Business

Workplace volunteering could boost productivity and unlock billions

Published

3 weeks ago

April 25, 2024

EXPANDING workplace volunteering opportunities to cover all employees in the UK could generate billions in economic gains (£1.2 billion – £3.6 billion per year in wellbeing benefits to individuals, £1.6 billion – £2.8 billion per year in improved net productivity)
Ensuring all employees have access to volunteering opportunities could save between 1.4 million and 2.5 million working days of sickness absence.

Workplace volunteering has the potential to boost productivity, improve employees’ wellbeing, and generate billions for the UK economy, according to a new report by Pro Bono Economics (PBE).1

The report – ‘Triple dividend: How workplace volunteering can make us happier, healthier and more productive’ – which has been produced for business volunteering charity Pilotlight, found that net productivity gains of between £1.6 billion – £2.8 billion could be unlocked for the UK economy by expanding workplace volunteering opportunities.2

PBE’s analysis revealed that 17 – 23 million employees currently do not have access to workplace volunteering, and so are missing out on the health benefits of volunteering and the opportunities to learn new skills. By expanding workplace volunteering opportunities to cover all employees in the UK, the current untapped potential could generate £1.2 billion – £3.6 billion in wellbeing benefits per year to the individuals themselves.

It could also reduce levels of absenteeism, with research showing that participation in a workplace volunteering scheme provides an average reduction in absence of around 0.9 days per year for each member of staff volunteering.3 The number of days that employees have taken off work due to illness has risen sharply since the pandemic, with 186 million lost alone in 2022, an increase of more than a third over the 2019 level. The total cost of sickness absence to UK employers was around £24 billion – roughly equivalent to the GDP generated by Newcastle – or £6.4 billion higher than if absence rates stayed at the 2019 level.4

Turning to the productivity benefit overall, the PBE report points to studies which have suggested the productivity impact of workplace volunteering is sizeable, with high-skilled individuals who volunteer experiencing an estimated £2,300 boost to earnings. If the estimated productivity increase was applied to all the 1.4 – 2.5 million additional volunteers who participated from workplace volunteering to all employees, it could provide a gross productivity increase of between £2.2 billion and £3.9 billion.

Even after deducting the costs of lost time and administration fees for volunteering schemes, the productivity benefits could amount to net productivity gains of between £1.5 billion and £2.8 billion to the UK economy.5

There is a clear appetite from employees from the expansion of workplace volunteering. Analysis by NCVO suggests that between one quarter and a third of employees will take advantage of workplace volunteering when it’s available. This means that between 1.5 million and 2.8 million additional people might volunteer if workplace volunteering schemes were expanded across all employers.

While boost workplace volunteering would have some costs to the employer, the benefits more than outweigh those costs. For the employer, workplace volunteering schemes such as those run by Pilotlight which bring businesses and charities together could deliver between £1.50 and £3.60 of benefits for every £1 spent.

To make the most of the opportunity, research by the charity has suggested that employers should take steps to help employees around the options for volunteering. More than a third of employees surveyed (38%) said that an obstacle to volunteering is a lack of guidance from their employer. Of those currently involved in workplace volunteering, 79% believe that businesses themselves benefit from the practice.6

The benefits also have the potential to positively impact on communities, at a time when they are in need of extra support. Three in ten (30%) charities reporting increased rates of staff burnout as they struggle with the triple challenge of rising demand, difficulties recruiting volunteers and challenges with recruitment. This is particularly true of small charities, with almost six in ten (59%) reporting that recruiting volunteers is a major concern for them following a long-term decline in volunteer participation rates.8

Dr Jansev Jemal, Director of Research and Policy at Pro Bono Economics, said: “Increasing access to workplace volunteering opportunities has a triple dividend, as it could boost productivity and unlock billions in the UK economy, while providing much needed support for charities. In addition to wellbeing for employees, there’s a compelling, hard-nosed business case for considering workplace volunteering, including boosts to health and skills.

“As businesses take up this opportunity, there is a need to be realistic about the challenges for the charities themselves. Using volunteers effectively takes resources to manage, oversee and support those that are giving up their time. Businesses and other funders will need to consider how they can benefit by supporting the underlying costs of volunteering programmes, rather than assuming that an offer of time alone will suffice.”

Ed Mayo, Chief Executive of Pilotlight, said: “When it comes to business and charity, these results change everything – volunteering is not a cost, it is an investment. It is good for charity, good for the volunteer and good for the bottom line.

At the heart of this, in the partnerships we have designed with a range of leading businesses, is how employees develop their skills as they deploy them in a radically different setting. In future, it will not be the PR or corporate affairs department that leads on employee volunteering, but HR leaders who see it as an integral part of their toolkit for developing talent and skills.”

