Human Resources
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9
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This month, the ethics of monitoring employee activity and the HR compliance challenges Small-Medium Businesses (SMBs) face are being highlighted. Experts are also discussing the importance of HR in creating AI policies, suggesting that HR teams should play a more active role in shaping how their organisations use AI.
Additionally, new studies show that 15-minute exercise breaks can greatly improve employee mental health and wellness. There is also ongoing discussion about the pros and cons of conducting performance reviews during the holiday season.
Since the pandemic, companies are increasingly using workplace surveillance to boost productivity and reduce fraud. According to research by Forbes Advisor, 43% of workers report their employer monitors their online activity.
Workplace surveillance includes methods like keystroke monitoring, algorithms that analyse sentiment in emails and chats, webcam monitoring and wearable devices that track activity.
While keeping an eye on employees is not new, the advent of new monitoring technologies and the prominence of remote work are raising new privacy questions. For example, employees who work from home may feel a surveillance method like webcam monitoring is intrusive.
There is no single global legislation for digital surveillance, privacy laws vary significantly by region, and legislation around these emerging technologies is still being created. As a result, experts around the world are discussing the ethics of monitoring employees and employment laws in their regions.
While specific laws are still emerging, organisations are expected to adhere to workplace and privacy laws in their operating regions. For example, according to IOSH Magazine, employee monitoring in the UK must comply with the Data Protection Act 2018 and the Human Rights Act 1998. In the US, the Electronic Communications Privacy Act is an important piece of legislation to consider. In Australia, there are a range of laws to take into account, including the Privacy Act 1988.
Tips for ethical surveillance
Monitoring employee activity can enhance workplace safety, boost productivity, and improve team recognition. However, it can also increase stress and lower trust and morale. Experts suggest ethical implementation to maximise benefits and minimise drawbacks. Tips include:
By implementing monitoring practices ethically and transparently, organisations can strike a balance that enhances workplace safety and productivity while preserving employee trust and morale.
New research shows small to medium businesses (SMBs) are facing new challenges managing HR compliance.
A recent report by Harvard Business Review revealed 87% of SMBs agree that organisations face significant business risk if they don’t prioritise HR compliance. But, 50% of those SMBs surveyed say compliance is more difficult due to the rise in remote work and the added compliance requirements associated with working out of an office environment.
Additionally, the Harvard report revealed 38% of HR professionals working in SMBs found it difficult to ensure all employees were following compliance procedures.
In addition to the compliance procedures required around remote work, smaller businesses also have more blind spots when it comes to IT compliance. While not always reported in the news, SMBs are just as likely to be subject to cyber security attacks, adding increasing pressure for HR teams to create robust cyber compliance protocols (see Trend 4 from March 2024).
Using HR compliance as a strategic tool
While compliance in HR can seem like another box to tick, especially for SMBs, experts highlight its potential as a strategic tool for businesses of all sizes.
When compliance is positioned strategically, it empowers a business to not only avoid penalties but also drive operational excellence, foster trust and build a culture that supports sustainable growth.
For example, automating compliance in hiring and onboarding allows businesses to scale quickly, stay audit-ready, and enhance their employer value proposition and credibility.
Here are four tips for creating a strong framework for compliance in your organisation:
By making compliance an integral part of your business strategy, you can build a strong foundation for growth, reduce risk, and leverage it as a competitive advantage.
New research by Trailant, a company that provides online compliance training, highlights the gap between AI usage and policy. The research shows while 94% of companies are using AI, 40% of HR professionals say their organisation lacks internal guidelines on how to use AI in a responsible and ethical manner.
The report also shows that 50% of the respondents believe it is HR teams who are responsible for developing internal guidelines around the use of AI.
HR departments play a crucial role in digital equity and have the power to help shape workplace policies and learning programs that provide employees with clear guidance on AI use (see: Trend 2 from January 2024 and Trend 2 from March 2024).
In short, the challenge for HR leaders is to ensure that policies on topics such as AI ethics and training keep pace with technological developments, ensuring no employee is left behind.
Tips for creating AI policies
According to HR Executive, the first step in a comprehensive AI approach is recognising that AI use should be integrated into broader HR and organisational strategies.
