The pandemic brought employers and employees many new challenges that changed their mutual relationships.
More than 85 percent of managers believe their subordinates are on the right track to gaining ever greater independence. According to a report prepared by the consulting firm Deloitte, "Disruption of the employee-employer relationship," planning work for the future will be a priority for management. As organizations implement return-to-workplace strategies, they must take thoughtful steps to redefine the work environment. Success depends on having a sustainable employment strategy.
Deloitte's report on global trends in human resources policy analyzes four potential visions of the future based on the changing employee-employer relationship.
The current situation may affect how organizations recruit, support and interact with employees. For many companies, the hybrid work model is a major challenge because it must reconcile different needs and expectations. On the one hand, this model should enable flexible remote work; on the other, it should provide the opportunity to meet at key professional moments. In the future, it will be necessary to define the way of working and the relationships that combine the freedom of working from home with professional productivity. All this while supporting purpose and a sense of meaning in the work we do – says John Guziak, partner, leader of the human capital team, Deloitte.
The vast majority of surveyed managers (86 percent) predict that their employees will gain greater independence in the future. Employees see the future completely differently. 63 percent believe their relationships with employers will remain the same or will be strengthened and deepened. This is a turning point at which every employee reexamines their professional situation, verifying whom they want to work for and what attitude they expect from supervisors on the organizational and social issues most important to them. The challenge becomes combining and balancing employees' new needs with the company's goals.
A fashionable workplace
A fashionable workplace
If we face a talent shortage in the future, this could lead to a situation in which employers begin courting employees. Their attitude will be reactive, sensitive to competitors' actions and employees' expectations without taking a sustainable employment strategy into account. When implementing new rules for future collaboration, companies will rely on employee opinions or market trends, using surveys and other tools that make it possible to listen to the employee voice. Although this gives organizations the ability to assess feedback at a given moment, it may at the same time miss the company's strategic goal.
Such a model will probably bring short-term satisfaction to both employer and employee. The danger may be overlooking underrepresented employee groups whose voice may go unheard. The way out of the situation seems to be adhering to the company's overarching values and developing a sustainable talent management strategy that will bring long-term benefits to everyone – says Sylwia Dębińska, director, talent management leader at Deloitte Polska.
War for talent
War for talent
A scenario in which the market is saturated with qualified employees could lead to strong competition for a limited number of jobs. If the market is saturated with qualified employees, a scenario of strong competition for a limited number of jobs is likely. The relationship between employee and employer will then become impersonal. From the employer's perspective, an employee becomes easy to replace and "interchangeable," and efficient work is more important than development. From the employee's perspective, competing with rival candidates for employment is more important than the quality of the relationship with the employer. Such an uneven distribution of power may in the future drive offshoring, work automation or the use of an alternative workforce.
Talent management a priority in HR strategy
This model will certainly save on short-term employee costs, but in the longer term organizations risk losing potential gains in productivity and innovation. Nearly three-quarters of management (72 percent) stated that their employees' ability to adapt, reskill and take on new roles was one of the most important factors enabling them to navigate the new reality without a decline in company productivity. Moreover, 41 percent of managers stated that development opportunities were among the most important arguments they considered when changing jobs. With such motivated employees, it is the organizations that decide to invest in upskilling their employees that may prosper best in the future.
Work is work, life is life
Work is work, life is life
A shortage of qualified employees may reinforce the division between professional and personal life. This means drawing clear boundaries between work and private life and maintaining a professional working relationship. Ties and dependencies are reduced to a minimum, and the relationship between employees and the employer is purely professional.
Deloitte's report shows that employee well-being in the post-pandemic reality is very important. 61 percent of leaders are redefining their professional and personal goals, more than twice as many (29 percent) as before the pandemic. Changing the style of work and focusing on developing opportunities and goals should help employees build a sense of belonging beyond merely performing daily tasks. Leaders focused on success in this scenario must move away from performance management based solely on results and also take into account what employees value - well-being, diversity and skills growth.
A shared purpose
A shared purpose
When there is a large supply of talent on the labor market, the fourth scenario may come to pass: a shared purpose as the driving force behind the employer-employee relationship. It is community that becomes the foundation of their relationship and the connecting bond. Some organizations have already noticed the potential impact on corporate reputation of operating as a responsible business 4.0. These organizations place a shared purpose at the center of business decision-making and unite their employees around it. In such a future, employee and employer act as co-creators of a single organizational purpose and rely on each other, both professionally and personally.
Although the majority (86 percent) of management believe that employees will increasingly appreciate the importance of mission in organizations over the next five years, this approach is not without risks. So that unifying actions are not superficial, organizations should regularly monitor and review company goals while listening to feedback from employees. Thanks to this, the shared purpose developed will be realistic and grounded for every party in the organization.
In today's highly uncertain and changing world, the most important challenge for team leaders is gaining a broader perspective beyond daily duties and challenges. In the short term, this will mean defining a hybrid work model. In the longer term, it means developing an employee-employer relationship based on a sustainable, transparent and diverse strategy that covers the interests of both sides – says Joanna Świerzyńska, partner in the tax advisory department, talent partner at Deloitte Polska.
Summary
Deloitte's report "Disruption of the employee-employer relationship" shows that 86 percent of managers predict an increase in employee independence, while 63 percent of employees expect their relationships with employers to remain the same or be strengthened. The authors distinguish four future scenarios - from a reactive talent market model to a shared purpose as the foundation of cooperation. Sustainable talent management that combines company goals with employee well-being becomes key.
An interesting detail is the scale of the shift in leaders' priorities: 61 percent of them are currently redefining their professional and personal goals, whereas before the pandemic only 29 percent did so. This is a signal that the post-pandemic reality is forcing management to take a new approach to development and a sense of belonging in organizations.