Are you facing tough decisions about the future of your business, whilst trying to plan for a peaceful and happy retirement? As clients approach retirement and begin planning for the future of their business, they have many questions about the options available to them that will allow them exit from their company whilst unlocking its value in a tax efficient way. Liquidation can often present as a strategic option—especially when there’s no successor or potential buyer in place. This option requires careful navigation of the liquidation process, particularly when it comes to Capital Gains Tax reliefs. In this blog, will explore the key reliefs available to retiring shareholders, which we discuss with clients when guiding them through a liquidation. Tax Considerations When a company is liquidated, the distribution of assets or cash to shareholders is treated as a disposal or part disposal of the shareholder’s shares, which are considered chargeable assets for Irish Capital Gains Tax (“CGT”) purposes. This distribution is classified as a capital distribution, meaning Irish CGT may apply if the proceeds received from the disposal exceed the base cost of the shares. In such cases, two key Irish tax reliefs can help reduce the Irish CGT liability: Revised Entrepreneurial Relief; and Retirement Relief. These reliefs are particularly relevant in liquidation scenarios, offering shareholders potential tax savings when winding down the company and distributing its assets. Revised Entrepreneur Relief A common question is whether Entrepreneurial Relief applies during a company liquidation, a scenario not explicitly covered in Irish tax legislation. Generally, capital distributions made to shareholders during liquidation do not qualify for relief, as the company is typically not considered a “qualifying business” at the point of liquidation. Even when a liquidator is appointed, the company may not be actively trading or may have significantly reduced its operations. However, Irish Revenue offers a limited concession in its CGT Tax and Duty Manual. They state that relief can apply if the company was conducting a qualifying business until the liquidator’s appointment and if the liquidation is completed within a reasonable timeframe. Specifically, if the liquidation is finalised within two years of the liquidator’s appointment and the company was still trading up to the point of the liquidator being appointed, relief may be available, provided all other conditions are met. Notably, this concession does not apply to holding companies, as they do not operate a qualifying business before liquidation. Retirement Relief There are two types of Retirement Relief, depending on whether you dispose of your business or farm to your child or someone outside your family (such as a liquidation). Normally for the relief to apply your company must be a trading company. However, Section 598(7) of the Taxes Consolidation Act 1997 (“TCA 1997”) specifically provides for Retirement Relief to apply in the case of a liquidation. The following conditions must be met to qualify: The disposal must be made by an individual, not by a company. The disposal must involve qualifying assets, such as business assets or shares in a family company. The qualifying assets must have been held for at least 10 years immediately before the disposal. The individual must be aged 55 or older, with relief reduced if they are over 70. In the case of family company shares, the individual must have served as a working director for at least 10 years, with at least 5 years in a full-time capacity. Relief may apply to holding companies in certain circumstances unlike entrepreneurial relief above. In the event a company’s liquidation distribution consists solely of assets, without any cash or if the proceeds exceed €1 million, Retirement Relief and marginal Retirement Relief may not apply. The appointment date of the liquidator is often considered the effective date for the disposal of chargeable business assets, meaning any assets held on that date will be included in the disposal. Revenue provides a concession, however, allowing assets sold within six months of the date of the liquidator’s appointment to be included in the calculation of chargeable business assets. This applies to both business and non-business assets. However, since this is only a concession, it’s important to handle these situations with caution.   At UHY FDW, we offer expert guidance on the tax implications and planning strategies for company liquidations. With a deep understanding of the tax considerations during liquidation, and many years of experience providing these services, we are well-positioned to ensure the process runs smoothly and efficiently. It can take time to implement an exit strategy such as a liquidation but with proper planning, a liquidation can be structured and timed to maximise tax efficiency. If you need support with planning your retirement, our team is ready to assist, simply reach out to us using the form below.

