Stuart Gentle Publisher at Onrec

The Top 5 Workforce Trends that will impact HR in 2016

As 2015 draws to a close, HR professionals are starting to plan for the year ahead. Recent pan-European research from ADP® has identified five key trends that are going to impact the rapidly changing world of work in 2016.

1. Employee optimism is increasing across Europe

77% of European workers are now optimistic about the future of work, setting businesses up for a strong start to 2016. UK employees are the most optimistic about the future at 81% – up from 77% in 2014 and just 64% in 2013. Key reasons for this optimism include increasing job security (38%), growing career opportunities (27%) and having the right training (27%). HR must now consider how they can capture this enthusiasm and ensure it translates into business success.

2. The rise of the five-generation workforce

For the first time in history, five generations of employees are working side by side, meaning HR must be prepared for the potential challenges this may bring to the workplace. In fact, 67% of employees say that they are encountering intergenerational issues in the workplace as a result of the widening age gap. However, 39% of employees are concerned about losing knowledge as their older colleagues retire, implying that succession planning should be top of the HR agenda in 2016.

3. Competition extends beyond borders

Global competition for business and talent is going to intensify in 2016. Half of businesses across Europe are prepared to compete internationally, with UK employees (58%) the most confident in their organisations’ position in the global economy. A crucial factor for maintaining competitiveness is the ability to attract and retain top talent. On the other hand, a lack of fresh talent entering the organisation (51%), recruitment cuts (47%) and talent drain to other businesses (46%) have been identified by employees as the top threats facing businesses next year.”

4. Employee engagement is top of the agenda

Employee engagement has made its way firmly into the HR language over the last few years, however, continued work in this area is needed. Only a fifth (22%) of European employees describe themselves as very engaged in their roles. Worryingly, the UK has the lowest level of very engaged employees – just 17%. For employees, the key motivators, beyond pay, are a good work-life balance (29%), the ability to work flexibly (26%), and having a diverse and fast-moving role (24%).

5. The workplace goes hi-tech

Workplace technology has developed at pace, enabling businesses to be more connected and efficient, while opening up new opportunities HR to cater to the workforce. Encouragingly, 8 in 10 employees now have technology to help them do their job. HR must stay on top of the latest technology developments to ensure their workforce has access to the best tools to fulfil their potential for the business. The most common workplace tools currently are: