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Spring 2023 37 T here’s no way to sugar- coat it: There’s a cost-of- living crisis in the UK right now, and things are only going to get worse. For employers, it can be hard to know what to do for your employees or even where your role comes in, but it’s important for morale within the business that something is done; as we know, 71% of employees have said that they believe their employer has a social responsibility to them.[1] For many employers, who must also contend with spiralling bills, giving their employees a pay rise to keep pace with inflation is out of the question. But there’s still much that organisations can do, and, in fact, most businesses are advantageously positioned to make their employees’ lives easier as their pennies feel the pinch. 1. SALARY SACRIFICE One way to increase your workforce’s’ take-home income is to arrange a salary sacrifice scheme, so they can maximise their pre-tax income. They could end up paying a comparatively reduced price on things like childcare costs, getting to work, their pension, and more. And if someone is close to the higher rate income tax band, a voluntary increase in their monthly pension contribution could help them to stay within the 20% basic rate tax band. 2. FREE ONLINE RESOURCES Since inflation has hit a 40-year- high, we are all feeling the pinch. But there are many free online resources that can help: • MoneyHelper (previously Money Advice Service) offers free and impartial advice about • Money and pensions • Through the Citizens Advice Web Chat anyone can receive confidential, impartial advice about money worries • For employees who prefer to speak to someone directly, StepChange Debt Charity offers expert debt advice and fee-free debt management help over the phone. They can be reached by calling 0800 138 1111. 3. IF PAYROLL ISN’T WORKING, FIX IT Ensuring your employees are paid smoothly and on time has perhaps never been so important. One study showed that employees experiencing poor communication around their pay has made them feel so anxious they’ve considered looking for a new job. A quarter said their business was unable to keep up with other demands as a result of time dedicated to the payroll process. If this resonates with your company, consider investing in the proper payroll software to make the payroll process as stress-free as possible – for you and your employees. 4. EMPLOYEE ASSISTANCE PROGRAMME EAP HAE EHA, in partnership with Towergate Health & Protection, is offering all HAE and EHA members free access to an Employee Assistance Helpline (EAP)* from Health Assured. This service can be a powerful tool when it comes to supporting employees through hard times. EAPs allow colleagues to speak to a trained professional about whatever’s on their mind and receive confidential support on financial issues, bereavement, mental health issues, and more. Access to the EAP is free for all HAE EHA members with up to 100 staff, please simply contact HAE Insurance Services to register and be given access. If you have more than 100 staff and are interested in this solution, please contact HAE EHA Insurance Services and we will discuss the options that are available for you. << Where pay rises aren’t practical, what can employers do to help? COPING WITH THE COST OF LIVING CRISIS Contact HAE EHA Insurance Services call on: 03300 182 299 or email insuranceservices@hae.org.uk or insuranceservices@eha.org.uk www.hae.org.uk www.eha.org.uk INSURANCE INSIGHTS