Background
Healthcare Homes Group (HHG), which operates 48 residential and nursing homes and 10 domiciliary branches with 4,000 employees, faced a severe decline by the end of 2021. After once boasting 94% occupancy and minimal use of agency staff the COVID-19 pandemic left HHG with occupancy dropping to 84%, employee turnover surging to 40% and £1.3 million a month spent on temporary staffing. HHG’s senior leadership team was concerned that reliance on agency staff could impact care quality, prompting them to seek immediate solutions to rebuild and stabilise the business.
Recognising that employee engagement was key to reversing these trends HHG partnered with ETS to develop a strategy that would repair the internal culture, improve communication and retain staff.
Approach
The first step was conducting a ‘Your Voice Matters’ engagement survey, designed to understand employee concerns around engagement, enablement and empowerment. The data revealed a critical need for improved communication between leadership and employees. ETS and HHG’s HR team devised a plan focused on four key areas.
Firstly, leadership increased transparency by having Board members take responsibility for specific sites, introducing a bi-monthly Insight magazine and hosting ‘Stop the Floor’ meetings where senior leaders shared updates and addressed employee questions. HHG then launched employee voice groups and the ‘Ask Gordon’ initiative, providing direct access to the CEO and ensuring regular communication and feedback loops.
“Improved communication and employee engagement helped Healthcare Homes Group save £11.4 million in agency staff costs and improve care quality across its services”
A refreshed employee assistance programme was introduced, alongside mental health sessions and other initiatives like menopause awareness training. Finally, new recognition schemes, such as ‘Thank You’ cards and the ‘Time to Thrive’ awards, were rolled out to celebrate employee achievements at both local and company-wide levels.
Outcome
The impact of these changes was measurable. In the first survey 74% of employees participated, providing valuable insights. After the plan was established all 13 key areas identified in the survey improved, with 12 showing significant increases. The biggest gain was in communication, with 89% of employees feeling optimistic about the company’s direction, up 19% from the first survey.
These internal improvements translated into significant operational outcomes. HHG reduced its reliance on agency staff from 14,000 hours to just 2,500 per week, saving £11.4 million annually. Employee turnover also decreased by 3% to 11% in key areas, while sickness rates dropped to 2.6%. Importantly, the quality of care improved, with 85% of HHG’s services now rated as Good or Outstanding and a 9.6/10 score on carehome.co.uk.
Effective communication and employee engagement have not only stabilised HHG but also created a more resilient and thriving organisation for the future.