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Market Insights SEEK Employment trends Discover the Top 10 HR Trends 2023: Focus on Employee Welfare, Tech Assists
Discover the Top 10 HR Trends 2023: Focus on Employee Welfare, Tech Assists

Discover the Top 10 HR Trends 2023: Focus on Employee Welfare, Tech Assists

The human resources (HR) landscape is constantly changing, with trends that come and go depending on the needs of the industry, changes in technology, transformations in world events, and worker preferences.

In part as a result of how the pandemic affected labor patterns, the HR landscape is expected to shift in 2023, with many new and challenging trends that employers should anticipate and stay on top of.

Here are the top 10 trends in human resources and HR technology that are expected to have a huge impact on businesses and employees.

Latest Trends in Human Resources

What are the important trends that influence human resource management? Most of them are related to employee wellbeing and the use of technology in making HR processes more efficient.

1. Employee wellness

This factor is significantly connected to job satisfaction, long-term employee engagement, productivity, and job performance. As such, many employers are expected to invest in wellness-focused solutions such as virtual health coaching and medical consultation, meditation sessions, and nutrition programs to support their teams.

HR can also consider providing physical exercise plans, such as vouchers for gyms and yoga lessons. Other employers provide incentives to employees who walk or bike to work.

Work-life balance is another significant ask, especially among millennial and Gen Z employees. Employers should consider policies related to no contact or no business emails after work hours and during days off.

Also related to this is the increasing preference of many employees to work from home. As a result of the pandemic, it was seen that many tasks could be accomplished from home just as well as at an office. Consider giving more, rather than fewer, work-from-home days to employees, and transitioning some jobs to fully remote rather than hybrid or on-site.

In addition, HR specialists need to find ways to reduce stressful environments at work and increase opportunities for workers’ self-care.

2. Gig economy

The gig economy is characterized by freelance work or short-term contracts as opposed to permanent jobs. With many employers now offering flexible and remote work, the gig economy has become an attractive option for many people looking to find extra income in addition to their primary job, and for those who prefer to work from home.

Employers should be aware of the impacts that this trend can have on recruitment and performance, and should explore strategies for leveraging the gig economy for their own business.

3. Metaverse

The Metaverse—a 3D virtual world where users can communicate, collaborate, and create—offers organizations the ability to innovate, experiment, and create new opportunities for their staff.

The Metaverse allows businesses to create simulated versions of their customer service, sales, and training departments. This will be particularly beneficial for companies operating in virtual or remote spaces, where physical resources are limited.

Use of the Metaverse may also help to improve recruitment and career progression by enabling tracking of career paths and qualifications. It can also lead to improved communication between staff, clients, and other stakeholders.

4. Gamification

Gamification is the process of applying game-like mechanics to activities, strategies, or processes in order to motivate and engage users. In the HR field, this involves using elements such as points, levels, leaderboards, rewards, and other game mechanics to foster a sense of accomplishment and engagement among employees.

Employers may consider using games in terms of loyalty programs to reward performance, development of online training modules, implementation of leadership support systems, and the introduction of communication tools for more effective internal communication within organizations.

The use of game mechanics also helps to create a stronger organizational culture, facilitated by the sense of accomplishment and camaraderie.

5. Digital platforms

Social media will play an even larger role in HR in 2023, as they are expected to become a crucial component of the recruitment, onboarding, and retention processes, as well as enhance communication between HR and employees.

Companies are now able to actively engage with potential and current employees on a more personal level on platforms like Twitter, LinkedIn, and Instagram. Through conversations on social media, companies will be able to not only advertise their job openings but also build a better working relationship with employees. They will be able to communicate with their employees through personalized messages, contests, and polls, in addition to making announcements and updates.

Employees, in turn, will also be able to engage directly with the company and share their experiences and opinions.

Latest Trends in HR Technology

What are the latest trends in HR technology? The HR field is constantly looking for new and innovative ways to increase efficiency, productivity, and employee morale. The following trends provide possibilities for consideration.

6. Artificial Intelligence (AI)

AI- powered HR solutions can automate a variety of HR processes including recruitment, onboarding, employee engagement, and performance management. AI-powered chatbots and virtual assistants can give employees instant access to the information they need, while AI-driven recruitment can help identify the best talent for a specific job.

AI can also help streamline administrative tasks, eliminating tedious manual processes and freeing up HR professionals to focus on more important areas.

7. Internet of Things (IoT)

Using IoT, organizations will be able to track human skills and performance in real time. This information could provide insights into employee productivity, engagement and job satisfaction. IoT systems could also be used to monitor employee schedules, workloads, and interactions with customers, allowing organizations to plan and manage employee resources more efficiently.

IoT also promises to enhance the ways organizations recruit, onboard, and train employees. Smart machines, robots, and automation enabled by IoT will automate mundane tasks, such as onboarding paperwork and other resource- consuming activities, and allow employees to jump right into productive work.

8. Mobile applications

Mobile applications allow managers to keep an eye on team progress, assess performance, and offer feedback that can enhance employee engagement and collaboration. Mobile apps may also enable HR managers to respond to employee issues on the go and be more responsive to employee needs.

Such apps may also be used for clocking-in systems and for information dissemination regarding leave days, payroll and benefits, and other HR-related announcements and information.

9. Cloud computing

Cloud-based HR applications offer employees the flexibility and convenience of anytime, anywhere access to information and resources. With cloud-based solutions, HR managers can access data in real-time, quickly respond to employees’ queries such as those related to benefits and taxes, and collaborate more easily with other stakeholders.

Cloud-based solutions also provide superb levels of data security, making them essential for businesses that need to securely store and access sensitive employee information.

10. Big data analytics

Big data analytics tools allow businesses to sift through vast volumes of data to identify patterns, predict outcomes, and uncover employee trends and insights. With this data, HR professionals can better develop company culture and devise ways to encourage employee engagement and retention.

Start hiring!

The HR landscape is ever-evolving, and employers need to continuously keep up with the latest trends and solutions to ensure they remain competitive and engage the best talent.

Are you ready to find your next star performer? Head to Talent Search. Then visit our Insights page to get the latest on talent recruitment and retention. If you are a first time registrant, register today on JobStreet and begin your journey with us.

For the latest trends on salaries and compensation, download the 2022-2023 Outlook | Hiring, Compensation & Benefits by JobStreet for free here.

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