MBB SHIFT Report

SHIFT

Supporting Human Resources In Family-Friendly Training

SHIFT

Supporting Human Resources In Family-Friendly Training SHIFT - ‘Supporting Human Resources In Family-Friendly Training’ commenced as a Lifelong Learning, Leonardo (PLM) Programme in collaboration with AMU Nordjylland in Denmark and the Institut Technik und Bildung at the University of Bremen, Germany. The project sought to contribute towards enhancing expertise on innovative measures required within the Human Resources field. The Malta Business Bureau (MBB) intended to gather best practices from other European Union (EU) member states, considered to be leaders in this field in order to raise awareness about family-friendly measures and flexible work arrangements locally. The need to invest in such measures was also underscored by the HR committees of the Malta Chamber of Commerce, Enterprise and Industry and the Malta Hotels and Restaurants Association. The Europe 2020 Strategy highlights the importance of flexibility at the workplace, which is considered strategic to achieve smart, sustainable and inclusive growth within the European economy.

Flexible work arrangements are excellent means by which employees are given the opportunity to combine their professional and personal lives. They also create enhanced gender equality at the place of work. In the EU, this proactive vision is seen to promote and encourage people to re-enter into the labour force. This eventually results in an increase in production levels, birth rates and provides a stable financial security to families. The current low birth-rate can be bridged by encouraging more people to enter the labour market, particularly females, who are more inclined and socially induced to take up family responsibilities – the major reason which has led to the infamous gender gap between men and women. This was highlighted in the Lisbon Strategy and the Europe 2020 Strategy. Furthermore the EU recently proposed a Directive to introduce gender quotas in non-executive boards of publicly listed companies. In this socio-economic scenario the adoption of flexible working measures, most particularly by the private sector, is strategic for the development of the Maltese economy.

In light of this, the MBB has created the SHIFT project in order to support its members and local businesses manage a healthy workforce through the implementation of family friendly measures. Therefore this project was developed into three stages.

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The first phase provided 16 HR professionals with an opportunity to observe best practices related to flexible work and family friendly arrangements facilitated by two visits that were organised in Denmark and Germany.

Both EU member states are renowned for their advanced HR policies and both countries have an excellent reputation for adopting family-friendly measures and flexible work arrangements in the private sector. These visits increased the level of awareness on innovative methods in implementing such measures within the local private sector.

The SHIFT project provided the participants with greater awareness about the need to recognise the importance of family-friendly measures and flexible work arrangements Both delegations in Denmark and in Germany were led by SHIFT Project Manager Mariella Scicluna. All companies visited in Denmark have outstanding models of flexible business within the Danish flexicurity model, most of which have won the “Great Place to Work©” award for consecutive years. In Germany the companies were also very well established, and have advanced policies in this field, as well as form part of the ‘Success Factor Family’ network.

The SHIFT participants Norman Mifsud and Patrick Grixti, MSV Life; Mariella Borg Giuliano, Eveline Fenech, and Lacey Meli, Corinthia Hotels; Joanna Bartolo, Hilton Malta; David Vella, Intercontinental Malta; Nicholas Saliba, Hudson Holdings Ltd; Joe Scicluna, FXB Holdings Ltd; Ivan Refalo, Playmobil Malta Ltd; Ruth Farrugia, C. Fino + Sons Limited; Monica Incorvaja, Consolidated Biscuits Co. Ltd.; Lorraine Spiteri, Vista Coop; Joelene Schembri, Bank of Valletta p.l.c; Claire Blake, FIMBank p.l.c; Alexandra Agius, Studio Seven.

In Denmark the participants visited the LEGO Hotel & Conference Centre, the Royal Arctic Logistics, McDonald’s franchise of Aalborg & Aarhaus, Falck Denmark, and the Senior Service Centre. They all explained and gave concrete examples of the development of their policies to support the measures they have endorsed. During the second week, the participants visited the Trade Union 3F, one of Denmark’s largest trade unions and the Nature Agency. Here, the participants were able to continue enhancing their knowledge on the policies of work-life balance in Denmark and how these are translated into HR instruments. The participants also visited a prestigious accounting firm, BEIERHOLM, known for its efforts to ensure a balance between work and family commitments for all its employees. A lecture was also given at AMU Nordjylland (a vocational education and training centre in Denmark), where participants were able to understand the VET System in Denmark and how it supports the Danish flexicurity system.

