Human capital to take centre stage in 2020

The Workforce Institute at Kronos — the research and education division of the global workforce management software provider — has released its top five workforce predictions for 2020, predicting that holistic employee wellness will take centre stage as total rewards strategies drive recruitment and retention in a tight economy.

Competition to attract and retain top talent is predicted to compel employers to expand and innovate total rewards packages that offer support for employees in and outside of the workforce.

The spotlight on mental health, financial wellness, childcare, shifts that work for all and an individual’s sense of meaning at work are set to burn even brighter as Gen Z floods the workforce, The Workforce Institute said.

However, it warned that the “ever-increasing natural disasters and crisis” will challenge employers to prepare and respond with efficiency and compassion.

Furthermore, The Workforce Institute foresees governments and employers facing increased pressure to provide today’s multi-generational workforce with schedule flexibility, paid leave and stable living wages.

Policies are expected to be revised with a focus on people-centric solutions, with employers also sighted to tackle controversial and potentially divisive dynamics in the workforce in 2020.

“Organisations that lean into more formalised diversity, equity and inclusion strategies — built on a workplace culture foundation that fosters respect, openness, and trust — while establishing guidelines and ground rules for discourse and behaviour at work will be better suited to maintain a productive workplace.”

Rethinking employment

As for unemployment and the million of unfilled jobs around the world, The Workforce Institute sees organisations broadening traditional talent pools to attract workers, including recruiting veterans, persons with disabilities, retirees, gig or contract workers, second-chance workers and candidates with tangentially relevant skills.

Aside from rethinking their labour operating models, organisations are expected to also support existing employees through reskilling and multiskilling that can be utilised across the business, potentially granting workers more responsibilities and a healthier growth path.

The Workforce Institute warned that the effects of AI must not be overlooked, predicting that it will be applied in such a way that unburdens managers and HR teams.

More accurate labour forecasting, automated scheduling and easier employee shift swapping are seen to make a real difference in operations for all, while voice-enabled smart devices and chatbots are predicted to drive informed decisions for those further along the HR and workforce management maturity curve.