5 employer decisions that will change work
For HR leaders who are looking for ways to gain that competitive edge, soliciting employee feedback and responding to their needs will be the key to making the right moves.
From more flexible work arrangements to revamped benefits packages to a renewed focus on people-centric policies, employers have made many significant adjustments in the workplace over the past few years to accommodate evolving employee expectations. The social contract between employers and employees has changed profoundly, and it will continue to evolve in the coming months and years.
A Pew Research Center survey of people who had quit their jobs during the pandemic found that 45% cited a need for greater flexibility as a factor in their decision. Even more said they left because they felt disrespected or perceived a lack of advancement opportunities. Microsoft’s 2022 Work Trend Index annual report found that more than 40% of employees plan to leave their positions in the coming year.
Even as the pandemic recedes, the workplace continues to evolve, and that’s an opportunity for HR leaders who anticipate emerging trends to create a workplace that employees find more responsive and satisfying. Here’s an overview of five ways work will change in the coming year, and tips on how you can get ahead of the changes to successfully attract and retain the right talent.
- Employers will rethink their relationship with employees. As they compete for skilled workers, more employers are questioning fundamentals, including long-standing programs and processes that may no longer work in a transformed workplace. “We’ve always done it this way” isn’t a good excuse for continuing down the same path, so employers are reconsidering every aspect of the employee experience, including new hire procedures, frontline manager training, benefits and more, looking for opportunities to meet employee needs.
To succeed in creating a better employee experience, it’s important to listen to employees and center their values. This could mean offering perks like fitness programs or childcare assistance if that’s what their workforce wants. It could also mean aligning the brand values with employee values by focusing on sustainability and/or expressing their jointly held values through community improvement initiatives.
- Employers will take new steps to retain Finding a replacement for an employee can cost a company anywhere from one-third to two or three times the departing employee’s salary. That’s a powerful incentive for employers to do more to keep current talent on board, so in the coming months, look for company leaders to ramp up retention efforts.
New retention measures could include investing more in current employees in a financial sense but could also include engagement strategies like offering more development opportunities, coaching employees on specific jobs to expand career options, posting open positions internally and finding other creative ways to give staff new experiences.
- Employers will cast a wider net for talent by considering flexible employment types. Now that business leaders have proof that many types of jobs don’t have to be done in a central location, some are making remote work a standard to eliminate facility costs and expand the pool of available talent to include candidates who reside in other countries. With expert guidance on local employment and taxation laws, employers can build a truly global workforce.
Employee classifications are another option employers can use to reimagine the talent pool. Offering work on a contract or part-time basis can also cast a wider net for qualified employees. When employers think beyond the standard full-time employee classification, they can attract job candidates who are proactively seeking gig work or part-time positions.
- Employers will deploy more automation technology. Automation has two benefits: it streamlines the workload, particularly when it comes to manual and/or mundane tasks, so it makes the employee experience more enjoyable. It also raises productivity, which benefits the company. For these reasons, look for more employers to expand their use of automation across all facets of the business, giving employees more time to focus on engaging work.
Automating monotonous tasks, like completing expense forms, can give employees more time to deliver great service to customers. When managers are freed from the burden of filling out reports, they can spend more time coaching employees. Investing in platforms that enable on-demand training on personal devices can help employees improve skills. These are just a few of the ways automation contributes to a better experience and expands access to resources.
- Employers will embrace flexible working. Some CEOs want everyone back in the office, whereas others found higher productivity during pandemic lockdowns revelatory and are exploring ways to let employees work in the ways that suit them best. CEOs may disagree, but the consensus among employees is clear — they want maximum flexibility, and they factor the choices prospective employers offer into decisions they make about where to work.
In the year ahead, employers will weigh their options, and many will embrace flexible working. The best strategy is to identify what the business needs to reach its objectives and explore the full array of options available to accomplish those goals. Often flexible working that gives employees the option of working offsite or non-traditional business hours so they can tend to family obligations, etc., works best for employees and employers.
With much economic uncertainty in 2023, competition for talented employees remains fierce, and companies that offer maximum flexibility have an edge over competitors who insist on standard office hours onsite for jobs that can be done remotely. Businesses that allow employees to work in any way will continue to have an advantage in the months ahead.
Related: Employee wellbeing: 63% of employers say it’s more important since COVID
For HR leaders who are looking for ways to gain that competitive edge, soliciting employee feedback and responding to their needs will be the key to making the right moves. Business decisions that improve the employee experience, provide more development opportunities, match employee classification to desired worker experience, deploy automation and expand flexible working will change work in 2023.
Katherine Loranger leads Safeguard Global’s people strategy and development.