4 workplace trends to watch out for in 2023.

We might have emerged on the other side of the pandemic, but covid appears to have left its mark on workplaces for good. 

From the phenomenon of “quiet quitting” to the great resignation, the post-pandemic scramble for talent has been felt by Australian businesses across the board. 

These changes however are unlikely to slow down as we prepare to move into 2023. Our workforce experts have shared their insights into the emerging trends expected to shape the year head. 

With the following trends being tipped to have the greatest day-to-day impact on the new way of work.

The Great Unemployment?

Globally, the employee market had hit a 48 year low, as employers faced an extremely competitive market fuelled by a skill shortage. But are we finally seeing a shift to the level of unemployment?

Most recently, the Australian Bureau of Statistics (ABS) has stated “With employment increasing slightly, by around 1,000 people, and the number of unemployed increasing by 9,000, the unemployment rate rose by less than 0.1 percentage point but remained at 3.5 per cent in rounded terms”.

What does this mean?

We are starting to see the unemployment market tilting towards an increase, which is only predicted to grow leading into the new year. And while this may come as a direct response to the rising level of inflation across the nation, others suspect the influx of international talent arriving on our shores as a contributing factor. 

And despite Australia going from importing 180,000-plus workers every year through immigration pre-COVID – to then losing thousands of migrant workers over the pandemic, we are about to see a very large shift. Australia is now set to face its biggest ever intake of net overseas migration, as the October budget expands migration programs by another 3,000. 

Ramping up immigration at the same time as the economy grinds to a halt from aggressive rate hikes, only leads predictors to the news of increased levels of unemployment. 

And for those employers looking to take advantage of increases to the talent pool? With a higher level of pressure to invest in employee engagement and wellbeing initiatives moving into the new year – we are also expecting shifts in workplace cultures. 

Hybrid working has become a “how” not “if”. 

Post-pandemic data has confirmed we are not returning to the same workplace which we left. Those who got a taste for hybrid work have no desire to return to an office full time.

And they’re not alone. Research has shown that working from home can offer a better work/life balance, as well as increased flexibility and productivity. There’s also the added bonus of saving money on the daily commute. 

However the remote working environment isn’t perfect for everyone. Some setbacks to remote work can include increased risk of burnout, feelings of isolation, and a lack of communication. 

So the verdict? 

In a “new world” of work, striking the right balance in a hybrid work model is crucial for businesses looking to not only attract, but retain staff. Most Australian workers want to return to the office - just not full time.  Working from home 3 days a week is the preferred amount for 74% of employees.

Culture is king.

Not only are workers reshuffling their positions en masse - 2022 also triggered a significant increase in voluntary resignations. The economic trend became known as the ‘great resignation’ and shone a spotlight on the importance of employee retention. 

At the forefront of this trend was a reported absence of workplace culture within organisations. With ample time for employees to evaluate their priorities and level of job satisfaction, having a “meaningful day-to-day job” is a top priority for job seekers moving into the new year. 

Consequently, employers must evaluate strategies for creating a positive workplace and culture, while maximising their ability to create a work and life balance for their employees.

Inclusivity and diversity shouldn’t just be tick boxes for a business. Instead they should inform the basis of a genuine commitment to continuous improvement. 

For businesses seeking new talent and employee retention, implementing strategies which are centred around creating purpose, balance, growth and community is a must.

Change starts at the top.

The success of any workplace change begins with management. 

Managers must confront new realities with the emergence of hybrid work, while empathising with ongoing economic hardships felt by employees. 

What does this mean for middle management? 

Gone are the days of middle managers purely being assessed on their ability to manage and evaluate employee performance. HR executives are now looking for managers who are poised to be great coaches, mentors and leaders. Moving into the new world of work, managers must reflect empathy and compassion in an increasingly diverse and modern workplace. 

With Australian businesses evolving significantly throughout 2022, it’s clear the new world of work has ample challenges for employers. Australian businesses must look towards embracing flexibility and inclusivity. The way in which we recruit, train and retain will also shift through 2023, as employee wellbeing and satisfaction has a larger focus than ever before.

Looking to attract high-talent employees in an ever evolving market? We can help. With over 20 years of experience, our team can help you find the right fit. Contact us to get started.