Jack Kidder, Responsible Business Manager at Henry Boot PLC, said: “At Henry Boot, we know that volunteering empowers our people to dedicate their time, skills, and passion for the benefit of our communities. This is not only impactful for charities, but also hugely beneficial for our business. Volunteering their time allows our people to connect with issues they care about in the communities in which we work and live. It creates a genuine sense of purpose and cohesion as our people come together to make a real difference for others – whether through inspiring learners, supporting communities, restoring habitats, or sharing knowledge. Volunteering enables our people to develop their skills and experience the positive wellbeing effects associated with helping others. This use of our time is helping shape our evolving culture as we celebrate being a long-term sustainable business that genuinely cares for the communities we work with, while we create exciting new places across the UK.”

Alexandra Berry, Head of Sustainability at the Strand Palace Hotel said: “Our team love to get involved in team-building hikes, red nose days, wellbeing walks, ‘Wear it Pink’ days, charity runs, bingo nights, themed quizzes, clothing donation drives, as well as offering our team a paid volunteering day each year. Feedback from our team has expressed these community events provide socialisation and relaxation outside of the hotel alongside contribution to a charitable cause, of which they are passionate about supporting.

“In 2023, the team raised over £3,000 through 8 local fundraising activities. What’s more, we have a regular commitment with The Connection at St Martins for our team members to volunteer to spend time with The Connection’s guests in their art room. With arts, crafts and chatting, the visits from the Strand Palace team help to build the guests’ confidence and social skills, providing a creative outlet away from the stress of being homeless.”

Business

Alex Lovén named richest young person in Wales

Published

21 hours ago

May 17, 2024

Tom Sinclair

ALEX Lovén has been named the richest young person in Wales according to the 2024 edition of The Sunday Times Rich List, published online today and in print on Sunday, 19 May. The comprehensive list, detailing the wealth of the 300 richest individuals in Britain, includes a special focus on young entrepreneurs under 40.

The 76-page edition of The Sunday Times Magazine reveals significant trends, including a notable decrease in the number of billionaires, from a peak of 177 in 2022 to 165 this year. The combined wealth of the top 350 individuals and families amounts to £795.361 billion, surpassing the annual GDP of Poland.

Key Welsh Figures

Sir Michael Moritz and Harriet Heyman have been identified as the richest people in Wales, with their wealth increasing by £1.27 billion to a total of £4.603 billion. Moritz, originally from Cardiff, made his fortune through early investments in tech giants such as Google, PayPal, and YouTube.

Lovén, aged 36, is the founder of Net World Sports, a leading retailer selling over 100,000 football goals annually. Starting with a £13,000 savings from his job at a builder’s merchant, Lovén’s wealth now stands at £200 million, making him the 15th richest person under 40 in the UK.

Footballer Gareth Bale and AU Vodka founder Charlie Morgan from Swansea City also feature prominently among the richest young Welsh individuals, with fortunes of £70 million and £56 million respectively.

Philanthropic Efforts

The Sunday Times Giving List, in association with the Charities Aid Foundation, highlights the philanthropic activities of Britain’s wealthiest. Sir Michael Moritz and Harriet Heyman are noted for their significant charitable contributions, donating over 4 percent of their wealth, which amounts to £190.5 million. Their philanthropic focus includes education, democracy, and community projects.

Broader Trends

The Rich List also reveals broader economic trends. Robert Watts, the compiler of the list, commented on the shifting landscape: “This year’s Sunday Times Rich List suggests Britain’s billionaire boom has come to an end. Many home-grown entrepreneurs have seen their fortunes fall, and some of the global super-rich are moving away. Thousands of British livelihoods rely on the super-rich to some extent. We’ll have to wait and see whether we have now reached peak billionaire, and what that means for our economy.”

The Sunday Times Rich List continues to celebrate entrepreneurs from diverse backgrounds who have built fortunes in various industries, including artificial intelligence, virtual worlds, plumbing supplies, and teaching aides. Watts noted the inspirational stories of individuals from humble beginnings who have achieved significant wealth.

Top Five Wealthiest in Wales

Sir Michael Moritz and Harriet Heyman – £4.603 billion
Simon Nixon – £1.88 billion
Douglas and Dame Mary Perkins – £1.587 billion
Sir Terry Matthews – £1.340 billion
David Sullivan – £1.168 billion

For the complete list of the 350 richest people in the UK, visit www.thetimes.co.uk/sunday-times-rich-list.

Business

Welsh savers are missing out as over £14bn is sitting in accounts earning 1% or less

Published

21 hours ago

May 17, 2024

Tom Sinclair

SAVERS in Wales are missing out on higher interest payments as new data reveals almost £15bn is held in savings and current accounts earning 1% or less.

The figures come from Principality’s recent analysis of CACI data, which shows £14.5bn is sitting in accounts earning 1% or less. Across Wales there is around £38bn in savings and current accounts, meaning almost 40% of this money is missing out on better interest rates. Currently, the average amount held in savings accounts in Wales sits at £7,337, which means the return difference between a 1% and a 5% interest account could be as much as £293 for these savers, across the year.

