Makai

HR Trends 2023

It’s the start of a new year and we are excited to share HR trends for 2023. This year is all about a focus on employees.

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It’s the start of a new year and we are excited to share HR trends for 2023. There are many opportunities for employers to make this a great year for their business by focusing on their employees.

HR Trends 2023

  1. Work-life integration

The COVID-19 pandemic dramatically affected how people experience work and their relationship to the workplace. Employees realized the importance of fitting work into their life, rather than fitting life into their work. In 2023, talent management will be handled in a way that incorporates personal goals as well as career goals. For example, how does an employee’s personal goals for flexibility and purpose to support their community fit into their workplace goals?

2. More use of employee surveys

Workers are being asked to provide more real time feedback for the purpose of better understanding employee experience. As feedback is gathered, HR initiatives can be implemented to make the workplace a more desirable place to work. For example, if several employees provide feedback that they would like more opportunities to gain skills on the job, on-site training programs may be something to consider.

3. Increased salary transparency

For decades, the standard line was that employees were not allowed to discuss how much they make with their co-workers. Today’s employees are more aware that they have a legal right to discuss what they make. Transparency makes it easier to ensure pay equity among workers performing similar job functions and pay transparency is good for employee satisfaction.

In addition, laws are being passed in some states requiring employers to include a salary or salary range in their job listings for the purpose of preventing workers from being taken advantage of. Leading the way, Hawaii passed a bill requiring employers to disclose an hourly rate or salary range in all job listings in 2019.

4. A focus on retention

In 2023, we will see a focus on retention as employers look to retain their best workers after record-high turnover the last two years. This will play out in a variety of ways, such as:

  • Giving employees the freedom to get their work done in a way that works for them such as on their own schedule.
  • Using data to resolve inequities among underrepresented groups in order to improve employee satisfaction.
  • Investing in upskilling and reskilling their workers to encourage career development and promotion from within.
  • A switch to wellness-focused employee benefits that incentivize workers to exercise and engage in stress reducing activities like meditation.

5. Continuation of hybrid and remote work

The workplace will never be the same after millions of workers learned the benefits of remote work during the early days of the pandemic. There will be a continuing trend of hybrid and remote work well into 2023.

6. Managing “quiet quitting”

Quiet quitting was THE buzzword of 2022 with employees pushing back hard against a workplace culture that constantly asks them to go above and beyond or get passed over for raises and promotions. HR leaders will be working hard to prevent a toxic environment from taking hold that leads to unproductive and disengaged workers who are constantly looking for a better job.

7. Better company culture and engagement

Companies will work hard this year to improve their company culture and engagement with employees. Businesses are switching to a people-first culture by making their employees the priority. There will also be a move away from formal annual employee reviews in favor of more regular and casual feedback sessions that improve engagement by focusing on what the employee is currently accomplishing, how they are contributing to the company, and what feedback they have for their employer.

Partnering with Makai HR

Want to stay on top of current HR trends? We’ve got you covered through HR outsourcing! When you partner with Makai HR you can get on with the business you are trying to grow while we take care of your employee needs from payroll to taxes, health insurance/benefits and worker’s compensation. You also gain peace of mind that you are compliant with all of Hawaii’s employer laws (if you’ve ever looked you know that the list is very long and changes happen). When choosing a PEO to partner with, there are many things to consider including cost, services, and technology solutions. 

With the cost of doing business in Hawaii at record highs, we know how important it is to keep labor costs in line with revenue. Our plans are priced competitively and include value-added services like time-in/time-out systems. Our customized PEO solutions are tailored to the size of your business and specific needs. We offer a 100% paperless solution which means that your employees can manage their needs through a computer, tablet, or phone. We can truly improve your employees’ work benefits while freeing you up to operate your business.

What are you waiting for? Companies that partner with a PEO benefit from 7-9% faster growth, 10-14% lower employee turnover; and they are 50% less likely to go out of business. Contact us today to get started!

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