Talent Acquisition Newswatch - Issue 1.54
TOP STORY
The job-interview process is evolving, with firms seeking different skills and a new culture. To succeed in interviews, candidates should prepare and practice extensively, researching the company and rehearsing responses to various types of questions. Asking thoughtful questions during the interview, showing interest in the company and its leaders, and sharing captivating stories are crucial steps to leave a lasting impression on the interviewer. Candidates are advised to demonstrate passion, positivity, and practice storytelling for different scenarios to showcase their value and fit for the role.
COMPENSATION & BENEFITS
Employee engagement has decreased post-pandemic, leading some employers to focus on well-being benefits, particularly financial well-being, to retain talent amidst challenges like the pandemic and inflation. Employers are exploring various approaches to enhance financial well-being benefits to differentiate themselves and support workers better, considering surveys that highlight worker pain points. The concept of workers' “permacrisis” presents an opportunity for employers to provide additional support, as workers who feel supported are more inclined to stay with the company. While competitive salaries attract new talent, offering comprehensive financial well-being benefits can be crucial in retaining employees and improving overall engagement in the long run.
Lego is linking a portion of its salaried employees' bonus payments to annual emissions starting from 2024, focusing on Scope 1 and Scope 2 emissions initially. This move is part of a broader sustainability investment of $1.4 billion by Lego, including efforts such as designing carbon-neutral buildings, increasing renewable energy production, and collaborating with suppliers for environmental impact reduction. The company plans to extend this bonus tie-in to also cover Scope 3 emissions as they aim to enhance their sustainability practices. With a commitment made in 2020 to reduce its absolute carbon emissions by 37% by 2032, Lego aligns itself with the Paris Agreement's objective of limiting global warming to below 1.5°C.
DIVERSITY, EQUITY & INCLUSION
A study by Adzuna reveals that the gender pay gap in the U.S. has doubled from 2.9% to 6% in STEM fields, with the worst gaps seen in science and engineering. The pandemic has contributed to this widening gap as many women had to change their working arrangements due to childcare responsibilities, leading to reduced working hours and career shifts. Women in STEM face challenges in career progression and leadership roles, impacting their pay and causing some to leave the industry. While there are brighter spots such as narrowing gender gaps in banking and finance, the overall trend indicates that the gender pay gap issue persists and needs attention from employers.
Diversity, equity, and inclusion (DEI) have transitioned from being a nice-to-have initiative to a crucial component of strong company cultures, necessitating a revamp of HR programming to meet modern expectations. DEI 2.0 now emphasizes a more intersectional and equity-focused approach, recognizing the importance of including individuals from various backgrounds beyond just race and gender, and supporting them throughout their employment. Companies are urged to upgrade their DEI efforts by implementing new strategies like expanding employee resource groups, cultivating culturally competent hiring programs, and establishing DEI-informed mentorship programs to foster a more inclusive and equitable workplace. Continuous improvement in DEI programs is essential as definitions of inclusivity and equity evolve, highlighting the importance of listening to underrepresented employees and adapting strategies to align with changing views of success in DEI initiatives.
HR INSIGHTS
Research from the University of Georgia found that people who brag about their stress levels are perceived as less competent and less likable by their colleagues, indicating that stress bragging can backfire in the workplace. Participants in the study rated colleagues who bragged about stress as significantly less likable and competent compared to those who simply mentioned work stress or talked positively about their experiences. Continuous stress bragging creates a culture where high stress levels are normalized, leading to increased personal stress and burnout among employees. The study suggests that boasting about stress is not a positive behaviour in the workplace and can have negative implications on both the individual and the work environment.
A study by Robert Walters has shown that 40% of managers have a 'weak' relationship with HR, with many managers only engaging with HR when they encounter employee-related issues, highlighting concerns about the disconnect between management and HR. The report also reveals that a significant number of managers in the UK lack formal training, leading to them becoming 'accidental managers' and feeling overwhelmed or under-equipped in their roles. Experts suggest that businesses need to invest in developing strong business partnering relationships between HR and management, identify and cultivate employees with natural leadership skills early on, and provide adequate training and support for new managers to succeed. There is a call for HR to play a more proactive role in driving leadership development, aligning leadership capabilities with business strategy, and ensuring that managers have the necessary skills to effectively lead their teams.
