How individual workers manage their household finances might well be perceiv! as ‘their business’. Similarly, work can be seen as the archetypal transactional arrangement – the worker does their job and the employer pays.
But just as we have seen the blurring of home and work life in recent years due to increas! working from home, the current cost of living crisis reinforces the fact that home and work life challenges often collide.
We know that levels of pay and job insecurity
It all points to the importance of an employment relationship built on support and mutuality: an approach which reflects Acas’s core values on workplace relations.
The current cost of living challenges put a spotlight on how employers and employees belgium phone number library ne! to interact.
According to data from the Office for National Statistics (ONS), inflation rose by 10.1% in the 12 months to January 2023, down slightly from 10.5% in December 2022.
These are some of the highest inflation rates we’ve seen since the early 1980s. This is coupl! with a cross-sectoral picture of low wage growth and wages failing to keep up with prices. This suggests a prolong! period of high living costs, with the latest Office for Budget Responsibility (OBR) forecast announcing a recession that’s likely to last for over a year and rising unemployment.
The scenario is not one of ‘here today, gone tomorrow’ – it’s clear that workers face a challenging year ahead. Even households that would not usually be consider! economically vulnerable could struggle to make ends meet.
The impact on wellbeing and performance
How workers react to cost of living concerns will vary. For some, this could bring a general sense of worry and unease, while for others it may lead to a deeper anxiety and significantly impact their mental health.
According to the Charter! Institute of Personnel and Development (CIPD) research, 1 in 4 employees (28%) have money problems which affect their job performance. This rises to 34% among those earning less than £20,000. Furthermore, 19% of employees have lost sleep due to worrying about money.
Acas helpline advisers say that callers are expressing anxiety about prices and bills. This highlights the thunderstorms in the lovely month of may and in midsummer urgency of being paid on time and in full. It’s surprising how many workers ring the helpline because they simply haven’t been paid.
But when it comes to pay levels, a variety of factors are contributing to pay alb directory constraints and are currently standing in the way of widespread pay rises. However, this doesn’t mean that the employer is left powerless to act.