Ahead of next week's second paper from Avril Henry, we continue our deep dive into the current Human Resource, HRIS and HR Software trends. This Blog looks at the predominant HR trends in small and medium sized businesses. Because the industry is constantly evolving, with regulations regularly adapting to market forces, and employee desires and values changing as well, small and medium sized businesses have to be flexible enough to keep up with them.
Below is an outline of the essentials for HR Professionals in SMEs to stay on top of in 2015 and beyond.
1. Employees value honesty most
Compensation and job security are both very important to all of us, however another emerging Human Resource trend in 2015 is employees having a sense of loyalty to SMEs that are honest with them. An open-door policy and transparency will keep your employees from jumping ship and moving on to the competition because honesty is a valued commodity for individuals who choose to work in such organisations. So, start sharing with your employees, discussing issues with them, and getting their input.
2. Retention rates drop
Due to the generational changes coming in 2015 and beyond, SMEs will notice that it's harder to retain their best talent. According to Fortune, it's estimated that 86 percent of employees are already be looking for a new position while they're working in their current one. To keep your employees from doing the same, you need to create a culture that allows employees to create friendships, socialise, feel attached to their job and rely on leaders to do what they say they will do.
3. Social Media becomes a fully acceptable Recruitment medium
In 2014, Social Media was already becoming popular for Recruitment, particulary within larger coporate organisations. This is a Human Resource trend that will increase in 2015 and has spread to SMEs as well. More smaller businesses will be using blog posts and social media updates to stand out and help them attract the top talent. According to LinkedIn, it's estimated that 58 percent of employees are more likely to apply to a company that uses social media. So, if your SME has yet to create a compelling social media presence, now is the time to do so.
4. Millennials move into Leadership roles
The Millennials will start moving into leadership positions. According to a study by Elance oDesk, 27 percent of Millennials already work in managerial positions, and in ten years that number will increase to 47 percent. However, Millennials may not be adequately trained to handle the tasks or the 'Human' requirement for leading a team. If you plan to promote Millennials into higher positions, you will need to start training them for their new roles in now.
Although there are many emerging Human Resource trends predicted for 2015, most have to do with retention and attracting new talent. As an SME, you can remain competitive in 2015 just by understanding the different generations, working hard to attract the best employees and, of course, keeping your existing ones from searching for a new job. In next week's Thought Leadership Paper, we will explore Recruitment essentials and the relevance of brand and culture from an intergenerational perspective to help you understand how to attact and retain talent from Generations X, and beyond. If you missed out on the last paper from Avril Henry, you can find it here.