In Germany, the participants visited the German Central Trade Union, the Central Chamber of Commerce, the Mercure Hotel Residenz, as well as the Berliner Stadtreinigungsbetriebe, which is a cleaning company for the commune of Berlin. A visit was also organised at the UfaFabrik, a centre for community development & citizens’ initiatives, which provided information on work-life balance by adopting family-friendly measures.

Professor Gesine Schwan, who is a political science professor and member of the Social Democratic Party of Germany, had a closed meeting with the participants and gave a stimulating lecture on this issue. During the second week, the participants had the opportunity to visit the network ‘Bremer Bündnis für Familie’ at the University of Bremen, which conduct studies to support family-friendly measures. Representatives of the ‘Das Entdeckerhaus’ informed participants on day care arrangements offered to employees. Visits were also held at the Department for Construction, Environment & Transport in Bremen, the Mercedes-Benz factory & Radio Bremen, where the participants gathered knowledge of different familyfriendly measures adopted, as well as how these entities manage the sustainability of these measures. A visit to the Bremen City Hall and Alfred August 2013 / Shift: Supporting Human Resources In Family-Friendly Training’ www.mbb.org.mt / Malta Business Bureau / 3

Wegener Polar Institute were also held where the group had the possibility to further discuss flexible work arrangements.

The SHIFT project provided the participants with greater awareness about the need to recognise the importance of family-friendly measures and flexible work arrangements in order to move towards the achievement of smart, sustainable and inclusive economic growth. Thanks these experiences in both Denmark and Germany, the participants were able to acquire better knowledge on how to implement innovative measures in their respective companies to achieve advanced and effective Human Resources policies.

Soon after the first visit in Denmark, the MBB noted the importance of this project and developed two other phases which were built upon the training experiences abroad. The second phase involved a study which the MBB carried out with the support of MISCO International. The study’s objective was to identify the current take-up of flexible work and familyfriendly measures by the local private sector and to analyse the obstacles private companies face to implement such measures. The research was carried out through the distribution of a questionnaire to members of the Malta Chamber of Commerce, Enterprise and Industry and of the Malta Hotels and Restaurant Association. A total of 74 respondents participated in this project.

During the second phase the MBB also organised a Master Class during the Annual Conference of the Foundation for Human Resources Development (FHRD) along with a number of HR related Workshops. During the Master Class, Mr Cæsar Szwebs, an expert from AMU Nordjylland, gave an overview of Denmark’s successful adoption of flexible work arrangements, and presented best practices of Danish companies. During his presentation he also highlighted how the adoption of such measures by the local private sector could help boost their human capital, contribute to a better work environment, and bring about an increased level of productivity. HR professionals attending the Master Class were given the chance to gather first-hand knowledge on such measures and were provided with specific examples as how to apply such practices within their specific sector.

On the other hand the Workshops focused on flexible work and family friendly measures in the Maltese private sector in order to better understand how an innovative and more competitive labour force in Malta can be developed through such initiatives. Feedback gathered during the workshops provided as a basis for the study on the current take up of flexible work and family friendly measures by the local industries. During the workshops, participants coming from a cross-section of the Maltese industry conferred the obstacles that companies face to implement such measures. Best practices of Maltese companies who already have implemented and started reaping the benefits of such measures at the place of work were also discussed. Moreover debates on what kind of internal measures can be adopted as well as the national policy framework required to make the implementation of such measures more feasible for business to adopt took place. Furthermore, Project Manager Mariella Scicluna held face to face meetings with other private companies in Malta to gather further information on how local businesses are embracing this notion and what their motivations to develop flexible work policies are.

The third phase comprises of the publication and dissemination of the results of the study.

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SHIFT: Best Practice

These are a number of best practices which were outlined throughout the lifetime of the project and through the research and the study carried out. These practices are ones which Maltese companies can easily relate to.

High level of Trust helps for things to fall into place more naturally thus creating the basis for a flexible yet secure environment First step towards flexibility is to be taken by the management and to act as role models Dialogue-based processes between management and employees, which are used to formulate action plans that are designed to increase employee job satisfaction Breaking Taboos – thinking outside the box to break free from stereotypes.

Temporary workers – break off the negative mentality about temporary workers which could provide a flexible solution for both the employer and the employee Constant communication between the employer and employees even during long periods of leave Consumerisation of IT for companies to be able to fully embrace flexibility, not just in working hours and conditions but as a whole concept for the company to become more competitive and efficient.