Budget 2025 was announced today, Tuesday 1 October, by the Minister for Finance, Jack Chambers. Ahead of a general election in 2025, Budget 2025 provided a crucial chance for the Government to aid businesses and individuals grappling with rising costs in recent times. With a Budget package of €10.5bn, workers and households emerged as the primary beneficiaries with a “something for everyone” approach. While there was some support for private businesses, it lacked substantial tax measures to help them manage increasing costs, regulations, and complexities. More pro-growth initiatives are necessary to encourage entrepreneurship. Budget 2025 also sought to boost Ireland’s competitive position on the global stage and address infrastructural limitations amid global uncertainty and competition for inward investment. Budget 2025 contained significant additional investments in housing, energy and transport which are very welcome announcements however there is much more to do that will require the ongoing commitment from the next Government. Check out our in-depth Budget 2025 Summary to find out how Budget 2025 will affect you and your business. There may be further changes in the Finance Bill next week, so ensure to keep an eye out for further updates from our team. If there are any items you wish to discuss with our team, just give us a call on +353 42 933 9955 or email info@fdw.ie

Managing Partners in leading Accountancy & Business Advisory practices discuss activity, in-demand service lines, and the business outlook UHY FDW was recently featured in Business Plus magazine for our contribution to their survey of Ireland’s leading accountancy and business advisory firms. Our Managing Director, Alan Farrelly, provided insights into our firm’s growth and how the current economy is affecting business in Ireland. Read Alan’s insights in full and access the full magazine here “2023 was a busy year for UHY Farrelly Dawe White, with growth of 16% placing us in the Top 20 firms in Ireland and in the Top 15 firms in UHY globally. We committed to our people that we would set in place a strategic plan that would have a clear emphasis on our purpose, values and behaviours. That has allowed us a clear plan towards our strategic objectives through to 2028. Our purpose is to Achieve a Better Future together, for our people, our clients and the greater community.” – Alan Farrelly, Managing Director, UHY Farrelly Dawe White Limited – Business Plus March 2024 How UHY FDW can help If you need any assistance with your ICOB grant application, our team can help you #2024 #BusinessPlus #LatestTopics #PR

Increased Cost of Business (ICOB) Grant The increased cost of doing business in Ireland has emerged as a pressing concern for businesses across various sectors. Factors such as rising rents, labour costs, and regulatory compliance expenses have contributed to the overall burden. As a result, companies operating in Ireland are grappling with the challenge of maintaining competitiveness while navigating the economic landscape shaped by these rising costs. The Increased Cost of Business (ICOB) grant in Ireland, which was announced by the Government as part of Budget 2024, represents an important step by the Department of Enterprise, Trade and Employment (DETE) in supporting businesses most affected by the burden of increased costs. The package signed off by the Government was €257m for the Scheme in which eligible small to medium sized businesses can apply to receive a once-off grant payment, based on their Commercial Rates bills. How does the ICOB grant work? This grant is available to eligible business owner’s and will be based on the value of their Commercial Rates for 2023. The scheme will be administered by the local authorities, funded through the DETE. How much is the grant? The grant is based on the value of the Commercial Rates bill received by an eligible business in 2023. For qualifying businesses with a 2023 Commercial Rate bill of <€10,000, the ICOB grant will be paid at a rate of 50% of the business’s Commercial Rate bill for 2023. For qualifying businesses with a 2023 Commercial Rate bill of between €10,000 and €30,000, the ICOB grant will be €5,000. Businesses with a 2023 Commercial Rates bill greater than €30,000 are not eligible to receive an ICOB grant. What businesses are eligible to receive the grant? The following are the main qualifying criteria: Your business must be a commercially trading business currently operating from a property that is commercially rateable. Your business must have been trading on 1st February 2024 and you must intend to continue trading for at least three months from the date you verify your information. You must provide confirmation of your bank details. Your business must be rates compliant. Businesses in performing payment plans may be deemed to be compliant. Your business must be tax compliant and must possess a valid Tax Registration Number (TRN). Businesses who do not have a rateable premises are not within the scope of this scheme. This scheme is a grant not a rates waiver, rates should continue to be paid to local authorities. How do I avail of the grant? Local Authorities are currently in the process of developing systems to manage the submission of essential information. These systems are due to be available in mid-March and each Local Authority is to provide a contact number and, in some cases, a dedicated email address for any queries from businesses. Further guidance will be issued to commercially rateable businesses in the