The Bank of England’s 14 consecutive base rate hikes have led to the highest interest rates seen in 16 years, recently held for the sixth time at 5.25%. This has resulted in higher savings rate accounts being available on the market, offering customers interest as high as 6%.

Despite this, billions of pounds in savings across Wales remain in low-interest rate accounts.

In response, Principality Building Society is urging people in Wales to consider letting their savings work harder for them through higher interest accounts. Last year, Wales’ largest building society paid a higher interest rate than the market average and currently offers savings rates between 3.5% and 6% for new and existing customers.

Vicky Wales, Chief Customer Officer at Principality Building Society, said: “We strongly urge savers across Wales to compare their current returns with other available rates on the market. Interest rates have been a focal point over the last few years due to the prolonged period of a higher Bank of England base rate. This has led to calls for banks and building societies to pass higher savings rates on to their customers, which is something we are committed to at Principality. Last year, we paid our members better interest returns than the market average demonstrating our loyalty to our customers. However, not enough emphasis is being placed on encouraging customers to stay informed about the rates available.

“As a customer, doing your research and shopping around can now significantly impact the return on your savings.

We invite people across Wales, whether you’re currently a Principality customer or not, to drop into one of our 53 branches across Wales to speak with one of our savings specialists who are on hand to help answer any questions you might have and to find out how to make your money work harder for you. We’re here to make life’s hopes and aspirations possible.”

A survey conducted by the Building Society shows that 42% of Principality’s members regularly check their savings rates to compare with other market rates, with 70% of members saying Principality offers a range of products suitable to their financial needs. More than 60% also said they would need to rely on their savings to some extent for their retirement plans.

Principality Building Society remains committed to supporting Welsh communities and has 53 branches and 15 agencies across Wales and the borders.

For more information on making your money work harder for you, visit your local Principality branch today, or go to: https://www.principality.co.uk/en/savings-accounts

Image: Huw John

Business

Welsh Water wins share of £40m to tackle environmental challenges

Published

2 days ago

May 16, 2024

Tom Sinclair

An innovative solution that could save Welsh Water two tonnes of carbon per year through transforming the management of organics during the treatment of drinking water, is one of the winners of a £40 million competition from Ofwat, the economic water regulator.

Welsh Water provides safe and reliable drinking water to over 1.4 million homes and businesses, making it the sixth largest of the 23 water companies in England and Wales. The not-for-profit water company has water treatment works where raw water is treated to make it safe enough to drink, which supplies over 800 million litres of water every day through a network covering 27,000km. By the time water reaches rivers, reservoir or aquifers, water already contains a wide variety of substances including organics which determines its quality. It absorbs dirt, dust and gases from the air, debris and bacteria from the ground, and soluble minerals from rocks.

At a water treatment works, the main objective is to remove bacteria and other unwanted substances from raw water through a drinking water treatment process. Granular activated carbon (GAC) is used during this treatment process to remove organics from the raw water– an exhaustive process that means the GAC requires thermal regeneration every three years.

The current process is carbon intensive, creating around two tonnes of carbon per year costing around £1m per year to manage. The solution proposed by Welsh Water’s innovation team and partners including Swansea University and Panton McLeod, seeks to investigate ways to regenerate GAC in situ, reducing both financial costs and carbon footprint before proposing a recommended solution that can be adopted by Welsh Water and shared with the wider industry.

Paul Gaskin, Research and Innovation Manager of Water Services at Welsh Water said: “We are excited to be leading this project to investigate transformative ways of regenerating granular activated carbon locally. This project is an example of Welsh Water’s commitment to finding innovative solutions to environmental challenges, whilst bringing the wider industry along with us. This project ties in with our 2050 vision to become a truly world class, resilient and sustainable water service for the benefit of future generations. Along with our partners working on this project, this funding will help us tackle a key challenge faced by the entire water industry.”

Helen Campbell, Senior Director, Ofwat said: “There are big challenges in the water industry that must be solved, some are well known, and others are less so. In our fourth Water Breakthrough Challenge we called for solutions with potential to deliver wide-scale, transformational change for customers, society and the environment – and that’s exactly what today’s winners have done. From raingardens to prevent flooding to green energy from treated sewage, innovations to cut the water sector’s carbon footprint to robots that patrol the pipe network, the winners are all helping shape a more sustainable and efficient water sector.”

Welsh Water is also partnering with others in the industry on other innovative projects including rainwater harvesting, robotic solutions for rising water mains and no-dig leak repair.

The Water Breakthrough Challenge is part of a series of competitions from Ofwat, run by Challenge Works with Arup and Isle Utilities, designed to drive innovation and collaboration in the sector to benefit individuals, society and the environment.

It supports initiatives that help to tackle the biggest challenges facing the water sector, such as achieving net zero, protecting natural ecosystems and reducing leakage, as well as delivering value to society.

For more information, visit: https://waterinnovation.challenges.org/breakthrough4/