HR User Group - Wednesday 2 March 2016
Agenda
Introduction – Nigel Waugh, HR Director
HR Staff will then lead on the following items
HR Restructure Update – Nigel Waugh
SiP Review – Jon Everard, Director HR Systems Transformation Project & PECAPs
HR Systems Transformation Project Update – Jon Everard
Well-being - Karen Smith, Well-being Consultant, OHW
Pensions Reforms 2016 – Steven Cunningham-Sherret, Head of Pensions
DBS – Process & Responsibilities – Jon Everard
Staff Survey Update – Geoff Lang, Director HR Strategy & Planning
HR Restructure Update
Presentation to HR User Group
Nigel Waugh
Executive Director, HR
2 March 2016
Background
• Significant staff growth - insignificant growth in HR
resources
• Low level of investment in HR Information
Systems (HRIS) and a reluctance by customers to
use existing HRIS
• Pressure on the current structures that UCL
expects to deliver excellent HR services
• Concerns expressed by HR staff in Staff Survey
Constraints
• Constraints on staffing costs across UCL place a
limitation on growing HR staff resources
• Constraints on IT costs: we are unlikely to see
significant improvements in our HRIS for at least
two years
Opportunities
• Financial pressures are not yet acute
• Customers remain broadly happy with the
services we provide
• New UCL strategy, UCL2034, and a new
Professional Services Strategy
• New work location and ways of working
• Talented, committed and well-regarded group of
HR professionals
Challenge
• We needed to look at the manner in which we
provide HR services across UCL to improve the
availability and accessibility of HR advice and
services and workload in such an environment
• A unique opportunity to look at the structures
through which we deliver HR services to UCL and
to reform them, to improve the timeliness, quality
and effectiveness of our services and through
doing so improve customer satisfaction as well as
our own satisfaction with the services we provide
Former Structure
• Had evolved over time in response to
– Developments in management theory (e.g. the
adoption of the business partner model)
– Periodic budget contractions and (rare)
expansion
– IT systems development
– Significant growth in Departmental staff
undertaking HR duties
• No clear unified operating model
New operating model
• HR services re-organised in line with the services
we provide according to a logical and coherent
framework
• Recognises that our customer-driven, flexible and
responsive HR services are delivered at different
levels with the organisation
Our Services
Corporate HR Services
Relate to governance, strategic
policy setting, strategy and
representation of the university
as a whole, rather than its
constituent parts. The areas
where the University must speak
with one voice, to provide
corporate governance, broad
strategy and policy development,
institutional quality control,
identity through branding,
external representation and
compliance and accountability
requirements.
Our Services
Corporate HR Services
Advisory HR Services
Relate to governance, strategic
policy setting, strategy and
representation of the university
as a whole, rather than its
constituent parts. The areas
where the University must speak
with one voice, to provide
corporate governance, broad
strategy and policy development,
institutional quality control,
identity through branding,
external representation and
compliance and accountability
requirements.
Directly support a Faculty,
Department or Professional
Services Division.
Comprehensive ‘one stop shop’
would provide the full range of
HR services to their local
customers. Local HR services
would be provided, on the whole,
centrally for each School or
Professional Services Division.
Led by Principal HR Business
Partner who is responsible for the
delivery of HR Advisory Services
across the School or Division.
Our Services
Corporate HR Services
Advisory HR Services
Shared HR Services
Relate to governance, strategic
policy setting, strategy and
representation of the university
as a whole, rather than its
constituent parts. The areas
where the University must speak
with one voice, to provide
corporate governance, broad
strategy and policy development,
institutional quality control,
identity through branding,
external representation and
compliance and accountability
requirements.
Directly support a Faculty,
Department or Professional
Services Division.
Comprehensive ‘one stop shop’
would provide the full range of
HR services to their local
customers. Local HR services
would be provided centrally for
each School or Professional
Services Division. Led by
Principal HR Business Partner
who is responsible for the
delivery of HR Advisory services
across the School or Division.
