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BITC public

reporting Guidelines:
Employee Wellness and Engagement

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Contents
Heading

1. Executive Summary 3

2. Business in the Community (BITC) 4

3. BITC Workwell Campaign 5

4. Public Reporting Guidelines 7

5. BITC Workwell Campaign Steering Group 9

6. Company Public Reporting Framework and Case Studies 11

7. Metrics Framework Definitions 26

8. Employee Narrative Reporting 31

9. Other Useful Resources 33


1. Executive Summary
Heading

Key Recommendations in which to interpret the information. Companies


• Employees are a critical company asset as they also need to ensure their reporting begins with a
are the means by which companies function. description about the ‘employee footprint’ of the
How companies manage their staff can determine organisation, which again provides the starting
business performance, and its ability to succeed context for assessing the company’s employee
long term. challenges and resulting management practices
and performance.
• Investors believe companies need to demonstrate
how they are managing this asset effectively • Companies are encouraged to take into account
as they believe robust employee practices can and adopt BITC Public Reporting Guidelines in
contribute to strong long-term business success. their reporting on employee wellness and
Specifically investors consider employee wellness engagement efforts.
and engagement matters to be investment relevant.
• Public reporting on employee wellness and
• Other stakeholders are also interested in how engagement is an evolving work in progress and
companies manage employee issues. Potential as time passes and practice becomes embedded,
future employees are increasingly looking to work so the definitions for what constitutes an entry,
for companies with progressive employee practices. an intermediate and a mature profile will shift. The
The global war on talent is an increasing challenge as intention is for the Public Reporting Guidelines to
companies seek to recruit and retain the best staff. be updated periodically in an iterative process to
reflect changing best practice thinking. BITC would
• Public reporting is a means by which investors, welcome feedback and interest from companies and
potential employees and other stakeholders can other stakeholders on their experiences using the
gain insights into how companies manage their staff, Public Reporting Guidelines and on how to improve the
and as such companies should report more on such Company Public Reporting Framework going forward.
matters in a frank, accurate and consistent manner.

• The BITC Workwell Model provides an ideal


framework for public reporting on employee
wellness and engagement as it represents a
strategic, integrated and holistic approach.

• BITC’s Workwell Campaign Steering group has


devised a Company Public Reporting Framework
which is aligned to the four quadrants, and central
segment of the BITC Workwell Model. It outlines
corporate input and output characteristics, and
associated metrics companies are reporting which
are linked with three different states of maturity
of management of the issue: entry, intermediate
and mature levels. As well as reporting quantitative
metrics, the Framework stresses the need for
companies to accompany this with narrative
reporting which will critically provide the context

BITC Public Reporting Guidelines 3


2. Business in the Community (BITC)
Heading

Business in the Community


stands for responsible business
We are a business-led charity with a growing
membership of 850 companies, from large
multinational household names to small local
businesses and public sector organisations.

We advise, support and challenge our members to


improve their performance to create a sustainable
future for people and planet.

Our members work with us to define what


responsibility looks like in the workplace, marketplace,
environment, and the community – and we share
what we learn about driving performance through
responsible business practice.

Business in the Community is one of The Prince’s


Charities, a group of not-for-profit organisations
of which The Prince of Wales is President.

We work locally, nationally and internationally


through a network of partners world-wide and have
28 years’ experience of working with communities
in greatest need.

4 BITC Public Reporting Guidelines


3. BITC Workwell Campaign
Heading

BITC Workwell Campaign


• A common good, business led campaign
• Business case led, values driven
• Elevates employee wellness and engagement
to being a boardroom issue
• Proactive approach to employee physical,
psychological and social health
• A strategic, integrated and holistic approach
to employee wellness and engagement
• Promotes public reporting on employee wellness
and engagement as key objective
• Responsible business practice – mission critical
to long term sustainability

The campaign’s vision is ‘To create the most


engaged workforce in the world’ by inspiring every
organisation to help their people flourish by:
• Proving the case
• Spreading good practice
• Providing support

BITC Public Reporting Guidelines 5


BITC’s Workwell Campaign

The bitc workwell model

Business benefits

Employee actions
recommended by Foresight
Mental Capital Report
PRODUCTIV
HER ITY
HIG ➡
➡ BE
GE EP LEARNING
KE

Employer actions

TT

A

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ND

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recommended by BITC
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* Using ‘good work’ criteria defined by


Coats and Lehki (September 2008)

about the model Wellness is comprised of the mutually supportive


Developed by business for business, the BITC relationship between the physical, psychological
Workwell Model reflects the realities of the and social health of the individual. (Towers Watson)
workplace and the complexity and interrelatedness
of the factors that influence employee wellness Engaged employees work with passion, commitment
and engagement. The Model is evidence based, and trust to drive and sustain their flourishing
widely endorsed and positions employee wellness organisation. (BITC)
and engagement as a strategic boardroom issue
linked to securing business objectives. Engagement combined with wellness enables
sustained employee performance.
It provides a proactive, integrated and strategic
framework for promoting employee wellness and The Model focuses on four principles that contribute
engagement and articulates the inextricable link to wellness and engagement. These are better work,
between wellness and engagement to driving better relationships, better specialist support and
sustainable performance. better physical and psychological health.

The Model outlines actions that employers can take It demonstrates the top line business benefits of
to provide a context for their people to flourish. It also investing in employee wellness as better engagement,
promotes 5 ways to wellness that employees can take better recruitment and retention, better brand image
to improve their own emotional and physical resilience. and higher productivity.

6 BITC Public Reporting Guidelines


4. Public Reporting Guidelines

A strategic boardroom issue Our recent efforts with regards HCM has included
BITC Public Reporting Guidelines are about working with BITC’s Workwell Campaign on developing
moving the agenda on from basic health and toolkits for UK companies on health, safety and
safety compliance, to elevating wellness and wellbeing management, as well as on the development
engagement to become a boardroom issue. of reporting guidelines for companies in this area. On
the latter point, we felt it was important to participate
Improved reporting on employee wellness and in the guideline development process to ensure the
engagement will become an essential part of outputs would also be meaningful and useful for
responsible business practice as it is the hallmark investors. We hope the Guidelines will stimulate
of a sustainable business that is managing for debate and innovation and lead both to continuous
the long term. improvements in HCM management and reporting by
companies and as a consequence, to better business
An investor perspective performance and better investment decision-making.
Henderson Global Investors is an independent fund
management company with £61.6 bn in assets under In this time of global recession, despite the temptation
management (as of 31st December 2010). For over to roll back or delay HCM programmes, we would
30 years, we have been active in managing money argue it is even more imperative that companies
on a Sustainable & Responsible Investment (SRI) maintain if not step up their efforts. The recession
basis (assets total £749.7m). Our SRI philosophy represents an opportunity for companies to gain
can be summed up as ‘doing well by doing good’, we competitive advantage over peers. The business
believe taking into account how companies manage environment is only going to become more
environmental, social and governance (ESG) matters competitive as it becomes more global. Although the
can not only add value to investments, it is also the world population continues to grow, it also continues
right thing to do. to age (particularly in the industrialised economies),
and its constituents increasingly discriminatory about
Specifically we have long held the view that there who it works for. We are convinced that employee
is a direct link between good employee practices wellness and engagement as an issue is fast becoming
(or human capital management, HCM, as it is a key challenge for the companies we invest in. In
referred to) and strong business performance. turn, this requires a more strategic response in terms
Given investing in successful businesses is at the of board commitment, integration into core business
core of what we do, getting an understanding of processes, along with clear communication and
how companies manage their staff is important reporting to investors. The prize is not just to stop the
in identifying good investments. waste that ill-health and low motivation represents,
but to grasp the business potential of enhanced
Over the years, we have worked to explore this employee engagement and productivity.
link, and generate useful insights for our investment
activities. Aside from exploring specific HCM issues My-Linh Ngo, Associate Director, SRI Research,
such as gender pay and workplace stress, we have Sustainable & Responsible Investment (SRI)
continued to push more generally for greater public Henderson Global Investors.
disclosure by companies. Contributions in this
latter area are much needed, as through our own Henderson is a strategic partner of the BITC
experiences, we have found a lack of quality HCM Workwell Campaign, and member of the Steering
reporting by companies. This in turn makes it Group for BITC Public Reporting Guidelines.
difficult to determine the relative effectiveness
of management practices and how this links to
business performance. So often companies publicly
proclaim in their financial annual reports that
“employees are our most important and valuable
asset,” and how “our staff are critical to our success,”
yet most fail to elaborate on this, asking investors
and other stakeholders to take it on faith that they
are managing this effectively.

