Talent Acquisition Newswatch - Issue 1.16
TOP STORY
A new index by BambooHR has revealed that employee happiness has plummeted to an all-time low due to a phenomenon called the "Great Gloom". The healthcare and education sectors are the unhappiest, with employee happiness in healthcare having declined by 40% since 2020. Conversely, the construction industry is the happiest, with an average eNPS of 49 in the first half of the year. BambooHR CEO Brad Rencher has attributed the decline in employee happiness to "unprecedented times" and has urged leaders to be proactive and adaptive in beating back the Great Gloom. Anita Grantham, head of HR at BambooHR, has warned businesses not to overlook their people and to track their organisation's health using various tools.
COMPENSATION & BENEFITS
New analysis from Aon, a global professional services firm, predicts that employer-sponsored health care costs could increase 8.5 percent to more than $15,000 per employee in 2024. This is due to inflation, rising prescription drug costs, catastrophic health claims, more chronic health conditions and the share of specialty drugs. Employers are reluctant to pass on the increases to employees, given retention concerns, and are likely absorbing more of the cost to keep employees' paychecks unchanged. Strategies such as utilising control initiatives, adding wellness initiatives, and changing plan design are recommended to hold down costs.
DEI
In light of the recent Supreme Court decision to overturn affirmative action, organisations must prioritize the implementation of diversity, equity, and inclusion initiatives. Companies have seen a decrease in the number of organisations with DEI programs and a decrease in endorsements of overall DEI efforts. Veronica Calderon outlines 4 ways to effectively incorporate DEI initiatives into an organisation, including defining, planning, and executing DEI from the top-down, identifying champions throughout the organization, leveraging DEI to foster connections and authenticity, and remembering that DEI initiatives support everyone. Implementing these initiatives will result in increased profitability and productivity, help close society's opportunity gap, and enable students to prepare for the workforce shaped by technology.
A report from research firm Savanta found that workplace discrimination is disproportionately experienced by LGBTQ+ workers, Black people, Indigenous people and workers of color. The majority of transgender, genderqueer and non-binary talent surveyed said they have experienced workplace discrimination, with many saying they have been overlooked for a promotion or new role. A 2023 report also found that 45% of Black workers said they would switch jobs if it meant they could be part of a more inclusive workplace culture, indicating a need for employers to make changes in order to retain diverse employees. HR firm Buck's report also found that a worker’s likelihood of wanting to leave their job is proportional to whether “they think diversity in cultures and backgrounds is not respected” and DEI commitment is subpar.
Performance coach Dave Stitt discusses practical ways to promote diversity and inclusion in construction organisations. He suggests three approaches to do this, such as promoting diversity and inclusion in meetings, dialing up one's "colors" to better understand one's team, and using the "calculus of teams" to differentiate and integrate the perspectives of team members. He provides resources for each approach so readers can learn more.
HR INSIGHTS
Learning and Development (L&D) executives can play an instrumental role in helping to identify and assist in recovery from workplace burnout. Two tips are offered on how to help leaders identify burnout and three steps to help with burnout recovery. The story of British SAS pilot Jamie Hull is shared, who experienced a life-altering accident, and how he was able to find hope and inspire others. L&D is uniquely positioned to engage in conversations about burnout and help guide others toward recovery.
Walmart has announced the roll out of its generative AI-powered assistant, My Assistant, to all non-store US employees. The tool can accelerate draft writing, act as a creative partner, and summarize large documents. It will be used for new hires during orientation and to help employees better understand company benefits during annual enrollment. Walmart joins a growing group of large U.S. enterprises equipping workers with generative AI capabilities customized to internal systems, such as JLL, PwC, and McKinsey. The company believes that generative AI will not take over for workers, but rather serve as a tool to allow employees to spend less time on monotonous, repetitive tasks.
TALENT MANAGEMENT
领英推荐
The role of the chief human resources officer (CHRO) in CEO succession planning has become increasingly important due to the changing landscape of the workplace. CHROs can be categorised into three roles, with varying levels of impact on the succession planning process. The CHRO is responsible for guiding and ensuring a well-informed decision-making process, maintaining impartiality in decision-making, and offering support and feedback to the sitting CEO. Additionally, they must prioritise candidate well-being and facilitate the new CEO’s success. When CHROs adhere to best practices, they can significantly enhance the succession planning process and its outcomes.
RECRUITING & RETENTION
Manufacturers continue to face labor shortages and they are attempting to resolve this issue by diversifying their candidate pools and proactively recruiting women. Manufacturers are also taking steps such as training frontline managers and strengthening the employee experience, as well as initiatives such as professional development, flexible schedules, and employee wellness.
John Vlastelica, a former corporate recruiting leader, shares strategies and best practices used by Okta's SVP of Talent Acquisition, Brett Coin, to build a strong team culture and successful recruiting function. Coin led many conversations with his team as they were growing, and shifted the culture to focus on team wins instead of individual wins. He also implemented recognition and rewards programs, such as a rotating Recruiting Cup, People’s Choice award, and team swag. Additionally, he invested in career development, and encouraged his team to recognise hiring managers and partners in other departments. Vlastelica concludes by encouraging leaders to define their cultural norms with their individual recruiting team members, and to reward the "hiring is a team sport" mentality.
Law and financial services firms can improve their recruiting efforts by ensuring that their brand accurately reflects their values and recruitment offer. This is significant because the millennial generation is composed of digital natives, and the primary expression of a brand is now digital, with the website being the first and most highly trafficked touchpoint. Firms should take a programs-first approach to building their internal brand by offering professional development, culture-building activities, community programs, environmental initiatives, diversity and inclusion, and work-life balance perks. Firms must bring the brand in alignment with the recruiting offer, such as through a brand refresh, a recruiting video, and social media channels.
TALENT TRENDS
A new survey found that job postings for hybrid roles rose by 29% in the second quarter of 2023 compared to the same period last year, while job ads for remote and work from home roles declined. Companies and employees are trying to strike a balance between returning to the office and offering work flexibility. However, only 15% of remote-capable workers in the US want to return to the office, and a third of those who were mandated to return said their likelihood of staying with the company had decreased. Globally, workers are attending the office less than in North America, where office attendance remains unchanged.
A survey of 500 U.S. businesses conducted in July 2023 found that executives expect remote work and hybrid work to continue to increase over the next five years. This makes sense as remote working technology improves, startups born since the pandemic are more likely to use it, the U.S. is well-positioned for remote work, employees like it, and it can be profitable for companies and better for the planet. Despite the headlines, executives expect both hybrid and fully remote work to keep increasing over the next five years.
The labor market slowed down in the first half of 2023, with job requisitions dropping, more applications coming in for fewer jobs, and a 20% decrease in voluntary turnover year-over-year. Companies are being selective during the hiring process and employees are staying in their jobs longer, with a 15% drop in job requisitions and a 20% decrease in promotion rates. Employee engagement and satisfaction indicators are also trending downward, and time-to-hire rates have increased to an all-time high. Talent acquisition teams should prepare for a rebound by improving their tech stacks to find candidates, track applications, and increase recruitment marketing.
QUOTE OF THE WEEK
"If the moral case for DEI is too complicated or controversial, the business case is pretty straightforward: When people are constantly in survival mode, they can't perform at an optimal level. Leaders can always decide whether or not to maintain the status quo." - Arthur Chan, Vice President, Diversity, Equity & Inclusion Advisor , Behavioral Scientist
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