Though the concerns surrounding COVID-19 in the workplace are slowly decreasing, there are a number of new challenges facing businesses and leaders. Labour shortages, inflation and slow economic growth are all hurdles that workplaces are having to overcome. It’s thought that global growth will slow down by 2.7% in 2023 and inflation is an ongoing worry, not to mention the likelihood of a recession. This means that, despite strong hiring and low unemployment rates recently, the labour market could deteriorate significantly in the coming years. However, this doesn’t mean that it’s all ‘doom and gloom’ in the workplace.
For a lot of businesses, holding on to top talent is at the forefront of everything in 2023. This is likely to lead to improved workplaces, benefits, packages and a bigger focus on the wellbeing of employees. It’s even thought that this could lead to employees being encouraged to take charge of their health, career and finances.
Workers and businesses will take action against rising costs of living
According to recent reports, 90% of executives are concerned about the macroeconomic conditions, and many are taking action to cut costs and mitigate risks. This includes things such as building protective measures to deal with supply chain shortages and managing rising logistical costs. This is likely to lead to some businesses asking workers to work remotely, saving both them and the employee money. Another way that businesses are taking action against rising costs of living is by reducing their workforces and outsourcing certain roles.
Employees will focus their attention on upskilling
Upskilling and taking advantage of opportunities to grow will be a priority for employees in 2023. This is due to the shift in job requirements and the uncertain job market, which has left many workers feeling unprepared and at risk. In fact, over half of workers feel as though their skills have gone stale since the start of the pandemic, and many feel unprepared for the future. However, in order to do this, people need additional support from employers. Without support and opportunities to develop their career, workers could begin looking for job opportunities elsewhere. In 2023, businesses will need to focus on retaining their top talent by offering learning and development opportunities.
Employers will give employees a much needed financial boost
With the ongoing labour shortage, a lot of employers are finding ways to boost employee benefits in 2023, and employees are expecting help with navigating the rising cost of living. Employers can do this by offering more affordable benefits, and by setting up programs designed to boost the financial wellbeing of employees. For example, some companies are planning to offer reimbursement of tuition, and others are even covering the tuition for long time employees. This not only helps workers’ financially, but it takes away a lot of stress and strain, which can hinder productivity in the workplace.
Employers will continue to improve employee mental health support
A lot of businesses have improved employee mental health support in recent years, but this will go even further in 2023. Many employees experience work related stress, and adequate support has become something that a lot of job hunters look for when seeking out a new role. This means that employers will have to create an even more supportive work environment and provide even more mental health support in the workplace. Otherwise, top talent could go elsewhere. Small changes such as offering greater flexibility can make a big difference.
More businesses will utilise hybrid and remote working models
The COVID-19 pandemic led to an increase in remote working, and a lot of employers have now become used to a hybrid or fully remote way of life. This is something that a lot of top talent is looking for in a job, and businesses are having to utilise these models more than ever before. There are a lot of benefits that come with remote working, but this way of working is not without a downside of two. For example, some workers feel disconnected and isolated from colleagues. In 2023, it’s important for businesses to ensure remote workers feel connected and part of a wider team, so that wellbeing and productivity is not affected. This will mean taking advantage of technologies, virtual office tools and remote working solutions.