Current issues in human resource management 2022

The current time period is possibly the most challenging it has ever been for the world of business. The pandemic and the associated global health crisis brought along with economic turnover, social unrest, layoffs, and mental health crises – to name a few. And these look like they will continue in the near future.

How has human resource management been affected?

The changes above have in turn led the modern work environment to change at a lightning-fast pace. Responses to the changes involve the bringing in of new workplace to better the culture and work-life balance, among others, and it falls upon HR professionals to get these done. Companies reacted initially with huge layoffs, which over time have led to labor shortages as they recovered from the initial shocks. New models of work have come in, with remote versus onsite work requiring a balance. Diversity, equity, and inclusion (DEI) remains a clarion call across industries.

Amid these cultural changes and economic currents, human resource management must continue to find and retain the right talent for the company. The employee pipeline cannot afford to be anything but vibrant if the business is to succeed, even though the work environment has changed hugely.

What are the challenges that HR professionals must deal with?

The new business environment has meant several challenges for HR professionals. Here are the chief issues they must navigate:

Rapid turnover and the need to retain staff

Among the monikers associated with 2021 was ‘the great resignation’ and ‘talent wars’. This happened as many employees quit their jobs voluntarily, and the trend is likely to continue. Capterra surveyed 300 employees responsible for recruitment, and the results substantiate this trend:

• 51 percent say the current number of openings they are recruiting for is higher than usual
• 61 percent say the time taken to fill openings is longer than usual

Recruitment efforts are being tripped up by a lack of qualified jobseekers, too-rapid changes in job roles and responsibilities, and insufficient recruitment resources.

The following actions will help recruiters in countering this challenge:

• Strategic workforce planning: Determine current and future requirements for staff basis the goals of the organization. Doing this effectively helps to thrive amid the war for talent.
• Deploying a recruiting platform: A key resource for recruitment, this directly – and positively – impacts the availability of great hires.
• Widening the talent pool: Consider sourcing candidates from more diverse sources. An applicant tracking system (ATS) is quite effective in sourcing people from different job sites and other sources.
• Streamlining application processes: Potential candidates with more than one job option available could well put aside an opening that involves a tedious application process.

Development of new skills

PwC research suggests that by 2022, 133 million jobs will require reskilling and upskilling. A Gartner survey – ‘Skill Accelerator Examples for Quicker Upskilling’ – from 2021 suggested that 29 percent of the skills sought in the average 2018 job posting would become irrelevant by 2022. HR professionals tend to recruit and hire to bring in new skills, but given that a sizable percentage of new hires do not have the skills their future and current roles require, organizations will need to look to develop the requisite skills internally.

Traditional training is useful, but it must be steered in the right direction, for which a skill gap analysis and effective tools for training are required. There is plenty of scope to improve this aspect, given how the 2021 HR Trends Report by McLean & Company pointed out that just a small percentage of HR departments are presently working in this direction. This also helps in creating new career pathways and boosting the capability of employees to move to different roles within the organization, in line with changes to the business model when pursuing competitiveness.

Burnout and disengagement

Working through a global health crisis and pivoting to remote work and hybrid work models as well as other challenges have taken their toll on employees. These events may not have affected all employees directly, but their ripple effect can still lead to burnout and fatigue from change. Remote work has led to the feeling of social isolation for some, and along with a lack of job security, this has turned a health crisis into a mental health crisis. These, in turn, push engagement, productivity, and retention down. A Gartner study published in 2021 revealed that just 15 percent of fatigued employees strongly intended to stay at their current organizations.

Countering this requires actively monitoring staff members for signs of burnout, which are not always highly apparent or visible. Employee surveys could suggest their levels of burnout or fatigue, along with their thoughts on what they need to be engaged. It also helps to involve employees in change initiatives, so that they feel engaged at work. Employers should provide additional mental health benefits and maintain transparency about the prospects of layoffs.

Improving DEI

Creating an inclusive work environment that engages people requires more awareness of and a focus on improving DEI. 2020 was when organizations declared a commitment to DEI, and the challenge is to now deliver on those promises.

A Gartner survey released in October 2021 suggested that 35 percent of HR leaders would prioritize DEI in 2022. Toward this end, they could leverage behavioral assessment tests, pre-employment testing, and other human resource management technology tools. Blending these with a human-centric approach would help to objectively evaluate talent and create a more equitable workplace.

A healthy work culture and environment

The work environment must be healthy, both in physical as well as psychological terms. Competitive pay and positive work experience are of course essential, but so are high workplace safety, sustainable stress levels, and emotional maturity. Human resource management must ensure a work culture that attracts and retains the most talented people, and maintaining it becomes particularly challenging with companies moving large parts – or all – of their workforces to remote work.

What helps is a strong communications plan that keeps employees in the loop. Virtual socialization between colleagues keeps them connected, and recognition and encouragement through digital rewards and other methods are useful.

To sum it up…

Tackling challenges is never a pleasant experience, more so when it relates to people. However, by giving the challenges due consideration, HR professionals can prepare better to manage and mitigate these challenges. The result will be a workforce that is diverse and productive, and the benefits will be felt across the organization.

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