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| British business 'far behind US in terms of human capital return' |
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| Latest Recruitment News - HR and Recruitment Legislation News |
| Written by DirectNews Feed |
| Monday, 26 July 2010 00:00 |
 Businesses in the City of London and across Britain are failing to extract all the potential money they can from their people management techniques, new research has found.PricewaterhouseCoopers' Trends in Human Capital study has found that firms in the UK's business sector are far behind their counterparts in the US in this field. This research involved the analysis of data from more than 10,000 organisations in 40 countries around the world in order to determine how much profit is being garnered prior to taxation for every pound, dollar or euro being spent on remuneration packages. It found this figure - which is known as human capital return on investment (HC ROI) - to be significantly higher across the Atlantic over the last eight years or so in comparison to Britain and the rest of Europe. Richard Phelps, human resources services partner at PricewaterhouseCoopers, commented that firms in the UK need to find other methods of improving their staff returns in order to "compete globally". Meanwhile, business secretary Vince Cable last week (July 20th) assured the country's financial sector that the government will encourage investment over the coming years. Posted by Mary King 
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