Award winners 2008
2008-06-20
Grand Prix
Sponsored by Watson Wyatt Worldwide
Winner
Grimsby Institute of Further & Higher Education
Pictured left: Grimsby Institute of Further & Higher Education (left to right): Howard Scott, health and safety manager, Phyliss Downs, personnel and payroll manager and Peter Barnard, registrar.
Peter Barnard, registrar at Grimsby Institute of Further & Higher Education, said: “It is fantastic to get the recognition by our peers for what we do for our employees and our students.”
†
Grimsby Institute of Further & Higher Education was voted winner of the Grand Prix award because of the way it used its health and wellbeing strategy as a key pillar within its programme to change its organisational culture. In 2001, it was an average-performing college with 1,000 staff, a turnover of £17m and 10,000 lost working days per annum.
To overcome this, it took a comprehensive, but hard-nosed approach to tackling the reasons behind absence and implemented solutions to increase both employee engagement and wellbeing. The judges consider that this was ‘outstanding’. The institute now has a turnover of £40m, 1,350 staff and just 4,266 days lost to absence.
The institute has a clear objective of providing customers with the best possible service. To achieve this, staff need to be able to perform at their best every day, which they can only do if they are at work. Therefore the institute has worked hard to keep its staff fit and healthy.
It has achieved this by bringing together a multi-disciplinary team from across the organisation and pooling information, knowledge and expertise. The team works with external agencies to promote health and wellbeing, and to monitor the management of long and short-term absence.
Because the institute has very limited budgets, interventions have to be self-funding. For example, the £8,000 cost of a physiotherapist was offset by the £10,000 saving due to reduced absenteeism from musculo-skeletal problems.
Compensation and benefits professional of the year
Sponsored by Personal Group
Winner
Chris Wilson former benefits director Europe, Middle East and Africa (EMEA), Oracle Corporation
Pictured left: Grimsby Institute of Further & Higher Education (left to right): Chris Wilson, director at Rewarding People and former benefits director for Europe, Middle East and Africa (EMEA) and Oracle Corporation.
Chris Wilson said: “It’s very good to be recognised by people in the industry. It’s tremendous. I’m speechless.”
†
The judges felt that Chris Wilson has made a significant contribution to compensation and benefits during his time in the industry. He has frequently implemented new and leading-edge ideas where there was a demonstrable advantage to a business and/or its employees, showing a willingness to try new approaches to, and techniques in, reward. Chris has consistently strived to keep the organisations in which he worked at the forefront of benefits provision to help achieve business objectives, to maximise both the real and perceived value of perks for staff, and to boost employee engagement levels.
Chris was an early adopter of flexible benefits, launching his first scheme while at Syntegra, the systems integration business of BT, in 1994. His launch of Oracle’s flex plan four years later continued to break new ground with the inclusion of perks, such as the ability for staff to buy up to 43 days holiday a year.
During his time with Oracle, Chris continued to break new ground. The firm’s online total remuneration and pension statements in Ireland, for example, were the first of its kind. The closure of the company’s final salary pension scheme to future service in 2004, meanwhile, was a step ahead of the actions of other employers at the time, many of which were simply closing schemes to new employees.
After serving as compensation and benefits director for Oracle in the UK, Chris took on responsibility for 63 countries and 17,000 employees across the EMEA region.
RUNNERS UP
Peter Barnard – registrar and clerk, Grimsby
Institute of Further & Higher Education
Peter Barnard is responsible for implementing Grimsby Institute’s first strategies for health and wellbeing, employee benefits and internal communications. Since joining the organisation in 1999, he has introduced a wide range of initiatives in these areas.
Neal Blackshire – benefits and compensation manager, McDonald’s Restaurants
Neal Blackshire constantly strives to deliver an increasing range of benefits, that engage employees and meet the needs of the business. This often involves devising alternative arrangements to traditional schemes to best meet the needs of its workforce.
Dr Graham Brown – head of people support services, Barnardo’s
The judges were impressed by Graham Brown’s commitment to pensions communication. His dedication frequently sees him touring around the UK to deliver presentations to employees.
Euan Hutchinson – EMEA rewards director, Hewlett Packard
Since taking on his current role three years ago, Euan has introduced a new approach to managing benefits across the EMEA region, putting in place policies on a pan-EMEA rather than country-specific basis.
Jane Vivier – reward adviser, Kent County Council
Over the past two years, Jane Vivier has transformed Kent County Council’s benefits package from a small list of local benefits to a comprehensive voluntary benefits scheme, incorporating salary sacrifice perks. She has also worked to target previously-overlooked employee groups.
Most successful new benefits launch
Winner
Credit Suisse MyBenefits (entered by Hewitt Associates)
Pictured left: David Cleall, pensions and benefits manager at Credit Suisse.
†
The judges were highly impressed with Credit Suisse’s launch of a new benefits package at a time when the organisation faced considerable challenges, not least a major global costcutting exercise, which meant the communications campaign was executed on a limited budget. The objectives behind the firm’s new package, which incorporated core, flexible and voluntary benefits, included harmonising benefits for staff where possible, adding flexibility, boosting low levels of understanding and reinforcing the competitiveness of perks.
Credit Suisse’s new package included both good and bad news for staff. Due to a harmonisation of its holiday arrangements, nearly 2,000 employees were given an extra two-to-four days holiday a year. However, its free health screening perk for staff aged over 40 years was removed to comply with age discrimination legislation. The firm, therefore, was keen to ensure not all the changes were perceived negatively by staff.
To overcome this, Credit Suisse’s benefits team issued personalised transition statements, showing each employee their current benefits entitlement, along with the default package they would receive if they didn’t actively log on to the flex website and enrol. This was supported by a comprehensive communications campaign.
As a result, 83% of staff logged on to the flex website, with three in every four actively selecting perks. The launch also means that the benefits staff are now personally recognised in the workplace.
RUNNERS UP
BAA – The BAA Bonus Saver Plan (entered by Yorkshire Building Society)
BAA’s innovative bonus saver plan enables staff to save between £10 and £250 a month from net pay for a period of three years. When the scheme matures, each employee will receive a bonus from BAA, the amount of which will depend on the company’s performance.
iris Nation – Mr Benn
iris Nation took a creative approach to the launch of its new benefits package, using the children’s character Mr Benn as a central figure in its communication materials. Both the scheme and communication strategy were designed with staff input, which helped boost engagement.
Kent County Council – KentRewards (entered by Asperity Employee Benefits)
Kent County Council was praised for introducing a selffunding voluntary benefits plan, which was essential as a public sector organisation. Its communications around the launch were tailored to suit each section of its workforce, which contributed to a higher take-up than anticipated.
McDonald’s Restaurants – On YOUR Bike!
The judges liked McDonald’s clear, focused approach to the launch of its discounted cycle scheme, which was introduced as an alternative to a salary sacrifice-based bikes-for-work scheme that is unsuitable for a number of its workforce. Olympic gold medallist James Cracknell endorsed the fast food chain’s campaign to help engage staff with the benefit.
Nottingham City Council – greentravel2work (entered by P&MM)
The judges were impressed by the new approach to providing staff with tax-free bus travel offered to employees at Nottingham City Council. Staff have the option to pay for an annual bas pass on their chosen route straight from salary, so saving on tax and national insurance.
Winner
Towry Law Reward Team
Pictured left: Towry Law (left to right): Mark McLeod, risk benefits manager and Richard Higginson, reward manager.
†
This team of two, Richard Higginson, reward manager, and Mark McLeod, risk benefits manager, demonstrated their experience and in-depth knowledge of benefits in order to conduct a wide-ranging benefits review that is on course to deliver a six-figure saving by mid-2008. The changes included: a new pension plan, a new self-invested personal pension, the merging of five legacy private medical insurance plans, the re-tendering and re-broking of all risk benefits, a flexible benefits scheme review, the outsourcing of long-term disability claims, and the integration of benefits and wellbeing strategies.
The judges acknowledged Towry Law has an advantage when it comes to in-house benefits expertise. But this team demonstrated how it leveraged its own benefits knowledge and strategic thinking to the maximum, which benefits teams in other firms do not do. In particular, the judges were impressed by the amount of change that was achieved in such a short time following a series of mergers and acquisitions in 2007 which had left Towry Law with different benefits schemes. They said: “You really need to know your stuff to achieve this, it is a lot harder than it looks.”
