The government announced recently that, as part of its plans to transition some power and resources from Whitehall to local mayoral authorities, it would be seconding officials from government departments to mayors’ offices as “part of the package of measures to put more Whitehall capacity behind local leaders”. While this is a new approach in government terms, both private businesses and those in the public sector are no strangers to secondments generally. In entities where secondments are commonplace, little thought may be given to the mechanism by which they are facilitated, but there are things all employers should bear in mind if they are planning on seconding one or more employees.
Setting up secondments
Firstly, if a business wishes to second an employee, it is important to get their consent. Many people will be keen for the opportunity to go on secondment as it can be a positive step in their careers, allowing them to gain experience in a different working environment or in a different area of work and accordingly helping them to upskill. However, for some employees it may be less appealing, and employers should ascertain the willingness of the proposed secondee at the outset. Secondments can be a useful tool for employers too, allowing them to redeploy personnel to areas of the business, or to a different employer within the group, where there is the greatest need. This may include to cover another employee’s maternity leave or long-term sickness absence or to assist with a specialist project where the secondee’s expertise can be of value.
In terms of external secondments, such arrangements can help to strengthen relationships between the companies involved and may be particularly beneficial where there is a client relationship that the employer is seeking to improve. Having a member of staff on secondment in a client business ensures better understanding of how the client operates and, hopefully, builds trust, particularly with the secondee who, in the long term, may go on to be the lead for that particular client relationship.
Clarifying contractual matters
In addition to the potential benefits, there are practical matters to be considered. Where an employee is simply moving to a different department in the same company, this is likely to be relatively straightforward, albeit there may still be contractual changes that need to be discussed and agreed on, such as hours of work or duties.
Where someone is going on secondment to an external company, negotiating any changes to contractual terms may be more complicated as both companies and the employee will need to understand and agree on the terms that will govern the arrangement, for example what specific contractual obligations the employee will have to fulfil, and for whom. Where an employee goes on secondment to an external company, while the original company remains the employer, the host company usually takes over day-to-day management of the employee during the secondment period. Matters to be considered may include which party is responsible for any additional costs such as overtime, additional travel and business costs. If the secondment is abroad, there may also be tax and NI implications to consider. The parties will also have to agree when the secondment will come to an end. This could be after a fixed period, or it could be at an unspecified time in the future provided agreed notice is given. What happens if any party wishes to end the secondment earlier than envisaged should also be set out.
Bringing things to a close
It is, of course, important to prepare the secondee for the secondment, but it is equally important to prepare them to return to their usual role. Consider how best to keep the secondee abreast of happenings within the home business/department and try to ensure they still feel part of the team, despite them working elsewhere temporarily. On their return, give them sufficient time to get settled back in and to reacquaint themselves with their previous role and provide any support that may help with the transition.
Secondments can be great opportunities for both an employer and employee alike and provided everyone takes the time at the outset to iron out the details of how the arrangement will work there will hopefully be few bumps in the road. Ensuring that the host company/department carries out robust onboarding and that the employee is properly assimilated back into their usual role on completion of the secondment will also go a long way to making it a successful venture all round!