BITC Public Reporting Guidelines 7


Investment community consultation benchmarking efforts. By standardising metrics
A set of draft BITC Public Reporting Guidelines, investors can benchmark companies within and
developed by BITC Workwell Campaign Steering Group, where helpful, across, different business sectors.
was previewed with investors at an event hosted by
BITC, Henderson Global Investors, and UKSIF, the Investors were clear that reporting on employee
sustainable investment and finance trade association, wellness and engagement needed to demonstrate
on 21st March 2011. Given investors are a key audience its connection with business strategy, and as such
for the data, the Steering Group wanted investors analysis to quantify the risks and benefits was
views to feed into the final version of the Guidelines. important, alongside more qualitative narrative.
Evidence demonstrating impact is crucial. One
Delegates were invited to give feedback on: investor observed, “Company reports have
• The quality and relevance of current reporting insufficient KPIs and too many words saying
on employee wellness and engagement based on what is done without demonstrating the metrics.”
Ipsos MORI research and their own experiences; Another wanted to see “specific activities they
• Their thoughts on the need for positioning undertake for the benefit of their employees.”
of reporting in terms of link back to securing
business objectives; Investors wanted to see reporting that identified:
• The key issues and metrics they would suggest • Health and safety risks to the business;
companies prioritise reporting to help investors • Evidence of talent management being used to
better evaluate how companies are managing build a strong skills base;
this issue. • Employee engagement leading to improved
employee satisfaction and retention (staff willing
Feedback to “go the extra mile”).
Overall, there was a strong consensus by investors
that how companies manage employee wellness Reporting Guidelines should be:
and engagement was very important as it has a • Relevant for public and private sector organisations;
correlation with business performance. Investors • Across all business sectors;
believe such issues are relevant to all companies, • Applicable to international businesses and to
although they recognise different aspects of the medium enterprises.
agenda have different levels of applicability for
companies in different industries and geographies, Evidence of wellness and engagement can
and of different stages of maturity. be reported as:
• Reducing the accident rate;
Investors want to see a business focus. They are • Minimising absenteeism;
not interested in reporting for reporting’s sake. • Motivating staff to deliver a better customer service;
A clear message was that a company should not • Reducing workplace stress;
be reporting against every criteria in the Company • Improving the speed at which getting return to work
Public Reporting Framework – only those that are after injury.
the most relevant to its business and its sector.
Investors recognised and urged companies to use
Wellness and engagement is even more relevant their reporting to create a clear narrative around
at a time of global recession, as it represents an their “journey of improvement” – setting out the
opportunity for companies to gain competitive stages in developing a best practice model.
advantage over peers.

Despite the need and desire for such information,


the feedback overall from investors was that current
public reporting on this issue was “not very good”,
both in terms of the low level of reporting, as well as
the quality of what was reported, as well as the lack
of consistency in what was reported which prevented

8 BITC Public Reporting Guidelines


5. BITC Workwell Campaign Steering Group

Members About the Steering Group


Dr Paul Litchfield, Chief Medical Officer, The Steering Group was convened by BITC and
BT Group (Chair) is drawn from senior practitioners from FTSE 100
companies identified by Ipsos MORI as exemplar
Dr Frank Fox, Head of Occupational Health,
reporting companies in its research findings on
Anglo American
Public Reporting Trends May 2010. All of the
Kay Talbot, Business Manager Health Services, companies represented are members of BITC
British Airways and have provided thought leadership and overall
direction for the Public Reporting Guidelines.
Jason Powell, CEO for Premier Medical Group,
Capita and Dr Mark Ratnarajah, Business
Development Director, Capita Steering Group Strategic Partners
CIPD, Henderson Global Investors and Ipsos MORI
Tricia O’Neill, Group Health Services Manager, are strategic partners of BITC.
Centrica
Rosalind Minto, HR Business Partner, Purpose of Partnerships
London & South East, Compass Group Henderson Global Investors
The Henderson SRI team has been active over the
Sue Cruse, Director, Leadership Health years in addressing human capital management (HCM)
and Sustainability, GSK issues, working with companies to encourage them to
Russell Turner, Operations Manager for manage it as well as report publicly on their efforts.
Occupational Health, Marks & Spencer
We have been engaging with BITC on HCM issues for
Andy Buxton, Health & Wellbeing Manager,
some time, and recently took a more involved role by
National Grid
participating in the Workwell Campaign as a member
Amanda Owen, Group Head of Safety, of BITC’s Boardroom Reporting Steering Group,
Health, Wellbeing and Diversity, RBS (which helped input into the development of the BITC
Workwell Model), and the subsequent Steering Group
Strategic Partners for the development of these Guidelines to ensure
Ben Willmott, Senior Policy Adviser, CIPD they are useful for investors. We will seek to raise
awareness of, and encourage uptake of the Guidelines,
My-Linh Ngo, Associate Director, SRI Research, by both investors and companies.
Sustainable & Responsible Investment (SRI)
Henderson Global Investors For more information about Henderson SRI, visit:
Jenny Dawkins, Research Director, Reputation www.henderson.com/sri
Centre, Ipsos MORI

BITC Public Reporting Guidelines 9


Chartered Institute of Personnel and Ipsos MORI
Development (CIPD) Ipsos MORI’s Reputation Centre has long been
CIPD research consistently highlights the importance helping to provide evidence of the case for companies
of high quality leadership and people management engaging in responsible business practices and
skills to sustainable organisation performance. This communicating their progress to key stakeholders.
has been supplemented recently by the government- Our research often shows the impact of these issues
commissioned MacLeod review, which highlighted on a company’s reputation, and over the last few
the link between enhanced employee engagement years we have been working with BITC on various
and improved business performance. statistical analyses to try and find links between
best practice responsible business and enhanced
However evidence suggests UK people management financial performance.
capability lies behind that of our main competitors
and that we as a nation invest less in management We have conducted previous research for BITC’s
development. Workwell Campaign on FTSE 100 companies’ public
reporting on employee wellness and engagement.
Effective Human Capital Management reporting Therefore, we were delighted to participate in the
can highlight the link between effective people Steering Group to further develop the analysis of
management, employee engagement and wellbeing reporting on these themes and update the research
and improvements to business performance and showing where the gaps are in current public
consequently encourage organisations to invest in reporting on this agenda. It is good to see the key
the management and development of their people. gaps addressed in these Guidelines, and we hope to
CIPD is working with its members to encourage and see progress in the quality of future public reporting
support HR practitioners to generate high quality to reflect this timely advice. Ultimately it is about
people management information to help build the providing investors with more useful information on
business case for investing in people management this key area of business performance, and helping
and development. companies to realise the full benefit from approaching
employee wellness and engagement strategically.
However it is equally important to raise this key
agenda within the wider business community if there
is to be a step change in the quality of HCM reporting
across UK plc.

BITC’s Public Reporting Guidelines provide an excellent


springboard for achieving much greater understanding
and profile at boardroom level of this key issue.

We believe that the CIPD, together with BITC and


Henderson Global Investors, are ideal partners in this
aim. Together we represent the HR, business and
investor communities, all of which need to be engaged
if there is to be substantive progress on this agenda.

10 BITC Public Reporting Guidelines


6. Company Public Reporting Framework

introduction The metrics selected were kept as generic as


In developing a Company Public Reporting Framework, possible (rather than by sector specific, although
the Steering Group looked at what companies are companies are encouraged to consider and explain
currently reporting on wellness and engagement why some metrics are more relevant to their business
based on their own practice, the FTSE 100 reporting than others) and were graded according to different
trend research conducted by Ipsos MORI (March 2011), levels of practice – entry level, intermediate level,
as well as consider the latest thinking on best practice. and mature level. This categorisation illustrates
Common threads emerged such as staff survey results, the evolutionary stage at which a company is at
staff turnover, sickness absence trends and talent and with regards management of employee wellbeing
skills development. and engagement:
• Entry level is often no more than a statement
A clear and early conclusion was that one size of values, or intent to shift company culture or
doesn’t fit all when its comes to employee wellness workforce behaviour. It is linked to very basic
and engagement reporting. As such there was no easy supporting metrics.
way of benchmarking this data. Frequency of reporting • Intermediate level is where we start to see wellness
varied as did the amount and detail of management and engagement practices embedded within the
information reported on publicly. Companies were at company and results flowing from that commitment
different stages of implementing employee wellness to long term change.
and engagement policies. Different companies in • Mature level is where business benefits start to flow
different sectors will use different interventions from actions and where companies can be seen to be
that support the demographics of their business. taking strategic and long term decisions supported
Our steering group covers mining, air travel, energy by hard metrics that include return on investment.
supply, pharmaceuticals, retail, business services /
outsourcing, food service and banking. The Framework contains simple descriptors which a
range of disciplines from HR, health and safety, talent
The Steering Group recognised that aligning company management or employee engagement can interpret
reporting to the BITC Workwell Model is a means of silo metrics to gain a picture of how sets of measures
adding value. This leads to greater consistency of add up to a holistic and integrated policy that will
reporting and creates a platform for benchmarking impact on business performance.
company performance on wellness and engagement.
The Steering Group set out to construct a framework
for reporting on wellness and engagement linked to
the BITC Workwell Model. The aim was to map for each
of the four quadrants, and central segment of the
Model, the corresponding:
• Input or management characteristics – e.g. the
company approaches, policies and initiatives.
• Output or outcomes characteristics – e.g. the
resulting actions demonstrated in the workforce and
/ or organisation as a whole, and their corresponding.
• Metrics – e.g. the quantitative measure report that
provides hard evidence that management (and
investors) need to see to determine whether the
interventions were working.

