How Recent Legal Changes Will Impact Your Recruitment Strategy

April 2024 saw the implementation of new employment law here in the UK. The Government has enacted these amendments to coincide with post-pandemic working culture and to safeguard employee rights after the UK’s exit from European laws.?

The House of Commons summarises that the “new legislation has expanded rights for employees around flexible working, paid and unpaid leave, and protection for redundancy during parental leave.”??

But how do these legal changes impact accountancy firms?

In the tough economic landscape and the current skills shortage affecting the accountancy industry, it’s important for firms to take note of the new legislation and consider the ways it will impact their existing recruitment strategy. And that’s where Public Practice Recruitment Ltd can help!?

As the UK’s largest agency specialising exclusively in public practice recruitment, and with a proven track record that spans over two decades, our established market presence enables us to see how economic and societal dynamics impact recruitment.?

So, what does the change of employment law mean for your firm’s recruitment strategy? Is it time to switch up your approach and reassess your employee benefits? Is your current model potentially repelling top talent? ?

Today’s blog will outline the new legislation, how it may affect your business, and what your firm should be doing to capitalise on these laws to bolster your recruitment model.??

Flexible Working??

Previously, staff had to be employed for at least 26 weeks to request flexible working from their employer. But as of the 6th of April, staff can request flexible working regardless of their length of service.??

Rules on flexible working now include:?

• Employees can make two flexible working requests in a year (but only one at a time)?
• Employers have two months to respond to requests?
• Employers must speak with the employee if they decide to refuse a request??

The normalisation of flexible working in both a cultural and legislative way opens many exciting doors for firms who are looking to recruit. When advertising a new role, highlighting flexible working options will help you attract and appeal to a bigger talent pool, especially those who are looking for work-life balance (which, let’s face it, is most people!).?

But the benefits don’t end there. In fact, flexible working can be a win-win agreement for both candidate and employer. Your recruitment strategy should consider how roles can be effectively performed under various arrangements, including remote work, part-time hours, and job sharing.??

While we appreciate that in-office jobs are still necessary, being open-minded with your recruitment will ultimately help you find and retain the best talent for the job. The wider your scope, the better your chances of finding the right person!?

Minimum Wage Increase?

In April, the UK’s national living wage rose from ￡10.42 an hour to ￡11.44. While accountancy jobs aren’t typically remunerated on an hourly rate or considered to be low-income, it’s important for firms to acknowledge this pay increase when beginning the hiring process.?

The minimum wage increase responds to the Cost of Living Crisis that the UK is currently facing, and we believe this should prompt firms to revisit their salary brackets to ensure that their staff feel financially supported and rewarded for their hard work.??

Salary is a huge factor that candidates consider, and it can be a make-or-break factor in your recruitment strategy. If your salary offering is too low, you’ll be pushing away top talent, and potentially offending them in the process. If other firms are offering more money for the same job, candidates will be drawn to them instead. And if your firm gets a reputation for not paying your staff appropriately, your public image could be damaged – something that no firm wants.??

Make sure your firm is offering competitive salaries. Here’s how .?

Changes to Holiday Pay and Entitlement??

Employers will be able to determine holiday pay and entitlement for part-year and irregular hour workers (as specified by the Act) in two different methods going forward. These two new methods are as follows:?

• a new accrual-based approach to determining yearly leave that is based on 12.07 percent of hours worked during a pay period.?
• adding holiday pay to an employee's regular hourly wage and paying them when they work rather than on vacation is known as "rolled up" holiday pay.??

Firms that offer generous annual leave and holiday terms will enhance their attractiveness as employers. The current skills shortage within public practice has created high competition for talent. Firms are looking to fill roles with accountants who can offer highly sought-after experience and technical knowledge.??

Therefore, it’s crucial that your firm leverages important employee benefits, such as enhanced holiday pay and entitlement, to stand out in the crowded landscape. This will help you differentiate your firm from competitors, and appeal to the most credible candidates on the market. Positioning yourself as a person-led firm that values its staff is the best recruitment tool any business can have.

Did you know, peer-to-peer interviews are also a great way to bolster your recruitment, and allow candidates to interact with potential future colleagues in a setting that mirrors real work scenarios?

Better Support for Families??

Statutory paternity leave for employees whose estimated week of birthing falls after April 6, 2024, or whose anticipated date of adoption placement falls after April 6, 2024, has been given more flexibility. To sum up:??

• Within the first year following birth or adoption, leave may be taken at any time and in two distinct blocks of one week.?
• Workers must provide 28 days' notice in advance of their plan to take a leave of absence (or, in the event of an adoption, seven days' notice).??

Employees are still required to notify co-workers fifteen weeks in advance of the anticipated week of birth of their right to take absence.??

For existing or expecting parents, or those who plan on starting a family in the near future, the enhanced paternity leave is a positive step in the right direction. Your firm should be doing everything it can to support this new law by giving staff with children greater freedom with their time off work. If candidates can see that your firm is doing everything it can to support staff with children, they will perceive you as an employer of choice.?

Looking to realign your recruitment process and bridge the gap between candidate and manager ???

Wrapping Up??

The change in UK employment law isn’t just a positive thing for employees – it’s advantageous for firms, too. It offers the opportunity to stand out in the competitive market by providing better employee benefits that will ultimately attract the top talent. Firms that can adapt their recruitment strategy to support new legislation will improve their reputation as an employer of choice, which is exactly what your business needs to grow!?

However, recruitment is no easy feat. To find the right person for the role requires time, money, and energy. So why not outsource your hiring headaches to the professionals???

Here at Public Practice Recruitment Ltd, we make it our business to help yours. We partner with some of the leading accountancy firms around the country to connect them with the right candidate. Our speed to market, exclusive industry insights, and unmatched experience make us the recruitment partner of choice.???

Get in touch with our team today and talk us through how we can help you. We look forward to working with you!??