By Derek W. Dobson, CEO and Plan Manager
The pandemic has created seismic shifts across Canadian workplaces. The mass migration to the home office (or, for some, the dining table) and growth of the digital-based gig economy is changing the way employees and employers see the future of work.
As more companies roll out return-to-work plans that embrace the work-from-anywhere model, mainly in tech, other organizations are wrestling within to balance the comfort of traditional in-office business and the flexibility needs of today’s employees. With the labour force already shrinking, employers need to act fast and invest in a company culture that is tailored to the needs of workers – if they want to recruit and retain top talent during and after the pandemic.
In this era of the Great Resignation, a record number of workers experiencing burnout are leaving long-held jobs, switching to gig-based work or changing careers.
Meanwhile, young Baby Boomers are opting out of the workforce for early retirement with about 125,000 Canadians expected to retire over the second half of 2021, continuing a more than ten-year retirement trend for the aging cohort.
Workers are rethinking their career commitments, workplace conditions, mental health, life goals and financial priorities. They don’t want or need to return to the office and can now more easily entertain offers from across the country and around the world without needing to move.
The Great Resignation is a 21st century labour movement – a collective action across the workforce, not just individual workplaces. Overstretched and over-stressed employees feel empowered to demand better work conditions, total compensation, and a mindful workplace that nurtures their complete wellness, from on-boarding to retirement.
The movement and mobility of those who can work from anywhere are bound to heat up the competitive global war for talent in an already shrinking labour force. Exacerbated by a stagnated class of graduates and the continued outflow of the largest generation of retirees, these trends point to a widening gap in talent worldwide from entry-level to leadership positions.
A recent global survey of nearly 45,000 employers across 43 countries showed 69 per cent of employers reported difficulty filling roles, a 15-year high. A quarter of employers plan to invest in accelerated up-skilling (12 weeks or less) for employees and 21% plan to launch career coaching programs in the next six months.
The pandemic has accelerated, democratized and destigmatized remote work, and escalated flexible work arrangements from being a perk to an expectation. It has also shown how quickly and severely an individual’s state of health can be undermined, and how intricately the many forms of health are connected: physical, mental, financial, occupational, emotional, spiritual and environmental.
When assessing return-to-work plans, employers should look beyond the flexibility factor and redesign the suite of employee-focused benefits to incorporate all aspects of well-being in an authentic, sustainable way. Focusing on home office hardware is a one-dimensional approach that will net short-term stability but not long-term return in employee engagement and retention. Employees are searching for more intangible supports to help them thrive in a hybrid, hyper-digital work environment.
Professional development programs can provide added value to the employee experience while upskilling workers to suit the business – a win-win for both parties. Mentorship programs, accelerated pathways to management, tuition and training reimbursements, and internal job placements allow employees to advance skills at their own pace and explore new career paths while contributing to the broader team.
In the past, a vibrant in-person culture was a meaningful retention tool and new employees were relatively easy to source as staff retired. In a world of more challenging demographics and with remote work arrangements lessening the retention power of culture, employers whose success depends on people must look to more powerful and lasting retention employee-centric programs.
As leaders, we can show a meaningful, lasting commitment to employee growth and security by enhancing holistic and complete wellness programs that help employees achieve mental, physical, and financial well-being. This can include fitness sessions, healthy eating programs, personal and religious observance days, daily childcare and mental health breaks, and financial planning assistance.
Upgraded total rewards for all employee classes can demonstrate a renewed appreciation for the talents, experience and expertise that drive the organization, particularly for the “burned out” workers who had endured pandemic-related layoffs and long hours. Thoughtful investments in retirement and pension plans (like DBplus), comprehensive health benefits, profit-sharing options, and employee and family assistance programs can inspire a long-term loyalty and boost efforts to recruit, retain and engage talent.
An employer’s return-to-work strategy is an important signal to employees and will be a key driver for success in future recruitment, retention and employee engagement in the post-pandemic world. This is an opportunity for leaders to demonstrate with words, actions and investments that we recognize the role and responsibility employers have in aiding the long-term wealth and wellness of employees, from on-boarding to retirement. Those who fail to seize this moment to create a nurturing, compassionate and employee-centric experience are at risk of undoing years, or in some cases decades, of conscientious culture work.