With the rising cost of living now creating a crisis for many households, real estate companies have put initiatives in place to help staff struggling as the economic outlook worsens.
Inflation is now predicted by some analysts to pass 20% next year, while energy costs are soaring, and companies are under growing pressure to support their staff.
Ringley Group has announced its third staff financial support measure in five months. The firm has issued a one-off £750 winter fuel payment to its 115 staff across offices in London, Manchester and Cardiff. This followed a commitment in June to a 10% pay raise for all staff between now and 2025, while an immediate 3% pay rise was announced in April for staff who had been with the business for more than three years. The initiative was launched amid a 40-year inflation high of 10.1%.
Group managing director Mary-Anne Bowring urged the property industry to implement its own packages as employees face unprecedented inflationary pressures. She said: “As providers of the basic human right to shelter, the property industry needs to be acutely aware of its social responsibilities to the public. This obligation must extend to and include consumers and employees. This is especially critical during times of insecurity, as finances become stretched, morale takes a hit, and emotional wellbeing is under threat.”
Within days, FTSE 250 residential group Grainger rose to the challenge, confirming that it will give its 330-strong workforce £1,000 each in financial support. The payments will be made to all employees of the group outside of its executive committee across its offices in London, Newcastle, Birmingham and Salford.
Chief executive Helen Gordon (pictured) told EG: “One of our core values is people at the heart of the business. We wanted to make sure our people are feeling reassured that we understand the potential financial challenges they may be facing ahead of any energy pricing reviews.”
Developer and operator Moda has also come to the aid of team members most in need, pledging to give £200 in October, November and December to employees who earn a salary of £30,000 or below. Director Dan Brooks said: “We know the rising cost of living is not an issue that can be fixed overnight, and we are working continuously to find ways to support the Moda community in the coming weeks, months and years.”
In addition, the company is trying to protect residents from the rising cost of utilities, including by holding financial wellbeing workshops. Brooks said: “We buy 100% renewable energy in bulk every year. This means we are able to pass cost savings on to residents and fix the rate for 12 months, protecting residents from any further price increase and helping manage finances for the long term.”
Staff at RED Construction Group will each receive a £1,250 bonus. Chief executive Graham Sturge said: “Everyone is facing a squeeze on their finances, and it’s only right that we as a business look to support our brilliant staff as best we can. All employees bar the senior director team will receive this bonus, and we hope it will ease the burden through these unprecedented challenges.”
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