BITC Public Reporting Guidelines 11


Employee footprint The proposed metrics are intentionally generic
Accompanying the reporting suggested in the although there is a recognition that a ‘one size fits
template Framework below, companies are all’ to metrics development is not possible. However
recommended to provide some narrative reporting these metrics do represent a useful basis on which
on the past, and existing, employee composition and to considering reporting. As such companies are
dynamics, or the ‘employee footprint’, to draw the encouraged to ‘comply or explain’ why, in their specific
parallel with carbon footprinting, where companies instances, such a proposed metric is not appropriate,
map out their carbon impacts along the value chain. and propose alternatives.
Such employee audit information is useful for the
audience as it provides the context on which they
can judge the effectiveness of future management
practices and associated targets.

Narrative commentary complementing the


metrics reporting
Companies should not rely solely on reporting
quantitative metrics. Narrative reporting should
accompany the statistic, given the context for
interpreting the data. The commentary should be
open and frank, highlighting the ongoing challenges
as well as the successes.

Metrics
Such metrics may be in an aggregated or
disaggregated form, and may include a combination
of management (process) metrics and performance
(impact) metrics. There should be time series data
associated with the metrics so the audience gets
a sense for the performance trend and trajectory
of travel. Performance metrics should also include a
balance of leading and lagging indicators. The audience
is looking for evidence which demonstrates the costs /
risks avoided as well as the benefits realised. In some
instances, qualitative narrative, in the form of case
studies, can be helpful in demonstrate the impact
of company efforts.

12 BITC Public Reporting Guidelines


The BITC workwell model

Business benefits

Employee actions
recommended by Foresight
Mental Capital Report
PRODUCTIV
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➡ BE
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* Using ‘good work’ criteria defined by


Coats and Lehki (September 2008)

Principles
Employee wellness and engagement management 3. Ensuring employee communication and voice
best practice is defined according to the following supports engagement.
principles:
4. Taking a proactive approach to building physical
1. Demonstrating a robust employee wellness and and psychological resilience to support sustainable
engagement strategy linked to securing business performance.
objectives.
5. Providing a safe and pleasant environment that
2. Ensuring a strategic approach to skills and talent supports wellness and productivity.
that meets current and future business needs.

BITC Public Reporting Guidelines 13


BETTER WORK

Creating a happy, engaging environment ‘good work’ which, according to a Work


Foundation report by Coats and Lehki (September 2008) is characterised by:
• A management style and an organisational culture that
promotes mutual trust and respect
• Employment security
• Talent management
• Job design: task and variety challenge
• Autonomy, control and task discretion
• Non monotonous and repetitive work
• Employee voice

LEVEL Input characteristics Output characteristics Metrics


The company demonstrates: The workforce / organisation (Mix of management,
demonstrates: impact KPIs)*
ENTRY Clear values and principles A culture of respect
for employee behaviour. and ethical behaviour.
Skills development policies A learning culture of Company funded training
and training programmes. continual development. time per person.
Attention to job design. A sense of empowerment. Results of annual
job satisfaction or
engagement survey.
Formal mechanisms for A collaborative team Length of tenure of staff.
consultation with employees. working ethos.
Intermediate Board director with direct Collaborative behaviour
responsibility for employee with evidence of taking
wellness and engagement. personal responsibility
for health and wellbeing.
Leadership and people Understanding of and Proportion of senior positions
management training. alignment with business filled by internal applicants.
priorities.
Trend results of annual
engagement survey and
intermediate pulse surveys.
Mature Management scorecards Joint initiatives between Trend for engagement aligned
that include performance the company and employee to the strategic goals of the
on employee wellness and representatives to promote company as measured through
engagement. health and wellbeing. multiple channels at least
quarterly.

* Note: Only additional metrics (to the Entry Level) are listed for each progressive evolutionary level.

14 BITC Public Reporting Guidelines


BETTER WORK – case studies

Mature LEVEL Mature LEVEL

Glaxo Smithkline Compass Group


Glaxo Smithkline (GSK) is one of the world’s leading Compass Group is a multinational business specialising
research-based pharmaceutical and healthcare companies in catering, cleaning and facilities management. It fulfills
and is headquartered in London. Created in 2000 out of big in-house contracts to provide catering in the education,
the merger of GlaxoWellcome and SmithklineBeecham, healthcare, business and industry, facilities management,
GSK operates in more than 70 countries and employs defence, offshore, in store and sports and leisure sectors
over 90,000 people worldwide. and has a high-end luxury catering operation, Restaurant
Associates.
Specific issue – improving organisational style and
management culture Specific issue – expertise and competence (talent
Leaders need to better empower staff. GSK has established management)
a link between leadership behaviours, business strategy and Compass Group is creating an internal talent pool to
delivery on the corporate mission which is to improve the expand the business and meet growing customer demand.
quality of human life by “enabling people to do more, feel This reverses a previous tendency to hire externally.
better and live longer.”
Rationale
Rationale In 2009 Compass launched Evolve in the UK, an
Energy for Performance is a short training programme internally assessed Level 4 qualification in business and
for senior leadership within GSK UK and worldwide in administration. Middle managers are selected by interview
maximising energy levels through increased self awareness and assessment centre and numbers of candidates are
and skills in managing the quantity, quality, focus and force linked to business forecasts. Evolve combines externally and
of their energy. The programme positively impacts key internally taught modules with in-company placements and
leadership behaviours such as flexible thinking, developing stretch goals.
people and building relationships.
Management focus and metrics
Management focus and metrics Over six months, 50 per cent of Evolve candidates move on
Employee surveys improved scores across the leadership to bigger and better jobs within Compass. A comparison of
behaviours that empower and engage. The improvement business unit performance reveals profits rose on average
was statistically significant. Staff whose leaders had taken 6 per cent in parts of the company where there are Evolve
the course were a lot more positive when commenting on candidates. The cost of recruitment has fallen.
management’s behaviours than those whose leaders had not.
Reporting frequency
Reporting frequency A quarterly HR report details the number of candidates
The results of the employee survey are covered in the going through the Evolve programme. The HR team receive
annual CSR report available online and in printed format. a monthly report on Evolve. There is no mention of Evolve
There are internal management reports. in the Compass annual reports as this deals only with global
matters.
Lessons learned
You need critical mass to transform the business Lessons learned
environment and sustain this transformation. Benefits from The business needs to map its internal skills against a
training are maintained when all leaders in an area of the qualifications framework. A company needs to become an
business have completed Energy for Performance training. approved centre of a national awarding body. In Compass’s
case it uses Edexcel. Compass has called on an external
GSK now see this training as a part of leadership
consultancy to deliver specialist training.
development not solely a health and safety initiative.

BITC Public Reporting Guidelines 15


BETTER relationships

Good relationships – at work and at home – provide the ‘social capital’


which individuals need to maintain mental health and engagement.
Promoting and enabling better communication and social cohesion
to support good relationships in the workplace particularly among:
• Line manager
• Team colleagues
• Support networks
Relationships outside work (family and friends) can also be supported through
flexible working practices and through involvement in social initiatives.

LEVEL Input characteristics Output characteristics Metrics


The company demonstrates: The workforce / organisation (Mix of management,
demonstrates: impact KPIs)*
ENTRY Flexible working policies Flexible attitudes to changes Proportion of workforce with
including job shares. in work practice. flexible working arrangements.
Family-friendly policies Loyalty to the company. Proportion of women returning
(maternity and carer after maternity leave.
responsibility) and facilities
(e.g. crèche)
Promotion of team working. Pride in the job. Proportion of take-up of
paternity leave.
Grievance cases as a spot rate.

Intermediate Managers’ appraisals that A perception of organisational Trend data for grievances
are linked to their people justice. upheld.
management capability.
An employee volunteering Personal development with Volunteering commitment.
policy. skills learnt in the community
brought back into the company.
Promotion of working across Pride in the team. Proportion of requests for
organisational boundaries. flexible working accepted.
Mature Managers that are developed Continuous improvement in Performance trend
to be coaches / mentors. skill levels and performance. in external surveys of
employee engagement.

Promotion of external Pride in the company. Proportion of entitled staff


relationships with taking up maternity leave
professional bodies and sharing arrangements.
academic institutions.

* Note: Only additional metrics (to the Entry Level) are listed for each progressive evolutionary level.

