Lexmark International has released new research that indicates businesses in the UK are not doing enough to increase productivity following the introduction of the new National Living Wage in April 2016.
The research, commissioned by Lexmark, surveyed a broad section of managers, heads of departments, directors and C-suite executives. It looked at the impact of the National Living Wage on the UK workforce and the importance of automation.
David Powell, Senior Vice President, Lexmark Enterprise Software said, “the National Living Wage requires businesses to do more with less. Workforces need to be leaner yet more efficient, which can only be achieved by improving employee productivity through automation. We see robotic process automation and the digitisation of the customer experience as two key areas that can help businesses mitigate the additional costs imposed by National Living Wage legislation.”
Key points showed that the National Living Wage is having a profound effect on the ROI of businesses across the UK, and respondents indicated this is top of mind in the boardroom. 58 percent of participants stated that they had introduced the National Living Wage prior to the mandatory deadline, and believe they have adapted their internal structures to combat business challenges head on. A further 26 percent said that the impact of the National Living Wage is being closely monitored for any potential risk.
Survey participants also raised concerns over the National Living Wage’s influence on recruitment and retention, with 25 percent indicating their businesses will have to accomplish more with less budget and fewer resources. One-third (33%) of survey participants did however share that they plan to respond more quickly to their changing business environment by improving processes to increase staff productivity.
Lexmark believes that by making an initial upfront investment in automation and technology, organisations will reap rewards in the longer term, having future-proofed their businesses to ensure they are optimising productivity while delivering a high standard of service to their customers at every point of interaction.