In the 2007 employee engagement survey, 55% of employees rated pay and benefits positively, in the latest survey this increased by 40%. The pension plan has a 99.9% take up, while over 70% of staff made at least one change to their flexible benefits scheme. A key part of this team’s work has been involving staff in the benefits review using feedback, surveys and focus groups.
RUNNERS UP
AEGON UK - Selection
Although this entrant has the advantage of being a benefits provider, it made best use of the teams and expertise available to deliver a well-communicated, first-rate benefits package for staff.
Barnado’s
This children’s charity established a large cross-functional, disparate team to deal with the changes to its pensions strategy. The team met weekly for seven months, during which time it maximised its multi-disciplinary talents, and moved resources around to cope with pressure points.
Grimsby Institute of Further & Higher & Education - The Health and Wellbeing Team
The institute’s benefits team is made up of a range of parttime service providers who come onsite one or more days a week, with the core team meeting weekly. Its strategies have resulted in cost savings that outstrip the team’s salaries. It is a model even the most cash-strapped employer could use.
Informa
This small team consists of just one full-time and one part-time employee. However, they managed to re-broker all benefits (except risk benefits, which were tendered to a broker) in-house resulting in a £50,000 saving. By using internal employee expertise for its communications, the media company saved a further £15,000.
Kent County Council - Reward Team
This team works hard to ensure that the council is “ahead of the game” by enhancing benefits. It is highly responsive to staff and appears to be emerging as a leader in the development and delivery of reward in the public sector.
O2 - Your Total Reward (entered by Towers Perrin, Caburn Hope and ExcellerateHRO)
The O2 team not only had to ensure its own teamwork was up to scratch, it also needed to manage a much broader ‘team’ of third-party advisers. The judges felt the team ran a well-managed and structured project with weekly reporting and conference calls so that each group of advisers could operate in its own way but still deliver the required final results.
Most effective benefits strategy
for organisations with 1,000 or fewer employees
Winner
iris Nation Mr Benn
Pictured left: Karen Simpson, account manager
Karen Simpson, said: “It’s brilliant for Iris. We had to do something really good around benefits and Mr Benn was the perfect idea.”
†
This is a benefits strategy very clearly driven by the need to attract the most talented people in the marketing industry. Iris Nation has been growing by 50% each year since 1999, so recruiting and retaining talented employees is an ongoing challenge for the organisation.
Prior to the launch of its Mr Benn strategy, the firm offered a small range of voluntary benefits with relatively low take up for a supposedly engaged workforce. Its challenge therefore was to communicate perks effectively and add new ones.
Employees designed and implemented the new benefits available, which included £100 Holiday Money, sessions with an independent financial adviser (IFA) and iris Academy.
These are all bespoke to the agency’s culture and staff needs. By negotiating a 10% reduction on private medical insurance premiums, iris Nation could afford to offer new benefits, such as critical illness cover and yoga sessions. But the judges were most impressed by the benefits handbook, which was designed to look, feel and read like a children’s book, with the TV character Mr Benn as the central figure. On each page, Mr Benn has a different adventure relating to a specific benefit. In addition, there is a box on each page with ‘grown up’ information on the perk.
All the judges became totally engrossed in the storyline and found it hard to put the book down, so it is not surprising that the firm’s healthcare benefits now have a 100% take up, while its the lifestyle benefits have an average 40% take up.
RUNNERS UP
IRI – Maximising benefits awareness; enhancing employee appreciation (entered by Secondsight)
IRI replaced two group personal pensions with a new one. As a result, it engaged in a financial awareness programme that included getting staff who felt they couldn’t afford it now, to commit to a two, three or fiveyear plan to either start contributing, or to increase contributions, in line with future pay increases. 65% are now on target to meet retirement goals, compared with 10% previously.
Prodrive – Prodrive’s Benefits Scheme
This international motor sport firm tapped into its competitive sporting culture to come up with a long list of benefits, ranging from wellness perks to champagne celebrations. It offers an annual five-month long tournament for staff to compete against each other at various events to encourage networking and employee engagement, while its flexible working policies are used by key French and German staff to enable them to travel home for longer weekends.
Towry Law – Total Lifestyle
This comprehensive entry incorporated many new benefits strategies which delivered impressive results. The judges felt that the firm’s benefits team needed in-depth knowledge and expertise to achieve this. They said: “[It] may have had big budgets [compared to other entrants in this category], but these were well targeted and it was not just a case of ‘spray and pay’.”
Most effective benefits strategy
for organisations with more than 1,000 employees
Winner
O2 Your Total Reward (entered by Towers Perrin, Caburn Hope and ExcellerateHRO)
Pictured left: Tina Clayton, head of compensation and benefits at Telefonica, owner of O2.
Tina Clayton said: “I have a great team as we have won so many awards [today].”
†
This winning entry demonstrated how employers can effectively use a flexible benefits plan within a total reward strategy, which, in turn, has a strong alignment to company objectives and the corporate brand.
The total reward strategy includes learning, career development, cash pay and incentive elements. The judges particularly liked the inclusion of a learning fund for low-paid staff as this provided an effective reward solution for those who could not be part of the flexible benefits scheme.
The firm, along with its team of different providers, produced a leading-edge communication strategy. It included an online portal for new recruits, which was part of a solution to meet its objective of improving recruitment.
The online flex system defaults employees to the most appropriate benefits for their individual profile, and also allows them to make changes if they wish. O2 believes that this is the first time this has been achieved.
The results show an even take up of the scheme across all sections of the workforce, including in call centres and among retail staff, demonstrating the effective delivery of the scheme. With 90% of enrolments now being made online, the organisation achieved its objective of driving employee self service.
The entire process saved this winning entrant £1.8m (against a target of £1m) in national insurance contributions.
RUNNERS UP
IBM – You* Flexible Benefits Scheme
IBM’s very detailed reward strategy is clear, coherent and well thought out. It is directly linked to business objectives and provides a model for other employers to emulate which is why it made it into our list of finalists. But without stated results, the judges could not see how effective the strategy was in meeting its objectives. The judges particularly liked the ‘vacation marketplace’ that allowed staff to trade leave days.
ICI (now part of AkzoNobel) – my choice (entered by Watson Wyatt Worldwide)
This entrant set out to harmonise a range of legacy benefits across several business in order to remove disparities. This was its first cross-business benefits project, and involved moving from a culture of paternalism to employee empowerment. Key objectives were to retain staff, and better facilitate the movement of employees within ICI. Half of all staff made changes to their benefits as a result of the new flexible benefits scheme. Results of the broader objectives are not yet available.
Informa – informmybenefits
This entrant completed a total benefits review over six months, a key element of which was to integrate career development with reward. An ingenious use of the virtual world Second Life has been made to promote career development opportunities. The site will also be used later this year to provide staff with information on benefits. The judges felt that this demonstrated a good use of online tools for Informa’s young, media-savvy workforce. All benefits were re-brokered, resulting in a £50,000 annual saving for both staff and the company.
Most effective employer and adviser partnership
Winner
Henderson Global Investors and Hargreaves Lansdown
Pictured left: (left to right) Boorman, director of human resources at Henderson Group, and Nic Nicolaou, head of corporate solutions at Hargreaves Lansdown.
Andy Boorman, director of human resources at Henderson Group, said: “We are very pleased.”
†
In this category, the judges were looking for a partnership where an employer and their consultant or adviser were able to break new ground together and if either party was not prepared to try something new, the strategy would never have been implemented.
In this entry we found such an example. This partnership maximised the rules introduced on 6 April 2007 that allow employees to transfer shares from a share scheme into a self-invested personal pension. In this case, Henderson Global Investors also gave staff the option to transfer shares into other savings models such as an individual savings account (ISA).
This is a relatively new practice as employers have only been able to offer staff the option if they have a share scheme which has matured since the rules were introduced last year. The judges felt that this workforce would generally have had a sophisticated level of financial understanding and would appreciate this easy method of maximising tax breaks while spreading their investments.
The panel also felt that this specific exercise could not have been achieved without a close working partnership between employer and adviser.
