HR has changed significantly in recent years, particularly in the wake of the pandemic, which presented new challenges and caused a major shift in organisational cultures as HR teams had to quickly adapt and evolve.
As more and more people evaluate their work-life balance, what does the future hold for HR as we head into 2023? In this article, we have lined up 5 HR trends which will improve recruitment and boost staff retention.
1. Flexibility is here to stay
Hybrid working has become a buzzword since the pandemic as remote working has become commonplace. The digital transformation has allowed employees to collaborate and maintain contact with colleagues via platforms such as Teams and Zoom.
Employees have since proved it possible to work efficiently remotely, resulting in many companies ditching the office-based 9-5 model in favour of hybrid or flexible arrangements. These working arrangements have a lot to offer employees in terms of work-life balance, and The Great Resignation has demonstrated that workers are ready to move jobs if their employer does not agree to some form of homeworking.
2. Investment in mental health and wellbeing programmes
The COVID pandemic has resulted in employee mental health and wellbeing becoming a top priority for employers as more organisations are now investing in wellbeing programmes and Mental Health First Aiders to promote a healthy working environment.
With the current cost of living crisis, it’s reasonable to assume that anxieties and work-related stress will rise further as people worry about their health, family, and jobs. It is therefore vital that organisations develop a workplace culture that supports employee health and wellbeing.
This trend is expected to grow as we head into 2023, as HR teams continue to develop strategies to remove the stigma surrounding mental health and foster a workplace culture that will positively impact on the mental and physical health of employees, thereby improving team productivity and overall business performance.
3. Employee experience isn’t just about a pay rise or free lunch
A competitive salary isn’t always enough to attract and retain the best talent. Employee expectations are now changing as more people evaluate their work-life balance, which can prove challenging for talent acquisition teams.
Free lunches and free parking are now considered less favourable ‘perks of the job’, as organisations are now offering more attractive benefits such as retail discounts, cycle to work schemes and flexible working or a 4-day week. Employee assistance programs are increasingly important as employee mental health and wellbeing becomes more of a priority.
Employees who feel appreciated are usually happy and proud of what they do and who they work for. Meeting the needs and expectations of your workforce has several benefits including job fulfilment and engaged and productive employees, which in turn helps lower absenteeism rates.
4. Don’t underestimate the value of stay interviews
Exit interviews are often seen as ‘too little too late’ by the employee, with reasons cited for leaving usually preventable by the employer. A stay interview on the other hand is a conversation with current employees to find out what they like about their job and the organisation they work for, and what might cause them to leave. They can provide valuable feedback and a clear indication of employee morale and wellbeing.
Effective stay interviews should be conducted following the onboarding process and continued at regular intervals. It is important to ask thoughtful questions and listen carefully to what employees have to say. Find out what motivates and excites them. What challenges are they faced with? What skills are not being utilised? What can be done to improve employee experience? These are just some ideas to help identify and address any underlying problems before they become a larger problem.
Stay interviews are just as important as exit interviews. They build trust and employee loyalty. By understanding why your employees choose to work with you will not only improve the employee experience, but also help retain existing talent.
5. Spotlight on diversity, equality and inclusion
Diversity, equality and inclusion (DEI) is an ongoing trend but there is still significant room for improvement. Promoting and encouraging DEI in the workplace has many benefits including:
- Increased business performance and profitability
- Improved collaboration and creativity
- Improved talent acquisition and retention
- Enhanced brand recognition
To create a diverse, equal and inclusive workplace where all employees feel valued, it is essential that organisational leaders effectively promote, manage and implement DEI policies to deliver results and eliminate unlawful discrimination. Any unfavourable treatment on the grounds of a person having a protected characteristic such as race, age, gender, or disability can lead to potential consequences including costly legal action (with unlimited compensatory awards in the Employment Tribunal), as well as damaging company reputation.
DEI is now more important than ever, and this trend will remain throughout 2023 as organisations continue to invest in creating a workplace where no one is left behind.
If you are a business owner or HR professional and need assistance implementing strategies relating to anything mentioned in this article or have any other HR/Employment Law issues you would like to discuss, please contact us on 01942 727200 or email email@example.com and speak to one of our qualified experts.