During a year of unprecedent times, the HR industry is making substantial changes in operations to adapt leading into the future. As workplace challenges begin to change, so does the face of HR. To seize new opportunities, HR professionals are adopting new technology, best practices, and forms for communication to rapidly reinvent the workplace environment.
At SourcePointe, our team of HR professionals continually monitor these trends, ensuring your business stays ahead and is prepared to embrace new challenges. This year, consider these five trends we anticipate will impact the HR industry:
One increasing HR trend in 2020 is the incorporation of artificial intelligence (AI) into everyday operations. According to the Mercer Global Talent Trends 2020 survey, 34% of leaders expect to accelerate the role and use of technology such as AI and automation moving forward. Human resources is no different. HR professionals have started looking to AI tools to increase their efficiency and workflow.
For most companies, AI has primarily been used by HR for talent acquisition. HR professionals that have embraced this technology have seen a significant reduction in time-to-hire, and measurable improvements in the overall candidate experience. For example, companies using chatbots to communicate with candidates could ultimately free up hours of time each week.
Additionally, HR professionals are using AI to:
- Communicate with employees about HR related questions
- Conduct background checks
- Identify behaviors that indicate an employee is disengaged
- Manage employee performance
- Create and customize job descriptions, career paths, and professional development options
- Identify anomalies in behaviors that could be an indication of misconduct, corruption, or theft
Due to the surge in remote work and the challenges that come along with a remote workforce, another top trend we are seeing in 2020 is the development of proactive communication. According to the 2020 Mercer survey, “80% of organizations have developed a regular cadence for communications from senior-most leadership to all hands through company-wide communications that focus not on data alone but practical actions the company has undertaken.”
As working from home becomes the new “norm”, HR teams has been faced with a new set of challenges due to the communication barriers created by remote workforce. Proactive and consistent communication has been essential to maintain culture, connectivity, and ‘normal’ ways of working, while also avoiding confusing and reducing anxiety.
In today’s reality, HR must be innovative especially when it comes to their recruiting and retention strategies. To locate top talent, many HR professionals are turning toward a new trend in 2020. That is—hiring an open workforce. An open workforce means hiring freelancers and contractors on an as-needed basis.
According to the 9th annual State of Independence in America Report, the independent workforce is stronger and more confident than ever. Over 41 million Americans work independently and not tapping into this open workforce could mean missing out on top talent.
These non-traditional workers can fill gaps in in-house teams and are able to pick up slack when businesses are short-handed.
Benefits and Wellness
In response to the 2020 pandemic, HR professionals have started to invest and adapt their benefits and wellness programs to better support their employees. As HR proactively looks to address the rise in employee stress and anxiety as a result of the COVID pandemic, the HR industry has seen an increase in digital wellness programs, employee assessments, and virtual recognition ceremonies.
Additionally, many HR departments have made substantial changes to their company policies and procedures to better align with employee needs and well-being during the pandemic. According to Mercer, 58% of companies have considerably loosened their existing sick and leave polices to relax limits and restrictions on employee infected with COVID-19.
Skills- Based Pay
In 2020, the HR is seeing a new trend in the way organizations are compensating employees. An increasing number of businesses are delinking base pay and performance in favor of pay-for-skills. According to a 2020 Skills Survey, “23% of organizations say that skills-based pay is specified within their strategic plans. An additional 41% of companies are linking skills-based pay to one or more of their strategic goals.”
The idea behind this strategy is to focus on rewarding progression and/or development. HR and leadership teams are taking a more holistic view of rewards. For example, an increase in the use of digital recognition, career opportunities, and spot rewards to recognize and motivate.
To learn more about how these new trends could have an impact on the success of your business, contact a SourcePointe HR representative today!Back to Insights