
In the last ten years, the HR industry has shifted. Artificial intelligence is growing. The Gig Economy is rising. The push for more diversity has increased. And lastly, a global pandemic changed millions' reality and redefined how and where work is being done. This raises the question, what will the industry's future be? This article looks forward to an analysis of HR developments that continue to drive change and new trends which will shape the future of work.
2020 was full of change as organizations globally struggled to respond to the COVID-19 global pandemic affecting small and large businesses in all industries. If 2020 teaches us something, anyone who does not adapt will be left behind. This refers to implementing a digital transformation plan that can stick but, more importantly, reaches beyond technology to solve employee experience issues.
To keep up with the changes taking place, particularly in light of the pandemic, understanding market changes is crucial. To that end, I have read through articles of industry leaders and analysts to learn about the top HR trends for 2021 so that your company can make educated decisions.
1.Remote work is here to stay.
The growing prominence of the new way of working was one of the trends we expected for 2021 – a transition from the conventional model of work to a more flexible and worker-focused model, emphasized by the acceptance of work and the growth of the gig economy.
No one understood – or would have imagined – how accurate this assertion in all the most surprising ways would be. The way they work is done changed radically, from government-mandated lockdowns to businesses transitioning to a full-time remote-work model, as far as possible.
This move is permanent for others. Twitter agreed to encourage all workers who do not have to be at the office, for example, to manage servers, to operate indefinitely from home if they so desired. Similarly, Microsoft has confirmed that some remote-work levels will become a permanent component of its community to allow employees the freedom to form their work options to fit their lifestyles.
Companies like Facebook and Shopify have also embraced the new reality and have normalized and encourage working from home.
When the world goes back to normal, it's obvious that the work environment won't simply return to the way it was. 65% of workers would prefer to continue working from home post-COVID, as per a report by Gallup.
Similarly, IBM found that nearly 85% of respondents surveyed in the middle of 2020 preferred remote work in some capacity after lockdowns lifted, with 58% saying they wanted their primary way of working to be remote.
It's evident that an increasingly remote, automated work world won't end after the pandemic is over. How companies adapt to this fact will play a significant role in the future and shape the next six trends on our list.
2.Organizations Double Down on Digital.
Another trend we shall be emphasizing on "digital-first work," given the change to a workplace that is increasingly virtual and detached from an office. This has far-reaching ramifications as corporations strive to decide how this new change will influence their culture and values.
According to KPMG, 77% of CEOs surveyed would 'build on the use of software for teamwork and communication,' and 67% will spend more on technology compared to 33% investment in a talent search.
Similarly, the 2021 study of Deloitte Global Human Capital Trends found that the introduction of "digital collaboration platforms is the most critical factor in maintaining this modern working way.
This concept has been taken into account in research by renowned HR intellectual and analyst Josh Bersin. He emphasized the hybrid balance of a working environment as a priority in his report 'The Big Reset Playbook'. Countries that are mildly affected by COVID-19 have employees attending offices frequently.
The report says “the challenge now is to learn how to make the same personal connections and team collaborations with half the employees working from home. Employees aren’t used to the concept of distance, communication, strengthening that is the core for innovation”
3.It is All About Team-Play.
For your insights into what HR will do in the next few years, we have asked Steven Cates, Professor of HR at Purdue University Global.
"The creation and development of virtual teams which accommodates remote work will be an obvious issue in 2021," he said.
'Deloitte also emphasized the way to the future is "superteams." A superteam blends people and technology to achieve results quicker and more thoroughly than would otherwise be possible.
Included in their survey data are variables that lead to competitive superteams:
- Build a 'culture of development, adaptability and resilience' (45 percent of executives surveyed).
- Enabling an "advanced, resilient and mobile" workforce (41 percent of executives surveyed).
- "New technology introduction" (35 percent of executives surveyed).
Cates posed several obstacles beyond the presence and relevance of the teams. "How are you going to train [employees]? How are they going to communicate? How are they going to build relationships in the workplace? How will success be evaluated?"
Cates suggests that looking at the past would be a possible practical approach. "We should consider the lessons teams have given us since the 1980s both the success and their failure," he said. "They mainly failed because top managers didn't invest enough in the facilities necessary to train and develop teams to carry out the work they were designed to do."
HR design is a core element of this infrastructure.
4.Employee Experience is Redefined.
According to Gartner, Employee Experience (EX) was the third big HR leadership program in 2019. While Gartner's most recent report on HR's 2021 priorities puts employee experience at the top fifth stage, this pattern remains valid and significant.
