Hybrid working requests putting some SMEs off candidates

One in five SMEs (22%) would be less likely to hire a candidate if during an interview they requested to work from home at least two days per week, according to a survey.

The SME employment sentiment UK survey carried out by HR software company Employment Hero in December also found that 7% would refuse to hire a candidate who asked to work remotely for at least two days, suggesting that hybrid working is falling out of favour among some employers.

However, 49% would be just as likely to hire a candidate who asked to work from home for part of the week, while 11% said they would be more likely to offer them a role.

Employers in the North of England are more likely to favour traditional office working, with 35% of leaders less likely to hire someone who wanted to work in a hybrid way and 6% considering it a decisive factor against the candidate.

The findings chime with the results of a recent survey by Hays which found office working had overtaken hybrid working arrangements.

Employers including Nationwide and the Civil Service have also started to require more office working.

Damon Anderson, Employment Hero UK managing director, said employers needed to remember the benefits home working can bring.

“It’s all about providing employees with the flexibility they need to do their job well and the right work-life balance. Remote working should maximise productivity, development and team bonding, as well as increase access to the right talent for your business – no longer just focusing on the commuter belt, but the global talent pool too,” he said.

The survey of 540 UK SME business leaders also asked about employers’ priorities and challenges for 2024.

Twenty-eight per cent said employee retention would be a top challenge, while 23% were concerned about upskilling.

With increases to the national minimum wage set to come in on 1 April 2024, 27% of SMEs anticipated raising customer pricing to offset the hike in their pay bill, particularly those in retail and hospitality. Sixteen per cent were considering scaling back their hiring plans.

Nearly two in five (37%) said they thought AI and technological advancements would make their workforce more efficient in 2024. Twenty-three per cent saw it as a gateway to more training opportunities and an improved work-life balance for employees.

Anderson said: “Luckily AI and automation will take some of the biggest headaches out of running a small business, including recruitment, employee retention and benefits.

“As we move into 2024 and beyond, AI in HR and employment as a whole is set to become more sophisticated, with continuous advancements in machine learning and natural language processing. AI will help identify the traits of high-performing employees, predict potential staff turnover, suggest areas for employee development, and so much more. This level of analysis and insight will be invaluable for HR professionals.”

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