Are You Prepared for the Rapidly Changing Workforce?
Our workforce is currently undergoing one of the largest generational transitions we have ever seen. The Baby Boomer generation is retiring at scale while younger generations, particularly Gen-Z, are quickly becoming much of the workforce. A challenge, to be sure, but one that needs to be addressed. We, as humans, like to complain about our challenges and put Band-Aids on rather than address the root cause. This shift is inevitably going to have lasting implications, both good and bad, and how employers respond now will dictate which side of the coin they end up on.
Knowledge Transfer
As the Baby Boomer generation retires from the workforce, employers are at risk of losing decades of institutional knowledge. Every level and facet of an organization will be impacted from leadership to skilled roles to client relationships. Establishing mentorship programs, creating clear procedures and documentation policies, and cross training current employees are vital to the knowledge transfer.
New Workforce, New Expectations
A new workforce means that there are going to be new expectations. The “paycheck first” mindset is being replaced by a “purpose and development” mindset. This new generation of workers values meaningful work, growth opportunities, modern tools, and transparent leadership. They have already shown a willingness to move quickly from one job to the next, which is often driven by a feeling of stagnation or under appreciation. The new workforce is redefining loyalty, favoring employers who invest in their development rather than expecting long-term tenure for its own sake. An employer’s failure to “modernize” leadership and company culture is going to have detrimental effects on the ability to recruit and retain talent.
Skills-Based Hiring
Skills-based hiring and internal mobility are powerful tools that employers will have to use to remain competitive. Rather than looking for degrees, employers should be identifying real skills that can be deployed once a candidate is hired. Identifying skills, hiring based on those skills, and then empowering employees to improve upon those skills are real and effective ways that employers will set themselves apart. Do not underestimate the power of advocating for continued skill development and a clear career path.
Flexibility and Technology
Flexible work schedules are no longer a perk that is “nice to have”. They have become baseline expectations. While reality is that not every role can be hybrid or remote, employers that don’t find some way to have flexibility in their work schedules are going to miss out on a significant population of the new workforce. Additionally, the new workforce will continue to gravitate to employers that have modern tools, automation, and collaborative technology. Technology, automation, and AI are not going away. In fact, they are becoming more prevalent and complex every day. The good news is that this new workforce has grown up in a world of rapidly changing technologies. Employers should use that as an advantage and encourage their new workforce to be at the forefront of technology implementation in their organizations.
The workforce is changing faster than ever, and adaptation is essential. Nothing is going to slow down. Employers that adapt will attract better talent, retain key knowledge, and remain competitive.
Our reality is our reality. So, what are you going to do about it?