A report by the Arbinger Institute reveals that only 30% of professionals feel their organizations prioritize fostering an inclusive and collaborative work environment. Additionally, just 28% believe their companies prioritize the development of engaged and accountable employees, showing a lack of focus on these crucial aspects. Organizations that prioritize inclusivity tend to have professionals who rate their company's innovation and efficiency as excellent, highlighting the importance of a positive company culture. Professionals in workplaces that emphasize engagement and accountability are nearly 5 times more likely to rate communication and collaboration as excellent compared to others, emphasizing the impact of organizational values on employee satisfaction.
LEADERSHIP & TALENT MANAGEMENT
Managers and leaders are the most affected by disruptive change in the current business landscape, being 56% more likely to experience extensive changes in their organization compared to individual contributors, according to Gallup. Gallup's survey highlighted that employees facing disruptive changes are less engaged, less connected to the organization's culture, more prone to burnout, and likely to leave their employer. Trust and communication from leadership play a crucial role in helping employees adjust to change, with those who trust leadership and perceive effective communication being significantly more engaged and less likely to feel burned out at work. Organizational leaders face mounting pressure to address uncertainty and constant change, with a need to improve communication, build trust, and adapt to the evolving job structures and talent management practices.
HR professionals and risk managers highlight ineffective leadership as the primary people risk for U.S. organizations in 2024, per a report by Mercer and Marsh, Marsh McLennan companies. Concerns include improper rewards decisions, rising health costs, lack of cyber security knowledge, and mismanagement of AI, emphasizing the critical role of effective leadership in mitigating risks. Survey results reveal worries about dependence on key individuals, inadequate succession planning, and a lack of effective workforce strategies, with 35% fearing negative workplace culture due to ineffective leadership. To address these challenges, leaders suggest fostering collaboration between HR and risk professionals to build a risk management culture and implementing skills-based approaches for talent acquisition and retention.
RECRUITING & RETENTION
Employer branding plays a crucial role in attracting and retaining top talent throughout the recruitment process, encompassing various aspects from the initial application to onboarding. Strategies to enhance employer branding include website redesign to showcase company values, implementing fair-chance hiring approaches, ensuring visible leadership from executives, and boosting the employer value proposition (EVP) to attract skilled candidates aligned with company culture. By highlighting core values, culture, and employees, improving social visibility, and leveraging employee advocacy, businesses can strengthen their employer brand and appeal to high-quality job seekers, ultimately establishing themselves as an employer of choice. These efforts not only improve the company's reputation but also differentiate it in the talent market, creating a positive perception among potential candidates and leading to increased interest from top-tier professionals.
Generative artificial intelligence (GenAI) is creating a new demand for prompt engineers who craft queries to instruct AI tools in tasks like writing replies, designing prototypes, and creating artwork. The demand for prompt engineers has surged, with a fivefold increase in job posts for this role since the launch of ChatGPT, leading to a growing need for prompt engineering skills in various technical and nontechnical occupations. Recruiters are facing challenges in identifying candidates with AI-related skills, including natural language processing and knowledge of large language models, and HR leaders are advised to consider upskilling existing employees for prompt engineering roles. HR and hiring managers need to be aware of biases in GenAI tools, understand the limitations of AI technology, and consider factors like inclusion, equity, and diversity when evaluating candidates for prompt engineer positions.