16 BITC Public Reporting Guidelines


BETTER relationships – case studies

intermediate LEVEL intermediate LEVEL

British Airways Marks & Spencer


British Airways is a global airline and has recently British retailer Marks & Spencer has over 700 stores
merged with Spanish airline Iberia. BA is now part in the UK and over 300 spread across more than 40
of International Airlines group, a merger that was countries. It specialises in selling clothing and luxury
completed on 1 January 2011. food products. In 1998 it became the first British retailer
to make a pre-tax profit of over £1 billion.
Specific issue – good relationships at work –
promoting and enabling better social cohesion Specific issue – employee community engagement
BA is committed to building an inclusive and diverse The company wanted to communicate with the entire
culture where every colleague feels valued and respected workforce, to help people adopt healthier lifestyles and
and drawing on the different knowledge and perspectives not just focus on the tiny minority (3 per cent) of sickness
within its business to create innovative and flexible thinking. absence cases.
It is important for the airline to attract and retain the right
people and to ensure that it reflects the diversity of its Rationale
customer base. Marks & Spencer developed a platform, planahealth.com,
to create social support networks, and promote volunteering.
Rationale The website offers advice on wellbeing including healthy diet,
There are established policies in place that cover mobility exercise, and better work life balance. The site contains a
and disability as well as age, race, gender, religion and telephone helpline as well and a list of external healthcare
sexual orientation. The Diversity and Inclusion Team provide specialists. Staff sign up to health pledges.
training guidance and specialist advice to ensure that all
colleagues understand how to apply discrimination law in Management focus and metrics
the workplace. The team also work with local champions to Staff joining the scheme complete a health questionnaire
ensure that the company maximises talent and delivers best to assess their general level of health. One in seven of
practice around inclusion in the workplace. BA publishes a the Marks & Spencer workforce has signed up to a health
monthly e-newsletter updating colleagues on current issues pledge many involving communal activities such as a
around inclusion, and diversity training is mandatory for day a month volunteering for the charity of their choice.
all managers. An inclusive culture can directly impact on Staff undertaking pledge activities are monitored every
BA’s customer perception and increase its reputation for two weeks.
excellent customer service. Reporting frequency
Management focus and metrics Use of the site is fed back to Marks & Spencer occupational
BA’s colleague survey collects information about health on a monthly basis enabling management to pinpoint
the diversity and demographics of its workforce. In potential healthcare issues at regional or branch level. Details
addition, trend data is reported, to look at any areas of employee health pledges appears under “How We Do
of disproportionate representation. Business” in the company’s annual report.

Reporting frequency Lessons learned


Workforce diversity in terms of percentages of different Pilot the project. Get a feel for what employees want and
groups is included in the company’s CSR report, two board keep the offer simple. Do not try to do too much too soon.
reports and an annual report. Return on investment is not measured.

Lessons learned Do not be influenced by preconceptions. Virtually all Marks


The Diversity and Inclusion Team are continuously working & Spencer workers had access to a PC at home and many
to further embed and integrate diversity and inclusion were accessing the website on their i-phone or i–pad.
into the business. There are five employee network groups
covering gender, disability, faith, ethnic background and
sexual orientation. They provide invaluable advice to other Today every business is looking for ways in which it can
colleagues help with designing new products and offer maintain shareholder value and the rate of change and the need
guidance on cultural differences linked to new routes.
The current focus of work is around managing conflict
for innovation is relentless. Marks and Spencer have always
resolution to drive greater dignity and respect into the realised that business success directly corresponds to the
workplace and using the opportunity of London 2012 to happiness and health of its people. A health framework which
drive greater improvements in the journey process for is as focused and innovative as our business strategy enhances
all BA’s disabled customers. our ability to deliver the healthy and engaged people who will
bring that success.
Russell Turner, OH Operations Manager UK and International,
Marks & Spencer

BITC Public Reporting Guidelines 17


BETTER relationships – case studies

Mature LEVEL

Nationwide Building Society


Nationwide Building Society provides financial services
both directly, and through approximately 750 high street
branches. Nationwide is a major provider of both mortgage
loans and savings in the UK. It has remained in the
ownership of its members and was the only major building
society to retain its mutual status.
Specific issue – consultation and motivation
Nationwide has a very low staff turnover (around 12 per
cent) and many employees have been with the business
for between 20 and 30 years. HR’s brief was to deliver high
levels of employee engagement across the business and
provide the basis for leadership development.
Rationale
A detailed staff satisfaction survey completed by more than
80 per cent of staff provides management insights. 360
degree feedback on managers provides a leadership profile
of the qualities that inspire staff and drive the business.
Management focus and metrics
Survey results give insight into where employee wellness
and engagement is highest. For example, branches with the
lowest levels of sickness, highest levels of staff turnover
and branches where highly engaged staff deliver higher
sales and customer satisfaction.
Reporting frequency
Survey results are aggregated for internal management. A
broad summary is published in Nationwide’s annual report.
Lessons learned
Leaders can create a demotivating environment. Feedback
from staff satisfaction survey prompted a new leadership
programme for middle managers around motivating and
retaining staff.

Nationwide has always taken a real interest in employee


engagement because not only is it the right thing to do (being
a good corporate citizen) but our people insight data clearly
shows a tangible link between engagement levels and high
levels of business performance. We want to remain Number
One for service in retail financial services and engaging with
our people is one of the keys to delivering that.
Andrea Cartwright, Head of HR, Nationwide

18 BITC Public Reporting Guidelines


BETTER specialist support

Better specialist support can help teams manage health issues at


work or facilitate a more efficient return to work for those off work.
Better support and interventions to manage health and wellbeing
can be provided by:
• Occupational health
• Human resources
• Employee assistance / counselling
• Training for line managers and employees

LEVEL Input characteristics Output characteristics Metrics


The company demonstrates: The workforce / organisation (Mix of management,
demonstrates: impact KPIs)*
ENTRY Attendance / absence Fewer spells of short term Sickness absence as
management policies absence and shorter duration a spot rate.
that are not punitive. of extended absences.
Access to occupational Increased trust in the Uptake / utilisation rate for
health advice. company and its agents. occupational health service.
Manager defined adjustments Improved cooperation
to aid rehabilitation and speed with return to work plans.
return to work.
Intermediate Health and wellbeing policies Improved physical fitness and Sickness absence as
linked to enhanced personal psychological resilience. a trend over time.
and business performance.
Access to Employee Greater responsibility in Uptake / utilisation rate
Assistance Programmes addressing issues that for Employee Assistance
(EAP) that provide a broad might impact on work. Programme (EAP) and
range of advisory services related schemes.
on a confidential basis.
Access to specialist More flexibility in adapting Duration of extended absences.
adjustments advisory services. to work and customer
requirements.
Mature A comprehensive framework A shared responsibility for Sickness absence trends
of resources and services that overcoming obstacles to broken down by major causes
address prevention, early delivering high performance. and benchmarked against
intervention and rehabilitation relevant indices.
for both physical and
psychological health issues.
Rate of rehabilitation into
their own job for workers
absent for an extended period.
Customer satisfaction
of employees making use
of services provided.

* Note: Only additional metrics (to the Entry Level) are listed for each progressive evolutionary level.

BITC Public Reporting Guidelines 19


BETTER specialist support – case studies

intermediate LEVEL intermediate LEVEL

Centrica Capita
With almost 37,000 employees, Centrica is the UK’s With a £2.7 billion turnover and 36,800 employees
biggest energy supplier. Capita Group Plc is the UK’s leading provider of business
process outsourcing and occupational health services.
Specific issue – attendance management
(interventions in / treatments of existing conditions) Specific issue – attendance management
Centrica reports on the results of triage offered to British Formal “day one” absence monitoring and case
Gas engineers suffering musculoskeletal disorders. management.
Rationale Rationale
Triage is designed to help people return to work and it Capita is moving towards paperless reporting and is in
involves prioritising interventions according to severity the process of rolling out an online CRM platform which
of the condition. It comprises: will provide real time data capture and analysis.
• telephone based advice from a physiotherapist ;
• written health guidance; Management focus and metrics
• face-to-face physiotherapy. A training programme designed to support line managers
has resulted in a 30 per cent reduction in absence over
Management focus and metrics 2 years and £400 savings per employee.
Triage has contributed to a reduction of absence for
work related musculoskeletal disorders from 37 days Reporting frequency
in 2008 to 25 days in 2009. Internal reporting on absence data and case information
is fed back to managers constantly.
Reporting frequency
Externally Centrica reports on the results of this Lessons learned
support within its corporate responsibility and its In time, Capita and its customers will be able to “dashboard”
annual board report. key employee welfare information and health outcomes data
to inform corporate strategy and governance.
Lessons learned
Significant organisational change takes 6-12 months to
impact on someone’s wellbeing. Building the resilience of
individuals is building the resilience of the organisation
and its ability to respond to change.

