Are higher-paying jobs able to address problems with retention and recruitment?
Another year with a new set of challenges at work. The shortage of talent, as well as the cost of living issue and increasing demands from employees, have created an extremely uncertain job market, one that employees now manage. This is affecting HR personnel across the country as they attempt to attract and keep the best talent in the current economic environment.
However, with many more jobs than people and the inflation rate soaring and rising, the question is: do we still have a cash-based economy? Our report on HR for 2023 showed that while certain industries have provided employees with a blanket increase in their pay in line with inflation mon, it simply isn’t enough to ensure that employees are happy.
Money used to make a deal
Though 38 percent of the respondents reported that they had offered their employees a general raise in response to the rising cost of living crisis, employee turnover remains the most significant issue facing HR departments this year.
In the old 9-5 working days, there were not many negotiating aspects of how people were employed. They worked at regular times and were paid accordingly, according to their position, experience, and responsibilities. So, “money talked,” and the pay was crucial to hiring and keeping employees.
There are a variety of factors and a variety of options, meaning that it’s not all about money – certainly for workers of today who were affected by the pandemic that swept through the workplace.
Are monetary employee compensation and higher-paying jobs still the primary elements in attracting new employees?
Of course, the salary is a major aspect for people seeking new opportunities; however, it’s evident there’s been a significant shift in expectations and requirements of employees in terms of working.
The outbreak was a moment in which a better life balance and greater work-life balance were considered at the same level as an average monthly income. The survey conducted by PwC’s workforce proved that, with nearly two-thirds of respondents seeking more fulfilling jobs and higher wages.
Our research confirms how HR managers are aware of this and take salary, flexible hours, and hybrid work as the most important factors in attracting talent in the future.
What else can organizations do to draw and keep the best talent?
While there’s been some resistance to flexible working from large companies that have been portrayed in the media, who would like employees to return to the office, it’s obvious that this won’t change. In fact, 75 percent of HR professionals indicated they would use the hybrid method.
This is not surprising, considering that Gartner found that nearly fifty percent (52 percent) (52%) of the employees claimed that flexible work policies might influence their decision to remain with their company.
However, increasing attention to the mental health of employees and their well-being at work means it’s time to come up with new ideas by offering benefits packages, as well as internal initiatives to increase employee engagement and overall satisfaction.
The bottom line is that people want to have fun at their jobs. It’s no longer the case that employees are being unable to focus on the paycheck on the final day of every month. They are looking for more, and those who can’t find it will look elsewhere for it.
Learn more about HR in 2023 and beyond
The most recent annual report from us provides important information on the challenges faced by people as well as initiatives and priorities HR professionals from all over the UK are focused on this year. As the market for candidates is expected to continue growing, It’s time to let your organization’s image shine through with a people-first approach.
Future and current employees are aware of what they expect from their jobs, so it’s essential to keep an eye on the pulse of your employees and make changes that increase employee satisfaction and engagement before it’s too far.