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20th January 2025
 
THE HOT STORY
Working from home is 'not proper work', former Asda boss says
Working from home is creating a generation who are "not doing proper work," says Lord Rose, the former boss of Marks and Spencer and Asda. Lord Rose told BBC Panorama that home working was part of the UK economy's "general decline" and employees' productivity was suffering. His comments come as some companies call time on remote working. Amazon, Boots and JP Morgan are just some of the businesses which now require their head office staff to be in every day. Lord Rose said: "We have regressed in this country in terms of working practices, productivity and in terms of the country's wellbeing, I think, by 20 years in the last four." In a December 2024 survey by the Office for National Statistics, 26% of people said they had been hybrid-working in the prior seven days, while 13% had been fully remote and 41% had been fully office-based (the remainder were not working at the time). Work-from-home expert Prof Nicholas Bloom says that while fully remote work can be "quite damaging" to some workers' productivity, spending three days out of five in the office was as productive as fully office-based work overall. 
LEGAL
Councils braced for sex discrimination claims
Dozens of local councils are confronting a surge of sex discrimination claims, with the GMB trade union demanding payouts of up to £500m following a precedent set by Birmingham City Council. The union argues that workers in predominantly female roles have been underpaid compared to their male counterparts in roles including refuse collection and road repairs. Negotiations are already in progress with councils such as Leeds and Southampton, and at least ten more cases are anticipated this year. The GMB claims that benefits and bonus schemes have favoured male-dominated roles, leading to what it terms "stolen wages." A spokesman for the Ministry of Housing, Communities and Local Government said: "Local authorities are independent bodies and have a responsibility to act in line with employment laws and manage their finances."
Labour to ban NDAs for harassment
Labour is poised to introduce a ban on non-disclosure agreements (NDAs) used by UK employers to silence harassment claims, as part of the Employment Rights Bill overhaul. Employment rights minister Justin Madders has indicated that amendments will be made in the coming months. Liberal Democrat MP Layla Moran previously proposed an amendment to void NDAs preventing disclosures about harassment, but it was rejected due to specific wording. A government spokesperson affirmed its commitment to workers' rights, and acknowledged concerns about NDA misuse to intimidate victims. The previous government had also attempted to address NDA misuse, particularly in harassment cases, following revelations of their misuse in the financial services sector.
HMRC workers to strike on crucial day for tax returns
Strike action by His Majesty's Revenue and Customs (HMRC) workers is set to disrupt the self-assessment tax return process on January 30 and 31, coinciding with the deadline for submissions. The Public and Commercial Services union (PCS) has announced the strike in response to a pay dispute, where over 300 outsourced workers at Fujitsu Services UK were offered a 1.5% pay rise, significantly lower than the 5% received by their in-house counterparts. PCS general secretary Fran Heathcote said: “There is no excuse for workers employed by Fujitsu being offered less than those employed directly by HMRC.” The strike could impact those required to submit tax returns, including individuals earning from non-PAYE sources or those owing Capital Gains Tax. An HMRC spokesperson assured that “robust plans” are in place to maintain critical services during the industrial action.
Teen workers take legal action against McDonald's
Over 700 teenagers are suing McDonald's, alleging harassment and discrimination in the workplace. Thomas Beale, Head of the Bullying & Harassment team at Bolt Burdon Kemp, condemned the fast-food giant for its "abhorrent abuse of power," and highlighted the lack of action taken despite previous claims of sexual harassment. Young employees reported being bullied, subjected to homophobic comments, and even solicited for sexual favours by managers. The law firm Leigh Day is representing the claimants, and urges all current staff under 20 to join the legal action as they could be entitled to bring claims just for having been exposed to a culture of inappropriate conduct. McDonald's has said it is committed to ensuring a safe workplace but faces increasing scrutiny following the enactment of the Worker Protection Act.
NHS faces rising compensation costs
The NHS is currently disbursing approximately £165,000 weekly in compensation to staff assaulted by violent patients, totalling £31.4m over the past seven years. Legal fees have nearly doubled this amount, reaching £28.4m. Each victim received around £21,000, with some cases significantly higher; for instance, a mental health nurse was awarded £475,000 after a violent incident. Matthew Tuff from the Association of Personal Injury Lawyers said: "No one should ever go to work and suffer violence when they are simply doing their job and helping others."
PURPOSE
Has corporate purpose lost its purpose?
Writing for the FT, Stefan Stern considers ongoing research which suggests that following a drive to articulate company-wide purpose, employee engagement may go up, but actual staff retention does not.