Employee wellbeing is a key factor in determining an


organisation’s long-term profitability. Centrica’s health and
wellbeing strategy recognises that we need preventative
and speedy access to remedial interventions when needed,
to ensure we meet our business commitments. Good
musculoskeletal health is key for many of our employees
in their day to day activities and we invest in preventative
activities to keep people well and active. Additionally, by
providing access to early physiotherapy advice and treatment
our employees recover more quickly and receive information
to manage their ongoing musculoskeletal health.
Graeme Collinson, Group Director, Health,
Safety & Environment, Centrica

20 BITC Public Reporting Guidelines


BETTER specialist support – case studies

intermediate LEVEL

Royal Bank of Scotland


The Group, with over 148,000 employees in 50 countries,
has responded to the global financial crisis by embarking
on a strategic plan to return it to stand alone strength. In
doing so, the Group embarked on a significant restructuring
programme that has directly and indirectly affected a
large number of employees.
Specific issue – support our people through change
The Group proactively promoted and utilised the counselling
service provided by Lifematters in assisting those employees
and their families affected by the restructuring programme.
Rationale
In addition to promoting the support services available
through Lifematters, RBS worked closely with their service
providers to produce support packs intended to develop
the capability of managers in effectively communicating
change, dealing with emotions at work, delivering news
of redundancy and rebuilding morale after restructure.
Management focus and metrics
Quarterly statistics on Lifematters usage are analysed
to identify any issues and shape the health and wellbeing
strategy and interventions. Employee feedback is invited
on the service provided by Lifematters and the annual
employee opinion survey invites feedback on wellbeing
within the Group. In 2010, 68% of employees indicated that
the senior management of their business was interested
in their wellbeing
Reporting frequency
The company publishes a Safety, Health and Wellbeing
Report, a downloadable document linked to its corporate
website. Headline data are also available through RBS’s
sustainability report.
Lessons learned
Line Managers have a key role in the health and wellbeing
of our people. RBS’s intent is to provide Line Managers with
the knowledge, information, tools and supporting services
that they need to support their teams.

We recognise the important role that Line Managers


play in the health and wellbeing of our people. Our intent is
to provide Line Managers with the knowledge, information,
tools and supporting services that they need to support their
teams, particularly through periods of change.
Amanda Owen, Head of Group Safety,
Health Wellbeing and Diversity

BITC Public Reporting Guidelines 21


BETTER physical and psychological health

Create a safe and pleasant work environment by:


• Promoting a physically safe working environment with optimal air
quality, temperature, noise, lighting and layout of work spaces.
• Promoting healthy behaviours such as emotional resilience which
builds self esteem, healthy eating, physical activity, smoking cessations,
sensible drinking and avoidance of drug misuse.

LEVEL Input characteristics Output characteristics Metrics


The company demonstrates: The workforce / organisation (Mix of management,
demonstrates: impact KPIs)*
ENTRY Suitable and sufficient health Awareness of risks to Statutory health and safety
and safety training for workers themselves and others reporting.
and managers. impacted by their activities.
Provision of advice on personal An understanding of key Workforce demographics
behaviours that promote behaviours on current and marking health status.
improved health and wellbeing. future health status.
Intermediate An internal quality Acceptance of some Trend health and safety data.
management system for responsibility for the health
health and safety with and safety of themselves
analogous requirements and others they are working
placed on contractors. with directly.
Provision of company Participation in programmes Trend in workplace
programmes and campaigns to and campaigns to improve demographics marking
promote health and wellbeing. their own health and wellbeing. health status.
Mature A certificated, externally Commitment to shared Trend health and safety
validated health and safety responsibility to prevent all data aligned to strategic
management system (e.g. avoidable harm to themselves, commitments and measured
ISO 18001) with analogous their colleagues and the public. through multiple channels.
requirements placed on
contractors and suppliers.
Provision of an integrated Sustained behavioural Trend in objective measures
health promotion system change that benefits their of health and wellbeing.
that addresses both physical own health and wellbeing and
and psychological wellbeing that of those around them.
and incentivises sustained
improvement.

* Note: Only additional metrics (to the Entry Level) are listed for each progressive evolutionary level.

22 BITC Public Reporting Guidelines


BETTER physical and psychological health – case studies

intermediate LEVEL intermediate LEVEL

Openreach National Grid


BT employs some 89,000 people in the United Kingdom National Grid is an international electricity and gas
of whom around 26,000 engineers work in the Openreach company and one of the largest investor-owned energy
division which is responsible for installation, support and companies in the world. National Grid owns the high-
maintenance of the “first mile” access network from the voltage electricity transmission network in England and
door to the exchange. Wales and operates the system across Great Britain. It
also owns and operates the high pressure gas transmission
Specific issue – promoting emotional resilience through system in Britain and its distribution business delivers
change management gas to 11 million homes and businesses.
Openreach is in the middle of a major planned technology
infrastructure build to create a high speed fibre network Specific issues – cardiovascular risk and engagement.
which will provide super fast broadband to most of Great National Grid has developed and implemented an
Britain. This has led to a phenomenal pace of change in engaging, multi layered approach to helping employees
ways of working which runs the risk of increased levels understand and address some of their cardiovascular risks
of employee stress. by implementing a range of assessments, wellness kiosks,
activity programmes, educational material and workshops
Rationale as part of its developing wellbeing strategy.
BT has developed an integrated approach to wellbeing
that links health and safety with managing change well Rationale
and protecting mental health. An integral part of that has Cardiovascular disease, including heart attacks and stroke
been the development of a mental health toolkit to provide is the biggest killer in the UK. There are many lifestyle
practical support in the prevention, early intervention and factors that can impact upon an individual’s risks and this
rehabilitation of employees. Openreach has tailored the provided a strong platform for National Grid to engage all
toolkit to meet its own specific needs and has incorporated its workforce, allow employees to take responsibility for
it into its management of change. their health and capture a number of individual programmes,
(e.g. weight, activity, smoking cessation, blood pressure,
Management focus and metrics cholesterol, etc.) under one strategic health issue.
Openreach measures change management capability
through annual and quarterly satisfaction surveys which Reporting frequency
are completed by around 60 per cent of staff. Emotional Each participating employee has an individual report on
resilience is measured through both these surveys by risk level, biometric data and improvement options / further
the level of sickness absence and the number of bullying specific support. Engagement levels are reported to the
and harassment instances and the number of grievances lines of business every six months. Outputs from individual
brought by employees. Figures are broken down by region programmes like our Shape Up National Grid activity
and managers focus on identifying the areas of the business campaign are reported at their conclusions. A broad account
where employees are impacted the most and tackle this of activity, participation, impact and investment is made
by a range of measures including the mental health toolkit. to our Executive on an annual basis and within our Annual
Reports and Accounts, and Corporate Responsibility Report.
Reporting frequency
Monthly figures are available on absence and grievance. Lessons learned
Quarterly reports provide detail on employee engagement Engaging a workforce on a well designed cardiovascular
and are published internally for managers at a unit level. management programme as part of an integrated wellbeing
campaign provides the basis for employees to understand
Lessons learned their basic health numbers (blood pressure, cholesterol,
Openreach often has to go beyond the metrics to get the weight etc.) to which small adjustments to their lifestyle (diet,
insight. Its employee survey asks specific questions such activity level etc.) can have significant impact upon their
as “does my manager do a good job in explaining reasons quality of life and performance, both at home and at work.
behind major decisions.” A manager’s role is to help their
staff cope with change and mitigate its effect. If change
isn’t managed sickness rates go up.

The pace of change in society is accelerating and that is Cardiovascular disease is a major course of ill health
particularly evident in the business world. Telecommunications in the UK. National Grid recognises the beneficial effects of
is widely regarded as being at the forefront of technological investing in health interventions including cardiovascular risk
and commercial change which brings pressures on all working assessments, and campaigns that encourage positive lifestyle
in the sector. Creating a comprehensive mental health change, and is committed to helping employees improve their
framework to prevent problems as far as possible and health and wellbeing.
to support people who do become unwell has been a key Dr. James Mackie, Company Medical Adviser, National Grid
element in BT’s successful transformation.
Dr Paul Litchfield, Chief Medical Officer, BT Group

BITC Public Reporting Guidelines 23


BETTER physical and psychological health – case studies

mature LEVEL

anglo american
Anglo American is one of the world’s largest mining
companies. Its South Africa mining operation, Anglo
Platinum, employs 54,000 people, 34,000 of them
working underground.
Specific issue – workplace design and health and safety
Anglo Platinum is committed to building a safer working
environment and reducing the accident and fatality rate
for mine workers.
Rationale
The company is investing £60 million a year on stabilising
mine roofs with rock anchors, increasing headroom and
containing rock falls caused by blasting with strong cargo
net fixed overhead. The net is capable of holding 2-5 tonnes
of loose rock. Anglo Platinum is investing heavily in replacing
pneumatic drills with much quieter electric drills.
Management focus and metrics
Mining is inherently dangerous. Anglo Platinum’s licence
to operate depends on a commitment to health and safety.
Investment in safety has reduced the fatality rate to .058
deaths per million shifts, half of the industry average.
Reporting frequency
Safety reporting is done on a daily basis internally. Injury
and fatality rates are reported as rates and as absolute
numbers. They are included in the company’s annual report
as injuries per 200,000 man hours.
Lessons learned
Safety first is a core company value. Improvements to safety
and the environment are comprehensive and integrated.