HIGHLY COMMENDED
O2 and Caburn Hope
This employer/adviser team worked together across a number of benefits strategies over long period of time. They demonstrated a joined-up approach to all aspects of benefits communication. The close partnership enabled Caburn Hope to understand and devise tailored communications and applications for different target groups of staff.
RUNNERS UP
BMC Software and Secondsight – Complete Benefits Communication
At BMC, Secondsight took over the running of the benefits scheme after staff cuts left BMC with just one HR employee. Secondsight ran the scheme and improved communications for the same cost as previous providers.
The results can be seen in relation to the firm’s pension scheme into which 64% of staff now pay more than the 5% minimum to receive the 10% employer contribution.
Kent County Council and Asperity Employee Benefits – KentRewards powered by Reward Gateway
By working together, Kent County Council and Asperity Employee Benefits developed a voluntary benefits programme, Reward Gateway. KCC now plans to sell this package of national and local voluntary benefits to other local public sector organisations.
Reed Smith Richards Butler and PIFC Consulting – Vitality Scheme
It is unusual to see a law firm take health and wellbeing so seriously that it works with an adviser to provide an holistic health and productivity management solution that even includes group presentations on the benefits of healthcare. Its £80k saving from rebroking private medical insurance and income protection perks was impressive.
RPM and Foster Denovo – RPM Benefits Scheme
This small experimental marketing agency with just 70 employees dramatically increased: pension take up, contribution rates and staff appreciation of the value of the pension by working with Foster Denovo to deliver an effective communications exercise. Staff are able to see their pensions (both past and present) online in real time and linked with payslips.
Most effective use of a flexible benefits plan
Winner
O2 Your Total Reward (entered by Towers Perrin, Caburn Hope and ExcellerateHRO)
Pictured left: Tina Clayton, head of compensation and benefits at Telefonica, owner of O2.
Tina Clayton said: "I'm really pleased with the team."
†
O2 captured the attention of judges by setting out to make sure its flexible benefits scheme was just as suitable for low earners as those in receipt of large salaries.
Before introducing its flex plan, the mobile phone company launched a total rewards portal to help employees better understand their package and to assess what they might change. Once implemented, the flex scheme included perks such as bikes for work, childcare vouchers, critical illness cover for staff and their partners, holiday trading, retail vouchers, a wine club, dental cover, a health cash plan, pension and travel insurance. Staff can access details of the scheme online at home or at work.
However, a significant proportion of O2’s workforce receives a relatively low income, which makes it inappropriate for them to participate in any salary sacrifice arrangements. As O2 wanted all staff to be able to make choices through the online flex plan, web tools have been set up to default employees to the most appropriate benefits options based on their individual circumstances. Staff are also given the opportunity to change their pre-selected benefits if they wish.
In order to further help low-income employees, O2 has developed a learning fund with the company matching employee contributions towards a range of personal development opportunities.
In its initial stages, the scheme produced £1.8m in national insurance savings helping O2 to fund the initiative.
HIGHLY COMMENDED
CPM UK – Flex2Fit
The judges were particularly impressed with the field marketing agency’s strategy of retaining and recruiting talent by offering a flexible benefits scheme that supported individual needs and was cost neutral. The agency involved staff in its development and made savings by reviewing income protection provision and introducing employee pension contributions via salary sacrifice.
RUNNERS UP
HBOS – HBOS Flex 2008
The financial services company radically changed the communication strategy for its annual flex launch for 2008 to increase take up by 30%. The communication campaign included a new interactive website, personalised booklets about the scheme and flex fairs and seminars.
ICI (now part of AkzoNobel) – my choice (entered by Watson Wyatt Worldwide)
The company launched a flex scheme to help harmonise legacy benefit schemes and to boost staff recruitment and retention. Employees were provided with a tax modeller to help them make benefits choices, as well as a number of health and wellbeing options.
Lloyds TSB Group – Flexible Benefits 2008 Scheme
The judges felt this was a solid entry with good results. Having sought employee feedback on its scheme, Lloyds took steps to simplify and tailor its communications to targeted groups of employees. This resulted in the scheme’s best-ever participation rate of 70%.
Reynolds Porter Chamberlain – Pick ‘n’ Mix (entered by Thomsons Online Benefits)
The law firm responded to a low awareness of staff benefits by launching a flexible benefits scheme that includes standard perks, such as medical insurance, as well as innovative options like guitar lessons. It also introduced holiday trading to help attract new staff.
Most effective healthcare amd wellbeing strategy
Winner
Danone Danone Active Health
Pictured left: Gavin Pitt, human resources manager at Danone
Gavin Pitt said: “This is a good surprise. I’m really pleased with the team.”
†
Danone introduced an holistic health and wellbeing programme which focused on four key areas: work, life, health and food. The strategy showed a clear understanding of the links between individuals (and, where applicable, their families), work, health and business effectiveness.
The programme’s objectives underpin the strategy of the HR function and are embedded in all projects including flexible benefits. The programme also links to Danone’s consumer brand in the yogurt and active health drinks sector, and is tied in with brand marketing campaigns. For example, twice a year, Danone runs an internal campaign that targets employees with messages around active health. In January 2007, this was linked to a consumer TV advertising campaign branded ‘A little goes a long way’. Danone also encouraged staff to make small steps to improve their health, and brought in a consultant to help create a mindset of positive thinking to ensure employees’ health changes could be long lasting and sustainable.
The staff programme was developed inhouse within the HR function and in conjunction with employees via workshops and questionnaires. The judges were impressed by the way Danone tracks the full range of the programme’s results in terms of the impact on employee engagement and staff alignment with company values. These include double digit growth in productivity with zero increase in headcount, a low absence rate of 0.8%, and a 45 percentage point reduction in private medical insurance (PMI) claims over two years due to fewer claims.
RUNNERS UP
Grimsby Institute of Further & Higher Education – Live Well, Work Well
This institute used its health and wellbeing strategy as a key pillar of its change in organisational culture. It took a comprehensive, but hard-nosed approach to tackling the reasons behind sickness absence and developed solutions to increase employee engagement and wellbeing.
IPC Media – Healthcare & Wellbeing at IPC Media
This targeted programme dealt with repetitive strain injury (RSI) and musculo-skeletal problems that were impacting on sickness absence. By using an on-site doctor and physiotherapist, a fair and presentations it reduced absence costs by £500,000, which represented an 18% drop in absence since 2005.
px – Fit For Work
Px has a wide variety of initiatives to encourage staff to look after themselves, ranging from health presentations to a monthly nurse drop-in service, and a 50% subsidy for gym membership. The judges were impressed by the wide range available from such a small employer, as well as its 1.6% absence rate.
Towry Law – Environment & Wellbeing
This entrant invested in a comprehensive range of wellbeing programmes that has resulted in high take-up from staff. Half of all head office staff, for example, use the on-site gym, while a quarter of staff took part in the firm’s Superstars day to promote exercise.
UBS – UBS (UK) Integrated Employee Health & Well-being Model
UBS has implemented a comprehensive range of good practice benefits. It has clearly ensured that the money spent, which appears to have been substantial, was effective. In total, the organisation estimates that it saved 6,095 working days in 2007 by providing an on-site GP.
Most effective company car strategy
Winner
Microsoft Microsoft Car Benefit Programme
Pictured left: Simon Heath, HR vendor services manager at Microsoft
Simon Heath said: “This is terrific- really excellent. The hard work was worth it.”
†
The judges felt that Microsoft’s holistic and integrated approach to fleet management stood out from the other entries in this category. In 2007, the software company embarked on a root and branch review of its UK car benefit policy, which covers 2,200 employees driving company and private cars. The objectives were to reduce growing fleet costs, while maintaining vehicle choice and market competitiveness; respond to new corporate manslaughter legislation and increase employee awareness of environmental issues.
Following a benchmarking exercise, it implemented different levels of benefit entitlement for new employees and restricted fuel card eligibility, while allowing business mileage claims. Key areas of innovation focused around risk management.
Rather than putting all new drivers through driver training, Microsoft introduced a risk assessment tool to identify high-risk drivers and produce tailored solutions for them, for example, training on how to break safely for those who had been involved in an accident where this had been an issue. It also implemented online driving licence checking, engaged a fleet safety manager and introduced a telematics system enabling drivers to capture business mileage and make business expenses claims automatically.