In today's competitive job market, having high-demand niche skills and knowing how to apply them is crucial to stand out and secure premium job offers. Skillsets like Applied Deep Learning, Practical Applications of ChatGPT, Ransomware/Cyber Extortion expertise, Generative AI and Cybersecurity knowledge, ESG for Supply Chains proficiency, Operational Technology (OT) skills, and CRM Systems/Sales Technology expertise are currently in demand in the technology sector. These niche skillsets offer professionals the opportunity to excel in their respective fields, increase marketability, and compete for high-paying jobs. As companies prioritize sustainability, cybersecurity, AI implementation, and operational efficiency, individuals with these specialized skills will have a competitive edge in the job market.
LABOUR MARKET INSIGHTS
The debate on the value of traditional college degrees versus career-applicable skills is intensifying, focusing on Generation Z's skepticism towards higher education and the increasing demand for skilled workers by employers. Panelists at the Reagan Institute Summit on Education highlighted the need for a convergence between college education and career readiness, emphasizing innovations in education to meet the changing needs of students and the workforce. Efforts are being made at the K-12 level to incorporate career and technical education programs alongside traditional academics, providing students with industry credentials and work-based learning opportunities. The future of education lies in creating pathways that connect workforce needs with student learning, bridging the gap between education and economic development through collaborations between educational institutions and businesses.
60% of business leaders have asked recent graduates if they have participated in pro-Palestine protests during job interviews, indicating a concern among employers. There is a growing trend where companies are possibly making biased hiring decisions based on candidates' ideologies or personal behaviours like protesting or social media activities. The risk of creating toxic work environments and facing legal consequences for discriminatory practices based on political beliefs is highlighted in the findings. The study reflects the increasing impact of political polarization on the hiring process and workplace dynamics.
The #boredatwork hashtag has gained popularity on TikTok, with videos showing a mix of entertainment and disenchantment with work life, such as making fun of managers and engaging in office pranks. Experts warn that the recent surge in boredom at work, especially among Gen Z employees, should be a wake-up call for management, indicating unhappiness and feeling stuck in current roles. While some employees use the hashtag for fun and engagement, studies show that boredom at work can lead to decreased productivity, higher healthcare costs, and increased turnover, highlighting the need for leaders to engage and motivate employees effectively. As AI technology advances, the potential for increased boredom at work grows, but leaders can address this issue by providing meaningful work, recognition, opportunities for career advancement, and skill development.
A report by the University Vocational Awards Council (UVAC) warns that drastic reform or abolishment of the government's apprenticeship levy scheme will negatively impact the skills gap in the construction sector, potentially leading to a decline in skilled professionals. The UVAC recommends reforms such as ring fencing public sector levy payments to give employers more control over their spending, but opposes ideas like a graduate ban on construction-based higher or degree apprenticeships. The uncertainty around the future of the apprenticeship levy poses a threat to the delivery of higher-level apprenticeships crucial for recruiting and training skilled professionals in construction, affecting social mobility as well. UVAC's upcoming white paper outlines the potential consequences of apprenticeship levy changes on the construction sector and calls for careful consideration on how funding is allocated to attract and retain talent.
A survey by HiBob indicates that political discussions in the workplace are contentious, with 17% of workers experiencing conflicts over differing political views. Opinions vary across generations, particularly between Gen Z and older employees. While 31% of employees feel uncomfortable expressing political opinions at work, and 76% of LinkedIn poll respondents agree, there is a 19% rise in support for keeping politics out of the workplace. Gen Z workers, despite 59% advocating for respectful political dialogue, face notable discomfort, with 24% reporting conflicts and only 43% willing to share their voting preferences. Additionally, 33% of Gen Z employees believe employers should publicly address political and social issues, with 53% potentially rejecting job offers based on an employer's stance. Most employees aged 25 and over (65%) oppose voicing political opinions at work but agree (72%) that discussions should occur in a safe and respectful environment. Gen Z's digital upbringing influences their preference for open dialogue, which can cause conflicts and productivity issues. Employers are encouraged to manage political discussions by creating structured forums, offering communication training, and setting clear guidelines for respectful interactions.
QUOTE OF THE WEEK
"Be more concerned with your character than your reputation, because your character is what you really are, while your reputation is merely what others think you are." - John Wooden