Safety is and will always remain our number one priority.


I believe that zero harm is achievable. I am absolutely
committed to achieving this and I expect everyone to share
that commitment.
Cynthia Carroll, CEO, Anglo American

24 BITC Public Reporting Guidelines


Working well (central segment)

Position employee wellness and engagement as a boardroom issue.


Wellness is comprised of the mutually supportive relationship between the
physical, psychological and social health of the individual. (Towers Watson)

Engaged employees work with passion, commitment and trust to drive and
sustain their flourishing organisation. (BITC)

Engagement combined with wellness enables sustained employee performance.

Characteristics of a company that is working well include:


• Employees feel trusted and that their work is valued and makes a difference.
• Employees believe their views are respected and considered.
• A proactive approach to employee physical, psychological and social wellbeing.
• Customers and business partners proactively want to work with the company
and its employees.
• Employee and company aims and objectives are aligned in a way that generates
win-win for both parties.

LEVEL Input characteristics Output characteristics Metrics


The company demonstrates: The workforce / organisation (Mix of management,
demonstrates: impact KPIs)*
ENTRY Recognition of the link between A culture that values having Staff turnover as a spot rate.
employee engagement a happy, healthy and engaged
and wellness to business workforce in terms of the
performance. benefits to the business.
External awards.

Intermediate Invests material resources, Board level director can Staff turnover as a trend
meaningful time and speak competently and over time.
commitment to the provide evidence to illustrate
implementation of employee how employee practices are
wellness and engagement impacting on achievement of
efforts. business objectives.
Plans developed for achieving Innovative collaborations Impact assessment of
business objectives require the and partnerships with other programmes conducted to
need to take HCM practices parties to develop thinking demonstrate effectiveness
into account. and implementation of best and, where possible, return
practice. on investment.

Mature Addressing the challenges of Board level directors Staff turnover as a trend over
presenteeism and resilience proactively communicate time, differentiating between
within its HCM policies. on such issues with external category of leaver.
stakeholders such as investors.
Employees regularly and Employment equity (gender,
proactively engage with ethnicity, sexual orientation,
management and external disability, age, etc) at multiple
stakeholders in a constructive organisational levels.
and positive way.
Company demonstrates
ability to quickly and easily
adapt and evolve working
practices in light of changing
business needs and operating
environment.

* Note: Only additional metrics (to the Entry Level) are listed for each progressive evolutionary level.

BITC Public Reporting Guidelines 25


7. Metrics Framework Definitions

The following section gives some examples of how to specific companies and specific industry sectors,
the metrics included in the Company Public Reporting and equally valid methods for expressing the metrics
Framework might be calculated by large companies. included in the Framework. Of course, it is important
These are not intended to be definitive, rather they for companies to explain the basis of their calculations
are suggestions which some companies may wish to so that investors can accurately interpret the data
adopt. There may be equally valid metrics relevant included in public reporting.

BETTER WORK
Results of annual job satisfaction or engagement Calculation
survey (Entry)
Employee opinion survey conducted annually and gauging Number of PiP responding positively x 100
the proportion of People in Post (PiP) satisfied with the
company, their job and wanting to stay. Number of PiP responding to survey

Trend results of annual engagement survey Calculation


and intermediate pulse surveys (Intermediate)
Staff engagement as measured by a standardised question EEI shown as a mean response on a 1-5 scale
set, administered at least annually to the whole workforce and reported over (minimum) of 3 years.
and supplemented by intermediate sample surveys, to
construct an Employee Engagement Index (EEI) reported
over multiple years.
Trend for engagement aligned to the strategic Calculation
goals of the company as measured through
multiple channels at least quarterly (Mature)
Staff engagement dashboard measured by standardised Composite dashboard of EEI, Wellbeing, Performance
question sets, administered quarterly to the whole workforce Support and Confidence in Leaders shown as a mean
and / or representative samples, to gauge Employee response with confidence intervals on a 1-5 scale and
Engagement Index (EEI), Wellbeing Index, Performance reported over (minimum) of 3 years.
Support Index and Confidence in senior leader decisions
and direction and reported over multiple years.
Company funded training time per person (Entry) Calculation:
Internal and external training funded by the company Total training days completed during year
expressed as days per People in Post (PiP) per year.
Average PiP for the year
Length of tenure of staff (Entry) Calculation:
Staff retention shown as length of service in proportion to Average length of service shown by 10 year age bands.
the demographics of the workforce and expressed as average
tenure by age band.

Proportion of senior positions filled by internal Calculation:


applicants (Intermediate)
Internal appointments to senior positions expressed as Posts filled by internal candidates per year x 100
percentage of vacant executive level posts filled by internal
candidates per year. Vacant executive level posts in same period

26 BITC Public Reporting Guidelines


Better Relationships
Proportion of workforce with flexible working Calculation
arrangements (Entry)
Number of staff per year with agreed flexibility PiP with flexibility arrangements x 100
in work location and / or working hours expressed
as a percentage of the total People in Post (PiP). Total PiP at same point in time

Proportion of requests for flexible working Calculation


accepted (Intermediate)
The number of flexible working requests acceded to Number of flexible working requests
expressed as a percentage of the number of requests made. accepted per year x 100
Number of people making a request
for flexible working per year
Proportion of women returning after maternity Calculation
leave (Entry)
Number of women per year returning to employment Women returning from maternity leave per year x 100
for at least 12 months on completion of their agreed spell
of maternity leave (including adoption) expressed as a Women taking maternity leave in the same period
percentage of all women taking maternity leave in the
same period.
Proportion of take-up of paternity leave (Entry) Calculation
Number of men per year taking up their full allowance Men taking paternity leave per year x 100
of paternity leave (including adoption) expressed as a
percentage of all men entitled to paternity leave in the Men entitled to take paternity leave
same period. in the same period

Proportion of entitled staff taking up maternity Calculation


leave sharing arrangements (Mature)
Number of people who take up their entitlement to share Number of people sharing maternity leave
maternity leave expressed as a percentage of people entitled per year x 100
to make such an arrangement.
Number of people entitled to share maternity
leave per year
Grievance cases as a spot rate (Entry) Calculation
Number of people raising a formal grievance in the year Number of people raising a formal grievance x 100
expressed as percentage of People in Post (PiP).
Average PiP for the year

Trend data for grievances upheld (Intermediate) Calculation Over (minimum) of 3 years
Number of people whose formal grievance is upheld Grievance cases upheld per year x 100
expressed as a percentage of the total number of people
raising a grievance per year reported over multiple years. Grievance cases raised per year

Volunteering commitment (Intermediate) Calculation


Volunteering undertaken in paid company time expressed Volunteering days completed during year
as days per average number of Full Time Equivalent staff
(FTE) per year Average FTE for the year

Performance trend in external surveys of employee Calculation


engagement (Mature)
Participation in external benchmarks and / or surveys Trend data showing ranking in external benchmarks
for high performing companies (e.g. Great Places to Work, or surveys of employee engagement reported over
Gallup G12, Towers Watson, etc) demonstrating improving (minimum) 3 years.
and / or sustained performance with external recognition
(e.g. CIPD, CBI, Observer, etc).