Indirectly support all Faculties,
Departments and Professional
Services Divisions. Ideally
delivered by Schools but for
economic or consistency reasons
are best provided centrally on
behalf of all Faculties,
Departments and Professional
Services Divisions. For example,
payroll services, pensions
services, occupational health
services, contract administration,
recruitment advertising and
professional development
programmes.
How will this change improve HR services?
• Categorising HR services according to the type of
service they provide, and the customers those
services are provided to, will better improve the
focus and understanding of service delivery by
both HR staff and customers.
• It will provide a framework to document the
services we provide and develop service
catalogues which will outline the responsibilities of
the service provider and the customer and the
relevant service standards and the inputs required
from customers to meet them.
How will this change improve HR services?
• Customer satisfaction with HR services and the
quality of their delivery will be measured on a
combination of a formal annual consultation and at
point of delivery. This feedback will be used to
inform future structural, resourcing and
development needs. An improved understanding
of the services, processes and standards to which
we deliver them will improve customer satisfaction
as well, as our own satisfaction with the services
we provide.
When will this change happen?
• The structural changes took effect from 4th
January 2016.
• Staffing changes will be rolled out gradually over
the course of 2016.
• Plans to develop service catalogues, service
standards and charters in conjunction with
customers will also be released shortly.
How will the restructure affect me?
• May notice minor disruption to services as some
current HR staff transition to new roles.
• May also notice some new names and faces in
HR as recruitment is finalised.
• As the new structure is embedded over the course
of 2016, customers will experience an
improvement in service delivery as service
catalogues, service standards and charters are
developed in conjunction with them.
HR Restructure Update
Presentation to HR User Group
2 March 2016
HR User Group - Wednesday 2 March 2016
Agenda
Introduction – Nigel Waugh, HR Director
HR Staff will then lead on the following items
HR Restructure Update – Nigel Waugh
SiP Review – Jon Everard, Director HR Systems Transformation Project & PECAPs
HR Systems Transformation Project Update – Jon Everard
Well-being - Karen Smith, Well-being Consultant, OHW
Pensions Reforms 2016 – Steven Cunningham-Sherret, Head of Pensions
DBS – Process & Responsibilities – Jon Everard
Staff Survey Update – Geoff Lang, Director HR Strategy & Planning
Wellbeing Project Update
Presentation to HR User Group
Karen Smith
Wellbeing Consultant
UCL Occupational Health & Wellbeing, HR
2 March 2016
What is wellbeing?
• Its when we feel good, function well and have the tools and skills to
continue doing so.
• An organisation that values wellbeing creates an environment that
promotes a state of contentment which allows employees to flourish,
engage and achieve full potential.
• It includes good health promotion, supportive and positive working
environments, increasing the opportunity for physical activity,
improving mental wellness and education, lifestyle and health
education.
Why a strategy?
Valuing our staff is a key enabler to 2034 through
focusing on wellbeing UCL are demonstrating their
commitment
•
•
•
•
•
Shared ownership
Sharing the vision
Understanding what wellbeing is at UCL
Mapping our wellbeing journey
Checking that we are on the track
Wellbeing activity at UCL?
• School of Pharmacy – Wellbeing Day
• UCL Engineering – Wellbeing month
• Division of Biosciences – Wellbeing event planned
for April
• Faculty of Brain Sciences – Wellbeing programme
planned
Included within the strategy
•
•
•
•
•
•
•
•
Health Promotion programme
Self-help tools
Central online hub of wellbeing information
Health and wellbeing champions
Mental Health awareness/removing the stigma
Information on lifestyle choices/informed decisions
Opportunities for physical health – challenges
Creating a positive and working environment
Timeline
• April 2016 – Launch wellbeing Hub online
• May 2016 – Call out for wellbeing champions
• June/July 2016 – Launch the Strategy to UCL
The strategy then needs to be embedded
throughout UCL – this is the beginning.
A request…
What wellbeing initiatives would you like to see at
UCL, and how would they help?
