Insights 4 min Published: 2023-01-16

HR 2023 Top 5 Trends

As we begin 2023, we can expect a trend in HR that has been increasingly influenced by the events from recent years. It is evident how the 2019 pandemic shaped the work scenarios for a lot of people. It resulted to remote work, the boom of e-commerce, and the rise of up to 25% more workers potentially needing to switch occupations, according to McKinsey.

On the other hand, employees are also becoming more aware of the importance of diversity, equity, and inclusion (DEI) within organizations where employers are significantly investing into these fields. As the current EU Pay Transparency Directive has come into effect, this new rule will eventually transform how businesses approach their recruitment process, work policies and management behaviours.

It’s noticeable that there is a huge shift from HR traditional activities as to recruitment and administrative policies into a more strategic, transparent, and forward-looking procedures as the economy and work-culture are continuously being shaped by these on-going changes.

Let’s look at HR 2023 Top 5 Trends as we navigate our way through a transforming work culture.

1. Employee Wellness

This trend will continue to be a focus within HR where employees’ mental health and physical well-being are highly prioritized since these factors play such huge contribution in the organizations’ productivity. Therefore, it’s important to create a healthful work environment. Employers are expected to invest continuously in providing health programs, recreational activities, and support for employees to promote a healthy lifestyle with a work-life balance culture. This will maintain every personnel to be driven within their profession.

2. Hybrid Work

The flexibility to choose where and when to work has been one of the biggest trends that the recent pandemic has created worldwide and will continue to materialize this 2023. Some companies nowadays provide their employees the possibility not only to choose where to work but also when to work. In this case, employees are not constrained within the working hours of 9-5 but they get to choose to work during their preferable hours with the provisions that their productivity is unaffected, they are aligned with their colleagues, and they meet deadlines and KPIs. According to a survey from Gallup, “Most hybrid workers said they have experienced improved work-life balance, more efficient use of their time and a freedom to choose when and where they work”

3. AI in HR

According to a survey conducted by the HR Digest in 2022, “more than 75% of HR professionals believe that AI will play a significant role in the future of HR. Additionally, 60% said that they believe AI will improve the overall employee experience, by providing personalized support and creating more opportunities for professional development.” More companies are now recognizing the importance of AI within HR since it helps the process to become more straightforward, convenient, efficient, and effective not only for the HR personnel but to all employees within the company.

One example is to use Sysarb’s platform to help simplify your process in Pay Management and Pay Equity Analysis wherein you don’t have to manually setup and search information. With the use of our tool, you get to be efficient and productive by accessing all your employees’ information in one click. We also help a lot of our clients to monitor any discrepancies within the company such as pay gap or inequalities which in result making it easy for them to detect and address it accordingly.

4. Reskilling and Upskilling

As the trend in automation and new technologies continue to rise, a lot of employees will have the need to adapt to the advancement of the company. To do this, it is important that every employee gets the opportunity to reskilling and upskilling, where they get to learn new skills or the chance to enhance them. While reskilling helps employees to keep up with the shifting demands within the organization by upgrading their know-hows and current skills, upskilling can be considered as optional since it is only vital if an employee is set to be promoted or take a new role. Training employees will always benefit the organization one way or another.

5. Pay Transparency

With the recent EU Transparency Directive coming into effect, a lot of companies are expected to be transparent with the information about job roles and the associated salary during recruitment. This will transform the process of recruitment and will provide applicants the possibility to assess every job posting and the employees to weigh in their current roles. Since it is required that a company with at least 100 employees are to report the pay gap between female and male employees, it will most likely happen that pay gap will be prevented in a workplace.

With the constant change within the HR trends, it can be demanding and challenging to manage it all along. But the good thing is that we are always available to provide solutions according to your HR needs. Book a meeting with us today and we will be happy to guide and support you.


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