next few weeks. For further information keep an eye on your local county council website. What is the closing date? The closing date for businesses to confirm eligibility and to upload verification details will be 1st May 2024. How UHY FDW can help If you need any assistance with your ICOB grant application, our team can help you Local Authorities The Local Authorities are in the process of putting a system in place to roll-out the grant. Information on the Scheme is currently being placed on Local Authorities websites. Below are some examples of the information available from your Local Authority: Louth County Council Meath County Council Cavan County Council Dublin City Council South Dublin County Council Fingal County Council Dún Laoghaire-Rathdown County Council Kildare County Council  Westmeath County Council  #2024 #LatestTopics #BusinessSupport #GrantScheme #Grant

The government has designed an auto-enrolment pension investment scheme for employees, which will take effect on 1st January 2025. This scheme has been designed to encourage employees to save for their retirement and make it more straightforward for businesses to offer a workplace pension option. Currently, only approximately 35% of employees in the private sector have a supplementary retirement saving scheme. This means that they will be relying on the state pension when they retire. Employees who meet the following criteria will be auto-enrolled: earning over €20,000 per year, aged between 23 and 60 who aren’t already in a pension scheme People earning less than €20,000 per year and who are aged outside the 23-60 bracket will be able to opt in, as long as they aren’t already in a pension scheme. Contributions will be phased in so that everyone can get adapt to the new system without a steep change in income. Employees will be able to leave the system or pause their contributions under certain circumstances, but will be automatically re-enrolled after two years if they are still eligible. An independent body, the Central Processing Authority, will be set up to administer the scheme and look after participants’ best interests. What auto-enrolment scheme means for employers All of your employees meeting the eligibility criteria, who do not already have a pension scheme will be enrolled into the auto-enrolment pension. You will need to ensure that your payroll can take instruction for enrolment, calculate and pay employee and employer contributions to the Central Processing Authority. You will be required to match members’ contributions up to an eventual maximum of 6% subject to an earnings threshold of €80,000 Employer contributions will be deductible for corporation tax purposes. If you fail to meet your auto-enrolment obligations as an employer, you will be subject to penalties and possibly to prosecution. How much it will cost employer contributions will start at 1.5% of gross pay in year 4 they will increase to 3% in year 7 they will increase to 4.5% in year 10 they will increase to the maximum rate of 6% contributions will be fixed and employees or employers won’t be able to contribute less or more than the set rate Benefits for employers not having to pay to set up a company pension scheme not having to administer a company pension scheme ensuring that employees are looked after increased competitiveness and attractiveness as an employer employer contributions will be deductible for corporation tax purposes Why employers are being asked to contribute from a market/consumer demand perspective, ESRI research indicates that auto-enrolment will be good for the economy in the long-term, as retired people will have more money than they would have otherwise. This will help to sustain consumer demand and business revenues the employer contributions reflect these benefits and recognise that employers benefit from employees having retirement income security and a greater sense of wellbeing pension provision is not a matter that can be left to employees or the state alone. It is an important element of a tri-partite social contract in a developed economy, recognising that making provision for retirement income is a cost that should be shared between all parties that benefit The Government of Ireland website, gov.ie, has a useful auto-enrolment guide for employers, which you can view here We will keep you up to date on any new details about these requirements as the information becomes available. In the meantime, if you would like to speak to once of our payroll specialists please contract us at info@fdw.ie with your contact details and we can arrange a consultation. Ensure you are subscribed to our mailing list to keep up to date on all developments in relation to this and other technical and industry news. For more information visit Revenue.ie Source: Gov.ie #2024 #LatestTopics #Payroll #TAX