Please email to karen.a.smith@ucl.ac.uk
HR User Group - Wednesday 2 March 2016
Agenda
Introduction – Nigel Waugh, HR Director
HR Staff will then lead on the following items
HR Restructure Update – Nigel Waugh
SiP Review – Jon Everard, Director HR Systems Transformation Project & PECAPs
HR Systems Transformation Project Update – Jon Everard
Well-being - Karen Smith, Well-being Consultant, OHW
Pensions Reforms 2016 – Steven Cunningham-Sherret, Head of Pensions
DBS – Process & Responsibilities – Jon Everard
Staff Survey Update – Geoff Lang, Director HR Strategy & Planning
Pension Reforms 2016
Steven Cunningham-Sherret
Head of Pensions
Universities Superannuation Scheme (USS)
• The salary link is severed for existing Final Salary members (increases
will be linked to USS increases)
• Contribution rate increases to 8% Employees and 18% Employers
• Retention of Final Salary Additional Voluntary Contributions (increases
will be linked to USS increases)
• Accrual rate changes from 80th to 75th
• An hybrid Defined Benefit/Defined Contribution arrangement will be
introduced from 1 October 2016 for members earning over £55,000
• 1% Defined Contribution employer match for Additional Voluntary
Contributions introduced from 1 October 2016
• Contributions to the Prudential cease from 1 October 2016
• Voluntary Salary Cap is introduced from 1 October 2016
• Scheme retirement aligned with state retirement age for service
accrued from 1 April 2016
Superannuation Arrangements for the
University of London (SAUL)
• All members change to a Career Average Revalued
Earnings (CARE) arrangement from 1 April 2016
• The salary link is severed for existing Final Salary
members (increases will be linked to SAUL increases
limited to 2.5%)
• Contribution rate remains at 6% for Employees and
increases to 16% for Employers
• Accrual rate changes from 80th to 75th
• Scheme retirement aligned with state retirement age for
service accrued from 1 April 2016
Lifetime Allowance (LTA) - HRMC
• The Lifetime Allowance reduces to £1 million from 6 April 2016
• All scheme members earning £75,000 and above have received a
communication from Pension Services re. the reduction.
• Options for Transitional Protection to up to £1.25 million will be
available (Individual Protection and Fixed Protection 2016)
• Individual Protection 2014 (protects up to £1.5 million) is available until
31 March 2017
• The HRMC will provide a facility for online protection applications in
July 2016 and members will be contacted when it is available
• Please refer any employee with concerns about their LTA status to HR
Pension Services.
• A charge of 55% on lump sums and 25% of pension applies to the
excess of LTA
Annual Allowance (Tapering)
• The Annual Allowance remains at £40,000 for the tax year 2016/2017
• Annual Allowance reduced by £1 for every £2 earned between
£150,000 and £210,000 (maximum reduction to £10,000)
• Threshold Income of £110,000 (including all taxable income from all
sources) will trigger an Adjusted Income calculation
• Adjusted income includes Threshold Income plus the growth of the
employer element of the annually accrued pension.
• Excess is charged at the highest rate of tax (45%)
• Implications for overseas recruitment of high earners
• Only form of mitigation is the Voluntary Salary Cap (USS only) from 1
October 2010.
Cessation of Contracted Out Earnings
• The New State Pension will replace the existing basic and second
state pension from 6 April 2016
• The new arrangement is set at a higher level for most people although
a reduction would apply to people who have been in contracted out
employment.
