The Future of Work: Hiring Trends, AI Impact, and Diversity & Inclusion
The UK job market is evolving rapidly, and it's essential for competitive businesses to stay ahead of these changes. As we progress through 2024, several key trends are shaping the future of work, making it crucial to understand and adapt to them.
Today’s hiring landscape is influenced by the increasing demand for tech-savvy professionals, the rise of hybrid and remote working models, and a growing focus on ESG and D&I topics. These shifts reflect broader industry and societal changes, creating new opportunities and challenges.
Meanwhile, artificial intelligence is reshaping the job market. It's not only automating routine tasks but also creating new roles and improving recruitment processes. Balancing technological advancements with the need for workforce talent is crucial for maintaining a competitive edge.
Additionally, diversity and inclusion is more important than ever. A diverse workforce brings a variety of perspectives and ideas, driving innovation and resilience. Organisations are implementing various initiatives to foster inclusive environments, positively impacting their culture and performance.
By understanding these trends, organisations both small and large can navigate the changing landscape effectively and thrive in the modern job market.
Influential hiring trends
The non-negotiables
Knowing what candidates want is key to successful hiring. It not only helps you attract top talent but also keeps you competitive. The past few years have been tough for talent acquisition, so staying on top of trends is crucial.
According to the 2024 eCommerce Salary Report from Cranberry Panda, the top priorities for job seekers are:
Competitive Salary (91%)
Remote Working (73%)
Job Security (63%)
While salary remains a top priority, remote working has become increasingly important, even surpassing job security. Many employees have experienced the benefits of flexible working and are reluctant to give it up, despite some companies pushing for a return to the office. Job seekers feel in control, prioritising their non-negotiables over the first available offer.
So, if you're considering bringing everyone back to the office, think carefully. Full-time office work might not be feasible for everyone, especially working parents, neuro-divergent individuals, those with disabilities, or those who joined with the promise of flexible working.
Whilst some employees might surprise you and appreciate more office time, it’s essential to weigh these preferences carefully, before making decisions on hiring and workplace policies.
Attracting and retaining talent
The same salary report highlights that offering career growth (91%) and flexible benefits (also 91%) are the best ways to attract and retain talent. Many businesses focus on quick ways to attract new hires but overlook what keeps them around. Customisable benefits, such as private healthcare, nursery support, or a car allowance, allow employees to select options that best meet their needs.
When will employees be on the market?
The salary report shows that almost half of employees (42%) will be looking for their next job within the next 0-6 months, which means there is no time like the present to perfect your hiring strategy and employ new tactics.
The Impact of AI on the job market
AI is a hot topic these days, and it’s impossible to ignore. But there's no need to fear it. As more businesses adopt AI, not embracing it can leave you behind. According to the 2024 Digital Salary Report from TechNET Digital, a staggering 93% of professionals believe AI will play a larger role in future jobs.
The advantages
According to the report, the top three advantages are:
Increased productivity (72%)
Time saved (65%)
Minimising human error (36%)
Efficiency stands out as the key motivator for businesses implementing AI.
The disadvantages
The main drawbacks include:
Overreliance (54%)
Data privacy concerns (54%)
Training requirements (50%)
While AI offers significant benefits, it also presents challenges. Overreliance can be risky if systems fail or lack human oversight. Data privacy is a major concern, especially with stringent data protection regulations. Training employees to use AI tools effectively can also be resource intensive.
If you're ready to start your AI journey, begin by identifying your goals and choosing the right technologies and tools to achieve them. Investing in AI can be daunting and costly if you try to do too much too quickly.
New approaches to Diversity and Inclusion
Diversity and inclusion vary significantly across industries. For example, the tech and gaming sectors are known for being male-dominated due to a lack of representation and leadership opportunities for other gender groups. The 2024 Immersive & Gaming Salary Report from TechNET Immersive reveals that the average workforce diversity score is 6.2/10, indicating considerable room for improvement.
However, there is some positive news! While examining team diversity and inclusivity is crucial, the pressing issue of salary disparity was also tackled in the report. When the survey respondents were asked if they felt fairly compensated compared to other genders, 54% of respondents said yes, 10% said no, and 36% were unsure.
This suggests that strides are being made in salary equity, and likely reflects the industry's efforts to promote pay transparency and equity. Yet, the 36% uncertainty indicates a need for better communication and more robust policies. It shows that while progress is being made, there's still work to be done to ensure everyone feels confident about their compensation.
What active steps can businesses take to improve?
Initiating Inclusivity at the Source
To foster an inclusive work environment, businesses should start at the source. Anonymising candidate profiles and resumes can effectively eliminate biases, ensuring that candidates are evaluated purely on their skills and qualifications.
This practice can be easily incorporated into the onboarding process for companies dedicated to enhancing diversity and inclusion in their hiring.
Embracing Transparent Pay Policies
Salary transparency is key to addressing workplace pay disparities. Instead of hiding salary information, which can breed resentment and conflict, businesses should adopt clear and open pay policies. This transparency helps close the gender pay gap and ensures everyone has equal opportunities.
Employees also become more understanding of the company budget and salary increases during promotions, leading to increased trust and loyalty and less push-back.
Making Changes
To thrive in the modern job market, regardless of industry, employers must listen to their employees in order to hold onto top talent. This means actively seeking and responding to feedback, understanding, and accommodating evolving preferences, and fostering a culture of inclusivity and transparency.
