SUMMARY
There is going to be a continued focus on DEI initiatives to create inclusive workplaces, address systemic biases and foster diverse talent acquisition and retention strategies
AI is poised to become a viable alternative for specific skills, yet its purpose is not to supplant jobs
By 2025 Gen Z is expected to be 30% of the workforce which necessitates their effective integration in an already multigenerational workforce, comprising Gen Y, X
As we step into 2024 with renewed vigour to embrace the opportunities that it brings, we are hopeful that the industry faces fairer weather than last year.
In 2023, the dynamics of the workplace experienced noteworthy transitions, predominantly marked by layoffs which propelled a lot of anxiety and insecurity. Simultaneously, a substantial increase in workplace stress, caused by the economic slowdown, and the transition from hybrid to in-person attendance to the office, bore a negative impact on employees’ mental health, prompting organisations to reevaluate their approaches and prioritise employee well-being.
As geopolitical factors continue to impact the industry, influencing talent mobility, regulatory landscapes and workforce strategies globally, organisations must adeptly navigate changes in immigration policies, economic conditions and security concerns, adapting to the dynamic interplay between global politics and human resources.
This year as well, HR professionals will continue to face the challenge of navigating a constantly changing landscape to secure organisational success in the midst of evolving work models and employee expectations.
The following trends, that are expected to emerge this year, will reflect this sentiment strongly:
Anchoring Diversity, Equity And Inclusion (DEI) To Business Success
There is going to be a continued focus on DEI initiatives to create inclusive workplaces, address systemic biases and foster diverse talent acquisition and retention strategies. A majority of HR decision-makers (75%) stated that their company would prioritise diversity hiring, according to the Jobvite data.
In EY’s Belonging Barometer 3.0, 63% of GenZ workers reported they would choose a company that prioritises DEI over one that doesn’t. This figure is noteworthy as Zoomers will comprise 30% of the labour force by 2025.
Sustainability
As concerns about climate change and resource depletion intensify, businesses face growing pressure to reduce their ecological impact and promote sustainable practices. Corporations are increasingly adopting climate-conscious policies in response to the escalating frequency of extreme weather events that pose a serious threat to the environment’s health.
Embracing environmentally responsible strategies not only allows organisations to improve their corporate image but also helps attract top talent while contributing to a healthier planet.
Use Of Artificial Intelligence
As its utilisation grows, AI is poised to become a viable alternative for specific skills, yet its purpose is not to supplant jobs. It will continue to facilitate, enhance and streamline certain functions but it would still need intelligent human input to be effective. As per a Gartner survey, 76% of HR leaders think that their organisation is at risk of lagging in the next 12 to 24 months if they fail to integrate AI solutions.
As an increasing number of jobs get automated, people need to get re-skilled to leverage AI in optimal ways. 2024 will be the year of specialised AI-powered assistants working side by side with humans as their ‘work buddy’.
Upskilling & Reskilling
In 2024, HR teams must discern the skills essential for the desired growth of their organisations in a period marked by the escalating power of technology and AI. This entails grasping the impact of transformative technologies on current roles and understanding how employees can effectively leverage AI.
It is important to continually update and expand employees’ skills and knowledge to keep up with the times. Offering, and supporting training makes the company attractive as an employer and strengthens employee loyalty and retention. As per a study, 60% of HR leaders say developing their management team’s effectiveness is a key component of their strategy to shape the future of work in 2024.
Executive Coaching
There is a discernible increase in the demand for coaching, as organisations focus on empowering their leadership teams and cultivating effective managers capable of navigating the changing business landscape.
The 2023 ICF Global Coaching Study (GCS) reveals that the coaching industry experienced robust growth in both the number of coach practitioners (54% between 2019 and 2022) worldwide and in annual revenue, indicating that the industry has emerged stronger from the pandemic.
This surge in demand reflects a recognition of the value that coaching brings to personal and professional development in the face of a dynamic and challenging work landscape.
Integration of GenZ in the Workforce
By 2025 GenZ is expected to be 30% of the workforce which necessitates their effective integration in an already multigenerational workforce, comprising GenY, X. Employers need to understand the priorities of GenZ and tailor their HR programs and policies to integrate and manage the expectations and goals of this generation.
These encompass career and professional development, the promotion of diverse thoughts, ideas and voices, maintaining a healthy work-life balance, and demonstrating commitment to corporate social responsibility and environmentalism. Facilitating social learning opportunities, which include mentorship from individuals of GenY and X, can play a pivotal role in effectively assimilating GenZ into the workforce and promoting collaboration across multiple generations.
Employees’ Overall Well-being
Post-pandemic, there has been a fundamental shift in priorities. Recognising the pivotal role of a healthy workforce in organisational success, HR professionals are increasingly focusing on strategies to enhance employee well-being.
These include mental health support, comprehensive wellness initiatives, an inclusive culture, professional development opportunities and fostering a culture of appreciation.
Change Management
Chief Human Resources Officers (CHROs) are prioritising organisational design and change management strategies to effectively navigate the disruptions arising from digital transformation, economic uncertainties and political tensions.
Organisations must adeptly respond to evolving societal expectations and the swift adoption of technology to thrive in this dynamic environment. The transition from traditional, inflexible hierarchies to more flexible and adaptable workforces is evident.
This shift should prioritise the establishment of agile communication channels, the cultivation of a culture centred on continuous learning and the development of transferable skills within the workforce.
In Conclusion
Managing the workforce of 2024 will require a proactive and adaptive response to these transformative trends, with employee experience positioned at the forefront. HR leaders would increasingly work towards reinvigorating trust and engagement while settling the organisation into new work norms.
As they try to tackle the influences at work, the key focus areas would be fostering positive work environments, addressing mental health issues and aligning with global sustainability goals.
