with any questions you may have.

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New National Minimum Rates announced

Effective from April 2018, the Chancellor Philip Hammond confirmed in his Autumn budget, national minimum wage increases and a new scheme affecting care sector employers who may have underpaid their employees.

New National Minimum Wage Rates

In line with the intention for the national minimum wage to increase to £9 per hour from 2020, it will increase from £7.50 to £7.83, representing a 4.4 percent uplift.  In practical terms, this will mean a pay rise of around £600 per year for a full time worker.

The other rates will increase as follows:

  • Workers aged 21-24 from £7.05 to £7.38 per hour
  • Workers aged 18-20 from £5.60 to £5.90 per hour
  • Workers aged 16-17 from £4.05 to £4.20 per hour
  • Apprentice rate from £3.50 to £3.70 per hour

The Budget was also used to announce a review of the flexibility in the way organisations may use their apprenticeship levy (large companies have been required to pay this levy since April 2017 which they can then use to fund apprenticeships) and a National Retraining Scheme to support worker’s career development.

Care employers advised to correct minimum wage wage under payments

A new scheme to encourage companies in the care sector to make good any minimum wage underpayments was launched on 1st November 2017.

Recent employment tribunal judgements have shifted a focus onto a companies minimum wage obligations in the specific area of sleep-in shifts.  HMRC’s interpretation of the legislation, in common circumstances, requires that all hours of a sleep-in shift attract the minimum wage, regardless of whether the worker is asleep.

In order to soften the impact of these decisions on social care companies, the Social Care Compliance Scheme (SCCS) will see any underpayments corrected but remove the enforcement measures applied to companies that are found to have underpaid their workers. Employers have until the end of 2018 to join up to the scheme.

Committees publish draft bill on gig economy workers

A joint draft bill containing enhanced proctections for gig economy workers has been published by two government committees.

The propsal focuses on giving individuals more certainty about their status by providing an automatic assumption of “worker” status, meaning that it would be for the company to prove otherwise at employment tribunal.  This would also mean that these workers would be entitled to certain employment rights from day one.

Some recommendations from the Taylor Report are also included in the Bill, such as considerations of a higher national minimum wage rate for those on zero hour contracts. The government is yet to provide its full response to the review and this Bill will add more pressure on the government to take action.

If you need any help or guidance on the above, get in touch with HR Revolution.

Give us a call +44 203 538 5311 or email: hello@hrrevolution.co.uk or visit www.hrrevolution.co.uk  where our expert CIPD HR professionals are waiting to help you with any questions you may have.

HR Revolution; supporting you, your employees AND your business.

A version of this article first appeared on CIPD HR-inform.

Do you need to recruit new talent?

Are you looking to recruit some of the fabulous new talent that will be entering the job market in the form of University graduates and college leavers?  If the answer is yes, then make sure you have got your basics in order, or here’s how it could all go wrong!

Hiring a new employee is pretty straight forward; but only if it is handled correctly. Many employers however can get it so wrong, which as we know is unproductive for any working environment.

A recent survey has shown that the No.1 reason for it all going so wrong is “not managing the candidate experience”.  This may sound a little fluffy if you do not work in HR or Recruitment, but it basically comes down to communication.  It is important to keep in constant contact with the candidate, providing them with quality information and feedback and remembering that honesty is the best policy. Providing a poor candidate experience can have many negative consequences including damaging comments about your company and lack of faith in the overall brand.

Other reasons the recruitment process can fail are:

  1. Expecting dull job descriptions to attract the right people – This is your chance to sell the position and entice the highest calibre of staff, if you waste this opportunity they will be looking to work for your competitors.
  2. Not taking advantage of employee referrals – a referral means they are pre-screened.  The best companies place nearly 50% of staff through referrals.
  3. Not fully understanding the actual job – If you don’t understand about the job you want them to do, how can you sell it to them or even know if they are capable of performing it?
  4. Using the same recruiting process for different level jobs – High level jobs require a different level of service, knowledge and relationship building. If you want the best out there, they definitely want to be treated that way too.
  5. Making slow hiring decisions – The best candidates are gone quickly, and will probably have more than one offer on the table, you simply can’t afford to hang around.
  6. Assuming interviews are accurate – Interviews are traditionally weak predictors, so poorly executed or generic interviews that do not challenge the candidate, will result in poor hires and put off the right people.
  7. Just using job boards – Only posting jobs on an advertising site means that 75% of the workforce that are not ‘actively’ looking will NOT see them. Make sure that your jobs can be found on various sites.
  8. Not prioritising jobs – Make sure if you are looking for more than one employee that you get the right person first, there is no point getting an assistant if you don’t have the manager.
  9. Not identifying job acceptance criteria – Do you know what the perfect candidates needs to accept the job? If you don’t, they won’t join you.