Other innovations implemented by Microsoft include a permit to drive on Microsoft business, a green badge system for drivers of vehicles with low CO2 emissions, entitling them to preferential parking, and a subsidy for drivers who select green vehicles. Projected cost savings are significant.
RUNNERS UP
Henkel – Provecta Employee Car Ownership Scheme (entered by Provecta)
Henkel restructured and relaunched its employee car ownership scheme resulting in increased take up, a rise in annual cost savings and a reduction in the CO2 emissions of selected vehicles. It estimates that the scheme will produce annual cost savings of more than £250,000.
20:20 Mobile Group – 20:20 Mobile Group Fleet Policy
The mobile handset sourcing and distribution company conducted a thorough review of its fleet management options settling on contract hire and no increase in cash allowance levels. It also appointed a local garage to conduct health checks, repairs and valets on vehicles.
Shell International – Shell UK Car Scheme and AlphaDrive (entered by Alphabet (GB))
Following its appointment of a single provider, Shell introduced an interactive online tool to enable its 2,300 eligible car drivers to order new vehicles; caps on CO2 emissions for part of its fleet; and a range of guides to help drivers reduce costs and improve road safety.
Most effective voluntary benefits plan
Sponsored by employee advantages
Winner
Kent County Council KentRewards (entered by Asperity Employee Benefits)
Pictured left: Colin Miller, reward manager at Kent County Council
Colin Miller said: “I think this is testament to the quality of the benefits programme. I’m very pleased that KCC is being recognised for this prestigious award.”
†
The judges were impressed with the innovative nature of Kent County Council’s new voluntary benefits scheme which offers staff cashback discounts on online shopping with some 1,400 retailers and cashback payments on changing electricity, gas, telephone, mobile, broadband and insurance suppliers.
Based on its experience of low take up of perks through a pilot scheme with a different provider, the council was aware that communication of this new scheme to 47,000 staff across 1,100 locations was going to be a challenge. A single brochure, one website and simple messages about saving money, easy access and choice were used to communicate the scheme, along with benefits roadshows, competitions and payslip flyers. A provider-funded £5 sign-up bonus was also offered to encourage staff to register with the website. Benefits included childcare vouchers, bikes for work, retail discounts, utilities, tax-efficient mobile phones, discounts on theatre and event tickets, and local discounts with Kentbased businesses. Staff are able to order services and products by email and a telephone hotline, however, local deals are accessed using a KentRewards discount card.
Information gained from people’s shopping choices is used to target relevant messages about more complex tax-efficient perks to individuals. For example, information on childcare vouchers is sent to those using discounts on children’s clothing.
Within eight weeks of launch the website had recorded 23,582 log-ons. Savings from tax-efficient perks is also expected to result in the scheme becoming a profit centre for the council.
RUNNERS UP
Buckinghamshire County Council – Employee Benefits - More For...
The council revamped its scheme sourcing voluntary benefits around employees’ health, money, family and personal development needs, following feedback from focus groups. Take up is on the increase.
gem – Sapphire
This scheme was started by a member of staff at the call centre with no budget and six discounts back in 2005. It now includes 23 discounts and is accessed through an interactive website.
The Moray Council – Employee Benefits Scheme (entered by icom Works)
The council’s scheme consists of a range of voluntary benefits, specially-negotiated local offers and two salary sacrifice schemes - childcare vouchers and cycle-to-work.
Oscar Mayer – Millie Benefits Club
This family-owned food manufacturer provides a selection of benefits for staff, including a cash plan and legal advice, for a weekly contribution of £2.25 from each employee.
Specsavers Optical Group – Specsavers Staff Welfare Scheme (entered by Personal Group)
The judges felt that providing a voluntary benefits plan for 13,000 employees working for 600 franchised businesses across the UK was a huge logistical challenge, which appears to have been more than fulfiled, aided by provider visits to each site.
Transport for London – myTFL (entered by Watson Wyatt Worldwide)
The employer went to great lengths to consult its diverse workforce and to take on board staff feedback in developing a scheme which is consistently communicated to 20,000 staff across eight business units and 500 locations. The scheme includes childcare vouchers and bikes for work.
Most effective pensions strategy
Winner
FirstGroup The First UK Bus Pension Scheme
Pictured left: Ian Robertson, UK bus pensions manager at First Group
Ian Robertson said: “I’m really pleased. We have put a lot of effort in and it’s nice to be rewarded.”
†
The judges were impressed with the innovative approach taken by FirstGroup to pensions provision. The company‘s strategy was designed to control pension liabilities and enable staff to increase take-home pay or build their pension at a higher rate. It offers a final salary scheme and a career average plan, both of which offer staff a choice of contribution and accrual rates, although contributions are higher for the former.
Following negotiations, it was agreed that the company would link future increases in members’ pensionable pay to rises in the retail price index (RPI). Pensionable pay was set in bands and members could choose to select a band higher or lower than their existing level. Staff were also given the opportunity to make contributions through a salary sacrifice arrangement and switch from the final salary to career average scheme. This “pioneering approach” was intended to demonstrate that both schemes could provide a similar pension for members, although the career average plan came at a lower cost.
FirstGroup’s strategy delivered some impressive business results, including a reduction in the scheme’s deficit by 5% (£33 million) without reducing members’ benefits. Along with additional cash contributions from the company, it has also brought the scheme to full funding. Some 85% of members have taken up salary sacrifice and around 40% of final salary scheme members have switched to the career average plan. Of these, two-thirds have seen an increase in their take-home pay, while a third opted to build their pension at a higher rate.
RUNNERS UP
Cheshire Building Society – Black Cat Retirement Savings Plan
The judges were impressed by the way in which Cheshire Building Society increased take up of its pension scheme when it replaced its closed defined benefit and open defined contribution schemes with a stakeholder plan.
GeoPost UK – GeoPost UK Pension Plan
Since introducing a stakeholder scheme in October 2007, GeoPost has increased take-up by 104%. The more innovative aspects of its strategy include auto-enrolment for all staff after three months’ service and two-day preretirement residential seminars for staff and their partners.
RPM – RPM Benefits Scheme (entered by Foster Denovo)
RPM’s scheme was praised for making pensions interesting for its relatively young workforce. By relaunching its non-contributory GPP, it significantly increased take-up and boosted employee understanding.
Tesco – Tesco Pension Scheme
Unusually for a retailer, Tesco has retained a defined benefit plan for all employees. In the last year, it has introduced a number of new initiatives to help staff understand the value of their pension.
Xyratex Technology – Motivating employees to fulfil retirement ambitions (entered by Secondsight)
Xyratex Technology used the introduction of a noncontributory GPP to increase take up and staff appreciation of its pensions provision. The majority of members now also make voluntary contributions to their fund.
Communications strategy of the year
for organisations with fewer than 5,000 employees
Winner
Getty Images MyChoice (entered by Thomsons Online Benefits)
Pictured left: Lesley Brady, director of HR at Getty Images
Lesley Bradey said: “In a way I was thinking that communications is what we do really well. We are so small but it is our specialism.”
†
Getty Images had set itself a number of clear objectives with its communications strategy that included increasing pensions take up among younger staff; making the benefits, including a new pension scheme, clearer to the workforce; providing reassurance; enhancing employee appreciation of the value of benefits and using a strategy that reflected its organisational culture.
This was achieved in several ways. Firstly, the firm issued a themed ‘Route 65’ roadmap brochure demonstrating pensions are a long-term investment. This included a highlyeffective direct-response invitation to join the pension scheme, which alone achieved a 30% take up. Getty Images also offered group meetings, a benefits fair, one-to-one meetings and a telephone support line. In addition, staff were given a magazine-style introduction to benefits and could access personalised total reward statements online.
The judges were impressed with the high hit rates that the website achieved, such as the 88% log-in rate during the first enrolment. There was also a 57% request rate for pensions transfers, against a 25% benchmark, and a 61% take-up rate among 16-30 year olds, which rose from 51% previously.
Getty Images took a slightly risky approach with some of its humour, namely using an obituary to promote life insurance, which could potentially have offended some people. But for its workforce this tactic was highly effective. Overall, this entry proved that if an employer gets the message right for its workforce, it can have a major impact.