BITC Public Reporting Guidelines 27


Better Specialist Support
Sickness absence as a spot rate (Entry) Calculation
Number of days lost per year due to sickness Working days lost to sickness per year x 100
absence expressed as the percentage of the working days*
available for the population in that period. Working days available in the same year

*Organisations that measure calendar days rather than working days can convert the rate as follows – exclude from the
denominator average leave entitlement, public holidays and other non work days (e.g. weekends) for the whole population
being measured.
Sickness absence as a trend over time (Intermediate) Calculation Over (minimum) of 3 years
Number of days lost per year due to sickness absence Working days lost to sickness per year x 100
expressed as the percentage of the working days available
for the population in that period showing retrospective data Working days available in the same year
for multiple years.
Sickness absence trends broken down by major causes Calculation Over (minimum) of 3 years
and benchmarked against relevant indices (Mature)
Number of days lost per year due to sickness absence Working days lost per year by disease category* x 100
expressed as the percentage of the working days available
for the population in that period showing retrospective data Working days available in the same year
for multiple years. Data to be broken down by major disease
categories aligned to a recognised classification system *A subdivision of this data into work related and non work
(e.g. ICD 10) and benchmarked against published sources of related time lost is desirable where “work relatedness”
information (e.g. CIPD, HSE, CBI, etc). Main categories are is determined by an objective observer (e.g. occupational
likely to include musculoskeletal disorders and mental health physician) against predetermined inclusion criteria.
problems; differentiating between work related and non work
related absences is desirable.
Uptake / utilisation rate for occupational health Calculation
service (Entry)
Number of personal cases dealt with by the occupational Completed OHS referrals* per year x 1,000
health service in providing support to the company and the
workforce expressed as completed referrals per 1,000 People Average PiP for the year
in Post (PiP) per year. *A subdivision of this data into self referral, management
referral and occupational risk related health surveillance
would raise the maturity level to Intermediate (I)
Uptake / utilisation rate for Employee Assistance Calculation
Programme (EAP) and related schemes (Intermediate)
Number of personal cases dealt with by the Employee Completed EAP cases per year x 1,000
Assistance Programme, or equivalent, in providing support
to the workforce expressed as completed cases per 1,000 Average PiP for the year
People in Post (PiP) per year.
Duration of extended absences (Intermediate) Calculation Over (minimum) of 3 years
The average duration of spells of absence lasting more Working days lost to spells of sickness lasting
than one month for people returning to work expressed xxxxxxxxxxxxxxx over one month per yearxxxxxxxxxxxxxx
as days absence and shown as a trend over multiple years.
Spells of sickness absence of over one month in the same year
Rate of rehabilitation into their own job for workers Calculation
absent for an extended period (Mature)
Proportion of workers per year who have been absent through Workers returning to own job after extended
illness or injury for more than 3 months that return to work xxxxxxxxxxxxxabsence per year x 100xxxxxxxxxxxxx
in their substantive post and remain employed for at least 12
months expressed as a percentage of all closed* absences All extended absence cases closed* in the same period
exceeding 3 months. *Closure includes redeployment, termination, retirement, etc.
Customer satisfaction of employees making use Calculation
of services provided (Mature)
Satisfaction of employees using support services with the Number of service users rating services “good”
resource provided by the employer expressed as a percentage xxxxxxxxxxxor above per year x 100xxxxxxxxxxx
of those rating services “good” or better in a representative
customer satisfaction survey against the total number of Number of service users responding to the survey
those responding to the survey. in the same period

28 BITC Public Reporting Guidelines


Better Physical & Psychological Health
Statutory health and safety reporting (Entry) Calculation
Level of health and safety incidents which are reportable by RIDDOR reports per year x 1,000,000
statute (e.g. those defined under the Reporting of Injuries,
Diseases and Dangerous Occurrences Regulations [RIDDOR]) Total hours worked* in the same period
per year expressed as a rate per million working hours and
benchmarked against sector performance. *Total hours worked can be measured directly from
timesheets or a standard conversion factor per FTE can
be used based on the anticipated number of working days
multiplied by the standard daily hours. Where available,
overtime hours should be included in the calculation.
Trend health and safety data (Intermediate) Calculation Over (minimum) of 3 years
The trend for all lost time health and safety incidents (LTI) xxxxxxLTI per year x 1,000,000xxxxxx
expressed as a rate per million working hours showing
retrospective data for multiple years and benchmarked Total hours worked in the same period
against all industry performance.
Trend health and safety data aligned to strategic Calculation Over (minimum) of 3 years
commitments and measured through multiple
channels (Mature)
A dashboard showing the trend for all incidents (including Incidents / Near Misses / Vehicle Accidents per year
near misses and motor accidents) broken down by type (e.g. xxxxxxxxxxxxxxxxxx 1,000,000xxxxxxxxxxxxxxxxx
slips / trips / falls, work at height, struck by moving object,
etc), benchmarked externally against high performers, Total hours worked / miles driven in same period
targeted for improvement and reported over multiple years.
Workforce demographics marking health status Calculation
(Entry)
Self reported data showing the prevalence of behaviours Number of Smokers, Obese*, etc (x 100)
(e.g. smoking, alcohol consumption, exercise levels) and
anthropomorphic characteristics (e.g. Body Mass Index Total PiP at same point in time
(BMI), waist size, etc) known to influence health outcomes
expressed as a percentage of the People in Post (PiP) at *Obesity classed as having a BMI in excess of 30
the time of the survey.
Trend in workforce demographics marking health Calculation Over (minimum) of 3 years
status (Intermediate)
Description of workplace health promotion programmes with [Number of Smokers, Obese, Stressed*, etc] x 100
participation rates and evaluation including the impact on self
reported health physical and psychological factors expressed Total PiP at same point in time
as rates measured over time. *Stress as a self reported description
Trend in objective measures of health and wellbeing Calculation Over (minimum) of 3 years
(Mature)
Description of workplace health promotion programmes [Number with elevated BP, cholesterol,
with participation rates and evaluation including the impact glucose, impaired mental health**] x 100
on objective measures gathered through activities such as
health screening and expressed as a dashboard of established Total PiP at same point in time
risk factors* (e.g. blood pressure (BP), cholesterol, glucose,
impaired mental health**, etc) measured over time. **Impaired mental health assessed using a validated
psychological tool (e.g. GHQ, PHQ9, etc) and graded
*Risk factors may be consolidated into a single Health Risk according to established cut off points.
Assessment score provided the methodology is a valid
instrument subject to peer review and benchmarkable.

BITC Public Reporting Guidelines 29


working well
Staff turnover as a spot rate (Entry) Calculation
Annual turnover of staff expressed as percentage of Number of leavers during year x 100
People in Post (PiP) leaving the business in a year.
PiP at start of year

Staff turnover as a trend over time (Intermediate) Calculation Over (minimum) of 3 years
Annual turnover of staff expressed as percentage of Number of leavers during year x 100
People in Post (PiP) leaving the business in a year showing
retrospective data for multiple years. PiP at start of year

Staff turnover as a trend over time, differentiating Calculation Over (minimum) of 3 years
between category of leaver (Mature)
Annual turnover of staff expressed as percentage of Number of leavers during year x 100
People in Post (PiP) leaving the business in a year showing x(wanted and unwanted attrition)xx
retrospective data for multiple years and differentiating
between wanted and unwanted attrition. PiP at start of year

External awards (Entry) Calculation


The success rate in achieving external recognition by Number of awards gained per year x 100
external bodies for health, safety and wellbeing expressed
as a percentage of the number of awards gained against Number of awards entered per year
those entered (must be accompanied by a narrative to
explain the context of the programme and the achievement
highlighted by the awarding body).
Impact assessment of programmes (Intermediate) Calculation
The impact of programmes to improve health, safety [Pre-programme measure – Post-programme
and wellbeing as assessed by pre and post programme xxxxxxxxxxxxxxmeasure] x 100xxxxxxxxxxxx
measurement of key attributes as expressed by a percentage
change. The impact may be on health measures (such as Pre-programme measure
smoking status), performance measures (such as productivity)
or financial measures; reporting of the last can be adjusted to
show a return on investment for the programme.
Employment equity (gender, ethnicity, sexual Calculation Over (minimum) of 3 years
orientation, disability, age, etc) at multiple
organisational levels (Mature)
The proportion of potentially disadvantaged groups employed Number of people in equity group x 100
by the company as expressed as a percentage rate of people in
post (PiP) at multiple levels of seniority within the organisation Total PiP at same point in time
measured over time.

30 BITC Public Reporting Guidelines


8. Employee Narrative Reporting

Why the narrative is as important Or to take another example: CIPD research into
as the numbers employee absence levels showed that average
CIPD research shows that investors are interested in employee absence levels across the UK dipped
human capital management (HCM) information if it significantly during the recession of 2008 as
is rooted in a business context. We agree. Context is heightened employee concern over job security had
critical in terms of explaining the company’s current the effect of improving attendance. Any business
operating environment as well as the challenges it reporting on absence levels would have needed to
faces and the drivers of performance – past, current, reference this wider trend in relation to what had
and future. happened within the organisation in order to provide
context and meaning for its reported employee
Context provides a perspective in which to interpret absence rates.
the data and evaluate management effectiveness.
It also impacts on the appropriateness of different The narrative should put HCM metrics in the
approaches at different times. This means that the context of:
narrative accompanying any published HCM measures • Trend data
or metrics is arguably as important as the numbers • Benchmarking data with organisations of
themselves. same size / sector
• National / local statistics on:
Human capital management is interested in – Employee absence / causes of absence
data which provides useful benchmarking with – Wage settlement data
organisations within the same sector and of – Employment relations – increase or decrease
comparable size as well as trend data which in working days lost to strike action
tracks changes within an organisation over time. – Employment tribunal numbers

How this data is interpreted depends on many factors. Where organisations operate internationally they
The state of the labour market, wage settlements, will also need to provide national comparisons on
inflation, the extent to which people feel secure in their key data in the different countries they operate in
jobs and the state of the jobs market will all have an order to provide insight into the performance of
impact on employee relations, absence levels, turnover very diverse business units.
and numbers of disciplinary and grievance cases.
It will also be important to provide information on
This is why narrative reporting is as important as the political and regulatory landscape within different
numbers. Telling a story is a way companies can share countries as this will have a significant impact. The
their interpretation of the data with their investors. variety in different employee relations landscapes
A clear narrative sets the scene in terms of where and legal frameworks across the different countries
the company has been and where it is heading. a business might operate in means that the narrative
Some metrics will be more important at different times is critical in making sense of the numbers. Legal
in specific instances e.g. within some financial services requirements can also interfere with consistent
organisation issues of leadership and staff morale reporting: for example, reporting on age profile is
have come more into focus following the financial difficult in the US because of discrimination laws.
crisis. Narrative reporting should reflect that.
Ben Willmott, Employee Relations Adviser, Chartered
Disaggregating the raw data by business units or Institute of Personnel and Development (CIPD)
sub groups of employees, companies can shed light
on how they are addressing key issues. For example, CIPD is a strategic partner of the BITC Workwell
figures on short-term tenure rates among high Campaign, and member of the Steering Group for
potential staff, can be used to construct a narrative BITC Public Reporting Guidelines.
that shows the organisation is focusing on talent
management as a priority.

