MPS Internal Consultancy Group (ICG) retention improvement project

Report: 06
Date: 6 February 2003
By: Commissioner

Summary

This report details the business need as to why retention issues are so important to the future performance of the MPS and outlines how the organisation will implement the Retention Strategy that has been endorsed by the MPA.

A. Recommendation

Members note the contents of this report, which is for information only.

B. Supporting information

Business need

Why retention?

1. The MPS performs favourably with regards to police and civil staff leavers when compared to the other 43 police forces in England and Wales (and has turnover rates which would be the envy of many private and public sector organisations i.e. 6.6% up to August 2002), as can be seen from Appendix 1, Figures 1a and 1b. It performs less well however when compared to the other metropolitan police forces.

2. All organisations experience staff turnover and it is considered a natural and healthy part of organisational progression. All organisations however wish to minimise the numbers of unwanted, premature leavers to reduce costs of recruitment and maximise experience in the workforce. On average, almost 3,000 of the 40,000 police and civil staff leave the MPS every year it is essential therefore that effort is made to reduce this figure as much as possible. If the MPS is not able to retain experienced police and civil staff, this may act as a barrier to it achieving its corporate policing priorities. It is also recognised that strong retention policies assist in identifying organisations as an exemplary employer. It is the view of MPA members that there is significant potential for the MPS to improve its staff retention rates and reduce its level of turnover, which is consistent with the objective of retaining police and support staff, as contained within the draft National Policing Plan.

Leavers: How the MPS performs

Leavers: Current status

3. By mid-2001 the major concern for the MPS had become the increasing volume and proportion of police and civil staff leaving the MPS prematurely (pre-retirement), particularly those police officers choosing to leave through resignation or transfer to other police forces. By the end of 2000-2001 these reasons for leaving outweighed all others (see Figure 1).

Figure 1: MPS police and civil staff wastage since 1997

Source: MPS Workforce Data Report July 2002

4. It was because of increasing concern at this level of wastage that the Retention Task Force (RTF) was formed as a short-term project aimed at improving police and civil staff retention rates. Reporting in the spring of 2002, the work of the RTF is now being carried forward by an MPS Retention Manger (RM) in liaison with other interested parties (such as the Development and Organisation Improvement Team (‘DOIT’) and the Positive Action Team (PAT) primarily in the form of the MPS Retention Strategy.

Leavers: the future

In the current year to end December 1,306 officers have left with 447 resigning, and 321 transferring to other forces. The long-term trend in MPS staff leavers is upward. This is particularly the case for police officers, a large number of whom are eligible for retirement in 2006-7 and 2011-12, having joined the MPS because of a sustained recruitment drive in the late 1970s. (See Appendix 1, Figure 1c.)

The financial impact of reducing staff leaving

6. Whenever a member of staff leaves the organisation, it incurs costs in terms of:

• the loss of the investment the organisation has made in that individual;
• the costs involved in processing the departure of that individual;
• the costs of recruiting and training a replacement; and
• the investment that must then be made in the replacement.

7. The above, of course, assumes that it is possible to recruit replacements. However, the impact of avoidable wastage may not just be financial, it could also result in the inability of the organisation to reach its growth targets with the inevitable impact on service performance.

8. High turnover levels may create additional costs:

• The indirect costs associated staff dissatisfaction or low morale, materialising in the form of, for example, absenteeism, inefficiency or poor discipline; and
• the financial benefits of reducing wastage would be to reduce these costs.

Non-financial benefits of reducing staff leaving

9. The retention of staff includes the following benefits:

• The retention of expertise and skills within the MPS, the imparting of this knowledge and experience to new staff and the beneficial impact upon public confidence and satisfaction;
• enhanced continuity across the service, particularly in terms of operational policing;
• improved staff morale and productivity;
• consolidation of the MPS’s reputation as an ‘employer of choice’; and
• the building of confidence in communities, at the MPS’s ability to retain staff from under-represented groups.

The MPS retention strategy and improvement project

10. The Retention Strategy, which was endorsed by the MPA HR Committee on the 25 July 2002, is the means by which the MPS will seek to retain experienced police and civil staff. By implementing many of its short, medium and longer-term activities the MPS will be better able to respond pro-actively to many of the future trends affecting staff turnover. (A copy of the Retention Strategy is attached at Appendix 2.)

11. HR Directorate have been implementing many of the initiatives outlined in the Retention Strategy (as can be seen in the attached Improvement Plan at Appendix 3). Plans are in hand to implement other medium and long-term initiatives. In addition, HR Directorate has commissioned HPS ICE to assist in developing an improvement plan to ensure each element of the strategy is implemented.

12. The role of the Retention Improvement Project is to implement those activities within the Retention Strategy that can be identified as ‘quick wins’ whilst at the same time preparing implementation plans for those longer-term activities that are beyond the lifespan of the project. The project is due to end on the 31 March 2003. The responsibility for further implementation activity, beyond March, will rest with the MPS HR Directorate. (Initial draft of the improvement plan is attached at Appendix 3).

