2021 just ended and we already have a new year ahead of us. Do you remember what work was like 6 years ago? It’s more difficult to recall than one would think. In our world, change is the only thing that remains constant. It applies to all aspects of life but is most especially relevant in our workplace.

There are many things that have happened during the past few years that triggered these changes. One of those is the advancement of technologies. Video Communications and collaboration software such as Zoom, Microsoft Teams, Trello and Slack made it possible for teams to work remotely and communicate with ease and convenience.

Another event is the shift in age group generation of the employees. This caused a change in the ever-shifting employee expectations. These days, you can’t expect your employees to keep their job merely for the sake of having a job. According to a survey done by Society for Human Resource Management (SHRM), there’s an imminent mass exodus termed the Great Resignation, or the turnover tsunami, where in workers choose to leave their jobs, prompted mostly by dissatisfaction and belief that there are better opportunities ahead of them.

And finally, due to the COVID 19 pandemic, almost all industries were forced to adapt their operations and HR strategies to compensate for the dangers of the virus. This paradigm shift brought about the hybrid and remote workplace set up which had great benefits such as increased organizational and operational efficiency, but at the same time proved to increase employees experiencing burnout and loss of motivation. This also contributed to the recent Great Resignation.

To save your team from losing valuable members due to this great resignation, this new year may be the right time for you to be informed on new and employee favorable workplace practices. In this article we discussed some workforce trends that you could expect for 2022.

Workforce Trends and Predictions Employers Should be Mindful of

1. More Gen Z employees in the workforce

Born between 1997 and early 2010, the oldest member of Gen Z is now 23 years old and ready to join the labor force. As a result, Gen Z will likely have a significant impact on today’s workplace as we know it – from how we use technology, think about company culture, the way those issues regarding workplace discrimination and diversity, equity and inclusion are addressed, and how companies deal with the most pressing social and political issues

Gen Z will offer a fresh perspective to established teams of Baby Boomers, Gen X-ers, and millennials. It’s also worth noting that they are comfortable with technology, being born in the digital age surrounded by gadgets.

2. Hybrid work will stay and be reinforced even more

The pandemic had caused offices to shut down for indefinite periods. Now that we’re on the tail-end of a global health catastrophe thanks to aggressive inoculation efforts worldwide, more and more employees will have to show up at the office again. However, that does not mean remote work will fall out of fashion. What will likely happen is the introduction of hybrid work.

About 80% of employees want to switch to a hybrid work setup even after the pandemic. Hybrid work could mean dividing teams into offices and remote workers, depending on personal preferences and a job’s flexibility to a specific work arrangement. An even better approach is allowing employees to navigate between the office and remote setups with reliance on personal judgment.

3. Companies will have a hard time recovering from the Great Resignation

As of October 2021, 4.4 million Americans left their jobs and over 40 percent are actively searching for a new job right now, or plan to soon, according to a new survey report from the Society for Human Resource Management. Called the Great Resignation, this trend is projected to continue for 2022. One possible reason is how the pandemic has triggered people to reassess their priorities. Family time and well-being are now more of a priority, and employees are willing to leave their jobs for companies that can offer those flexibilities.

For businesses, this trend poses real challenges. Labor gaps will have to be filled, and hiring practices must be improved.

4. Companies would give more emphasis on worker retention

With the great resignation currently in effect,, according to a survey by Indeed, 87% of HR professionals see worker retention as the top priority in the next five years. Employers need to be more proactive with their worker retention efforts since turnovers are costly: a resignee’s financial burden to employers can reach up to 33% of an employee’s annual salary.

With all of these factors taken into consideration, Companies is expected to put more efforts on valuing their workers. Companies could start by offering attractive remuneration packages to their employees. Companies could also perform “stay interviews” to get a feel of a worker’s experience. Stay interviews are one-on-one sessions, with the aim of communicating and setting an agreement with an employee whom you suspect is on the verge of calling it quits.