RUNNERS UP
Cancer Research UK – ‘it all adds up’
This was an entrant that clearly matched its media to its workforce, few of whom have access to a computer at work. To promote its voluntary benefits scheme it used a website and a brochure, which was presented in swatch format and colour coded for clarity. The website is a key part of its recruitment strategy.
Carlsberg UK – Carlsberg UK Pension Scheme (entered by Buck Consultants and Talking People)
The brewing firm had to communicate changes to its pension scheme including a switch from a defined benefit to defined contribution plan. This was successfully achieved with a strong emphasis on consultation. As many as 1,000 out of 1,400 members attended roadshows and 90% responded by the deadline.
Fujitsu Siemens Computers – Options (entered by Benefex)
This comprehensive communications strategy led to a 39% growth in benefits take up. The judges liked the clever use of printed napkins to promote the firm’s new salary sacrifice scheme for staff lunches.
Kwik Fit Financial Services – Flexi-benefits (entered by You at Work)
Bringing all the benefits on offer into one booklet is a tough task, especially if one page is dedicated to each benefit. The judges were impressed with this easy-toread result.
Norwich Union Healthcare – Our Company, Our Health
This was a clear, staged health and wellbeing campaign that included a number of fun elements. For example, each employee was given a plant to look after via a desk drop. Following the campaign, more than half of the firm’s workforce has so far signed up to the initiative.
Communications strategy of the year
for organisations with 5,000 employees or more
Winner
Lloyds TSB Group 2008 Flexible Benefits Communications Strategy
Pictured left: Rory Campbell, internal communications manager at Lloyds TSB Group
†
This was a comprehensive communications campaign aimed at increasing participation and helping employees to understand their flexible benefits scheme.
The bank applied its external marketing expertise to its workforce and segmented employees into five groups. Back in 2006, the bank carried out a piece of work to profile its workforce. It researched attitudes to finance, lifestyle, demographics, media consumption and leisure interests.
The results were used to help form its 2007 communications strategy. This enabled the bank to target communications at employees with traditionally lower take up rates for benefits. These included lower-paid staff, those under age 30 years, and those with less than two years’ service.
Five different booklets were produced and a new website was launched which included interactive tools and links to independent information. During the three-week-long campaign, a vast array of media and advertising materials were used across print and online tools to create a buzz.
The exercise proved effective with 70% selecting their flexible benefits options online, compared to 60% a year before. The judges were also impressed by the fact that a follow-up survey was conducted as well as the results it produced. For example, 94% of staff said that the range of benefits was relevant to their needs, while 92% said flex is a valuable part of their package.
RUNNERS UP
AstraZeneca – AstraZeneca Pension Fund (entered by PensionDCisions)
Demonstrating good governance, this company set out to reduce the number of staff relying on its pension scheme’s default investment option and to increase employees’ awareness of pensions.
BAE Systems – BAE Systems Share Incentive Plan (entered by Equiniti)
Sometimes it is the simple ideas that are winners. The judges loved the clever cardboard calculator wheel that displays information for both basic and higher-rate tax payers, showing six different investment amounts. The overall strategy increased take up from 29% to 48%.
McDonald’s Restaurants – Your Personal Benefits
These personalised total reward statements for executives at McDonald’s aimed to change the view of a ‘McJob’. The judges felt these were a handy tool that staff would refer to throughout the year.
O2 – Flexible benefits at O2 (entered by Caburn Hope)
The aim was to boost benefits take up and to launch four new perks. Part of O2’s strategy was a ‘campaign in a box’ which allowed HR teams to easily roll out communications in four stages. As a result, it achieved a 74% take-up rate for existing benefits.
Sainsbury’s – Sharesave 2007 (entered by HBOS Employee Equity Solutions)
The retailer applied its marketing knowledge to segment and target its workforce, which it did using four different booklets. It also allowed staff to sign up for its sharesave scheme via text. This is an easy and clever tool for shopbased staff to use, which 1,404 applicants did.
Unilever – Your new pensions scheme (entered by Hewitt Associates)
Unilever needed to change from a defined benefits pension plan to a career average defined contribution scheme. With the potential for negative fallout, it consulted staff at all levels, and provided information via booklets and threepart workshops that allowed staff to leave when they felt they had heard all they needed to.
Most effective sickness absence management strategy
Sponsored by AEGON Scottish Equitable
Winner
Grimsby Institute of Further & Higher Education Live Well, Work Well - In Practice
Pictured left: Peter Barnard, registrar at Grimsby Institute of Further & Higher Education
Peter Barnard said: “We have had a strategy for seven years. We have delivered the strategy with both internal and external people. It’s really critical for our students that employees are at work.”
†
The judges were impressed by Grimsby Institute of Further & Higher Education’s tough line on sickness absence, and the benefits it is able to offer to combat this despite having a very limited budget on which to do so. All initiatives must be self funding and savings made on reductions in absenteeism have been re-invested to pay for other benefits for staff.
The organisation invests a great deal of time and effort in helping staff improve their health and wellbeing in order to ensure they remain in work and are able to perform at their optimum level. This is deemed vital to helping it achieve its goal of providing customers with the best possible service.
Its strategy involves bringing together a multi-disciplinary team from across the organisation, including catering staff, gym personnel and employees from internal communications, to pool their knowledge and expertise.
These employees also work with external agencies, such as an occupational health consultant, to promote health and wellbeing issues to the workforce, and to monitor the organisation’s management of both long and shortterm absence.
A key part of the institute’s absence management strategy is ensuring staff are aware of its strict attitude to absence, even before they join the organisation. Once prospective staff have been employed, those whose absence levels are deemed too high are denied access to training. Employees who do not take time off, however, are sent a ‘thank you’ letter to demonstrate their employer’s appreciation.
RUNNERS UP
Aspire Housing – Attendance Management Framework
To combat high absence rates, this small social landlord implemented a comprehensive range of benefits including on-site clinics. It used its limited budget to implement a good practice programme that is tough on skivers and helps the genuinely ill. It has surpassed its initial target of 4% absence by achieving a figure of 3.79%. Other results demonstrated vastly-improved levels of employee satisfaction and staff retention.
Queen Mary’s Sidcup NHS Trust – Absence Management (entered by FirstCare)
This entrant demonstrated impressive results for a simple strategy of implementing a nurse-led phone-in absence management service. The result was a reduction in absenteeism from 5% per annum to 4%, which equated to a 400% return on investment for the cost of the new service. The trust was also able to cut its use of agency workers covering for employees on sickness absence from 30% to 15%.
Most effective motivation or incentive strategy
Sponsored by Projectlink Motivation
Winner
Asda Stores VPI (Volume Producing Item)
Pictured left: Jane Tory, reward manager at Asda Stores
Jane Tory said: “I’m really pleased and proud”
†
The judges were impressed with the way that Asda’s scheme to drive up sales of potentially highly-profitable products that also represented good value for consumers achieved business goals through staff motivation. In addition, the judges felt that the Volume Producing Item scheme was innovative and empowered staff by giving them the autonomy to decide which products presented the best value for local shoppers and would contribute the most to their store’s profits.
In each store, employees were given the opportunity to nominate products that they considered to be underperforming and to increase sales of the item by using active-selling techniques. Each participating store then selected one or two products and registered the items for the scheme via the intranet. The products had to be selected from Asda’s new, extra special, organic or green ranges to fit with the supermarket’s business objectives. Sales of the chosen products at each store were compared on a monthly basis. Stores were able to keep track of how they were doing week by week, not only in relation to their own performance but also that of other stores.
At the end of the month, staff who were responsible for driving sales of the selected products at the best-performing stores in both the north and the south were rewarded with the use of a Mini Cooper S convertible for the month and £150 to share. Winners included Bishopbriggs in the north, which drove up sales of Thorntons Shortcake by 12,183%, and Longwell Green in the south, which increased sales of Magners Cider by 137%. In total, the scheme generated £1.1m in extra sales.
RUNNERS UP
Barclays Bank – Way ahead (entered by Grass Roots)
This scheme impressed judges with its multi-faceted approach that motivated staff in a number of ways, including short-term sales contests, annual recognition awards, long-service awards, customer service awards and on-the-spot recognition.