C. Equality and diversity implications

The retention of experienced staff also needs to be considered alongside the challenging targets that the MPS has been set as regards the recruitment of additional visible ethnic minority (VEM) and female police officers. Recruitment targets will become greater if retention issues are not addressed.

D. Financial implications

1. The total costs from implementation of the proposals and recommendations within the improvement plan are not yet known. A full appraisal of the cost/benefit analysis will be undertaken.

2. It is estimated that the opportunity costs of the staff working on the project are approx £140,000.

D. Background papers

None

E. Contact details

Report author: Temporary Superintendent Andy Tarrant

For more information contact:

MPA general: 020 7202 0202
Media enquiries: 020 7202 0217/18

Appendix 2: Retention strategy

Introduction

The MPS is committed to working for a safer London for all the people we serve. Our aspiration to achieve this is captured in our Mission, Vision and Values statement. Valuing and respecting our staff, treating them fairly and providing support and development are all essential elements of this goal.

The introduction of a Retention Strategy further strengthens our intention to create an environment through which the MPS is able to retain experienced, able and motivated staff. It is designed to ensure that the Service is one which can demonstrably be shown to value its staff and one that constantly strives to be an employer of choice.

The implementation of this strategy forms an integral part of the delivery of both the Diversity Strategy as promulgated by the Development and Organisation Improvement Team (DOIT) and the overall MPS Human Resources People Strategy, as developed by Human Resources Directorate.

Aim

The overarching aim of the Retention Strategy is to sustain and improve retention of all our staff.

This new and evolving strategy will involve a fundamental change in the existing approach to retention issues within the MPS. This involves cultural change within the organisation and will enable us to improve the morale of staff by addressing individual needs whilst taking into account Service needs.

This will provide the MPS with greater control and influence in achieving staff retention targets and produce a sustainable and robust retention capability.

To do this we will:

• Seek to maximise the prospect of retaining staff at all levels
• Ensure that retention of all staff is a key priority within our corporate aims
• Seek to educate and empower MPS managers concerning retention and the need to reward and acknowledge staff effort
• Ensure HR policies encourage and support retention
• Promote and develop benefits to reward and motivate all staff
• Strive to achieve a status as employer of choice
• Provide development opportunities for all staff within the Service
• Provide an intervention service in circumstances where the corporate need is deemed greater than local requirements
• Put an evaluation process in place to monitor the reasons why staff leave

To deliver this strategy, we intend – in the short term – to:

1. Continue with the short term initiatives introduced in January 2002.
2. Place retention as a standing item on HR Board in order to monitor attrition rates and implementation of the strategy.
3. Require every OCU to devise a retention plan in accordance with a HR template and with HR assistance.
4. Collate and disseminate existing best practice within the Service.
5. Undertake phase 2 of the People Strategy insofar that it specifically focuses upon retention issues.
6. Review and implement existing retention and support programmes for under-represented groups within the Service.
7. Introduce the means by which every leaver is offered the opportunity to meet with a manager to discuss the reasons for leaving.
8. Ensure that the exit interview process is fully sensitive to issues of diversity and equality.
9. Collate and distribute staff turnover information by location and use as part of a new HR evaluation process.
10. Prepare a communication and marketing strategy to support the roll out of the Retention Strategy.
11. Complete the review of all promotion processes.
12. Ensure that our communication processes are in line with those of a large employer and generate good staff relations.
13. Consider the introduction of a voluntary employee benefits scheme.

These initiatives will be introduced within a period of six months.

In the medium term we intend to:

1. Review all HR policies to ensure they encourage and support retention of all staff.
2. Implement and disseminate a Service wide flexible working policy.
3. Review proposals for civil staff development plans including implementation of a mentoring and support scheme.
4. Research, develop and propose benefits to reward and motivate staff.
5. Ensure accountability of all managers for retention is monitored by the Human Resource Evaluation Team in conjunction with DOIT.
6. Introduce and develop a corporate induction package for all new civil staff.
7. Review all management training to ensure it includes the needs of the Service in relation to valuing and retaining staff.
8. Assign a formal mentoring plan to each new probationer.
9. Ensure that every effort is made to appraise each employee and they are given opportunity to develop.

These initiatives will be introduced within 12 months.

Longer term, we intend to:

1. Continually review and develop the retention strategy.
2. Research, consult and develop an effective scheme to retain police officers beyond 30 years of service.
3. Identify and disseminate existing best practice with external organisations within both the public and private sector.
4. Identify and disseminate best practice within the MPS recognised 'benchmark' partners.
5. Explore the introduction of a 'High Potential Scheme' for civil staff.
6. Introduce a means by which staff opinion is sought and gauged on a regular basis.
7. Ensure that every manager is trained in accordance with an MPS plan, covering leadership, diversity, communications, standards, motivation and discipline.

To monitor this strategy, we intend to:

1. Report quarterly to the HR Board, Diversity Board and Management Board.
2. Report half yearly to the MPA HR Committee.
3. Report half-yearly to each part of the MPS on their achievement against the plan and detailed figures.
4. Review this strategy in twelve months.

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