The world is changing at a fast pace. With technology transforming at a rapid rate, our lives and the way we work is continuously changing and evolving. With that into notice, we can see the developments and changes in the area of jobs as well. Since the covid 19 pandemic, there has been a huge leap of employees working from home and operating remotely. This trend continues even till date and is expected to grow in the next few years. Presently, organizations are facing various new challenges that they need to prepare for. In this blog, we shall discuss the future of work- its emerging trends and their impact on staffing strategies.
The Future of Work: Emerging Trends
As the coming generations’ needs, expectations, values will change, so will the future of work change. With people’s changing job expectations, the responsibilities of the recruiting and staffing agencies will also change. The time has come for recruiters to update their staffing strategies and to meet the coming future trends.
According to a report by Manpower Group, around three quarters of companies from technology and construction face hard times while finding qualified applicants for certain job positions. This solely happens due to the skills gap of employees. Thus, companies need to focus on upskilling and reskilling their employees in order to make them fit for required job positions.
Rising Gig Economy:
Countries like the US and India are observing a rising trend of the “gig economy” . The US has over 16.4 % of its workforce as gig workers and about 9 million self employed workers. Moreover in India, the gig economy is expected to provide employment to around 23 million workers by 2024. According to a report by Mastercard, global transactions associated with gig economy will grow by about 455 billion dollars by 2023.
Focus on Flexibility in Work:
Many companies are opting to allow the employees to work remotely and in hybrid modes. This trend is growing with time as it provides flexibility in work to the employees. The flexible work arrangements benefit the employees highly as they can get better work-life balance and decrease commute costs. According to a survey, it is also believed that work from home or remote working options increase productivity of employees. Moreover, this trend of employees drifting towards freelancing and in the hybrid workforce will continue to emerge.
Expectations of Gen Z workers:
Gen Z workers during the initial stage of their jobs tend to go for the retail and hospitality industries. But, the concern that triggers is the low salaries. This generation is also the one that changes jobs up to 10 times between the ages of 18 to 35, based on a survey. They also look for opportunities along with a positive work environment and a diverse range of benefits. They also know the fact that jobs can go away anytime. This way the future of work will surely change as it needs to adapt itself to the demands of the Gen Z population.
‘Quiet Hiring’ is relatively a new term that has arised into today’s workplace. It is when employers tend to give some additional tasks to their employees to avoid hiring new employees. This trend is on a rise as it benefits the companies in reducing new hire costs. But fighting back to quiet hiring comes the “quiet quitting” process. This is when the employees do not actually quit their job but do their bare minimum at work. These trends have started to dominate the job market from 2023.
The Use of AI in Hiring:
As companies are shifing towards smart recruitment and artificial intelligence for finding the best candidates, it reduces the time and effort to hire. The usage of AI with recruitment can also be seen as a work trend coming in the future. This will help in delivering data rich insights for better decision making. The traditional resume hiring will be highly replaced by AI driven hiring. Additionally, we are also seeing the trend of ‘Virtual Recruitment’ that is hiring which takes place remotely. Studies show that nearly more than 80% of companies recruit virtually and more than 90% recruits will use virtual interviews in the coming future.
Addressing Employee Well Being:
As per the instances of workplace conflicts, angry outbursts, no-notice quitting of employees, the need is to start addressing the well -being of employees. About 82% of employees say that their organizations should start seeing them not just as their employee, but as a whole person. In the future years, the world of work will start adapting to certain practices. Training and coaching managers on workplace conflicts, promoting discussion opportunities, proactive rest for the employees and much more.
Impact of Emerging future trends on staffing strategies
With the paradigm of work changing in the coming future, we are surely to expect staffing industries preparing to change. As the business landscape will continue to evolve, the staffing industries will also need to change their traditional practices. With the impacts of future trends in mind, there are a few strategies that the staffing industry will need to adapt. Let us discuss some of them:
Remote Staff Hiring:
With the advent of technology and high speed internet, remote worker hiring is becoming the new norm in today’s global economy. The staffing industries in short, will need to restructure their strategies to hire employees who are willing to work in remote settings. Additionally, they will have to adopt such tools and technologies that promote remote staffing and communication.
Adapting to Artificial Intelligence (AI):
With AI and automation coming into picture, many tasks will become automated. Staffing industries will need to upgrade their strategies to meet the AI standards in order to be in alignment with the future of work coming ahead.
Emerging risk to traditional staffing industries:
Digital platforms like Upwork, Catalant and Shiftgig aid in matching the needs of companies with job requirements in a cost effective manner. These platforms will thus start to act as a risk and opportunity for the traditional staffing industries. This might also lead to Merger and Acquisitions as the staffing industry players will look at it as a great opportunity to increase reach, size and access.
Growing Contingent Workforce:
With the growing contingent workforce and the rising gig economy, the staffing industries will need to revamp their staffing strategies. Rather than hiring full time employees, they will need to leverage contract based workers and freelancers. This will require staffing industries to get more flexible based on project needs or demands.
With the changing trends in future work, staffing industries will have to increase their capacity and performance in all respects. The future trends also seem to improve the staffing and recruitment processes as with the use of AI, jobs and the working paradigm will get efficient yet cost effective too in the near future.
Moreover, with the use of IoT, data sharing will become more easy which will allow members to share information easily and quickly. It will also aid in enhancing productivity and in providing real time data to make more informed decisions. Last but not least, ‘Talent Analytics’ will also be a trend in the future that will be adapted by staffing industries to improve processes that will allow them to use stats and data to gain better insights. It can hence be concluded that the staffing industries need to create such staffing strategies that will actually work and align with the coming future of work trends.