Written By Lucy Ponder, HR Advisory Lead at Page Consulting, part of PageGroup
Those working in HR will likely remember the conversations about the ‘Great Resignation’ that were commonplace in 2021. But while this topic has come up less frequently over the last couple of years, the fact is that the Great Resignation never ended.
At PageGroup, we recently released our inaugural Talent Trends survey – the largest study of skilled, white-collar professionals of its kind to date. Both at a global and domestic level, significant shifts in employee attitudes and motivations were uncovered by the study. In 2022, the UK saw nearly three times as many resignations as in 2021 and 50% of workers are now actively looking for a new job.
This ‘Invisible Revolution’ is not a flash in the pan movement, but a seismic shift with the potential to inflict wide-reaching, global tremors on the labour market for decades to come.
What does the Invisible Revolution indicate?
When it comes to retention, keeping employees engaged is essential. A worker who has grown apathetic towards their current employer is a prime candidate for an early exit.
Many commentators have detected this change with trends like ‘quiet quitting’ emerging and proving popular amongst a younger generation. However, PageGroup’s research has now confirmed that an irreversible transformation has occurred in the attitudes and priorities of professionals around the world. If managers want to grow headcount or even just retain talent, it is crucial to understand and adapt to this new reality.
Why is employee engagement and retention declining?
Whether they’re actively seeking a new role or not, employees across the board feel less connected to their employers and more willing to put their own needs first. Following the disruption and transformation caused by the pandemic, many have begun seeking greater fulfilment outside of work, focussing more on their families, friends, and communities.
This has made their relationship with work much more transactional; professionals are now looking at their jobs with a clear value equation: “What I get” versus “What I give”. This is a point illustrated particularly well by the fact that 86% of the survey’s respondents said they are currently open to new opportunities. If their employers are not fulfilling their needs, they will not hesitate to go elsewhere, regardless of the current uncertainty in the jobs market.
This is one of the reasons organisations will be seeing a rise in attrition. Through the study, we found that one key mindset shift among workers relates to the growing importance of work-life balance. It is well-documented that work-life balance has become more valuable over the last few years, but the exact extent of this is noteworthy. Over 50% of respondents said they would reject a promotion if they thought it would have a negative effect on their well-being. They also ranked work-life balance higher than salary for overall job satisfaction.
How managers should respond to the ‘Invisible Revolution’
Our data shows that offering competitive salaries, flexible working options, and clear opportunities for career progression are the most effective way to appeal to today’s workforce. These three elements are absolutely essential, and not actively considering them all could cost you your best talent. If an employee has a salary well above market rate but doesn’t see room for advancement or isn’t trusted with the autonomy to adjust their hours or where they work from, they will be liable to leave. The salary alone won’t be sufficient reason for them to stay.
At the same time, there is wiggle room. Employers can dial up on different areas to make a compelling offer that will work for them as well as a potential candidate. For instance, companies with budget constraints could make up for that in market leading flexibility policies or clear and transparent career pathways.
While our research shows that there are simple ways to counter attrition, businesses should be aware that workers are more likely than ever to have one eye on other jobs. Movement is natural in any industry but one (relatively untapped) way to ensure a steady ship whilst navigating employee turnover, is considering temporary and contract employees. This can help provide certainty around key projects and time periods and keep hiring strategies under your control. It also offers flexibility in a volatile market, which could be vital when thinking about budgeting.
It may seem that current and prospective employees want it all – but having a successful talent attraction and retention strategy is simple. It’s all about striking a balance with those all-important factors – salary, flexibility and career development.
The Invisible Revolution doesn’t have to be an issue for HR leaders. The jobs market has always been subject to change and these periods of flux give us the chance to learn and grow, as well as adapt to a new generation of workers. The Invisible Revolution simply highlights the importance of engaging with employees, understanding their priorities and supporting them in getting that all important balance.
