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UK Edition
29th August 2025
 
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THE HOT STORY

Four-day week boosts productivity in Scotland

The Scottish government has successfully trialled a four-day week at two public bodies, South of Scotland Enterprise (SOSE) and Accountant in Bankruptcy (AiB). The 32-hour workweek, implemented without pay cuts, led to reduced work-related stress and increased job satisfaction. Notably, 98% of SOSE employees felt more motivated. Sick days dropped by 25%, particularly for psychological reasons. Joe Ryle, campaign director of the 4 Day Week Foundation, called the results “extremely encouraging” and advocated for broader adoption in the public sector.
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WORKPLACE

Bigger bonuses for Ryanair staff who spot oversized baggage

Ryanair chief executive Michael O'Leary has said bonuses are to increase for staff who spot oversized baggage. O'Leary said he made "absolutely no apology" for catching people who are "scamming the system." About 200,000 passengers per year are charged luggage fees at airport gates and Ryanair has "more work to do to get rid of them," he said. "I am still mystified by the number of people with rucksacks who still think they're going to get through the gate and we won't notice the rucksack", O'Leary added.
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LEGAL

Organisations must adhere to law on single sex spaces

The Equality and Human Rights Commission (EHRC) has instructed 19 organisations to withdraw policies it says misrepresent the rights of transgender people in accessing single-sex spaces. The directive follows a Supreme Court ruling clarifying that, under the Equality Act, 'sex' refers to biological sex. The EHRC has warned that schools must ensure their policies comply with the law. Updated guidance, expected shortly, is anticipated to advise schools and other institutions to limit access for trans women to female-only facilities, such as toilets and changing rooms, except where legally permitted.
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CYBERSECURITY

MoD staff warned not to share hidden data before Afghan leak

Ministry of Defence staff were warned before the Afghan data leak not to share information containing hidden tabs, according to documents released by the Information Commissioner's Office (ICO), the UK's data regulator. Last month it emerged that the details of almost 19,000 people who had applied to move to the UK were leaked when an official emailed a spreadsheet that contained a hidden tab with the information. Hidden tabs are a common feature in spreadsheet software and make information invisible to the user, but still easily accessible if the settings on a document are changed.
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HIRING

London’s rush for external CEO hires highlights succession planning concerns

Analysis show that 52% of FTSE 100 CEO appointments in the year to the end of March and 62% for the FTSE 250 came from outside of their own organisations.
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LEADERSHIP

Female CFOs drive shareholder returns higher

Female chief financial officers (CFOs) are outperforming industry benchmarks, according to OneStream's Glass Chair study. UK firms with female CFOs saw a 13% increase in total shareholder return compared to their previous CFOs. The study found that female-led companies delivered an average return of 1.5% above benchmarks, with healthcare firms achieving 4.7%. Aisling Harney, senior director at OneStream, said: "Companies led by women CFOs often outperform their peers." However, women face structural barriers, taking an average of 18 years to reach the CFO role, three years longer than men.
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DIVERSITY, EQUITY & INCLUSION

Corporate law firms hire mostly men for highest-paid roles

Men made up 80% of partners hired into corporate and finance practices between 2019 and 2024, despite big steps forward in sector diversity, according to data from legal recruiter Edwards Gibson.
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WORKFORCE

Fertility rate hits record low

Britain's fertility rate has fallen to a record low of 1.41 children per woman, well below the replacement rate of 2.1 needed to sustain the population without migration. The decline raises concerns over long-term economic growth, labour shortages, and the increasing financial strain of an ageing population on pensions, healthcare and social care. While births rose slightly to almost 595,000 last year, no local authority met the replacement rate, with Luton recording the highest fertility at two children per woman and some areas falling below one. Economists warn that without higher productivity or migration, the demographic shift could slow innovation and deepen fiscal pressures.
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STRATEGY

Lotus cuts 550 jobs

Lotus's UK operations are cutting up to 550 roles across the business. The move comes as the company looks to become more flexible to changing demand and use more resources from across its global business. A statement from Lotus read: "We believe this is necessary in order to secure a sustainable future for the company in today's rapidly evolving automotive environment, which is seeing uncertainty with rapid changes in global policies including tariffs."
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ECONOMY

Business confidence improves despite pessimism over economy

Economic optimism among British businesses declined in August, falling three points to 44%, according to the Lloyds Business Barometer. But business confidence rose slightly to 54%, driven by a 14-point increase in manufacturing confidence. However, construction confidence dropped to a four-month low. Hann-Ju Ho, a senior economist at Lloyds, commented: "This continued upward trend in business confidence suggests UK firms remain optimistic about their own trading prospects."
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INTERNATIONAL

ANZ staff accidentally learn of job cuts

Australian bank ANZ is offering psychological counselling to senior bankers who received an email sent in error instructing them to return their computers, ahead of news of their firing. The bank, one of Australia's largest lenders, has apologised to staff after mistakenly sending the automated emails about redundancies before informing employees. The bank's acting head of retail, Bruce Rush, acknowledged the error during a call with senior managers. The emails prompted confusion among employees, with many seeking clarification from Ganesh Chandrasekkar, ANZ's general manager for talent and culture. Chandrasekkar confirmed that those who received the emails would be let go. Rush expressed his regret, saying: "It was not our intention to share such sensitive news with you in this way." ANZ is undergoing a major restructure under new CEO Nuno Matos.

Microsoft fires employees over Gaza protest

Two Microsoft employees were dismissed after participating in a sit-in at the office of President Brad Smith to protest the company's ties to Israel amid the ongoing conflict in Gaza. The employees, Anna Hattle and Riki Fameli, were informed of their termination due to "serious breaches of company policies." Hattle had said: "We are here because Microsoft continues to provide Israel with the tools it needs to commit genocide." The protest group No Azure for Apartheid demands that Microsoft sever its ties with Israel and pay reparations to Palestinians.

German labour costs higher than in other industrialised countries

Unit labour costs in German industry were 22% higher last year than the average of 27 industrialised countries examined by the Germany Economic Institute IW in a report seen by Reuters. "The shortage of skilled workers is pushing wages further up," observed Christoph Schroeder, the study's author. "Costs at the German location are likely to continue rising in the coming years."

BHP union flags autonomous truck risks

Chile’s Escondida mine workers’ union has raised alarms after two autonomous truck accidents - one involving a collision with shovel machinery and another overturning. No injuries were reported, but union leader Patricio Tapia emphasized nearby workers still face risks. BHP, which recently completed a five-year automation rollout involving 33 trucks and eight drills, said one incident occurred in March and confirmed no personnel were exposed. The union criticised BHP's safety claims, warning that "the reality is revealing a huge risk." Escondida is the world’s largest copper mine, producing 1.28m tonnes in 2024.
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OTHER

Report warns of mental health 'overdiagnosis' in children

A report by the Policy Exchange think tank claims that "widespread overdiagnosis" of mental health conditions and neurodevelopmental conditions in young people is placing immense strain on the UK's welfare and education systems. The report, supported by figures including Sir Jeremy Hunt, suggests that "poor incentives" in these systems had prompted "diagnosis-seeking behaviour," leading to the medicalisation of routine developmental processes. This is fuelling a £16bn-a-year bill for children's health benefits, special educational needs and disabilities (Send) support, and mental health services, according to Policy Exchange. The report recommends major reforms, including scrapping the current Education, Health, and Care Plan (EHCP) system, making EHCPs non-statutory, and reviewing disability benefit claims. Data shows a 48% increase in young people accessing NHS mental health services and a 70% rise in 11 to 15-year-olds receiving Disability Living Allowance for learning difficulties between 2018 and 2023.
 
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