Best Deal Insurance – Best Deal Insurance Company Benefit Scheme
The financial services company put in place various non-cash focused motivation schemes to drive appropriate behaviour across the business, with prizes such as sales training courses or trips abroad. Staff turnover fell from 50% to 10% a year.
Boots UK – Recognition Scheme
The retailer set out to boost customer care through various schemes, including one which gave managers the chance to reward employees who had gone the extra mile for customers, with prizes such as £50-worth of vouchers or a £500 city break.
DSG International – Retail Skills and Innovation Awards
The retailer’s 42,000 staff based in 16 countries were invited to nominate themselves or colleagues online for various customer service and product innovation awards. One winner, saw his TechStick - a library of demonstration files for different PCs - distributed to 6,000 PC World colleagues to help boost the profit margin per sale.
Punch Taverns – Proud
Staff who live the five corporate values of pride, respect, one team, understanding, and do-it-once, do-it-right, are rewarded with different prizes, including instant reward scratchcards, depending on the perceived value of their behaviour.
Thomson Holidays – Spin To Win (entered by Michael C Fina Worldwide)
Part of TUI Travel, Thomson Holidays gave staff the opportunity to win £50-worth of vouchers by playing an interactive and innovative online ‘fruit machine’ game each time they sold a specified product, such as a holiday, in a bid to increase sales of these items.
Most effective application of tax-efficient benefits
Winner
Nottingham City Council Works Perks - greentravel2work, cycle2work, childcare-plus (entered by P&MM)
Pictured left: Ben Browne, director of HR at Nottingham City Council
Ben Browne said: “I’m ecstatic. I’m pleased for the council and our provider P&MM.”
†
The judges described this benefits programme, which includes a green travel option enabling staff to pay for an bus pass through salary sacrifice, as innovative and clever.
Having held staff focus groups, Nottingham City Council decided that its Works Perks benefits programme, which offers its 13,200 employees access to discounts and taxefficient benefits, had room for a new perk to replace the government’s now defunct home computing initiative and to help boost recruitment and retention. This benefit was to take the form of greentravel2work, a salary sacrifice scheme developed in support of the government’s green travel plan, which gives staff the option to pay for an annual bus pass through 12 monthly reductions from their salary. The scheme delivers income tax and national insurance (NI) savings for the employee and NI savings for the employer on the amount sacrificed. Works Perks also enables staff to order electronic childcare vouchers through a web portal, and to acquire a bike, both funded through salary sacrifice.
In the first four months following the revamp of Works Perks, the council distributed 469 bus passes worth £19,224 to staff, producing total savings of £7,881. Orders for childcare vouchers worth more than £700,000 were placed by 310 employees in 2007 (an increase from £278,000 in 2006), producing savings of £245,000. In addition, 43 staff placed orders for a bike, producing savings of £9,102. Almost a quarter (23%) of all council staff have taken up at least one of the benefits on offer through Works Perks, coinciding with a 6% decrease in staff turnover.
RUNNERS UP
Amadeus Services – Your Benefits (entered by You at Work)
The technology company was facing a worrying level of staff turnover of 20%, so it decided to introduce an online programme of tax-efficient benefits including childcare vouchers, and a cycle-to-work scheme. This helped to reduce the figure to 4.5%.
British Sky Broadcasting – Sky Choices (entered by Grass Roots)
BSkyB has continued to evolve its benefits programme to boost take up of tax-efficient benefits, such as childcare vouchers and bikes for work. Staff can now select perks on an ongoing basis. The scheme has produced national insurance savings of more than £500,000.
Henderson Global Investors
The global asset management firm took steps to help protect staff from the tax consequences of a maturing sharesave scheme by giving them the option to transfer shares into a group self-invested personal pension (Sipp) plan. It also offers staff a share incentive plan and childcare vouchers.
Kent County Council – KentRewards (entered by Asperity Employee Benefits)
The council first promoted easy-to-understand retail discounts to generate interest in its benefits scheme and then, using insight gained from staff shopping habits, cross promoted more complicated salary sacrifice benefits where relevant. the resulting national insurance savings covered the cost of the scheme.
Most effective use of reward as part of a corporate social responsibility strategy
Winner
Norwich Union Helping You Make a Difference
Pictured left: Helen Jackson, director of reward at Norwich Union
Helen Jackson said: “This is fantastic. I’m a little bit surprised - we were up against some very tough people.”
†
Norwich Union’s (NU) corporate social responsibility (CSR) strategies for benefits and reward fit into the insurance firm’s broader CSR programme. Its benefits and reward strategies recognise the need for employee development, for example, through volunteering programmes. They provide information on how to make a difference, as well as opportunities to feel good about making a commitment to fundraising, volunteering, donating and environmental impact.
To create a shared sense of achievement, its CSR strategy is consistent across the business units. NU uses a shared business model, which has made communication easier. Its initiatives include encouraging staff to fundraise during working hours, offering to match the money raised through fundraising, and giving staff 21 paid hours a year as volunteering leave. It has also made it easy to make charitable donations, by setting up payroll giving as well as a ‘Pennies from heaven’ scheme, that allows staff to donate pennies through payroll by rounding down their salary to the nearest pound. It also runs a carbon offsetting scheme through payroll.
The judges were impressed by the comprehensiveness of this CSR strategy, particularly with the way in which it is an integrated business policy, and is not lots of separate projects.
In 2007, staff used 32,500 hours for voluntary work, against a target of 25,000 hours, which represents roughly a 5% take up among its 30,000 staff. 709 took part in fundraising, while the number donating through payroll giving increased by 32%.
RUNNERS UP
British Sky Broadcasting - The Bigger Picture - Benefits
This was a wide-ranging strategy that embraced carbon offsetting, incentives for staff to buy hybrid cars, encouragement to use public transport and bikes for work. It also awards green credits to staff for being environmentally friendly, for example, when they walk to work or reuse mugs instead of plastic cups.
KPMG – Corporate Amex Scheme
KPMG donates a portion of business expenses paid for by its American Express Corporate Cards to a chosen charity. This year, this is estimated to be approximately £100,000. Staff can also elect to donate any reward points accumulated on the cards to the charity. Double points are awarded for rail travel and hotel bookings to encourage staff to consider the environmental impact of travelling to meetings.
Northgate Information Solutions – My World
This employer selects benefits and benefits suppliers according to their CSR credentials. For example, its pensions provider offers ethical fund choices, while its childcare voucher provider donates to charity. It also offers carbon offsetting, a cycle-to-work scheme, green fleet options, payroll giving and community investment through charity work.
Nottingham City Council – Works Perks (entered by P&MM)
As part of its voluntary benefits plan, the council offers employees the opportunity to buy discounted bus passes through salary sacrifice. This has inspired other employers to now look at using this idea to promote green travel.
Scottish and Southern Energy – WWF £50 Virtual Voucher
As part of a broader green reward strategy, all staff were given a £50 World Wildlife Fund voucher to spend on an animal of their choice. This inspired a number of staff-led awareness-raising initiatives, which were not planned by HR. Some staff started blogs, while some departments dressed up in costumes, with one employee emulating Cadbury’s adverts by dressing in a gorilla suit and playing the drums. Overall, this was a great awarenessraising exercise.
Most effective all-employee share scheme strategy
Sponsored by RBC Corporate Employee & Executive Services
Winner
Punch Taverns Punch Taverns Share Incentive Plan
Pictured left: Anthony York, head of reward at Punch Taverns Anthony York said: “I’m very happy. I’m quite surprised because we entered before and did not win before, so we are really happy.”
†
In this highly-competitive category, the judges were impressed with Punch Taverns’ extension of its share incentive plan (Sip) to employees integrated into the business from the former Spirit Group, which it acquired in 2006. This was a significant challenge for the pub operator as its workforce is spread over a vast number of locations in 8,400 pubs as well as head office locations. In addition, more than 85% of staff are highly-transient pub-based employees.
All employees were invited to join the scheme on the same terms. The company offered shares on a matching basis, giving staff one for every one that they bought.