“Forward way thinking” in order to think ahead to reduce problems and problem solving Process reengineering in order to allow for increased efficiency and find inexpensive solutions to support such measures Individuality – each company has its own culture and environment thus policies on flexible work arrangements and family friendly measures are to be unique for each company August 2013 / Shift: Supporting Human Resources In Family-Friendly Training’ www.mbb.org.mt / Malta Business Bureau / 5

SHIFT: Key Research Results

MISCO International was commissioned by Malta Business Bureau to carry out market research on Flexible Work and Family Friendly Measures amongst Maltese businesses. The target respondents were company decision makers and HR professionals.

The research focused mainly on gaining insight on the following aspects: • • • • • •

Top of mind associations with flexible work & family friendly measures Current practices with reference to flexible work & family friendly measures Main benefits and difficulties associated with flexible work & family friendly measure Propensity to adopt flexible work & family friendly measures in the near future Flexible work & family friendly measures are mostly associated with ‘an opportunity to shift towards better work-life balance’ and ‘a possibility to retain trained staff’ The two most common measures in place are reduced hours and flexible hours

Associations with Flexible Work & Family Friendly Measures

Respondents were invited to indicate which words/phrases relating to flexible work & family friendly measures they felt described best their opinion on the matter, in order to gauge whether there was a generally positive or negative connotation tied to the topic. The top two associations were in fact two positive attributes: ‘an opportunity to shift towards better work-life balance’ and ‘a possibility to retain trained staff’ as illustrated in Table 1 below.

Table 1 – Associations with Flexible Work & Family Friendly Measures (top of mind and other mentions) Base: 74 respondents (all respondents)

1st Mention

2nd Mention

Total

An opportunity to shift towards better work life balance

32.4%

33.8%

66.2%

A possibility to retain trained staff

31.1%

32.4%

63.5%

Creates motivated staff

6.8%

35.1%

41.9%

An investment for better company operations

5.4%

21.6%

27.0%

A necessary change

5.4%

16.2%

21.6%

Overall great benefits for the company

9.5%

10.8%

20.3%

An issue which affects mostly women

5.4%

13.5%

18.9%

A point of resistance for certain members of management

1.4%

12.2%

13.6%

Costs

2.7%

6.8%

9.5%

An issue that is not presently a priority

-

8.1%

8.1%

An issue which affects only women

-

2.7%

2.7%

It can be noted that generally the positive attributes associated with concept of flexible work & family friendly measures overtook the negative/ inaccurate associations - in fact the negative/inaccurate attributes were found towards the bottom scores. These were ‘Costs’(9.5%), ‘An issue that is not presently a priority’ (8.1%) and ‘An issue which affects only women’ (2.7%) It is interesting to note that amongst Small Enterprises (10 to 49 employees) and Large Enterprises (250+ employees), there was a greater focus on the notion that flexible work and family friendly measures allows a shift to better work life balance (33.3% of businesses in the Small Business and 36.8% of the Large Business category replied this way). On the other hand, in the Medium Businesses 45.5% associated more with the possibility to retain trained staff.

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General attitudes relating to flexible work & family friendly measures Respondents were then presented with a list of statements relating to flexible work and family friendly measures and were asked to rate their scores on a scale of 1 to 4 where 1 indicates a low level of agreement and 4 indicates a high level of agreement. The following series of charts indicates the level of agreement on each of the statements presented.

The mean score on the statement ‘Flexible work and family-friendly measures is likely to be abused of by employees’ was of 2.1. It is worth mentioning that agreement to this statement was present mostly in the financial services, tourism and manufacturing sectors.

Chart 1 – Statement 1 - Flexible work and family-friendly measures is likely to be abused of by employees Base: 74 respondents (all respondents)

There was a general tendency to disagree with the statement ‘Flexible work and family-friendly measures need to be implemented mostly in companies having a majority of female workers.’ In fact the mean score was of 2.0 (out of 4 indicating the highest level of agreement).

Chart 2 – Statement 2 - Flexible work and family-friendly measures need to be implemented mostly in companies having a majority of female workers Base: 74 respondents (all respondents)

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Chart 5 – Statement 5 - The implementation of flexible work and family-friendly measures should be left entirely up to the individual organisations Base: 74 respondents (all respondents)

More than 4 out of every 5 businesses agreed that flexible work and familyfriendly measures should be implemented in such a way that it can cover a wide spectrum of personal and family situations and circumstances. The mean score for this statement was 3.2.

Chart 6 – Statement 6 - Flexible work and family-friendly measures should be implemented in such a way that it can cover a wide spectrum of personal and family situations and circumstances Base: 74 respondents (all respondents)

Respondents were presented with a different list of statements relating to flexible work and family friendly measures and were asked to rate their scores on a scale of 1 to 4 where 1 indicates a low level of agreement to the statement and 4 indicates a high level of agreement to the statement. Chart 7 below plots the mean scores on each of these statements. Respondents felt strongest about the training of managers on the use of flexible work and family friendly measures (96.0% of mentions).

