2023 is just around the corner – so what workplace trends should we be prepared for? Indeed and Glassdoor have just released their annual Hiring and Workplace Trends Report, featuring smart insights on the future of work. This year’s report focuses on how a handful of recent shifts are likely to continue evolving, transforming how we think about work and what the employer-employee relationship looks like.
Let’s take a look at the five top takeaways from the Indeed/Glassdoor report – plus, what they mean for you.
- Tight Labor Supply Will Continue to Impact Hiring
The immediate challenges of the peak pandemic years may be behind us, but don’t expect hiring to rebound to pre-2020 norms. Although those particular pressures may shrink, other, long-term labor supply issues will make hiring a continued challenge in the near future. One key factor driving this shrinking labor pool is the shrinking number of work-age adults across many developed countries, including the U.S., the U.K., Canada, several EU countries, China, and Japan.
In IT and cybersecurity, this tight labor market is compounded by a shortage of people with necessary certifications in the first place. Depending on the specifics of the role and the qualifications required, some positions may not even have enough qualified job seekers to fill all the open roles that currently exist. Staying competitive (in terms of compensation, culture, and benefits) will be critical in order to recruit talent for these hard-to-fill roles.
- Remote Work Is Here to Stay
Remote work has become a staple of the working world over the last few years, and to the surprise of many, it’s been incredibly effective – and it’s not going anywhere. Both job postings and job searches mentioning remote work are still up significantly from pre-pandemic levels, as more people prioritize some form of remote, hybrid, or flexible work. While surveys have found that only around one-third of jobs are truly well-suited for remote work, many companies are leaning into it to fill in-demand roles in fields like software development, marketing, finance, and more.
In a general sense, IT has been ahead of the curve in terms of remote work, with flexibility built into many tech jobs even before the pandemic. The good news is that there’s less of a learning curve for your teams as remote and hybrid work becomes more of a norm across fields. On the other hand, though, you’ll need to work harder to develop an improved employee value proposition, since “just” remote flexibility alone might not be enough to set the company apart anymore.
- As Workers Seek Higher Pay, Benefits Set Employers Apart
It’s simple: better pay is still top of the list for today’s job seekers. Among employed U.S. workers between the ages of 25 and 54, “higher pay” was the top reason for seeking a new job. Combine that with ongoing wage gains and inflation, and workers are expecting higher pay at a minimum. To stand out, companies are re-evaluating their overall employee value proposition, including benefits – both traditional ones like PTO, retirement, and health insurance, and “newer” ones like commuter benefits, flexible scheduling, and mental health support.
Tech has been famous in recent years for offering “quirky” perks to their employees, like game rooms, laundry services, creative foods, and more. Those can be fun, but they’re also not really what employees are after in today’s world. Competing for top IT and cybersecurity talent in 2023 means offering the benefits they really want, focused on well-being, flexibility, and fair (and transparent) compensation.
- Happiness and Wellbeing Matter
It’s been a tough few years for everyone. Those stresses, combined with new priorities and new labor market information, has led to more employees prioritizing a positive culture, more support, and a greater sense of satisfaction and purpose in their work. Stress can lead to decreased satisfaction and more turnover, while positive changes can have a major positive impact on retention. In fact, an increase of just one star in a company’s Glassdoor rating corresponds with a 6 percent drop in the likelihood of U.S. employees starting new job applications, and that number goes up to 15% in Germany, 19% in the U.K., and 25% in France!
Depending on the nature of the role, IT and cybersecurity can involve high-stakes, high-pressure work, on top of the pressures to keep up with the rapid changes in the field. It’s important for companies to keep an eye on overall worker well-being, encourage healthy work-life balance and boundaries, and develop a culture that combines a drive for innovation with a thorough respect for employees as people.
- The Changing Workforce Is Pushing Diversity, Equity, and Inclusion to the Forefront
DEI continues to grow in importance, both due to external pressures and to demographic shifts. Millennials and, especially, Gen Z, are more diverse than any previous generation, and they’re also more invested in DEI. 72% of workers between ages 18 and 34 would consider turning down or leaving a job if their manager did not support DEI initiatives, but that percentage decreases with each older age bracket. However, 62% of workers overall would say the same, and 74% consider corporate DEI investment as “somewhat” or “very” important when considering new job opportunities.
With such high competition for qualified IT and cybersecurity professionals, a strong, visible commitment to DEI can help to set your company apart. This could involve a number of aspects, whether it’s employee resource groups, mentorship programs, prioritizing diversity in recruiting, committing to charitable causes, or plenty of other options. The key is to make it clear that your company’s DEI commitment is more than just lip service – it’ll make a difference while competing for in-demand talent.
By Daniel Midoneck