For best results, HR executives are encouraged to play a strategic role in shaping policies and designing selection processes for AI technologies. By being involved in the AI selection process, HR teams can help ensure that the chosen technologies align with business objectives, deliver compelling value, and contribute both economically and strategically.
Once guidelines around AI are clearer, HR professionals can start setting expectations for managing AI and guiding employees on how to use these tools responsibly. HR teams can achieve this by:
Overall, the use of AI in the workplace will continue to evolve, presenting HR teams with the challenge of creating flexible policies that adapt to new developments while ensuring employees receive appropriate training.
Recent studies have shown workplace wellness programs can be a valuable strategy that promotes physical activity among employees.
Asics Global State of Mind Study 2024, surveying over 26,000 people across 22 countries, revealed it only takes 15 minutes and 9 seconds to achieve a mental uplift from exercise.
The research prompted Asics to start a 'desk break' experiment.
The company released an advert fronted by actor Brian Cox, which called on employees to step away from their desks for 15 minutes a day. In the UK, Asics HR team took things a step further by embedding the right to a 15-minute desk break into employee contracts.
Wet wipe company, Nice Pak, took a similar approach but chose to gamify exercise by introducing a health and wellbeing platform. The HR team introduced YuLife, a benefits and rewards app, that gives employees the opportunity to earn a virtual currency in exchange for taking care of their physical or mental health. The results have been an uptake in exercise and decrease in absenteeism from 4% to 2%.
Tips for encouraging exercise at work
Focusing on employee wellbeing is a health and safety priority for HR but it can also be a positive business move. A recent report by wellbeing provider, Wellhub, showed more than 8 in 10 (83%) employees would consider leaving their employer due to a lack of focus on wellbeing. Meanwhile, employees with access to a wellness program were more likely to rate their wellbeing as good or thriving (69%) than those without (53%).
Here are tips four tips for encouraging movement at work:
By integrating these practices, you can foster a culture of movement and wellbeing in the workplace.
While every organisation handles performance reviews differently, a growing trend is for annual or bi-annual reviews to take place at the end of the calendar year.
Managers must decide whether to conduct reviews before or after the holiday season. This is often a strategic decision that involves a deeper process than simply sharing feedback with an employee.
A review may be coupled with a title change and/or salary adjustment for example, so managers need to take into consideration when these occur as they impact employment contracts and payroll. Managers will need to align with legal and accounting departments as well as HR to ensure any employee changes do not leave gaps in the workforce.
Conducting reviews during the holiday season can help keep productivity high and provide employees with:
On the other hand, end-of-year performance reviews may have the opposite effect and cause stress for employees before the holiday season. This could be particularly the case if there is constructive criticism involved. It all comes down to the content of reviews and how they are managed.
For example, if managers are planning to provide employees with comprehensive feedback about how they can improve, it may be a good idea to wait until the new year. This means feedback is fresh in the mind of the employee and they can enjoy their break without worrying about the feedback and having no way to implement change.
However, it is not always feasible to conduct positive reviews before the end of the year and negative ones after the new year, so managers need to decide which with have the biggest organisational benefit.
Overall, the way feedback is provided makes the most difference, over and above when such feedback is provided.
The power of narrative feedback
According to a recent Harvard Business Review study, the format chosen to provide feedback can impact employee morale. The study compared narrative and numerical feedback.
The study found that employees viewed narrative feedback as fairer and thus, it had more potential to boost morale, especially for those with room to improve.
While numerical feedback has its advantages, HR teams and managers can use this information and ensure narrative feedback is included in end-of-year performance reviews. Doing so ensures employees feel heard and provides a clearer understanding of areas for improvement, all while helping to maintain morale.
This month’s trends fall under the key themes of compliance, employee wellness, and the role of technology in the workplace, from employee surveillance to AI.
HR teams continue to face the challenge of making sure changes in the outside world are reflected in company policies and programs. This helps ensure compliance, keeps businesses competitive, and supports employee morale and health.
As we finish 2024 and move into 2025, HR teams will need to adapt to new technologies while also focusing on employee wellbeing and ongoing learning. These areas will be key to both business success and employee satisfaction in the future of work.
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