HR Trends for 2023

A new year is an exciting opportunity for a fresh start and to make plans for what you want your firm to achieve in the year ahead. With the cost-of-living crisis taking hold, you may find your firm and clients’ small businesses facing some extra challenges over the coming months – but being up to speed with HR trends can give peace of mind and one less thing to worry about. In this blog we’ll highlight the potential HR trends you ought to be aware of so you’re well prepared for any HR trends 2023 throws at you!

Wellbeing

Employee wellbeing remains a hot topic in 2023, especially with the cost-of-living crisis and the increasing financial pressures all households are facing. As a small business owner, you will have some influence over your employees’ wellbeing. If you notice any changes such as a change in attitude or performance, or someone taking more sick leave, it’s worth checking in on them just to make sure they’re managing ok. Taking a proactive approach to promoting wellness can help prevent stress, avoid burnout, and support your people to achieve a good work-life balance.

Flexible working

Flexible working has been a constant trend since the pandemic. With people increasingly keen to achieve a better work-life balance, businesses are finding themselves frequently dealing with requests from their teams to reduce hours or to work from home on a more regular basis. Hybrid working has changed the world of work and is a popular way of working for many businesses. The Government has also confirmed it will extend the right to request flexible working to all employees as a “day 1” right.

A recent study found that three quarters of respondents think offering flexibility gives a competitive advantage, with four in five business leaders saying it’s crucial to their future success.

So, when pay rises aren’t an option, giving greater flexibility is another way of engaging, motivating and retaining your people. Giving greater flexibility around home working will help your employees with the pressures of the cost-of-living crisis – being able to cut down on travel costs is a key cost saving benefit of any working from home arrangement. However, we know there is no “one size fits all” approach to flexible working, which we explore in more detail in our cost of living blog.

4 day working week

The 4 day working week is becoming increasingly popular with many employers – although it may not be suitable for all small businesses. When it is possible it’s a great way to promote that ever-important work-life balance and give employees a bit of control with how they structure their work routine.

Although it may not be a trend that we see rapidly develop in 2023, a recent CIPD survey found that a third of organisations think the 4 day working week will be introduced for most of the UK workforce within the next 10 years. If it’s something you’re already thinking about for your business, it may be good to start now and get ahead of the trend!

Recruitment

Recruitment remains a huge challenge in 2023. Set against the backdrop of the pandemic and the UK leaving the EU, employers have been struggling to recruit the right people with the right skills.

Recruiting the right people takes time and effort. When done well, you can reap the rewards of an effective recruitment process by hiring great people who will contribute to the success of your business. To make this even easier, we’ve developed an Applicant Tracking System (ATS) to make recruitment a breeze, allowing you to recruit with ease via the citrus HR dashboard. Read more about our ATS here.

Once you’ve recruited and your new starter is in place, the induction process needs to get underway to ensure they can hit the ground running. If you embrace hybrid working as a business, it’s possible your new starter’s induction may take place remotely. As a small business you will want all your employees to feel part of the team and to really live out the company’s values from the get-go, but this can sometimes be harder to achieve with remote inductions.

It’s likely that working from home is here to stay, and therefore remote induction processes are key to giving new employees the best start with your business. Plan ahead with any inductions but especially if it’s remote, and make sure your new starter has all the necessary equipment and login details ahead of time to avoid any delays on the first day.

Another recruitment trend making waves is potential employers not asking candidates for salary information as part of the recruitment process. A campaign recently launched asking for a new law to make asking questions on applicants’ pay history illegal. The campaign comes after data analysis found the majority of candidates felt uncomfortable when asked about their salary. The campaign also aims to make it a legal requirement to list salary details on job adverts from the get-go.

Inclusivity and employee experience

Promoting inclusivity remains a trend to allow employees to feel valued and engaged. Creating a positive employee experience is key to success and remains a trend for employers this year.

Staff surveys are a great way of finding out how your people are feeling. If employees don’t feel they are being heard, they are more likely to be disengaged and unmotivated. A staff survey is a useful way of giving employees a voice, whilst allowing you to capture data on employee engagement and experience and the opportunity to make changes that make your employees feel engaged and valued.

Quiet quitting

Quiet Quitting is the latest trend to emerge after the ‘Great Resignation’ of 2022. This is a trend where employees make a conscious effort to only do what is necessary in their role and to not put in any additional effort. Originating from a TikTok video posted in the summer of 2022, ‘quiet quitting’ has gained much attention and aroused debate about what should be expected of employees.

Research suggests ‘quiet quitting’ isn’t a new trend but, as a small business owner, it should be on your radar. Disengaged employees who are only willing to do the bare minimum will not only impact individual performance but are, in turn, likely to negatively affect the overall success of your business.

Our team love supporting customers with navigating complex HR issues and would love to chat to you about any HR trends impacting your business. Get in touch with us today at info@citrushr.com.