A new study suggests good and bad news for workforce issues moving forward. Are you ready?
While unemployment was down and wages up in 2018, higher interest rates, tariffs, and other concerns started a slowdown in recruiting and pay raises. Now a new Glassdoor research study looks at 2018 to predict the top trends and disruptors for 2019 and how you can address them proactively.
1. Artificial Intelligence (AI) is a worker’s ally, not a replacement. This is good news for employees who might be worried about AI taking over their jobs and dehumanizing the workplace. In fact, more workers than ever are partnering with automation, which frees them to focus more on the human aspects of their jobs while the technology handles routine tasks.
2. Women executives make waves, but there’s room for more of them at the top. Women are making inroads in the board room, and businesses are increasingly seeking to support female execs. For instance, California recently became the first state to require female representation on corporate boards. Elsewhere, the New York Stock Exchange has its first woman CEO in history, and Tesla has its first ever female chairperson. With more women comes a new perspective in the C-suite and initiatives that reflect changing priorities and values.
3. Growing concerns about employee data privacy and protection. Not surprisingly, more companies than ever are prioritizing cybersecurity and ways to prevent data breaches. Some high-profile hacks at companies such as Orbitz and Facebook have consumers rethinking where and how they share personal information. At the same time, breaches of HR data have consequences for workers, and today’s employees are more concerned than ever about the privacy and security of data their employers are collecting.
4. The gig economy is smaller than we thought. While there is lots of talk about the gig economy and concerns about what it will mean to employers, U.S. Bureau of Labor Statistics (BLS) data suggests that there are fewer gig economy workers than previously thought, specifically, 1.6 million workers, or about 1% of the total national workforce. BLS statistics also suggest that gig work is not likely to be the future for the vast majority of Americans.
5. Local talent matters in the era of Amazon’s HQ2. Local labor markets are key when considering company locations. Data shows that most job candidates won’t move for jobs and that it can be costly to entice them. Through the process of local hiring, the culture, skills, and diversity that exist in the local region become a large part of your company’s DNA. If your organization is looking to relocate or expand, consider local factors such as taxes and real estate.
This study also identified work disruptions to keep your eye on as you plan for hiring and retention in the coming months and years. These include:
· Data-driven matching will be the new paradigm for hiring.
· The new era of tech hiring will be for non-tech jobs (such as sales and marketing).
· More companies will try to get diversity right.
· A tidal wave of aging workers could mean labor shortages for decades.
· More job seekers and employers will brace for an economic recession.
The authors of the study concluded, “Today’s labor market is healthy and growing. But it’s also changing fast. It’s becoming more flexible, more transparent, and more focused on skills—rather than job titles—than ever. While these changes have sparked anxiety among job seekers and employers, they also present opportunities in the coming decades.”