BITC Public Reporting Guidelines 31


Ongoing challenges of employee
wellness and engagement reporting
Employee wellness and engagement reporting, and
HCM reporting more broadly, is part of an iterative
process and will constantly evolve. As expectations
and practices of companies advance, what today is
regarded as intermediate level reporting metrics, may
soon be regarded as entry level. New aspirations will
be set for what a mature reporting model looks like.

Because of the evolving nature of reporting, this poses


a potential barrier for widespread benchmarking.
As measurement becomes more sophisticated, issues,
such as resilience and presenteeism, could become key
metrics. Therefore, BITC Public Reporting Guidelines
will be reviewed and updated accordingly.

Another challenge, but also an opportunity, is for


companies to demonstrably illustrate how their
efforts are impacting on financial performance.
Demonstrating the ‘business case’ is not straight
forward, and finding the appropriate corresponding
‘proxy’ metrics can be difficult. However, companies
should continue to explore this as the ability to show
a win-win in terms of employee satisfaction and strong
business performance is worth working towards.

32 BITC Public Reporting Guidelines


9. Other Useful Resources

Online resources, reports and indices on employee Building the Case for Wellness
wellness, sustainability and ROI. Those listed are DWP / PricewaterhouseCoopers (February 2008)
just an illustration and not intended to be an
exhaustive one. www.dwp.gov.uk/docs/hwwb-dwp-wellness-report-
public.pdf
BITC Workwell Campaign Resources A systematic review of relevant UK case studies
BITC Workwell Model, available at: provided by the Health Work Wellbeing Executive.
www.bitc.org.uk/health Key costs and benefits associated with wellness
programmes and interventions. Identification of
Managing Emotional Wellbeing – Building
trends and best practice, including a tool on return
Team Resilience, available at:
on investment from wellness programmes.
www.managingemployeewellbeing.com/bitc
HWWB’s Workplace Wellbeing Tool is a free resource
Other topic specific toolkits:
designed to help you understand the specific health
• Emotional Resilience
and wellbeing issues within your organisation.
• Healthy Eating
• Physical Activity Toolkit www.businesslink.gov.uk/bdotg/action/detail?itemId=
• Skills Health and Wellbeing 1084516235&type=PIP&furlname=wwt&furlparam=w
• Working Joints and Muscles Toolkit wt&ref=&domain=www.businesslink.gov.uk
• Healthy People = Healthy Profits
Does the Stock Market Fully Value
All toolkits are free to download online at: Intangibles? Employee Satisfaction
www.bitc.org.uk/workplace/health_and_wellbeing/ and Equity Prices
health_and_wellbeing.html Alex Edmans, Wharton School, University of
FTSE 100 Public Reporting on Employee Pennsylvania: (December 2007, and forthcoming
Wellness & Engagement, Ipsos MORI Research follow up analysis in the Journal of Financial
Economics)
Findings March 2011
Available at: www.bitc.org.uk/workplace/health_and_ http://papers.ssrn.com/sol3/papers.cfm?abstract_
wellbeing/health_and_wellbeing.html id=985735
Chartered Institute of Personnel and The 2007 paper analyses the relationship between
Development (CIPD) employee satisfaction and long-term stock
CIPD has an extensive range of research, practical performance, based on data associated with the ‘Best
tools, information pages and guides on Human Capital Companies to Work For’ as defined by the Great Place
Management. These can be found on the CIPD website to Work Institute data to 2005. Concludes employee
by searching for ‘Human Capital Management.’ satisfaction may improve corporate performance, that
stock markets do not fully value intangibles, and that
Available at: www.cipd.co.uk SRI screens need not reduce investment returns.
Accounting for people: report of the Task The 2010 updated analysis (data to 2009) strengthens
Force on Human Capital Management the idea that employee satisfaction appears to be “an
Task Force on Human Capital Management SRI screen that can improve returns.”
(October 2003)
Dow Jones Sustainability Index
http://webarchive.nationalarchives.gov. www.sustainability-indexes.com/
uk/20080726222840/http://www.berr.gov.uk/files/
file38839.pdf The first global index designed to track the financial
performance of leading sustainability driven
The Taskforce was set up in January 2003 by the UK companies worldwide.
government to review the metrics currently used to
assess investment in human capital, consider best FTSE4Good Index Series
practice in HCM reporting and performance measures www.ftse.com/indices/FTSE4Good-index-series
that would be useful for stakeholders, and promote The FTSE4Good Index Series has been designed to
the business case for reporting. objectively measure the performance of companies
that meet globally recognised corporate social
responsibility standards.

BITC Public Reporting Guidelines 33


Human Capital Management – an analysis that practitioners might consider taking to improve the
of Disclosure in UK Reports quality and usability of their human capital information
ACCA, CIPD (2009) for external stakeholders, and ensure they can report
the kind of information investors might find useful in
www.accaglobal.com/pubs/general/activities/library/ their decision-making about future organisational
sustainability/sus_pubs/tech-tp-hcm.pdf performance.
This report, which has been produced in partnership Workplace Wellness Alliance
between ACCA and CIPD, looks at the role of human World Economic Forum
capital reporting in sustainability reports and the
extent to which sustainability reporting recognises the www.weforum.org/issues/workplace-wellness-alliance
impact of people as drivers of sustainable performance. The World Economic Forum recognises health as an
Tomorrow’s Global Talent: a new talent important part of long-term economic development
and engages its members and other stakeholders to
agenda for the UK
advocate health as an investment.
Global Talent: how will leading global companies
create value through people? The Financial Impact of Corporate Health
Tomorrow’s Company (February 2009, February 2010) results from the USA
Medstat Group Inc.
www.forceforgood.com/Uploaded_Content/
tool/2842009134430515.pdf www.enterprise-for-health.org/fileadmin/texte/Ron_
Goetzel_BM_BusinessCase_10-29-01.pdf
www.forceforgood.com/Uploaded_Content/
tool/2222010152042737.pdf This presentation covers making the business case for
health. It includes a report of The European Network
The global report states talent has never been more of Enterprise for Health October 2001.
important. It looks at who has it, where it is, how it
can be harnessed and engaged. It asserts that a new Healthways
mindset must recognise that we all have talent, and www.healthways.com/solution/default.aspx?id=539
that talent is not just about the ‘top’ tiers. Hosts webinars on a wide range of health improvement
The UK report sets out what the changing pace topics including return on investment for employee
of change, and the ‘globalisation of value creation wellness.
and talent’ means for UK companies. It strongly
suggests that all remnants of a legacy based on the
The New Discipline of Workforce Wellness:
fortress mentality need to be dispelled, and replaced Enhancing Corporate Performance by
by a new and shared sense of common purpose. Tackling Chronic Disease.
www.bcg.ru/documents/file40624.pdf
View from the city: how can human capital
A report by Boston Consulting Group / World Economic
reporting inform investment decisions? Forum 2010
CIPD (2010)
HCM reporting – examples: Infosys and Deutsche
www.cipd.co.uk/hr-resources/research/human-
Telecoms
capital-management-inform-decisions.aspx
http://www.e-paper.telekom.com/hr-
CIPD commissioned Dr Zella King of Henley Business
report-2009-2010/
School to interview investors, senior HR practitioners
and representatives from the financial sector to www.infosys.com/sustainability/talent/Pages/index.
find out what sort of information they are looking aspx
for, what they find most useful and how they will
use the data available to them to inform decisions
about performance.
The report summarises both the key issues raised
by the research and the practitioners’ views and
responses. It also presents the CIPD view on human
capital reporting including recommendations for
government action. Finally it suggests some actions

34 BITC Public Reporting Guidelines


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