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Chart 7 – Mean scores of statements relating to Flexible Work & Family Friendly Measures Base: 74 respondents (all respondents)

Current organisational practices of flexible work & family friendly measures Respondents were asked to identify which actual measures were in place in the organisation in which they operate. The two most common measures in place are reduced hours and flexible hours. Six respondents out of the 74 interviewed (8.1%) claimed there are no family friendly measures in place at the moment. Table 8 below illustrates all the responses mentioned.

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Chart 8 - Flexible Work & Family Friendly Measures Currently Implemented Base: 74 respondents (all respondents)

More than half of the respondents claimed that flexible work and family friendly measures are available to all members of staff (60.3% of mentions amongst those having implemented some form of flexible work or family friendly measure). Females were the segment of employees who were more likely to be offered flexible work conditions and family friendly measures (25.0% of mentions) and employees with young children/babies (23.5% of mentions). Chart 9 below indicates the responses to the question asking which category of employees were more likely to be offered flexible work and family friendly measures.

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Chart 9 – Categories of Employees Being Offered Flexible Work & Family Friendly Measures Base: 74 respondents (all respondents)

In all employee categories it is evident that most commonly up to 10% of the employees in that particular category avail themselves of flexible work and family friendly initiatives. The highest proportion of businesses stating that 61%+ of employees avail themselves of such measures, were amongst those offering such measures to all staff (17.1%).

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up to 10%

Chart 10 – Category of employees by proportion of take-up by employees in the organisation Base: various

11 to 20% 21 to 40% 41 to 60% 61% and over

N = indicates the number of organisations that provide flexible work and family friendly conditions by category presented

don’t know

all staff (n=41)

43.9%

non-managerial Employees (N=9)

88.9%

management level employees (n=8)

62.5%

employees on indefinite contracts (n=11)

81.8%

employees on definite contracts (n=5)

60.0%

part time employees (N=9)

66.7%

full time employees (N=12)

75.0%

employees with elderly parents (n=4)

50.0%

employees with children of any age (n=8)

75.0%

employees with young children/basis (n=16)

81.3%

6.3% 12.5%

females (n=17)

76.5%

11.8% 5.9% 5.9%

males (n=8)

62.5%

24.4%

4.9%

17.1%

9.8% 11.1%

12.5%

12.5%

12.5%

9.1% 9.1% 20.0% 11.1%

20.0% 22.2% 8.3% 8.3% 8.3%

25.0%

25.0% 12.5%

12.5%

12.5%

25.0%

Main benefits and difficulties associated with flexible work & family friendly measures Respondents were asked to point out the main improvements associated with the implementation of flexible work and family friendly measures.

Amongst the 68 businesses that had implemented some form of flexible and family friendly measures most reported benefits relating to higher levels of employee motivation and engagement and improved employee loyalty/ retention (26.5% of mentions).

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Table 2: Improvements associated with introducing flexible work/family friendly measures Base: 68 respondents (respondents who have flexible work/family friendly measures in their organisation)

Main Initiative

secondary Initiatives

Total

Improved employee loyalty/retention

26.50%

26.50%

53.00%

Higher levels of employee motivation and engagement

26.50%

11.80%

38.30%

Employees are more serene/less stressed

8.80%

22.10%

30.90%

Higher levels of employee satisfaction

7.40%

23.50%

30.90%

Less absenteeism

10.30%

17.60%

27.90%

Overall improvement in the working environment

2.90%

20.60%

23.50%

Don't know

2.90%

10.30%

13.20%

-

11.80%

11.80%

We have only recently implemented these measures and therefore it is still too early to tell

7.40%

-

7.40%

Other

2.90%

1.50%

4.40%

None

4.40%

11.80%

16.20%

Imroved employees mental health

Apart from identifying the main improvements associated with the implementation of flexible work and family friendly measures, respondents were also asked to highlight the main difficulties. A problem that received a total of 48.5% of mentions was the aspect relating to the inability to implement a uniform measure across the board and thus having to act on a case-by-case basis. A very positive point to note is that 17.6% of respondents claimed there were no main difficulties in implementing flexible work and family friendly measures and 26.5% who claimed that they experienced no other difficulty in the implementation process.

