UK top of Spanish workers relocation list

With unemployment in the country rising rapidly, a recent survey has found that 69% of the Spanish workforce is willing to relocate to find jobs.

This week, joblessness in the country hit a record high of 5.64 million, putting the rate of unemployment at just below a quarter (24.4%)

Half (52%) of those surveyed would prefer to relocate within Spin, to larger cities where employment prospects are more positive – such as Madrid or Barcelona. However, 20% of those surveyed would move to other parts of Europe for work. Perhaps unsurprisingly, top of the list of preferred destinations was Germany and the UK.

Other results showed that 3% would choose to move to countries outside the EU and 4% would consider moving to Latin America or a similar destination with an emerging market.

The desperate state of the jobs market in the country is exposed by the fact that a fifth of people surveyed said moving abroad poses no problems, provided they have secured work.

Find out more about contingent workforces in the country in our blog post Spain and temporary agency workers.

Employers struggle to close the pay gap.

Despite a drop in inflation, employers are still finding it difficult to close the gap between basic slurry and the cost of living.

Last week it was announced that inflation dropped to 3% in April, the lowest for more than two years, however a survey by the CIPD found that 51% of companies are unable to predict whether salaries will even rise over the next 12 months, let alone increase in line with inflation.

The Labour Market Outlook showed pay award expectations over the last three months have fallen from 1.7% to 1.5% – just half the current level of inflation.

Perhaps surprisingly, it is private sector firms which are least certain about their ability to give pay increases over the next year. 21% of employers surveyed have already decided to postpone pay decisions until next year.

Among those companies that have been able to forecast a pay rise, the average award is below inflation at 2.6% and the main causes for the expected increase are affordability (62%), inflation (55%) and employee productivity and performance (52%).

Charles Cotton, rewards advisor at the CIPD, comments: “Our data shows that many employers are keen to raise pay in line with inflation but are struggling to close the gap as inflation remains stubbornly high. Line managers and HR professionals need to look at how they can continue to keep employees engaged and performing well in the absence of substantial pay rises, while at the same time limiting the impact of financial distress on employees by offering financial education, debt counselling and voluntary benefits packages.”

Businesses face a hurdle over Olympic staffing issues

With less than three months to go until the Olympics businesses still aren’t completely prepared.

New research, sponsored by SunGard Availability Services, found that over a third of UK employers are still unsure as to whether they will discipline staff who take unauthorised leave during the games. Whilst it may be difficult for employers to ascertain what is genuine sick leave and what is skiving, it is important for businesses to outline it’s position to staff in order for them to understand the impact.

This is especially important as the same research found that just 22% of workers feel their employers are prepared for any disruption and one in five would skive off work to watch an event. This poses a huge threat to business productivity and outlines the need for clear expectations coupled with a contingency plan.

Keith Tilley, UK&I managing director and executive vice president for Europe, SunGard Availability Services explains, “Now is the time for UK companies to act. Keeping workers content is the number one priority to encourage productivity and ensure business continues as usual.”

Businesses should be open to consider installing communal TVs or allowing flexible break time to ensure high profile events aren’t missed. Whilst this may come at some cost to companies, the comparative cost of staff numbers being depleted over a number of weeks is significantly more.