• This will end Contracting-out and the National Insurance rebate and all
scheme members will pay standard rate National Insurance
• There will be an National Insurance increase of 1.4% employee and
3.4% employers contributions on earnings between £676 & £3583
(£40.71 EES & £98.86 ERS)
• Further and more detailed information will be provided by HR Pension
Services to all employees this month
Impact on take home pay
March 2016
April 2016
Difference in monthly
take home pay
Pay
NI
Tax
Pension
Take home
NI #
Tax
Pension *
Take home
£25,000
133.78
215
125
£1,609.56
154.4
215
125
£1,588.93
-£20.63
£40,000
253.03
440
250
£2,390.31
287.4
436.67
266.67
£2,342.60
-£47.71
£50,000
309.73
658.58
312.5
£2,885.85
354.4
646.67
333.33
£2,832.27
-£53.58
£60,000
325.15
966.92
375
£3,332.94
369.73
953.33
400
£3,276.93
-£56.01
£80,000
355.98
1583.58
500
£4,227.10
400.4
1566.67
533.33
£4,166.27
-£60.83
£100,000
386.81
2587.06
625
£5,121.27
431.07
2180
666.67
£5,055.60
-£65.67
£100,000^
439.23
2200.25
625
£5,068.85
444.4
2180
666.67
£5,042.27
-£26.58
£150,000
463.9
3741.92
937.5
£7,356.69
507.73
3713.33
1000
£7,278.93
-£77.76
£300,000
695.15
8854
1875
£13,575.85
737.73
8794.17
2000
£13,468.10
-£107.75
* Pension contribution increases from 7.5 to 8% for USS
members & deducted on full pay until 30th September
2016 when contributions in excess of £55k go into a DC
arrangement. SAUL contribution remains the same.
Assumed pension is via salary sacrifice
# NI increase of 1.4% on pay
between £676 & £3583 pcm
Questions
HR User Group - Wednesday 2 March 2016
Agenda
Introduction – Nigel Waugh, HR Director
HR Staff will then lead on the following items
HR Restructure Update – Nigel Waugh
SiP Review – Jon Everard, Director HR Systems Transformation Project & PECAPs
HR Systems Transformation Project Update – Jon Everard
Well-being - Karen Smith, Well-being Consultant, OHW
Pensions Reforms 2016 – Steven Cunningham-Sherret, Head of Pensions
DBS – Process & Responsibilities – Jon Everard
Staff Survey Update – Geoff Lang, Director HR Strategy & Planning
Staff Survey Headlines
Presentation to HR User Group
Geoff Lang
Director, HR Strategy & Planning
2 March 2016
UCL Staff Survey 2015 – Headlines
2015
2013
Variance
• Overall Response
42%
57%
15%
• Engagement Index
72%
79%
7%
56%
N/A
• UCL 2034 Index
Most Positive responses
As long as I get my work done, I have a
choice deciding how I do my work
88%
I understand how my work contributes to
the objectives of my department/division
87%
I understand how my work contributes to
the success of UCL
84%
My work gives me a sense of personal accomplishment
84%
Least Positive responses
The grading review process at UCL is applied fairly
22%
I have a clear understanding of the 2034 strategy
and its impact on my department/division
29%
I believe that UCL gives sufficient priority to
Infrastructure and systems (i.e. enabling activity
through Estates, ISD, student services, etc.)
31%
Biggest Increases in Positive responses
2015
2013
% increase
My good performance is recognised
appropriately
47%
28%
19%
I feel my pay is fair in comparison to
people working in similar roles in
other organisations
44%
40%
4%
I believe poor performance is dealt
with effectively by my manager
where I work
48%
44%
4%
Biggest Decreases in Positive responses
2015
My last appraisal set work objectives
for the coming appraisal period and led
to me developing my skills to achieve 57%
them
2013
% decrease
70%
-13%
I believe I have the opportunity for
personal/career development and
growth at UCL
54%
67%
-13%
UCL acts in an environmentally
sustainable way
40%
53%
-13%
HR User Group Wednesday 2 March
Agenda
Introduction – Nigel Waugh, HR Director
HR Staff will then lead on the following items
HR Restructure Update – Nigel Waugh
SiP Review – Jon Everard, Director HR Systems Transformation Project & PECAPs
HR Systems Transformation Project Update – Jon Everard
Well-being - Karen Smith, Well-being Consultant, OHW
Pensions Reforms 2016 – Steven Cunningham-Sherret, Head of Pensions
DBS – Process & Responsibilities – Jon Everard
Staff Survey Update – Geoff Lang, Director HR Strategy & Planning