Punch Taverns communicated the Sip using a clear branding strategy, which played on the nature of its business with the strapline “...go on have a Sip”. A dedicated email and telephone helpline, and website were set up for staff. The latter contained a full explanation of the Sip, testimonials from existing members and a video of the chief executive officer explaining why the firm had introduced a Sip and his own personal reasons for joining.
Hard copies of communication materials were available if desired, but the firm wanted to reduce the amount of paper it used so encouraged staff to sign up online. In doing so, it estimates that it saved approximately £20,000.
Initial participation levels were higher than expected with more than 60% of head office staff and over 10% of pubbased retail staff signing up to the Sip.
RUNNERS UP
BAE Systems – BAE Systems Share Incentive Plan (entered by Equiniti)
When BAE Systems relaunched its Sip in 2007, it significantly increased the value of the matching shares offered through the scheme. It also split the qualifying period for free shares so staff who are employed throughout the year receive the full award, while those who join during the first half of the year are eligible for 50%.
Drax Group – The Drax Group Share Incentive Plan (entered by Capita Share Plan Services)
Drax Group, which owns and operates the UK’s largest coal-fired power station, added partnership and matching shares to its Sip in 2007. It also offers free shares, introduced in 2006. The launch of partnership shares was timed to coincide with a one-off payment of £5,000 to staff, under a two-year pay agreement with trade unions.
easyJet – Sharesave and Share Incentive Plan (entered by Yorkshire Building Society)
Once again, easyJet put in a strong performance in this category. Last year’s launch of its international sharesave scheme achieved a take up equivalent to the combined total for its first two schemes. UK staff could register online or by telephone, while overseas employees could use application lines in local languages and currencies.
Henderson Global Investors
The global asset management firm has a target of achieving 15% employee share ownership by 2012. This figure currently stands at 12%. The company offers three main types of scheme: sharesave, a buy-as-you-earn plan and an employee share ownership plan (ESOP).
Sainsbury’s – Sharesave 2007 (entered by HBOS Employee Equity Solutions)
Sainsbury’s faced a significant challenge in having to launch a sharesave scheme in just three weeks, instead of the usual 12, following a failed takeover bid last year. Despite this, it was still able to launch a text messaging service which staff could use to sign up to the scheme.
Most effective benefits strategy for working parents and carers
Sponsored by Accor Services
Winner
Hertfordshire County Council Balance
Pictured left: Anna Titmus, HR officer at Hertfordshire County Council Anna Titmus said: “I’m thrilled. We only went in for one award and we won it.”
†
Of Hertfordshire County Council’s 32,000 staff as many as 30% have caring or parenting responsibilities. As a result, there is a clear business need to have a strategy in place to assist these employees.
The council’s carefully-thought-out strategy, entitled Balance, comprises three strands: health, care and life. Each of these has a strong link back to business needs, such as recruitment, retention and extended service hours.
Under the care strand for example, benefits such as childcare vouchers, a summer play scheme, nursery discounts, and a discounted onsite nursery are offered to parents, while all carers are eligible for emergency leave, paid leave to attend carer support groups, and can attend a dedicated carers group and an annual carers conference.
A similarly wide range of benefits is offered under the other strands of health and life, covering wellbeing and work-life balance options. The judges were impressed by the comprehensive nature of the policies and clever ideas, such as the support groups, that cost next to nothing to provide, but make such a difference to carers.
All staff are eligible to request flexible working arrangements, and, to date, 97.4% of requests have been granted. The council is also trying to influence the government to provide tax and national insurance breaks on carer vouchers.
HIGHLY COMMENDED
IBM – Emergency Care Programme, Work Life Essentials, You* Flexible Benefits Scheme, Vacation Market Place, Powerful Tool for Carers, Flexible Retirement Pilot
The judges thought this entry provided a comprehensive, business-driven strategy that plans for the huge increase in carers that workplaces will see in the future. IBM has implemented innovative ideas, such as online training for carers, as well as an online research tool on all aspects of caring that is available in nine languages and on 31 portals worldwide. IBM offers staff emergency care for adults, not just children, and contributes 60% of the cost up to a maximum of £200 per annum. The judges felt IBM also offered examples of many free or cost-neutral initiatives for other employers to follow.
RUNNER UP
South Tyneside Council – Hard nosed ... but warm hearted - Valuing People Through Positive Employment Policies
This council realised that a key cause of its high absence rates was the caring responsibilities of staff. To combat this, it introduced initiatives, such as its ‘stuck not sick’ policy, which enables staff to take up to 15 hours at intervals or a whole day to deal with a caring problem. They then work the time back as agreed with a manager. Since 2002/03, the council’s sickness absence rates have reduced from 13.67 days per annum to 10.22 days per annum.
Most effective use of financial education in the workplace
Sponsored by JPMorgan INVEST
Winner
GlaxoSmithKline GSK TotalReward Wealth Management Programme (entered by JPMorgan INVEST)
Pictured left: Julie Skidmore, financial education manager at GlaxoSmithKline
Julie Skidmore said: “We have put in quite a bit of work so it’s nice to be recognised.”
†
In a tightly-fought category, the judges were impressed with GlaxoSmithKline’s (GSK) comprehensive approach to providing financial education in the workplace. Its financial education programme is designed to reach all employees, whether they are office based, work from home, spend much of their time on the road or work a variety of shift patterns at the company’s manufacturing sites.
GSK aims to make it as easy as possible for its workforce to access education by providing a wide range of online and face-to-face money management tools. These include lunchtime presentations, financial, pre-retirement and investment planning workshops, monthly on-site financial surgeries, one-to-one meetings with independent financial advisers and web-based presentations.
The programme was introduced following detailed analysis of the firm’s workforce demographics, which identified their geographic spread, career stage, job role and benefits enjoyed. Its structure means staff can quickly be informed of any market, economic or legislative changes that may affect their personal financial planning.
GSK also uses the programme to tackle specific issues relating to the financial benefits it offers. In order to increase the number of employees making matching 4% contributions into their pension scheme, for example, the company used a structured programme of face-to-face education along with a webcast for its geographically-spread sales staff to explain the advantages of saving for their retirement.
RUNNERS UP
The Capita Group – Financial Education (entered by Capita Share Plan Services)
The Capita Group worked closely with the Financial Services Authority to educate staff on personal financial planning issues, as well as key benefits such as its pension and sharesave schemes. As a result, it achieved its highest ever share plan take-up.
Henderson Global Investors
The global asset management firm introduced its financial education programme in order to communicate a number of benefits changes and new launches to staff. This consisted primarily of presentations and online tools that were available for employees.
Reuters, now part of Thomson Reuters – Reuters UK Retirement Plan (entered by Watson Wyatt Worldwide)
Reuters took a novel approach to financial education with the use of an interactive online game, which was intended to engage staff with their pension and encourage them to think about investment issues. This was supported by initiatives such as on-site workshops.
RPM – RPM Benefits Scheme (entered by Foster Denovo)
RPM used a variety of education methods to engage its young workforce with its relaunched group personal pension. Presentations and one-to-one meetings with an IFA were supported by a range of online tools.
United Utilities – The United Utilities Financial Awareness Programme
The judges were impressed with the “touch of humour” that was evident in United Utilities’ approach to financial education. In a series of seminars to educate staff on benefits, the company’s in-house pension, share scheme and benefits teams worked with an external adviser to provide staff with a “one-stop shop” for financial planning.
Most effective use of online media
Winner
Reuters, now part of Thomson Reuters Reuters UK Retirement Plan (entered by Watson Wyatt Worldwide)
Pictured left: Maggie Lester, international benefits manager at Reuters Maggie Lester said: “I’m really proud of us. When I was thinking about the award we had to look back at what we did and it was really well thought out. We used as many threads as we could.”
†
Of all the entries in this category, this stood out for doing something online that could not be replicated on paper or in a live environment.
The challenge Reuters (now part of Thomson Reuters) faced was to get staff to think about pension scheme investment. By encouraging staff to answer a series of amusing and engaging questions, involving words and/or pictures online, it was able to build up a risk profile for individual employees.
To achieve this, a three-stage strategy was developed. A postcard was produced and distributed, which drove a very respectable 20% of targeted staff to the website.
