Since the Great Resignation that followed the pandemic, employers have had to work harder than ever to make their companies worth working for, especially to attract and retain top talent. This challenge is now compounded by rising employment costs and sweeping legislative changes.
The Autumn Budget 2024 increased the National Living Wage and raised employer National Insurance contributions to 15%. Additionally, the threshold for employer NI contributions was lowered from £9,100 to £5,000, significantly increasing payroll costs for many businesses.
Meanwhile, the Employment Rights Bill 2025, expected to receive Royal Assent in November, will introduce a raft of changes between 2026 and 2027. These include day-one protection from unfair dismissal, statutory sick pay from day one, and a right for zero-hours and low-hours workers to be offered guaranteed minimum hours in certain circumstances.
While designed to improve employee wellbeing and job security, these changes will also increase the administrative and financial burden on employers. In this context, employee retention is not just strategic but essential. A compelling Employee Value Proposition (EVP) is one way to demonstrate the value placed on employees. Embracing outsourcing and nonstandard employment as part of this strategy can help organisations stand out, manage costs, and foster a more resilient and positive company culture.
“In the quest to distinguish your EVP, an unconventional yet increasingly valuable partner is an outsourcing team, such as Bay Tree. As a fractional style of resourcing becomes the norm, there is more opportunity for creativity in your employee retention strategy,” suggests Jane Cattermole, founder of Bay Tree VA.
Outsourcing doesn’t just offer operational support, it can also enhance company culture by promoting flexibility, reducing burnout, and showing employees that their wellbeing is prioritised.
Here are three ways a VA can enhance your retention strategy, providing a resource without increasing your headcount:
1. Promoting Work-Life Balance
Forbes highlighted that the best leaders are those who can ‘switch off’ completely to recharge. Yet many employees hesitate to take breaks, fearing the backlog they’ll return to. The addition of a complementary resource, without increasing headcount, can maintain productivity and manage tasks in their absence. This not only encourages healthier work habits but also signals a culture that values rest and recovery, which is increasingly important to today’s workforce.
2. Rewarding Employees in Meaningful Ways
While bonuses and perks are appreciated, meaningful rewards often come in the form of time and autonomy. Delegating routine or time-consuming tasks to outsourced support can free up employees to concentrate on their area of expertise, pursue professional development, passion projects or volunteer – boosting morale and engagement. It also reinforces a culture of trust and empowerment, where employees feel supported in growing both personally and professionally.
3. Supporting Wellness and Resilience
Life’s challenges don’t pause for work. Whether it’s illness, caregiving responsibilities, or mental health struggles, employees need support. An outsourced resource such as Bay Tree VA can act as a multifaceted work buddy, bridging productivity gaps and providing backup during tough times. This helps prevent burnout and long-term absences, while also cultivating a compassionate and adaptable workplace culture.
Claire Angus, Head of Recruitment and Account Management at Cambridge Network, comments: “The idea of incorporating outsourcing as part of a company’s EVP is intriguing and something few organisations will have considered. When weighed against the cost of replacing a key employee or managing long-term absences due to stress or burnout, the flexibility and affordability of an outsourcing solution such as Bay Tree becomes clear. In light of rising employment costs and new legal obligations, outsourcing offers a scalable, compliant, and human-centred way to support your team.”
As we move into a new era of employment law and economic pressure, creative resourcing strategies like integrating outsourcing into your EVP could be the differentiator that keeps your best people engaged, supported, and loyal while also nurturing a positive, forward-thinking company culture.
For further information email standingby@baytreeva.co.uk. Thank you to Cambridge Network for partnering with Bay Tree VA for this article and research.
This article first appeared in IQ Magazine, Cambridge February 2024, updated November 2025.
« Unlocking the power of Microsoft Copilot – Train with Bay Tree VA | Recruitment and the Winter Freeze: Why outsourcing is gaining ground »
Join our growing network.
Sign up to receive updates, news and tips & tricks from Bay Tree VA to work smarter.
Join our growing network.
Sign up to receive updates, news and tips & tricks from Bay Tree VA to work smarter.