Concentrating on the company's experience, as a brand focuses on customer experience, can:
- Enhance efficiency
- Enhance satisfaction
- Enhance employee loyalty
- Promote investment in the vision of the company
However, employee experience has taken on new forms and significance due to the slew of changes induced by the pandemic.
"An even more important fight has taken place for employees' hearts and minds," Millner said, "particularly when leadership/management and employee relations are very different than before."
Formerly individual ties have been fully technology-based. "When it comes to managing, monitoring and training employees until you work with people and engage with them for some time, you don't really know how someone responds best," explained Millner. "These are now two very different elements."
How does this happen at a realistic level?
The partnership between the increase in automation and employees' experience is developed to provide cost-effective and sustainable personalized solutions and knowledge to employees. HR must focus on essential human resources strategies and consider how they can be strengthened and make more applicable to tomorrow's workforce," said Millner."
One way to enhance the interactions of workers in difficult times is to give employees a voice. A study from SoGoSurvey showed that the best way to develop EX is to obtain input from employees and then use them, with 65 percent of employees stating that paying attention to Feedback is very or extremely important for their business. The analysis also found the following advantages of "focusing on feedback":
- Compared with companies without a listening program, employees are twice as engaged.
- Almost 70 percent would stick with an organization longer or more likely.
- In the face of change, more than 90% would be more resistant.
5.Mental Wellbeing gets the recognition it deserves.
The affects of the pandemic on mental Wellbeing have been one of the most noticeable. An SHRM study in the first half of 2020 found that as many as 35% of those surveyed had signs of depression while 41% said they were "emotionally drained from their work."
In addition, a study by Hibob found that the pandemic has led to a 27% decrease in mental Wellbeing among employees in America and the United States.
We exist in days that have never been seen before. No wonder the tension and confusion affecting significant numbers of the population have been increasing. As organizations fought to respond to an uncontrolled crisis, it advanced wellness as a consideration that cannot be ignored.
Companies such as Chevron, EY, Verizon Media, and TIAA have embraced their workers' mental health in a wide range of ways – access to qualified counselors, appreciation programs, regular resource newsletters, and more.
In 2021 this emphasis will continue.
A health report by the Business Group on Health identified certain important areas of growth for large companies in the field of mental health:
- More than 90% of employers are willing to offer telemental healthcare facilities.
- In 2021, the number of mental health organizations will increase from 69% in 2020 to 88%.
- In 2021, mental health costs in 54% of companies will be reduced or eliminated.
6.Identification of True Nature.
Taking a close look at previous patterns, the last prediction is that 2021 will be a year in which both employers and workers discover their company's true nature from the C-suite to the line worker.
The pandemic, social justice and economic issues put businesses in the spotlight. All addressed scenarios so far represent how organizations have and will respond as their journey in uncertain future progress. Values, goals, community, and more are consolidated or emerged based on how organizations react:
- Whether in-office employees are expected to be vaccinated and how they treat any subsequent litigation.
- How and when to return to work alongside protective initiatives to ease the fears of employees.
- To what degree should employees work from home if they are no longer needed.
- How to invest in and foster Wellbeing among employees.
- How diversity, equality and inclusion are intertwined in the way, an organization runs.
- To what degree supervisors and managers hear and act on employee feedback.
- How well employees from the top management to the home office demonstrate concern for their peers.
- Rather than attempting to maintain power by micromanaging from afar, the extent to which managers display confidence in their people.
Accept the Future:
2020 was a dramatic, unprecedented year of transition. A new environment will emerge as we step forward into 2021, one marked by lessons learned from the pandemic and new or renewed commitment to areas such as employees' experience, virtual jobs, mental Wellbeing, and social empathy. The ability of organizations to execute and perform would be significantly affected by team design and growth, as well as skill development.
As businesses continue to evolve in the face of new challenges, using data to strengthen practices, generate value and build alignment, the transition to digital will become ever more prominent. By guidance and utilizing an outside/in approach, HR can also help drive progress.
The emphasis on digital transformation will be paramount, aside from upskilling. Such a transition is not the result of a single process or a sequence of experiences but of different programs based on a culture that makes organizations agile.
And eventually, amid so many life-changing shifts and the presence of a murky future, where businesses land on today's unique issues will characterize them for better or worse. There are exciting trends to experience at this point in HR, and if you are interested in challenges, innovation, change and personal growth, then stick around," Millner summarized.