Top HR Trends in 2024
We continued to see significant changes in the world of work in the past year, with the effects of COVID-19 still impacting the way people work and the priorities of employers. From remote work and hybrid work models to digital transformation and the importance of diversity, equity, and inclusion, the trends that defined the workplace in 2022 reflect a changing landscape and the need for companies to continue adapting and evolving in response to new realities.
As employers enter 2024 with a fine-tuned Employee Value Proposition (EVP), many of the changes which started during the pandemic were accelerated and have become permanent aspects of our working lives. In an already competitive talent landscape amidst pressure to control costs, here are the few key trends that will shape your workplace this year:
The rise of ‘skills-based’ recruiting
One of the trends that will impact the world of work in 2024 is the emergence of skills-based recruiting which emphasises a candidate’s relevant abilities and expertise over traditional indicators such as education and job experience. With technology advancing at a rapid pace and the demand for specific skills changing constantly, skills-based hiring is becoming increasingly popular as a way to find the best talent for the job. It also makes the hiring process more inclusive and equitable, as it gives individuals from diverse backgrounds a better chance to showcase their skills and demonstrate their potential to succeed in a particular role.
The focus on employee wellbeing
The talent market being as competitive as it is, attracting and retaining the right talent becomes key to succeeding as an organisation. Offering resources and support to help employees manage stress and maintain their well-being has resulted in organisations noticing a significant increase in overall productivity and a decrease in employee turnover. By investing in the well-being of their employees by offering benefits like flexible work arrangements, as well as initiatives like health and wellness programs, mental health support, and work-life balance initiatives, they have succeeded in creating a positive and productive work environment, whilst improving overall employee satisfaction. The focus on employee well-being will continue to be a top priority for companies in 2024 and beyond.
The emergence of ‘Quiet Hiring’
Quiet hiring is when an organisation acquires new skills without actually hiring new full-time employees. This can be achieved by either hiring short-term contractors or encouraging current employees to temporarily move into new roles for a limited time by providing them opportunities to upskill on the job. Quiet hiring will become more prevalent this year as companies look for cost-effective ways to build capacity and capability. This approach can also help companies to be more agile and responsive to changes in the market and the economy, as it enables them to build internal capability quickly and efficiently.
Focus on diversity, equity, and inclusion
The focus on diversity, equity, and inclusion (DEI) is set to continue in 2024 as companies recognise the importance of creating a more inclusive and equitable workplace by using tools like unconscious bias training, diversity and inclusion task forces, and the creation of employee resource groups among others. DEI is a critical component of creating a positive and productive work environment, as well as attracting and retaining the best talent. As the global conversation around DEI continues to evolve, companies will also be expected to take a more proactive and public stance on social and political issues that impact marginalised communities. By making DEI a priority, companies can create a more inclusive and equitable workplace, and foster a culture of respect and understanding that benefits everyone.Â
Technology aided workforce planning
The use of technology to aid workforce planning will continue to gain importance this year as organisations look to identify the right roles, skills and geographies to support their growth whilst effectively managing their workforce and remain competitive. The past year saw an increased use of predictive analytics to forecast future workforce needs, automation to streamline HR processes, and artificial intelligence to improve decision-making and support talent acquisition. As organisations look to remain agile, control their costs whilst adapting to the ever-changing market conditions, using technology will give employers access to a wealth of information and tools to help them make better decisions and improve employee engagement.
Top Skills in Demand in 2024
Whilst Australia is set to continue to feel the effects of the skills shortage in 2024, the competition for attracting and retaining top talent will intensify, and keeping your skills current has never been more important. The FMCG and retail industries are forecasted to perform better than other industries, but will still see some stagnancy in growth. Having the right team leading organisational growth will be paramount. We have listed the top 5 skills that will be in demand this year:
Project Management
As the skills shortage continues to affect employers whilst they take on transformation projects, with employers seeking managers that can adapt to the ever-changing regulatory, economic and technological environments. The field has become increasingly complex with the advent of new technologies and will remain a crucial skill as organisations continue to face challenges in executing complex projects within budget, schedule, and scope constraints.
Business Support
With people making a return to their offices, at least part-time, there will be an increase in the need for business support roles like receptionists, office managers and executive assistants among others. Organisations will be looking at customer service as a competitive advantage rather than a cost centre, leading to an increase in demand for skilled customer service officers/representatives. As we navigate the age of digital transformation, these roles are becoming increasingly important as they are the first point of contact for customers, clients, and/or partners.
Planning
The constant disruptions and supply chain issues alongside the changing economic conditions have had manufacturers depending on demand, supply and procurement planners to ensure the availability of materials needed, on time and on budget. This is because organisations need to be better equipped to respond to the changes in demand, adjust to market conditions, and deliver products and services more efficiently. The disruptions have led to an increased importance of roles like Demand Planners and Managers, Supply Chain Planners and Managers, Inventory/Transport Managers and Procurement Managers among others.
Facilities Management
There has been a sharp rise in demand for facilities management as organisations try to cut down contractor costs. Facilities managers are responsible for maintaining and managing the physical assets, infrastructure, and systems of various sites. They also manage the maintenance and repair of buildings and equipment, ensuring that they are operating efficiently and safely. The jobs are becoming a lot more strategic to ensure there is no disruption to the production schedules. Effective facilities management can also help sites reduce the production costs, improve sustainability, and enhance the overall quality of their operations.
Engineering
Manufacturing companies continue to invest in launching new plants in Australia in a market which is saturated with products and services. Hence designing, developing, and manufacturing high-quality consumer products that meet the needs of customers and are visibly different when compared to their competitors is crucial. Organisations that leverage engineering skills to optimise their processes and improve their products are better positioned to meet the demands of their customers and remain competitive in the market. This has led to a spike in demand for roles like Continuous Improvement Managers, Automation & Project Engineers and Maintenance Managers.
Looking to build your team with skilled talent in 2024 or considering your next role within the FMCG and Retail space?
With 30+ years of experience and extensive networks, our recruitment specialists are here to help! Click here to get in touch with us or send us an email on hello@millerleith.com.au with your enquiry to start a conversation today!