Duncan bannatyne, one of the region's best-known entrepreneurs, answers readers' questions about making progress in business.

QI read an article today talking about the UK's massive pensions shortfall and it has got me thinking about my own financial plans for the future. I am only 30 years old, but already this issue is really worrying me and the financial future looks really bleak. What do you think?

AMany people are having sleepless nights about this issue and understandably so. If you are unsure, seek advice from an independent financial advisor - in fact it may pay to go to two or three to get a balance of opinions. Many people believe they are paying enough into their pensions but are actually way short - find out what is an acceptable level for somebody of your age and income. But last of all, stop worrying yourself and start enjoying life instead. If pensions are going to drop through the floor, there is nothing anybody can do about it so you may as well just seek the best advice you can and get on with things.

Q I have a problem in my business which, although it seems trivial, is starting to cause real friction. One of the members of my small administration team has a serious body odour issue, which is causing real discontent among other members of staff. The person in question is a good worker in all other aspects and I do not want to risk upsetting them, but we all work in a small office and the smell gets really bad at times. What would you suggest?

A You would be amazed how often this issue crops up and there are two possible explanations. Firstly, the person with the problem may not be aware of it, or they may know about it but simply not care. Your only choice is to sit down with them alone and ask them outright. Be open and honest about it, tell them they are a great worker but explain that their personal hygiene is something that cannot be ignored in a small office and you would appreciate them doing something about it. If there is an underlying medical condition - which there sometimes is - then the problem may be here to stay, at which time you may need to start focusing your priorities on introducing a new ventilation system.

Q Given the continued currency fluctuations, including the strength of the pound against the dollar, I wondered what your opinions were on whether the UK should opt to join the euro at some point in the near future?

AThis is a subject that just will not go away. Many business people are right to be concerned about this issue. Invariably when we get any currency fluctuations these days, the question of joining the euro rears its head. My opinion on this is, if it isn't broke, don't fix it. The UK economy continues to outperform countries in the eurozone and I think this is because, on balance, the Bank of England has made decisions on interest rate levels that are right for our economy. The benefits of joining the euro may one day become more apparent but, until they do, I think UK plc is doing just fine for now.

Q My business profits are on the slide. Cutting staff costs is an area that I have identified as the quickest route to getting things back on track. However, all of my staff are vital to the functioning of the business. My plan is to make some of them redundant, let them apply for some new positions I plan to advertise, then take them back on at reduced terms. Could I get away with this?

AThis is a crazy idea - you would be unfairly punishing good workers. Make no mistake, you will be dragged down to an employment tribunal before you can say controversial. If you pressed ahead with such a hare-brained plan, the impact on the morale of your staff would hit rock bottom and I have no doubt you would see your profit line heading even further south

Published: ??/??/2003