Of these, 70% completed the online risk assessment questionnaire. The judges put this phenomenal response rate down to the innovative and clever questions which they themselves completed and found fascinating. The fun questions appeared far removed from the intricacies of pension scheme investment, and were instead based on everyday life experiences.
Employees were able to print off their risk profiles and take them to a live workshop - 65% of those who responded to the postcard went to one of these sessions. Although just 12% switched investments after attending the workshop, the judges were looking specifically at the effective use of online media in this category. In this case, the objective was to get staff along to the workshop, which was achieved very effectively.
RUNNERS UP
British Sky Broadcasting – The management long term incentive plan CD-rom (entered by Caburn Hope)
This entrant used a CD-Rom, complete with video message from non-executive director and chairman, James Murdoch, to provide executives with access the information about their own long-term incentive plan. It also provided users with a link to an online calculator tool.
Cancer Research UK – ‘it all adds up’
This site has a clean, modern design. Although it is a fairly traditional use of a website (in that it is a benefits brochure that has been placed online), the site can be personalised according to an employee’s benefits preferences.
McDonald’s Restaurants – our lounge Intranet/Website
This entry shone out in this category with its concept of being a lounge where staff can hang out. The judges praised the content that is not normally seen on employer websites, such as music reviews.
O2 – Enabling ‘joined up’ Total Reward messaging for O2 employees UK-wide (entered by Towers Perrin, Caburn Hope and ExcellerateHRO)
This website was quite wordy, but easy to navigate and understand, which is a major achievement. Its content could be tailored to support specific campaigns, such as the use of a countdown timer on the site’s homepage which served as a reminder to staff to enrol in the company’s new flexible benefits scheme.
†
Amanda Wilkinson editor, Employee Benefits magazine
Amanda is editor of Employee Benefits magazine, a position she has held since November 2005. She is responsible for the editorial strategy of the magazine, including its supplements, research reports and spin-off publications. She also oversees the content of www.employeebenefits.co.uk and its regular news alerts. Before joining the magazine, she worked at Marketing Week as deputy editor and prior to that as a reporter on the Hackney Gazette in London.
Debi O'Donovan editorial director, Employee Benefits
Debi is the editorial director of the UK's leading benefits magazine Employee Benefits. Prior to that she was editor of the magazine for six years. She is responsible for editorial strategy across the Employee Benefits brand, as well as for new product development. Debi is a regular contributor to Corporate Adviser magazine. She joined Centaur Media as deputy editor of Employee Benefits in 1998.
Debbie Lovewell deputy editor, Employee Benefits magazine
Debbie is the deputy editor of Employee Benefits magazine and is responsible for writing, editing and commissioning features as well as overseeing supplements and research, and providing input on www.employeebenefits.co.uk. She joined Employee Benefits magazine in 2003 as a staff writer, progressing to features editor within two years, and by 2006 was made deputy editor. She has become a recognised writer in the field of benefits and reward.
Charles Cotton Reward and employment conditions adviser, Chartered Institute of Personnel and Development
Charles is the CIPD's reward expert and has worked with some of the UK's leading private, public and voluntary sector organisations to create a range of good practice reward products and diagnostic tools for HR practitioners. He manages the CIPD's annual reward survey, which shows the current trends and developments in UK pay and benefit practice. Charles's areas of expertise include: pensions, flexible benefits, short and long-term incentives, performance based pay and reward communication and education.
Steve Delo president, The Pensions Management Institute and chief executive, PAN Governance LLP
Stephen became the new president of the Pensions Management Institute in July 2007 after being elected to the Institute's Council in 2001. Having started his career in pensions administration and consulting with Noble Lowndes, Stephen went on to work for Mercer, before co-founding Escher TEAMS, a manager of managers service in 2000. Escher TEAMS became part of Close Brothers in August 2005, forming Close TEAMS and, in February 2007, Close Multi-Manager. He became chief executive of PAN Governance in January 2008.
Roger Fairhead vice-president, head of international compensation and benefits, Sony Pictures Entertainment Roger is vice president and head of international compensation and benefits at Sony Pictures Entertainment, the company behind the recent blockbusters The Da Vinci Code, Casino Royale and Spider-Man 3. Prior to joining Sony, Roger worked in head of reward roles for the BBC, the Rank Group and Universal Music. Roger is a chartered accountant (The Institute of Chartered Accountants in England and Wales) and has spent time as a senior manager in Ernst & Young's Human Capital practice.
Lesley Fidler director, employer consulting group, Baker Tilly Tax and Advisory Services
Lesley Fidler is director of Baker Tilly's national Employer Consulting Group. She is also a member of the Chartered Institute of Taxation and a founder member of its Employment Taxes Forum. She is also a member of the Chartered Institute of Personnel and Development. For the past 15 years she has specialised in advising employers on the tax and national insurance aspects of reward packages, working with both finance directors and HR specialists in businesses of all sizes - from ownermanaged start-ups to PLCs.
Stephen Moir director of people and policy, Cambridgeshire County Council and president, Public Sector People Managers' Association
Stephen is the director of people and policy for Cambridgeshire County Council, having initially joined as director of HR in July 2005. In his current role, Stephen is responsible for corporate strategy and policy, partnerships, diversity, HR services, organisational development, payroll and pensions for the 18,000 strong workforce of Cambridgeshire. A committed public sector advocate, Stephen has worked in three local authorities and three police forces. Stephen is the president of the Public Sector People Managers' Association (PPMA), having previously led on pay and workforce strategy issues for the association.
Karen O'Reilly former HR director, National Express (coach division)
Karen joined National Express in 2004 and was promoted to the role of HR director from head of HR & people development, before leaving the company in early 2008. Prior to joining the coach operator, she worked for Wolverhampton & Dudley Breweries in a number of HR roles including head of people development. She is a fellow of the Chartered Institute of Personnel and Development. National Express was the winner of the Grand Prix Award at the Employee Benefits Awards 2007.
Julie Osman director of pensions and benefits, Eli Lilly
Julie is director of pensions and benefits at Eli Lilly. Her responsibilities include pension and benefit design, HR policies, employee wellbeing and the UK HR shared services centre. Julie also looks after the UK and Irish pension plans investment strategies and Trustee Boards.
Peter Reilly director of HR research and consultancy, The Institute for Employment Studies
Peter is director of HR Research and Consultancy at the Institute for Employment Studies. He joined in 1995 after a 16-year career with Shell, where he undertook a number of HR jobs in the UK and overseas. At the IES he leads the work on reward and performance management. He has published various IES reports and articles on reward, including New Reward I: Team, Skill, Competency based pay and New Reward II: Issues in Developing a Modern Remuneration System. Project assignments have varied from introducing team based pay through equal pay reviews to designing base pay systems. Clients have come from the public, private and voluntary sectors.
Nicholas Stretch partner, CMS Cameron McKenna
Nicholas is a partner at law firm CMS Cameron McKenna where he heads the employee incentives team. He advises a wide range of organisations, from multinational companies to small start-ups, on their share plans, with the larger companies increasingly demanding that significant allemployee participation is achieved. He contributes regularly to the work of Share Plan Lawyers (the practitioner group for lawyers who advise on employee share schemes) and the Quoted Companies Alliance.
Nigel Trotman former business relationship manager, Whitbread
Nigel is the former business relationship manager at leisure company Whitbread. Having started his working life as a librarian, at Whitbread he was responsible for strategic management of a range of cross-business service contracts, one of which was the company’s fleet of more than 600 vehicles, mostly cars. The Whitbread car strategy was voted most effective company car strategy at the Employee Benefits Awards 2006.
Clive Wright chair, Chartered Institute of Personnel and Development's Reward Forum and principal, Mercer
Clive is the chair of the CIPD Reward Forum, which organises seminars on reward and advises the CIPD on research and policy related to reward. He wrote the reward strategies section in the CIPD's Reward Management publication, and has been a contributing author for a number of books on reward. He works at Mercer as a member of the client management practice. Previously he was director, compensation and benefits for The BOC Group for three years, and fulfilled various senior HR roles for ICL for 12 years before that. He is also chairman of the Compensation and Benefits Council of The Conference Board Europe.
- Author:
- Amanda Wilkinson
- Publisher:
- Employee Benefits
- Date:
- 2008-06-20