One last thought… With so many people getting it wrong, why don’t you let HR Revolution get it right for you.  First time.

 

If you would like to discuss any HR issues, please give HR Revolution a call we’d love to help, call us on +44 203 538 5311 or email: info@hrrevolution.co.uk

HR Revolution – www.hrrevolution.co.uk

5 mistakes employers are making with Employee Handbooks..

A recent survey has stated that over 90% of companies have created an employee handbook to share with their employees; that is positive, but in reality are these handbooks HR compliant?  Just listing policies and sharing some mission statements, will not cut it!!!

So based on the statistics, you’ve probably made a token attempt at creating an employee handbook for your business – but are you missing the mark? Here, we uncover the mistakes that too many businesses are making, and explain how you can turn things around.

Taking a cookie-cutter approach

Of course there are certain things that all employee handbooks should include, but this certainly doesn’t mean that you should just download a free template from Google, fill in the blanks, and hope for the best. Your business is unique. Its culture and practices make it individual, and your handbook needs to reflect this. After all, first impressions count, so you need to make sure that you’re giving your employees a quality document that reflects what you’re really all about.

Don’t be scared to showcase your business’s personality and create something that demonstrates what it’s like to work for your company. Your new employees should feel inspired, motivated, and ready to face their new challenges.

Neglecting to seek out a professional opinion

You wouldn’t finalise your end-of-year accounts without speaking to an accountant, so why should your employment documentation be any different? HR Revolution can advise you on anything that you might have missed, unearth any points that could potentially get you into hot water, and give you the peace of mind that comes with knowing that everything’s in order.

Speaking in legal lingo

Your HR practices need to be created in accordance with relevant legislation. Staying on the right side of the law will save you a whole load of time and hassle. Before stuffing your handbook with jargon though, take a step back and think about how you can make the important information as easy as possible to digest. A better understanding of what’s expected will ultimately lead to higher rates of compliance.

Consider your audience, and keep things as straightforward as possible. At the end of the day, your handbook should be there to help people – not overwhelm them.

 

Letting the document gather dust

The world of business changes and adapts every single day. New legislation is rolled out, light is cast on exciting and innovative ways to get the most out of a workforce, and advances in technology present new challenges. What works right now isn’t necessarily going to be fit for purpose in the near future.

Before signing off your document as completed, set a date for review. Keeping on top of changes can be a manageable job only if you make sure that you don’t let the grass grow under your feet. Shockingly, 2.8% of employers don’t know when they last carried out any reviews or changes – don’t fall into this camp!

Forgetting to make sure that every employee has their copy

Creating a document to be proud of is only the first part of the story. It isn’t going to make any difference unless you ensure that all employees get their copy, and that they’re given time to digest the information. These days, this is easier than ever before. Many companies decide to distribute their handbooks via email or an intranet system.

And finally, be sure to lead by example. When’s the last time that you familiarised yourself with the content? Do you have a copy on your desk? Are you confident that you could answer questions about the points that are covered? If not, consider this your wake-up call!

Ready to seek out some advice that you know you can trust? Whether you’re starting from scratch with your handbook and you’re not sure where to begin, or you’ve done the work yourself and just want a second opinion, HR Revolution can help. Contact us for a no-obligation chat about working together.

HR Revolution’s employee handbooks will help you to set core business policies and expectations and help portray your business culture, values, branding and vision, setting the tone for your business and employees, whilst maintaining HR compliance and best practice for all.

If you would like to discuss any HR issues, please give HR Revolution a call we’d love to help, call us on +44 203 538 5311 or email: info@hrrevolution.co.uk

HR Revolution – www.hrrevolution.co.uk