Herman Trend Alert: HR Responds to the Economy and Labor Market (Part 1) - aftermarketNews

Herman Trend Alert: HR Responds to the Economy and Labor Market (Part 1)

Employers take note: these findings will affect your ability to attract and retain in the months and years to come.

Occasionally, a study is so important that we devote two weeks and extend the length of "The Herman Trend Alert" to cover these results. This week, we offer you Part One of the highlights from the 2010 Towers Watson Global Workforce Study.

First and not surprising to us, the study says "employers report difficulty attracting and retaining top talent." Employers’ experiences with attraction and retention were related to differences in the business climate. Nearly two-thirds of all respondents reported having problems attracting critical-skill employees. However, the proportion varied significantly from a high of about 80 percent in Asia and Brazil to around 50 percent in the United States, Spain and Ireland.

Second, it is always valuable to see the disparity between employer and employee views of "reasons to join a firm." Ranked order of importance (most to least), the reasons employees gave were competitive base pay, challenging work, convenient and opportunities for career advancement. On the other hand, the ranking from employers was somewhat different. They agreed that most important (these days) was competitive base pay, however they followed with reputation of the organization as a great place to work, challenging work and business/industry of the organization.

The fact that "opportunities to learn new skills" does not even appear on the employees’ view is very interesting. What we now see is employees’ impatience to have career advancement without learning the new skills they may need. It is also noteworthy that "challenging (meaningful) work" appears second or third on both lists. Moreover, for employees, convenient work location and flexible schedule trump "the business/industry of the organization" and "financial health of the organization." Thus, candidates are increasingly likely to be influenced by job offers that include a (better) pension, greater job security, better work/life balance and more flexible work arrangements.

The "reasons to stay" were a bit different from the "reasons to join." While both groups agree that compensation and advancement opportunities are the important factors in both attracting and retaining employees, employers underestimated the importance of employee security and well-being. Both now and in retirement, these are two critical factors for employees when they evaluate whether or not to leave their current employer. As we forecast more than a decade ago, many employees feel more responsible for managing their careers and retirement.

Employers take note: these attitudes will affect your ability to attract and retain in the months and years to come.

You May Also Like

Gratitude for YOU

AMN Editor Maddie Winer sends a holiday message of thanks to the aftermarket professionals who have inspired her with their tenacity, knowledge and the care they put into all they do.

With the end of 2023 fast approaching, I can’t believe all that has happened in my life this year: I got married, I now have a dog and I changed jobs to become editor of this esteemed publication, continuing the legacy of my friend, Amy Antenora. I also attended my first full AAPEX Show and was embraced by so many of you who I have emailed or spoken with over the phone. I was privileged to also meet many new people who have graciously extended their expertise to the publication when we need it.

No Escaping AI

Having conversations about how to implement AI responsibly in your business will pay dividends for generations to come.

Driving Leadership Through Vulnerability

A leader needs to have a heart that cares, not be afraid to show it and empower others to make decisions.

leadership
The Freedom to Find the Fix

With summer nearing its end and fall just around the corner, I’m always paying closer attention to the political cycle, as November elections will be here before you know it. Of course, there are issues up in my neck of the woods that don’t concern the majority of our readers, but federally, there is one

Building on a Legacy

You may have noticed something different this month – a new editor for AftermarketNews.

Winer aftermarket news

Other Posts

AAM’s Next-Gen Electric Drive Systems on Display at CES

Among the products showcased at CES will be AAM’s electric drive units, e-Beam technology and component technology.

AAM's Next Gen Electric Drive Systems on Display at CES 2024
Shop-Ware Partners with Amazing 7 on Phone Integration

The integration allows repair shop staff members to gain valuable context to incoming phone calls and respond to customers accordingly.

Shop-Ware-Amazing-7-phone-integration
Continental, Synopsys Team Up on Automotive Software Development

The collaboration aims to accelerate the development and validation of software features and applications for the Software-Defined Vehicle.

Epicor Unveils Digital Cataloging, Future Plans

The new catalogs use Epicor-validated, ACES-compliant data and an “Intelligent Search” feature to find the right part quickly.

Epicor digital catalog