Staying Ahead Of The Curve Amid Emerging Workplace Threats

Create a culture that attracts and retains the best talent

The future is never certain, regardless of how well we plan. This is especially true for employers today – new technologies, changing legislation and an aging population are all factors affecting the way organizations conduct business. Leaders must be proactive in looking for ways to stand out from the competition and increase their ability to attract and retain top talent – a growing priority in the workplace today.

One of the most important factors that influences an employee’s decision to join or stay with an organization is their compensation. In its latest survey of Trends in Human Resources, Morneau Shepell found that employers remain guarded about salary increases in the coming year. Salaries are expected to rise by 2.6 per cent in 2019, about the same as the 2.6 per cent average increase in 2018. Despite the majority of organizations expecting healthier financial performance, employers cite the possibility of more trade protectionism, rising interest rates and the Canadian economy as having an impact on the slowed increase in salary expectations for the coming year.

The tight labour market has become a top concern for Canadian employers. Organizations are regularly required to compete for top talent, challenging employers to implement processes beyond competitive compensation that better attract, retain and motivate employees. In the survey, Morneau Shepell found that among HR leaders, attracting and retaining employees with the right skills (59 per cent) and reducing employee turnover (43 per cent) are among their top priorities going into 2019.

To reduce turnover, one of the factors employers should be considering is what is keeping employees engaged and committed to the organization. This is an evident concern of employers today; the survey found that 67 per cent of HR leaders said that improving employee engagement was among the top five priorities in the coming year, followed by improving employee mental health (48 per cent) and the physical health (47 per cent) of employees.

As employers adapt to the changing workforce and look for ways to keep employees engaged, they are looking at compensation from a total rewards perspective. By offering benefits such as flexible work arrangements, health and wellness policies and coaching and mentorship opportunities, to name a few, employers have the advantage of improving overall employee satisfaction and well-being, reducing burnout and eventually, turnover.

Further to offering competitive workplace policies, leaders must be proactive in addressing change and being prepared to respond to emerging threats. Over the past year, there has been extensive discussion over two pending issues that will affect the Canadian workplace in 2019: the #MeToo movement, and the legalization of cannabis. Both of these are driving changes in corporate culture and creating uncertainty and confusion as employers consider how they should respond.

As more individuals come forward in the #MeToo movement, employers are challenged with updating policies to navigate issues around sexual misconduct in the workplace. In the survey, Morneau Shepell found that the majority of employers (84 per cent) already had zero tolerance processes in place to address workplace harassment, while 79 per cent said senior leadership is committed to eliminating negative behaviours.

As the issue continues to grow in prominence, the main concern for organizations will be the ability to provide proper education and training to management on how to approach the issue with employees. Looking ahead to 2019, the survey found that in the next 12 to 18 months, one quarter (25 per cent) of employers are planning to implement processes that equip managers with adequate tools to have well-informed conversations with employees.

Another issue that has received significant attention in recent months is the pending legalization of cannabis. To ensure there is little-to-no disruption in the workforce prior to October’s legalization, organizations will need to review and update current policies, or create new ones if none are in place. Fortunately, Canadian organizations are aware of this need. Morneau Shepell found that more than half (52 per cent) of HR leaders indicated that they plan to update substance abuse policies to manage cannabis in the workplace in the next 12 to 18 months.

Similar to the #MeToo movement, proper education and training of management is essential as organizations prepare for the legalization of cannabis. The survey found that close to half (48 per cent) of employers have training planned for managers in the next 12 to 18 months. This is particularly important, as there are many misconceptions about cannabis, leading to an underestimation of the risk to personal health and well-being. Proper implementation of policies and training are needed to ensure that employees know the rules and are not caught off guard by any changes.

For most employees, change is occurring behind the scenes on a regular basis. An organization’s ability to stay ahead of the curve and adapt to change will result in less disruption to the workplace and create a culture that attracts and retains the best talent. With some advance planning and proactive engagement with current workplace issues, organizations can be better equipped to handle the occasional disruption to organizational processes.