The Sick Leave Act 2022 became law in July 2022 and came into force from 1 January 2023. From 1 January 2024 employers are required to provide 5 days of statutory sick pay leave per annum. Statutory Sick Pay (SSP) is a payment paid by employers to employees who are unable to work due to illness or injury. SSP is paid by the employer of 70% of normal pay up to maximum of €110 a day. Sick pay leave is in addition to other leave including annual leave, public holidays, maternity, and parental leave. This scheme started with 3 days in 2023 and will increase to 10 days or 2 working weeks in 2026. To be entitled to SSP, the employee have to worked for the company for at least 13 weeks. Sick pay leave runs from 1 January to 31 December. Both full-time and part-time employees are entitled to SSP. The entitlement to paid sick leave is being phased in: 2023 – 3 days covered 2024 – 5 days covered 2025 – 7 days covered 2026 – 10 days covered Sick days can be taken as consecutive days or non-consecutive days. What is the difference between sick pay and statutory sick pay? Statutory sick pay is limited to a specified number of days per year and is subject to additional criteria such as length of service The Sick Leave Act 2022 sets out the criteria for employers to determine whether their existing sick pay scheme is more favourable than the proposed statutory provisions as follows: The length of service before an employee becomes eligible for paid sick leave The period for which the sick leave is payable The number of days of absence that accrue before it is payable The amount of sick pay payable The reference period for comparison Employers may already operate their own sick pay scheme under their contract, and they only need to take action if their terms are less favourable. How to qualify for sick pay? Be an employee Have worked for your employer for at least 13 continuous weeks before you are sick Be certified by a GP as unable to work An employee can get sick pay if they are: On probation Undergoing training (interns) An apprentice An agency worker Can an employee get sick pay if they am a part-time employee? Yes, both full-time and part-time employees can avail of SSP. Can an employee get sick pay if they have more than one job? If an employee has more than one job, you are entitled to get 5 days of sick pay from each job They have to work there for at least 13 weeks Is statutory sick pay taxable? Statutory sick pay is treated in the same manner as normal pay Does an employee need a medical certificate to get sick pay? The employee must be registered by a GP to qualify for statutory sick pay They should be certified from day 1 of their sick leave They have the right to SSP from the first day they are on their sick leave How is sick pay calculated? Statutory sick pay is paid based on a proportion of the employee’s income (normal daily pay). They are entitled to 70% of their normal pay, up to maximum of €110 a day. What is normal daily pay? Normal daily pay includes any regular bonus or allowance which does not change from week to week (but excludes overtime or commission) If the employee’s pay changes from week to week (for example, because of regular bonus payments or allowance), their SSP is the average of their pay over the 13 weeks before you are on sick leave How is normal daily pay calculated for part-time workers? For part-time workers the daily pay is based on work pattern. If an employee works: A set number of hours  (for example, they work 4 hours every work day) at a fixed rate , then they get either €110 or 70% of their normal daily pay – whichever is lower Variable hours at a fixed rate , then they get either €110 or 70% of what you would have earned on the day they were sick – whichever is lower If their work pattern does not fit into category (a) or (b) above, then they get the lower amount of either €110 or their average hourly rate. To get their average hourly rate they: Divide their total pay over the past 13 weeks by their hours worked THEN Multiply this by the hours they were scheduled to work on the day they were sick What if an employer already has a sick pay scheme? An employer may offer their employees more generous sick pay arrangements under its own scheme The scheme must be more favourable, when viewed as a whole, than the statutory sick pay scheme if it is to apply Can an employee receive SSP and sick pay from an employer’s scheme? An employee cannot get the SSP on top of the benefits from their employer’s scheme If the employer has their own sick pay scheme that offers more generous benefits than SSP, the employee should be paid under those arrangements What if the employee is off sick for less than 5 days? If the employee is off work sick for less than 5 days, the unused days can be used for any other sick period, up to a maximum of 5 total days in a calendar year How does sick leave affect illness benefit? If an employee is off work sick for more than 5 days, and they have enough PRSI contributions, they can apply to the Department of Social Protection (DSP) for a payment called Illness Benefit Illness Benefit starts from day 6 of illness What if the employee is sick again? If the employee has already used 5 days of statutory sick leave in 2024 and you are still sick in the same year, they can get Illness Benefit from day 4 of their illness (waiting time 3 days). An employee’s employment rights are protected during sick leave, they are treated as being in employment while on sick leave. What if an employee is off sick during public holidays? Full-time If an employee works full-time and they are on sick leave during public holidays, they can get sick pay or Illness Benefit It is up to the employer if they will or will not count a public holiday as a sick leave day Part-time If an employee works part-time and they are on sick leave during public holidays, they are entitled to time off work for a public holiday, only if they have worked at least 40 hours over the previous 5 weeks Exceptions An employee is not entitled to pay or time off for the public holiday if they are on sick leave immediately before the public holiday, and either of the following apply: They have been off work for more than 26 weeks due to an ordinary illness or an accident They have been off work for more than 52 weeks due to an occupational accident Our UHY FDW payroll specialists can assist our clients with queries you may have in relation to SSP or any other payroll matters. Please contact the team on 042 933 9955. Have you considered outsourcing your payroll? If you would like any information on this, please email payroll@fdw.ie or complete the form below. Our other payroll related articles:  Auto-Enrolment Statutory Sick Pay – 2022 Article #2024 #Payroll #StatutorySickPay #UHYFDWTeam

