2024 HR Business Trend Predicitions

Welcome to: ASK HR. Each issue will include answers to your questions regarding a variety of human resources-related topics to help you with some of the pressing needs of your business. Our expert is fellow member, Sheila McKinley-Bell of Shoreline HR Consulting, www.shorelinehr.com . Please feel free to let us know what questions are on your mind.

Today’s question is: What HR Trends are predicted for businesses in 2024?

Answer: For 2024, the main HR trends will focus on artificial intelligence, green issues and sustainability, hiring, mental health, pay equity and transparency, and retention, retention, retention.

Artificial Intelligence (AI) – More and more companies are focusing on how to utilize AI to automate work and speed up processes, such as recruitment and hiring, while controlling for bias and exclusivity and increasing diversity and inclusion. Employers are also using AI for upskilling and reskilling employees for new job roles.

Green Issues and Sustainability – This is of particular importance to Gen Z (age 16-26). When these employees believe their company is making an effort to reduce the environmental impact of their company they are more likely to remain loyal to them.

Hiring trends- According to the latest US Census, 62% of Americans over the age of 25 lack a bachelor’s degree. Therefore, employers are putting more emphasis in hiring people with skill sets that match their jobs, rather than focusing on education and work experience. More people are being hired with resume gaps and no degrees. 37 States, including CT and the rest of the New England and Mid-Atlantic states, have passed Fair Chance laws that encourage employers to consider giving candidates with a criminal record a “fair chance” at being hired. Job postings are starting to include “felon friendly” and “no background checks” in their job postings. According to an Indeed.com survey, 92% of workers surveyed said they would be comfortable working alongside coworkers with a non-violent criminal record.

Also, there is growth in a multi-generational workforce. One in five workers are saying they will never be able to retire so they will be working longer. According to the Bureau of Labor Statistics, workers age 75+ are expected to grow between 2020-2030.

Mental Health – According to an Indeed.com survey, 60% of employees reported that work has a major influence on their mental health. Specifically, the quality of the work hours, fair treatment among employees, role clarity, manageable workloads and leadership that looks after their own mental health. Leading businesses are investing in work well-being. How people feel when they are at work matters more and more.

Pay Equity and Inclusion – In 2021, US women workers earned 77¢ for every $1 paid to men. Employees are expecting more pay transparency. Employers are updating job descriptions and job postings to include the pay ranges for roles. Retention, Retention, Retention – Generally, it costs between $4000-$20,000 to hire a new employee, plus salary and benefits. It is much cheaper to train, upskill and reskill current employees than to hire new employees. Hybrid and flexible work arrangements are still a huge satisfier for employees.

For more information on the HR trends for 2024, employers may access the following article published by Indeed.com: Workplace Advances in 2024: Boosting your Hiring Strategy In A Disrupted Labor Market

Sheila can be reached online at sheila@shorelinehr.com or by phone at 860-256-9881.