HEALTH & WELLBEING
Young workers face rising stress levels
According to Mental Health UK's second annual Burnout Report, younger workers are increasingly affected by stress, with one in three aged 18-24 needing time off for mental health issues. This contrasts sharply with only one in ten workers aged 45 and above. Brian Dow, the charity's chief executive, said: “Our survey clearly reveals it is young people most at risk of high stress in the workplace.” The report highlights a significant decline in younger workers' comfort in discussing stress with managers, dropping from 75% to 56%. Factors contributing to this stress include unpaid overtime and job security fears. Dow emphasised the need for employers to adapt their mental health support to meet the needs of a modern workforce, and warned that failure to do so could lead to losing young talent. The survey involved 2,436 working adults across the UK.
WORKFORCE
Stagnant wages threaten living standards
Research from the Centre for Cities reveals that workers across Britain have faced stagnant or declining wages since 2008. Andrew Carter, chief executive of Centre for Cities, said: "The stark nature of the findings shows an incremental approach is not going to be enough. Boldness, urgency and scale are crucial."
RETENTION
Crisis looms as barristers flee for corporate jobs
The Criminal Bar Association (CBA) has warned of a looming crisis in the court system as young barristers leave for higher-paying corporate law jobs. Mary Prior KC, CBA chair, said: "The problem is that the enthusiasm and desire for public service wears off within a couple of years." The trend is exacerbating the shortage of criminal barristers, and contributing to a backlog of over 73,000 cases in Britain's Crown Courts. While commercial barristers enjoy rising salaries, criminal barristers face stagnant pay, with many trainees earning as little as £24,203 in London. Christopher Clark, a legal recruiter, noted that "criminal barrister pay has continued to decline since legal aid was cut," prompting many to seek better compensation in City law firms.
INTERNATIONAL
Global unemployment to hold steady at 5%, ILO says
The International Labour Organization (ILO) has said global unemployment remained steady last year at an historical low of 5%, where it is set to stay in 2025. However, the ILO said job creation would be limited by a global economic slowdown from 3.3% to around 3.2% last year, and a gradual medium-term deceleration. "The global economy continues to expand at a moderate rate, but it is projected to gradually lose steam, preventing a stronger and more durable labour market recovery," the ILO's flagship report on global employment and social trends said. Meanwhile, ILO Director-General Gilbert Houngbo urged bold action to help address barriers to a thriving labour market. "The world must embrace new approaches to social justice that generate decent work," Houngbo wrote in the report's preface.
Coupang told to cut night shifts after employee dies of overwork
Coupang Logistics Services (CLS), whose business encompasses parcel delivery, cargo transportation, forwarding, and warehouse operation, has been ordered by the Korean government to reduce nighttime working hours for its drivers following the death of a delivery worker last May. An investigation by the Ministry of Employment and Labor revealed 136 violations of the Labour Standards Act, including delayed wage payments totalling 150m won. The probe was initiated after a worker suffered a heart attack after working six night shifts in one week. The ministry's report observed: "Intensive nighttime labour can result in a variety of diseases, including those related to the brain." Although the ministry recommended changes to working conditions, it concluded that Coupang could not be held legally responsible for the worker's death, because he was classified as an independent contractor. Coupang has said it will implement improvement measures, including enhanced health checkups and support for health management programs.
Illinois could become first state to decriminalise sex work
State lawmakers plan to introduce legislation that would make Illinois the first US state to fully decriminalise sex work. “The threat of arrest and prosecution keeps sex workers unsafe and in the shadows, and this threat must be eliminated,” Brian Johnson, CEO of Equality Illinois, told a news conference announcing the proposed bill. “This law is essential now more than ever.” The bill, which is sponsored by state Rep. Will Guzzardi, D-Chicago, and state Sen. Celina Villanueva, D-Chicago, would eliminate criminal penalties for adults who engage in consensual sex work, remove arrest and conviction records for sex workers, and establish a sex workers’ bill of rights.
The Body Shop to close all its branches in Thailand
British skincare brand The Body Shop is to close all of its shops in Thailand on January 31 following operational difficulties in other markets after the brand was acquired by German private equity firm Aurelius for $266m in November 2023. The Body Shop now operates 113 stores in the UK. UK company headquarters are to be relocated to Brighton this month from offices in London and Littlehampton, West Sussex. In Thailand, the brand took the opportunity to cite a quote from late founder, Dame Anita Roddick: "If you think you're too small to have an impact, try going to bed with a mosquito."
 


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