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Agenda Item No. 12

 

The Vale of Glamorgan Council

 

Scrutiny Committee (Corporate Resources) - 9 December 2014

 

Report of the Managing Director

 

Half-year Turnover Report - April 2014 to September 2014

 

Purpose of the Report

1.         To provide a detailed insight into employee turnover rates within the Council, for the period 1st April 2014 to the 30th September 2014, using the themes within the workforce plan.

Recommendation

1.         It is recommended that Scrutiny Committee note the position in relation to employee turnover.

Reason for the Recommendation

1.         To bring matters to the attention of Members of the Scrutiny Committee in line with corporate objectives.

Background

2.         This report has been provided in response to a request from Members for an analysis of employee turnover in the Council, for consideration alongside the workforce plan.

3.         For the purposes of clarity, employee turnover has been assessed on the basis of the number of employees leaving the Council as a percentage of the total number of staff (headcount) employed by the Council.

4.         The report provides a summary of employee turnover within the Council using the themes within the workforce plan. In particular, reasons and occupational profiles of those employees who have left the Authority.

5.         This report compares the turnover figures between April and September in 2013 and 2014 to assist performance monitoring of turnover over both periods and to draw meaningful comparisons.

Relevant Issues and Options

6.         The half-year figures for the period April to September 2014 indicate a slight increase in the rate of turnover, from 5.29% to 5.42%, in comparison to the figures for the same period in the previous year.

7.         Corporate turnover has increased from 4.79% of the corporate headcount from April to September 2013 to 5.10% in April to September 2014. Turnover in Schools has decreased however from 5.78% of the schools' headcount to 5.71% in April to September 2014, even though the number of leavers has increased slightly. This may be attributed to a change in the headcount over both periods due to the transfer of School Support staff from Pupil Services within the Directorate of Learning and Skills to individual schools in April 2014.

8.  A comparison of the employee turnover rate is set out in the table below:

 

April to September 2013

April to September 2014

 

Number of leavers

% of headcount

Number of leavers

% of headcount

Corporate total

127

4.79%

130

5.10%

Schools total

158

5.78%

163

5.71%

Grand total

285

5.29%

293

5.42%

 

              

 

 

Turnover by leaving reason

9.      The numbers of dismissals, retirements and end of temporary contracts have all decreased over the comparative reporting period.

10.      Resignations from the Council have increased marginally from 159 between April and September 2013 to 170 during the same period in 2014.

11.      Exit questionnaires continue to play a part in identifying the reasons why people choose to leave employment with the Council. Leavers can either choose to complete an exit questionnaire or have an exit interview with either their Line Manager or a Personnel Officer. The exit questionnaire is sent to the individual along with a return envelope. During the period April and September 2014, 10 people took the opportunity to complete and return exit questionnaires. Of these, the main reason cited for looking for alternative employment was "Personal, family or social reasons".

12.      The number of redundancies has increased slightly from 10 to 28 in the reporting period. Members will be aware of the Council's positive approach to managing change, which helps to mitigate, avoid and reduce the incidents of compulsory redundancy. Given the projected reductions in public service finances and the associated adverse service implications it is inevitable that there will be a consequential increase in the number of early retirements/redundancies in the short term.

13.      The figures also take account of the transfer in August 2014 of the Housing and Visible Services cleaning team located at Llantwit Major Comprehensive School to an external contractor.

14.      A more detailed breakdown of reasons for leaving is set out in the table below:

 

April to September 2013

April to September 2014

Leaving reason

Number of leavers

% of headcount

Number of leavers

% of headcount

Dismissal

  12

0.22%

    5

0.09%

End of temporary contract

  32

0.59%

  25

0.46%

Retirement

  50

0.93%

  39

0.72%

Resignation

159

2.95%

170

3.15%

Redundancy

  10

0.19%

  28

0.52%

TUPE out

    0

0.00%

  11

0.20%

Other

  22

0.41%

  15

0.28%

Total

285

5.29%

293

5.42%

           

 

 

 

 

 

 

 

 

15.      Appendix 1 identifies the reasons that make up the leaving categories.

Turnover by occupational groups

16.      The number of Chief Officers and those from the 'Professional' occupational group leaving the Council has remained consistent in both reporting periods. The number of Senior Managers leaving the Council has increased from 7 in April to September 2013 to 11 people leaving over the same period in 2014.

17.      The number of Technicians leaving the Council has increased from 33 to 54 in contrast to the number of Support Staff that have left which has decreased from 68 to 46 employees over the comparative period in 2013.

18.      In schools, the number of Head teachers leaving the Council has increased from 4.50% to 10.93% (of all Head teachers). The number of Teachers leaving has decreased from 7.47% to 5.96% (of all Teachers). Overall, the number of leavers from schools has reduced slightly from 5.78% to 5.71% of all school employees.

19.      A breakdown of the number of employees leaving and their occupational profile is shown below:

 

April - Sept 2013

April - Sept 2014

Workforce profile (*or equivalent)

Number of leavers

% of head-count

Number of leavers

% of head-count

Corporate

Chief Officer

JNC terms

    2

4.76%

    2

  4.76%

Senior Manager

J/K* or over

    7

4.52%

  11

  7.31%

Professional

H/I*

  17

4.32%

  17

  4.28%

Technician

E/F/G*

  33

4.08%

  54

  6.72%

Support Staff

A/B/C/D*

  68

5.44%

  46

  3.98%

Corporate total

127

4.79%

130

  5.10%

Schools

Head teacher

H/T Terms

    7

4.50%

  17

10.93%

Teachers

Teacher Terms

  76

7.47%

  61

  5.96%

Technician

E/F/G*

  22

3.26%

  35

  5.05%

Support Staff

A/B/C/D*

  53

5.98%

  50

  5.08%

Schools total

158

5.78%

163

  5.71%

 

 

Grand total

285

5.29%

293

  5.42%

Turnover by Directorate

20.      Overall levels of turnover have increased in both the Directorates of Resources and Visible Services and Housing over April to September 2014. In all other Directorates, as well as Schools, the percentage of leavers has decreased in comparison with the same period in 2013.