The ECCT Act 2023  Having gained Royal assent, the ECCT Act 2023 aims to increase accuracy and transparency with regards to the information held on registers in an attempt to aid economic growth and to reinforce the battle against economic crime. These changes will impact upon the roles of new/existing directors, those who file on behalf of a company, and people with significant control of a company (PSCs). The first changes came into effect on 04 March 2024 and are as follows; Registered Office Address A PO Box will no longer be appropriate as a registered office address A document addressed to the company is expected to be brought to the attention of a person acting on behalf of the company with the capability of acknowledging the delivery If an address is not deemed appropriate, it will be changed to a Companies House address The company will then have 28 days to submit an appropriate address with proprietary ownership evidence, otherwise the strike-off process will begin Statement of Lawful Purpose When a company is registered or incorporated, the subscribers must confirm the formation is for a lawful purpose. The annual confirmation statement will now contain a confirmation that “intended future activities are lawful” Email Address Companies House now intend to communicate directly with companies via a generic company email address that will find the attention of a person acting on behalf of the company and is not privy to change following in the case of a change in personnel (the email address will not be made public). Companies House Powers Ability to question/remove information which is deemed to be incorrect or fraudulent Greater checks on company names which may mislead members of the public Use of data matching to identify inaccurate information Ability to annotate the registers to inform users where there are potential issues Failure to respond to a Companies House formal request may result in prosecution, annotation of the company’s record, or financial penalties. Further changes to come into action throughout 2024 Identity Verification New companies will be required to verify the identity of all directors and people with significant control (PSCs) directly with Companies House or via an authorised agent (accountants, solicitors, company formation agents) Fees – effective 01 May 2024 Increases in price for all transactions, likely to have a more substantial effect on group companies Our UHY FDW corporate compliance specialists can assist our clients with queries you may have in relation to the ECCT Act 2023 or any other corporate compliance matters. Please contact the team on +353 42 933 9955. Have you considered outsourcing your compliance requirements? If you would like any information on this, please email info@fdw.ie or complete the form below. #2024 #CorporateCompliance #ECCT #UHYFDWTeam

ORGANISATIONS THAT TRADE ACROSS BORDERS FACE A COMPLEX AND EVOLVING NETWORK OF LOCAL AND INTERNATIONAL REGULATIONS. Keeping a portfolio of global entities in good legal standing requires expertise, investment and an eye on upcoming developments. Companies naturally have to abide by the rules and regulations of the country in which they headquarter, but those which operate across borders also have to comply with jurisdictional rules. Increasingly, multinational businesses have to observe a growing set of international regulatory standards, monitored by organisations like the Organisation for Economic Cooperation and Development (OECD) and the Financial Action Task Force (FATF). This network of sometimes disparate, sometimes interlinked, laws creates a huge amount of complexity. Global subsidiary management is considered a cost centre for business, but the need to meet the requirements of this spider’s web of rules means it is one that is becoming increasingly important to the overall health of international organisations. With that in mind, it is no surprise that surveys suggest the pressure on companies to remain compliant is growing, and with it the cost. Research for LexisNexis found that the cost of financial crime compliance had risen to USD 274.1bn in 2022, up from USD 213.9bn in 2020. Financial crime is only one of several compliance areas that cross-border businesses have to consider. Others include privacy, data protection, labour, direct and indirect taxation and, increasingly, Environmental, Social and Governance (ESG) factors. None of it is getting easier. Read the full article in our publication UHY Global – Issue 17 “A global network of professional services providers can offer a vital support system to help clients meet local and international regulations,” says Franklin Bendoraytes, UHY Bendoraytes & Cia., Brazil. “UHY member firms bring specialised knowledge to navigate complex legal landscapes, utilise advanced technologies that can automate compliance processes, conduct regular audits and assessments, and create tailored compliance strategies that align with specific industry needs.” Contact our team to discuss compliance services and more – complete the form below. #2024 #CorporateCompliance #UHY #UHYGlobal

