The war for talent is as fierce as ever, but how can private companies entice employees to stay versus listed companies? Laoise Mullane explores
Amid the backdrop of the great resignation, it is unsurprising that employee empowerment is the central emerging theme in this year’s PwC Global Workforce Hopes and Fears Survey, Irish Report 2022.
The survey’s insightful results illustrate that today’s workforce is very focused on areas such as fair pay, hybrid work, meaningful work, the ability “to be oneself” at work, and wellbeing.
Here are five ways businesses can respond to the survey’s findings and use them to their advantage.
1. Offer competitive pay
Unsurprisingly, given the increased cost of living, salaries were identified as a significant issue for most survey respondents. Over 60 percent of respondents plan to ask for a pay rise, and one in five respondents are extremely likely, or very likely, to find a new job in the next 12 months.
Employers in the private business sector may feel that they are at a competitive disadvantage and, compared to listed companies, they have fewer opportunities to incentivise employees with rewards such as employee share schemes. Private businesses should instead look to other rewards that only they can offer.
It is imperative that private businesses review their pay scales and ensure that they offer competitive salaries and benefits. This is an important factor in both attracting and retaining top talent.
2. Capitalise on hybrid working
Historically, private businesses may have struggled to attract employees because of their geographical location. However, remote work, in many cases, has eased this problem by removing the need for employees to be in the office five days a week. In the survey, hybrid workers are most satisfied with their work, and 52 percent of respondents prefer a mix of in-person and remote work.
The ability to flex to the needs of your employees is proving to be a winning formula, and hybrid working will assist private businesses in attracting top talent from outside their geographical area. Communicating this hybrid proposition clearly and routinely to employees can set private businesses apart from competitors.
3. Demonstrate the meaning and purpose at the heart of your business
Employees want to work in an environment where they can be their true, authentic selves. Respondents ranked job fulfilment and the ability to be one’s true self at work as a top issue when considering their current work environment. A large cohort of people (73%) said that finding their job fulfilling was an important factor when considering a change in a work environment.
There is often a sense of collective purpose in working for a company with tradition, history and a defined role in the local community. This strong local community anchor can be used to differentiate and empower employees to express their authentic selves.
4. Commit to an open, transparent culture
This year’s survey results show that employees working in Ireland value meaningful engagement. However, only 24 percent of respondents felt that their companies provide support for them to work effectively with people who share different views.
This is a disappointing result that represents a missed opportunity for some employers. Private business leaders are encouraged to facilitate an open and transparent culture and to provide both time and space for discussions—particularly when it comes to sensitive topics.
Lead by example in your communications and demonstrate consistently that you welcome these open discussions.
5. Seize ESG opportunities now
Employees value working in an organisation where environmental, social and governance (ESG) is identified as a key priority. Acting on environmental concerns is a key area of interest for employees, with only 18 percent of respondents stating that their company helps minimise the environmental impact of their job.
ESG can be a real area of differentiation for private businesses. Listed companies are obliged to embrace ESG against the backdrop of reporting requirements. However, without the pressure of being held to account on ESG initiatives, private companies risk falling behind. Indeed, employees are demanding that companies look beyond financial performance to broader ESG commitments.
It is imperative that Irish private businesses enhance their workforce strategies to attract and retain key talent. They must also tailor their strategies to the unique needs of their workers.
Laoise Mullane is Senior Manager of People & Organisation in PwC