58% of employers surveyed agree that it is important to have a strategy that aligns human capital and skills with future business needs.
Employees around the world are now more influential in the global labor market, with the two fifths (43%) of respondents who participated in the recent EY research2022 Work Reimagined Survey, to argue that they are likely to resign within the next 12 months – driven mainly by their desire for higher pay, better career opportunities and flexibility.
THE research – one of the largest of its kind – recorded the views of more than 1,500 business executives and more than 17,000 employees, in 22 countries and 26 industries. Research shows that as many countries leave the COVID-19 pandemic behind, employees have gained significant influence in their employment relationshipswhile the desires and expectations they have of potential future employers are changing.
The main motivation for employees that looking for new jobs, according to research, is now the desire for higher wages. With rising inflation plaguing many countries, more than a third of new job seekers (35%) say raising wages is their main goal, while 25% say they are looking for career opportunities. Forty-two percent of those surveyed believe that pay rises are the “key” to tackling staff flight – but only 18% of employers agree.
The flexible working conditions – by far the most important factor leading to employee turnover, according to last year ‘s survey, they are now a less important factor, as most already work in companies that offer some form of flexibility. Only 19% are looking for flexible distance work from a new job, while 17% say they would consider moving to health and wellness programs.
Interestingly, the desire of employees to look for new jobs remains strong, despite the increased satisfaction about the corporate culture. The percentage of employees who believe that the culture of the company where they work has improved, has increased since the beginning of the COVID-19 pandemic, from 48% to 61%. On the other hand, it is noteworthy that employers’ confidence in the corporate culture of the company decreased, from 77% to 57%. In addition, while employees believe that new ways of working have increased productivity, companies’ confidence in their productivity is eroding due to the increased rate of employee movement.
58% of employers surveyed agree that it is important to have a strategy that aligns human capital and skills with future business needs. 74% state that they are ready to hire employees from abroad and allow them to work from anywhere, if they have necessary or hard-to-find skills. At the same time, one in five employers (21%) believe that improved skills development opportunities will help address the phenomenon of employee turnover.
Despite the continuing shift to flexible working models, 22% of employers worldwide say they want employees to return to the office, any day of the week. On the other hand, although the proportion of employees who are reluctant to work remotely has decreased (from 34% to 20%), most (80%) say they want to work remotely at least two days a week.
The research shows that a large number of employers (32%), manage to improve both the corporate culture and productivity. They achieve this by ensuring that their leaders have a common understanding of corporate issues, external practices and strategies (94%). Other factors that contribute to this successful result are hybrid work (90%), investment in workplace benefits (39%), technology improvement (45%) and the empowerment and enhancement of employee autonomy ( 44%). In contrast, other companies seem to continue to keep abreast of developments and trends and to wait or take selective action.
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