The Gender Pay Gap Information Act 2021 introduced the legislative basis for gender pay gap reporting in Ireland.  This Act means that employers must issue a report on the average hourly wage of men and women across their workforce. The regulations will affect businesses based on their size, as follows: More than 250 employees – the requirement to report on the average hourly wage of men and women came in 2022.  The reporting period is from July 2021 to June 2022 and the report must be issued by December 2022. More than 150 employees – the requirement to report on the average hourly wage of men and women came in 2024.  The reporting period is from July 2023 to June 2024 and the report must be issued by December 2024. More than 50 employees – the requirement to report on the average hourly wage of men and women will come in 2025.  The reporting period is from July 2024 to June 2025 and the report must be issued by December 2025. The legislation requires employers to report on the difference in remuneration between male and female employees in the following areas: The difference between both the mean and median hourly pay of male and female employees The difference between both the mean and median bonus pay of male and female employees The difference between both the mean and median hourly pay of part time male and female employees The percentage of male and female employees who received bonuses and benefits in kind. If a gap is identified from the report, the employer must also publish reasons for the differences in pay and the measures that are or will be in place to reduce the gap, or eliminate it. For 2024, the employer must publish the report on its gender pay gap information on its website or in such a way that is can be accessed by all its employees and the public.  It must be available for at least three years post publication.  For 2025, an online reporting system is being developed to form a central portal where all reports will be uploaded and will be available publicly. If the employer fails to publish a report, Circuit Court or High Court action may be taken by the Irish Human Rights & Equality Commission to force them to comply.  An employee of a non compliant employer may also refer the employer to the Director General or the Workplace Relations Commission. Our UHY FDW payroll specialists can assist our clients with queries you may have in relation to any payroll matters you have. Please contact the team on 042 933 9955 or info@fdw.ie . Have you considered outsourcing your payroll? If you would like any information on this, please email payroll@fdw.ie or complete the form below. Our other payroll related articles:  Auto-Enrolment Statutory Sick Pay Leave – Common Questions #2024 #GenderPayGap #Payroll #UHYFDWTeam

UHY FDW is delighted to have advised on the winning Mergers & Acquisitions SME deal of the year in the Finance Dublin Deals of the Year 2024 Awards. We were delighted to work with the shareholder and management team of Docket and Form International Limited (Dafil) on its sale to Mail Metrics Limited. Mergers & Acquisitions SME: Mail Metrics’ acquisition of Docket and Form International Mail Metrics Limited’s acquisition of Docket and Form International Limited is a winner in the Finance Dublin Deals of the Year 2024 Awards – Mergers & Acquisitions – SME. Read the Finance Dublin publication here “We are extremely proud to have advised on the winning SME deal of the year. The combination of both Dafil and Mail Metrics to form a leader in the outsourced customer communication sector in Ireland and we look forward to seeing Mail Metrics grow and prosper into the future.” – Derek Dervan, Head of Corporate Advisory “This recognition highlights our commitment to providing exceptional quality service to our clients. We have built a team of transaction professionals across our advisory and tax departments whose primary purpose is to help drive the success and growth of the businesses we serve. Our wealth of experience, combined with our international reach and our comprehensive approach to each client’s unique challenges, ensures that we deliver innovative solutions and strategic insights to achieve a better future together.” – Alan Farrelly, Managing Director Our UHY FDW corporate finance specialists can assist you any with queries you may have in relation to our corporate finance services. Please contact the team on 042 933 9955, info@fdw.ie  or complete the form below. #2024 #CorporateFinance #UHYFDWTeam

Turnaround is a Team Effort Every business, department or team has periods when things don’t go to plan. Targets may be  repeatedly missed. A marketing campaign delivers disappointing results. Team members either fail to give their best or their best seems some way short of good enough. In these circumstances, it is easy to leap to more negative conclusions. Did the campaign idea misfire? Maybe some employees are incompetent? Does the organisation need a wholesale restructure? That could be the case, but it rarely is. More often, underperformance is the result of confusion, miscommunication or a lack of motivation. In other words, it can often be turned around with a top-down commitment to better communication and making small but consistent improvements. IDENTIFYING THE ISSUES When things are not going well, one obvious conclusion is that people aren’t working hard enough. In reality, it is often the case that at least