Table 3: Difficulties associated with introducing flexible work/family friendly measures Base: 68 respondents (respondents who have flexible work/family friendly measures in their organisation)

Main difficulty

other DIfficulties

Total

Unable to apply the measures across the board (applicable only on a case-by-case basis)

38.2%

10.3%

48.5%

None

17.6%

26.5%

44.1%

Difficulty to deal with the workload

13.2%

23.5%

36.7%

Resistance from top management

5.9%

5.9%

11.8%

Employees become uncommitted to their work/place of work

4.4%

7.4%

11.8%

Resistance of use from managers/supervisors

1.5%

8.8%

10.3%

Other

2.9%

5.9%

8.8%

High costs

4.4%

2.9%

7.3%

Higher absenteeism

2.9%

2.9%

5.8%

We have only recently implemented these measures and therefore it is still too early to tell

2.9%

-

2.9%

Don't know

5.9%

14.7%

20.6%

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There were 6 organisations that did not implement any flexible work and family friendly measures. Half of these respondents mentioned that they found resistance from senior management, whilst two respondents mentioned that they believed that they were unable to apply the measures across the board and thus they were afraid that this could cause friction amongst employees. Other reasons were mentioned but received one mention each.

Moreover, respondents were asked about the likelihood to implement any or any further flexible work and family friendly measures within approximately the next 5 years. The scenario in this field looks somewhat promising as 68.9% believed it was very/somewhat likely to implement new initiatives in this field.

Chart 11 – Likelihood to implement any/any further flexible work and family friendly measures in the near future Base: 74 respondents (all respondents)

Respondents were asked to provide reasons why they would or would not consider implementing any or any further flexible work or family friendly measures. The chart below presents the reasons provided by the respondents.

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Chart 12 – Reasons attributed to implementing or otherwise any/any further flexible work and family friendly measures in the near future Base: various

Very Likely to Implement Measures in the Future

Somewhat Likely to Implement Measures in the Future

Somewhat Unlikely to Implement Measures in the Future

Very Unlikely to Implement Measures in the Future

Overall improvement in the working environment

Improved employee loyalty/retention

Do not foresee the need to implement such measures

Do not foresee the need to implement such measures

Improved employee loyalty/retention Higher levels of employee motivation

Higher levels of employee satisfaction

Less absenteeism

Employees are more serene/less stressed

Higher levels of employee satisfaction

Overall improvement in the working environment

Higher levels of employee motivation

Employees are more serene/less stressed

Less absenteeism

No real improvements were noted

Insufficient human resources Fear to create friction due to inability to apply at all levels Employees are not likely to be able to deal with the workload with flexible arrangements High costs Resistance from senior management/ directors Already implemented all necessary measures

Insufficient human resources Fear to create friction due to inability to apply at all levels Employees are not likely to be able to deal with the workload with flexible arrangements High costs Resistance from senior management/ directors Already implemented all necessary measures

Respondents were asked what types of changes need to be affected within the organisation in order to create an environment that is ideal for the implementation of flexible work and family friendly measures. The top two inter-organisational changes were: To have acceptance coming from senior management/directors on the matter (36.5% of mentions), and create support structure to managers and supervisors (33.8% of mentions).

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Table 4: Intercompany changes required to be implemented to optimise the environment for the implementation of flexible work/family friendly measures Base: 74 respondents (all respondents)

Total

Acceptance coming from senior management/directors

36.5%

Create support structure to managers/supervisors

33.8%

Introduction and implementation of new policies

29.7%

Training managers on the use of flexible work & familyfriendly measures

29.7%

Increased monitoring of employee performance

28.4%

Flexible work & family-friendly measures should be applicable equally to all members of staff at all levels

27.0%

Acceptance coming from middle management/supervisors

23.0%

New schedules/rosters/opening hours

20.3%

Increased human resources

17.6%

Improved training resources

14.9%

Organisational structure

12.2%

It is worth mentioning that 3 businesses claimed they are not at all interested to implement flexible work and family friendly measures. A further 4 respondents claimed that they do not require any inter-company changes since they feel that the organisation is well geared to implement such measures.

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SHIFT

Supporting Human Resources In Family-Friendly Training Malta Office Cornerline, Dun Karm Street Birkirkara, Malta BKR9039 Tel: +00356 21 251719 info@mbb.org.mt Brussels Office Avenue d’Auderghem, 289 B-1040 Brussels, Belgium Tel:- 0032 485981124 Fax:- 0032 2 7360855 infobrussels@mbb.org.mt

Research conducted by MISCO: Malta’s leading knowledge-based independent consulting firm www.miscomalta.com

Designed by John Wilson Independent Studios Keeping it small lets us focus on thinking big www.johnwilson.com.mt

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