21.      The highest rate of turnover continues to be in Development Services, in relation to the average headcount of the Directorate (19 leavers from an average headcount of 256 employees). This is followed by the turnover rate for Resources (25 leavers from an average headcount of 376.5 employees).

22.      A table showing the turnover rate of each Directorate is shown below and a further breakdown of each Directorate into Services can be found in Appendix 2.

 

April to September 2013

April to September 2014

Directorate

Number of leavers

% of total Directorate headcount

Number of leavers

% of total Directorate headcount

Corporate & Customer Services

    6

6.25%

*

*

Development Services

  21

8.08%

 19

7.42%

Resources

  13

4.37%

 25

6.64%

Visible Services & Housing

  31

4.28%

 35

5.02%

Learning & Skills

  33

5.00%

 29

4.81%

Social Services

  23

3.76%

 22

3.57%

Schools

158

5.78%

163

5.71%

Total

285

5.29%

293

5.42%

* Note:  The Corporate and Customer Services restructure was implemented from the 1st July 2014. Employees of the former Service have been transferred into other Directorates. This increased the headcount of the Resources, Visible Services & Housing and Learning & Skills Directorates.    

Turnover in 'hotspot' areas

23.      One of the main areas identified in Theme V of the workforce plan 2013-2017 is the recruitment and retention of employees in key occupational groups. Overall, the turnover in areas that have been identified as ‘hotspots’ has been relatively slow, with Trading Standards Officers, Planning Officers and Engineering showing the highest levels of turnover over the reporting period April to September 2014.

24.      Members will be aware of the need to be attentive to recruitment and retention issues in these key areas, which will continue to be monitored on an ongoing basis. The Reshaping Services programme has provided the opportunity for all Service Managers to undertake their workforce planning obligations and in particular identify those occupational groups where concerns are forecast. This information will be used in each Service to review recruitment, retention and development initiatives having regard to projected demand and available resources.

25.      The table below shows the specific areas identified for consideration and their turnover rates between April and September 2014:

Occupation

Average headcount

Number of leavers

% of headcount

Social Workers Children's

  47

  0

  0.0%

Social Workers Adults

  45.5

  1

  2.2%

Social Workers Mental Health

  20.5

  0

  0.0%

Environmental Health Officers

  17.5

  1

  5.7%

ICT Professionals

  41.5

  3

  7.2%

Planning Officers

  21.5

  2

  9.3%

Legal Professionals

  12

  1

  8.8%

Trading Standards Officers

    9

  2

11.1%

Occupational Therapists

  12.5

  1

  8.0%

Engineering

  22

  2

  9.1%

Total

  255

13

  5.1%

      

Turnover in wider comparison

26.      To compare the turnover rates of the Council in context, the CIPD Resourcing and Talent Planning Survey (2013) reported that the overall turnover rate across all sectors in the UK is 11.9%, while the turnover rate for the public sector is 9.4%. The next survey is due to be published in 2015.

27.      According to the information published by the Workforce Benchmarking (by the Local Government Data Unit and Welsh Local Government Association), the average turnover rate in local authorities in Wales was 9.5% in 2013/14.

28.      The turnover rate for the Vale of Glamorgan Council for 2013/14 was below these comparisons with an overall turnover of 8.64%.

Resource Implications (Financial and Employment)

29.      The incidence of a high turnover has significant resource implications and places constraints on the ability to deliver a high quality service provision. The need to retain skilled and experienced staff is important as the Council responds to ongoing financial pressures, especially in areas where the Council continues to experience difficulties in recruiting, as highlighted in the Workforce Plan.

Sustainability and Climate Change Implications

30.      There are no sustainability and climate change implications directly arising from the content of this report.

Legal Implications (to Include Human Rights Implications)  

31.      All legal implications including the Human Rights Act and Data Protection Act will have been considered within the implementation of policy provisions.

Crime and Disorder Implications

32.      There are no crime and disorder implications directly arising from the content of this report.

Equal Opportunities Implications (to include Welsh Language issues)

33.      Any turnover has the potential to impact the workforce profile and diversity of the Council.  A stringent recruitment and selection policy, along with the Public Sector Equality Duty Action Plan, is in place to ensure equal opportunities in the recruitment and replacement of any leavers, ensuring the Council remains compliant with its obligations under the Equality Act.

Corporate/Service Objectives

34.      The Council should be mindful of the impact of turnover rates on the Council's ability to deliver corporate objectives.

Policy Framework and Budget

35.      This report is a matter for the Executive decision by the Cabinet.

Consultation (including Ward Member Consultation)

36.      The overall turnover figures are reported quarterly through the Corporate Indicators Quarterly Performance.

Relevant Scrutiny Committee

37.      Corporate Resources

Background Papers

Appendix 1 - Breakdown of leaving reasons.

Appendix 2 - Breakdown of Directorate leavers by Services (April to September 2014)

 

Contact Officer:

Reuben Bergman, Head of Human Resources

 

Officers Consulted

Shared with the Corporate Management Team

Adrian Unsworth, Operational Manager - Human Resources

 

Responsible Officer:

Siân Davies, Managing Director