Employers and employees alike had spent months preparing for the potential EU departure. But most had expected the referendum to end in favour of the Remain campaign. Instead, 52% of the voting population decided that Britain would be better off out as Leave won.
Naturally, the fallout will impact various parts of our lives and society. However, the HR industry is easily one of the most affected, and the repercussions are coming with immediate effect. Moreover, those developments could influence things for many years to come. HR teams are now faced with multiple new challenges. Here are some of the most pertinent issues:
Reassuring Staff
Brexit will clearly bring huge changes to the entire landscape of business in the UK, and indeed Europe. As such, millions of employees will now be worrying about their individual futures. Quite frankly, an unsettled staff is going to hit productivity extremely hard. Rectifying this issue should be one of the first items on every HR team’s agenda.
Employees need to have trust and reassurances. Knowing that their position isn’t in immediate jeopardy will make a huge difference to their happiness. With the uncertain times ahead, it’s difficult to guarantee long-term security. However, HR departments should be keen to send out a memo stating that business will continue as normal for the time being.
The happiness and trust of the staff is more vital than ever. Without it, the fallout of Brexit could have a massively damaging impact on thousands of UK businesses. If nothing else, addressing this situation will allow HR teams to turn their attentions to the other inevitable changes.
Migrant Worker Rights
It’s still early days, and nobody can be sure of the ramifications that Brexit will have on EU workers. However, it’s fair to assume that it could result in far tighter regulations.
Whether that comes via a point-based system, similar to the one currently used for non-EU migrants, or another strategy is unknown. Either way, employers and HR departments need to appreciate changing policies. It’s unlikely to have a huge impact on the immediate future, but keeping abreast of all the latest developments is crucial. Failure to do so could be very costly indeed for the company as well as current and future employees.
The government and various significant bodies are sure to release plenty of information over the coming weeks and months. It will create an added workload, but it’s just something that HR teams will need to handle. The potential consequences of making mistakes are far too huge to ignore.
Recruitment Processes
Brexit’s impact won’t only affect current staff. It is already starting to change the recruitment process. This could have a monumental influence on how recruiters and HR departments conduct those tasks.
For starters, searches for overseas jobs more than doubled in the days following the Leave verdict. Naturally, this could make the process a lot harder for HR specialists. Subsequently, monitoring the hiring methods and onboarding elements will become more vital than ever. Monitoring software and strategies should now be considered an essential part of the process.
The changing political climate and employment laws are going to impact the process of screening and hiring foreign staff. It shouldn’t prevent companies from maintaining a multicultural flavour. Nonetheless, Brexit will impact those challenges. Consequently, ensuring that turnover rates remain low is vital. Finding the right person for the job is more important than ever. Promoting a better working atmosphere for those new additions is a key part of the job too.
Overseas Trading
Leaving the EU will influence the opportunities to deal with overseas companies. UK businesses now face a tougher challenge than ever as they look to maintain existing relations and build new connections. Gaining the trust of foreign companies could become more difficult than ever before, and HR teams will be key to building that trust.
Whether the UK becomes an EEA member or not, precautions will be necessary. Pensions, trade unions, and other key aspects could all be impacted, and businesses need to act accordingly. This is for the sake of their interests and relations as well as the benefit of employees. Investments like time and attendance software will be required to keep the venture in the best health possible.
Ultimately, Brexit is going to impact businesses from all sectors, not least when it comes to HR. As long as the necessary steps are taken, however, UK businesses can ride the storm. Just remember, no asset is more important than the staff. Focusing on people is more important than ever; do not forget it.