Welcome to your November Edition of The HR Team Newsletter, where we bring you timely updates, practical advice, and strategic guidance to help you support your people and protect your business.
Holiday Planning: Balancing Business Needs & Staff Rest
As we head into the festive season, annual leave planning becomes a critical issue for SMEs. Balancing operational needs with employee expectations requires clarity and fairness.
Key points to consider for the next holiday year:
Priority Coverage Periods: Define dates when leave cannot be taken (e.g., peak trading, exam seasons, or financial year-end). Communicate these clearly in contracts or staff handbooks.
Business-Directed Downtime: Employers can require staff to take leave during quieter periods, provided statutory notice is given (at least twice the length of the leave required). This helps manage carry-over and ensures staff rest.
Transparency: Explain the business rationale behind blackout or enforced holiday rules to avoid resentment.
Systems: Use HR software to track requests, prevent clashes, and ensure compliance with Working Time Regulations.
We can help you update your Annual Leave Policy to include clear blackout and enforced holiday clauses, reducing disputes and ensuring operational cover.
Annual Appraisals: Preparing for 2026
With the year drawing to a close, many SMEs are preparing for annual appraisals. Done well, these reviews can set the tone for a successful new year.
How to get the most out of annual appraisals:
Preparation: Encourage managers and employees to reflect on achievements, challenges, and development needs ahead of the meeting. Provide templates to guide preparation.
Balance past and future: Appraisals should review performance over the year but also set clear, motivating objectives for 2026.
SMART goals: Ensure objectives are Specific, Measurable, Achievable, Relevant, and Time-bound.
Development focus: Discuss training, mentoring, or stretch opportunities that support career growth.
Two-way dialogue: Invite feedback on management, systems, and workplace culture.
Documentation: Record agreed actions and objectives to ensure consistency and protect against disputes.
Follow-up: Schedule quarterly check-ins to keep objectives alive and avoid the “file drawer” effect.
Ask us for our Annual Appraisal Framework, with templates and guidance notes to help managers run effective, motivating reviews.
Strengthen Your Benefits Package: Become an Employer of Choice in 2026
In a competitive labour market, SMEs can stand out by offering thoughtful, cost-effective benefits. Salary alone isn’t always the deciding factor — culture and perks matter.
Trends in 2025:
Flexibility: Hybrid working, compressed hours, or flexible start/finish times are highly valued.
Wellbeing support: Employee Assistance Programmes (EAPs), mental health resources, and gym or wellness discounts show care.
Financial perks: Salary sacrifice schemes (pensions, bikes, tech), enhanced parental leave, or small recognition schemes (e.g., birthday vouchers).
Recognition and culture: Extra day off for birthdays, long-service awards, or team socials can build loyalty without large costs.
How to strengthen your package:
– Benchmark against competitors in your sector.
– Survey staff to understand what they value most.
– Balance cost with impact — small, symbolic benefits often have outsized effects on morale.
– Communicate benefits clearly so staff know what’s available.
Here are some practical examples of low-cost, high-impact benefits SMEs can offer that balance cost with impact and really boost morale:
Early Finish Fridays: Allowing staff to leave an hour early once a month.
Celebration Treats: Providing cake or a team lunch for milestones (project completion, anniversaries).
Thank-You Vouchers: Small gift cards (£10–£20) for exceptional effort.
Long-Service Recognition: Certificates, personalised notes, or symbolic gifts for 3, 5, 10 years of service.
Wellbeing Perks: Free fruit in the office, mindfulness apps, or subsidised gym passes.
Community Days: One paid day per year for volunteering — builds pride and engagement.
Personal Touches: Handwritten thank-you notes from leadership, or spotlighting achievements in newsletters.
Flexible Breaks: Allowing staff to take longer lunches occasionally or swap hours for personal needs.
Small Celebrations: Decorating desks for birthdays or work anniversaries — simple but meaningful.
These kinds of benefits don’t require large budgets, but they signal appreciation and care, which often matters more to employees than expensive perks. We can help you design a benefits package that positions your business as an employer of choice in your sector.
If you would like us to support your organisation with annual leave planning, annual appraisals, or benefits package design, contact The HR Team.