5.Companies would invest more in employee upskilling

Another factor that causes employees to leave is when they feel that there would be no career growth for them in the organization, with 70% of them leaving for a company that offers better development and training. If they feel that they are not getting the training and development necessary to advance their position in the company, they’ll likely look elsewhere. Upskilling helps address this issue.

Upskill is beneficial for both employer and employee. Upskilling is beneficial to the organization since skilled employees have more to bring to the table. Upskilling at the same time improves employee productivity as well as their working experience, which, in turn, supports the company’s retention goals.

6. Companies would tap on their Alumni Market

Do not burn bridges, they say, and that’s pretty good advice. While it mainly applies to personal lives, it’s high time for businesses to implement this piece of wisdom into HR practices, too. Sometimes, it can’t be helped; you lose top-notch talents, but that does not mean they’ll be out of reach for good. Let your HR keep a database of your most talented albeit resigned employees.

You may re-engage alumni talent full-time or tap them on a per-need basis to fill in current labor gaps. Either way, you know you won’t suffer a shortage of talents. According to the recent data from the employer review site Glassdoor, 72% of over 1,100 employed U.S. adults said they are ready to return to their previous employers, meaning that there are valuable workers that are waiting to be rehired.

7. Companies would focus more on employee well-being and mental health

The Zoom burnout is real. It’s not some made-up condition invented by employees who want to skip work for a week or two. According to an Indeed survey, over half (52%) of respondents are experiencing burnout in 2021 — up from the 43% who said the same in Indeed’s pre-Covid-19 survey. If your employees start feeling uninspired by the job they once enjoyed, it’s probably a sign of burnout. It can happen to anyone regardless of the extent of their responsibility within an organization.

Burnout is a new key contributor to employee turnover. To effectively avoid it, companies are expected to encourage work-life balance. If you can, allow employees flexible work schedules and a mix of location and remote work setup. So long as they deliver their deliverables, when and where they do it prove irrelevant.

8. Companies would continue to Improve on Workplace diversity and equality

We’ve come a long way in terms of gender equality, but there’s still so much to do, most especially in the work setting. Committing to workplace diversity and equality proves advantageous to businesses.

According to a study from McKinsey and Company, companies with top management female representation are 50% more likely to outperform the competition. Moreover, bridging the pay gap could lead to a 35% increase in GDP.

Jobseekers also find diversity necessary, with 76% considering it as a factor when evaluating companies. A diversity, equality, and inclusion program in your workplace can give you an edge in the tight labor market come 2022.

9. Continuous rise of the freelancer/ gig economy

Gig economy/ Freelancing gives what most jobs could not offer: flexibility. Since you’re not tied to an office-based 9-to-5, you have, to a certain extent, full control on how to manage your time and create a proper work life balance. This is something businesses can maximize via remote or offshore staffing.

The gig economy has grown bigger in 2020, participated upon by 35% of the U.S. labor force. This increase in the gig economy market is projected to continue in the upcoming years as well.

10. Companies would shift to the use of cloud technology for hiring and HR management

Due to the COVID 19 pandemic, companies have accelerated their move to cloud-based HR platforms. A recent survey from Information Services Group (ISG) of 260 companies worldwide found that 46 % is currently using an HR Software-as-a-Service (SaaS) platform or hybrid solution. Based on their data, it is expected that 57% of organizations would be using a subscription-based SaaS or hybrid solution by 2023.

HR management has multiple benefits to reap from cloud technology. First, It made remote hiring possible. Even training can now be completed in the cloud. Plus, tracking and updating employee information and credentials can now transition from paper to digital.

Change, but for the Better!

The only thing that is constant in this world is change. And when change happens, you should always be prepared and always ready to adapt with urgency. Adaptability has been a key trait of companies that survive for multiple generations.

If you need help with the recruitment or training, we at Mathew Hospitality Management provide nothing short of the best services. You may contact us for more information.

Vince Villanueva

Brand Development Manager