some employees are working too hard and staying too late. The first thing many successful businesses do during a period of underperformance is to promote better work/life balance. Nobody produces their best work when all they do is work. Counterintuitively, one of the solutions to underperformance might be for everyone to do a bit less but focus a bit more. After that, underperformance requires a review of the working environment, and particularly the way information moves up and down the chain of command. Are instructions properly communicated? Are they clear and relevant? Is there a way for those tasked with acting on instructions to ask questions or suggest refinements, and do managers listen to frontline staff? Do their line managers listen to them? Do individuals understand their role? Do they understand not just what to do, but how that fits in with the rest of the team or department? Do they know where to go with concerns or questions? Are they adequately trained for the job in hand? Do individuals take ownership? Do your people feel responsible for the successful completion of a task, or are they happy to ‘do their bit’ and leave anything else to others? Do they pass on useful information to other links in the chain and collaborate easily, or do teams and departments operate in a bubble? EFFECTIVE MANAGEMENT Once issues have been identified, leaders must act. That might mean creating more effective communication channels and encouraging their use. It might mean extra training for staff, more consistent messages around company culture, or even granting more autonomy to key individuals or teams. It might mean being more tolerant of honest mistakes. Whatever it is, it needs to be part of a strategy of continual improvement. Leaders should act quickly in the first instance, before inefficiency becomes a habit. Then they need to stay on top of the situation so better ways of working become part of company culture. That can be achieved in several ways: Keep in touch. At UHY we recommend making use of regular Keep in Touch (KiT) meetings. These should be held throughout the organisation, ideally in a face-to-face setting as often as possible. KiTs should be part of a smooth two-way communication channel. Managers might use a KiT to ask frontline staff to focus more on a particular issue. Frontline staff should be free to suggest better ways to achieve this, or even to ask for more resources. KiTs should be a conversation, not a confrontation. If an individual is clearly underperforming, KiT meetings should be a private and calm space to discuss the issues that might be impacting their work and suggest remedial action. That might include extra training, more flexible hours or clearer instructions from team leaders. KiTs can also be used for regular (weekly, monthly or quarterly, depending on the role) performance appraisals. When individuals are clear in what they have to do and confident in their ability to do it, teams and departments tend to work more effectively. To make sure that is true, use SMART goals (Specific, Measurable, Achievable, Relevant, and Time-Bound) to define and measure targets. CELEBRATE SUCCESS When you see underperformance as a symptom of suboptimal systems and processes – rather than the result of individual failings – the solutions become more obvious. Communication is key. Give everyone a stake in turning poor performance around. Keep on top of the challenges teams and individuals face and be open to their ideas for making things better. As results improve, celebrate success. Build incentives, offer rewards and recognise improvement. When the period for urgent action is over, survey your team and find out what they think is and isn’t working, and solicit their ideas. Sometimes, turning round underperformance requires more drastic action, but that should be a last resort. In most cases, implementing small, incremental and consistent improvements are all it takes. For more information, contact Alan Farrelly, Managing Director, UHY Farrelly Dawe White Limited alanfarrelly@fdw.ie #2024 #LatestTopics #ThoughtLeadership #UHY

Growing Appetite – Global Tourism Bounces Back The 18th edition of UHY Global magazine is now available to read online . UHY Global draws on current analysis and commentary, including input from UHY’s member firm experts across the international network, to provide insight for today’s global business community. This engaging, insightful and absorbing read explores the issues and challenges of international business, themes you may well be engaging with in this uncertain world. Topics explored in the new issue include our cover story – the remarkable resurgence of leisure travel which was all but devastated during the pandemic – as well as features covering the need for financial hygiene in subdued economies, member firm views on how to plan for cross border expansion and the mixed picture for real estate markets in Asia. We also feature a real estate client success story, an international property business – supported by our member firm in Spain, UHY Fay & Co – whose development in Costa Del Sol won a prestigious 2024 award for best luxury sustainable apartment living. Other content includes a round-up of global news and a celebration of people and firms  across our network. You will also find valuable information on the UHY network itself including service and contact listings. The print version is downloadable as a PDF from the UHY website publications page. Read it here . #2024 #UHY #UHYGlobal #UHYGlobalIssue