There is no doubt that both the workplace and workforce are changing, and companies, leaders, and employees need to adapt.
Over the past two years, I have tracked workplace and workforce trends. The following details USA-oriented trends; some of the implications of these trends were developed based on my study of more than 25 publications and other media, my work with more than 100 organizations over the past 27 years, and discussions with dozens of leaders and thought leaders.
1 – Remote and Hybrid Work Models
- Remote/hybrid work is here to stay.
- ”63% of [job] candidates rated ‘four-day workweek for the same pay’ as the top new and innovative benefits that would attract them to a job”. (Gartner, 2024).
- “In 2024, the more time people spend working at home, the less likely they are to report conflict…. For example, just 15% of those who spent 75% or more time at home reported conflict, compared to 30% of those who did not work at home or spent 25% or less time at home”. (Brinkley, 2024).
Some Potential Implications
- Being connected
- Management “from afar”
- Application of new technologies
- Increased applicant pool
- How to address workplace conflicts
- Cadence of work
2 – Technology Advancements and Automation
- “The use of AI has nearly doubled in the last six months, with 75% of global knowledge workers using it”. (Microsoft, 2024)
- “53% of people who use AI at work worry that using it on important work tasks makes them look replaceable”. (Microsoft, 2024)
- “GenAI will play a role in 70% of text- and data-heavy tasks by 2025, up from less than 10% in 2023”. (Gartner, 2024)
- “66% of leaders say they wouldn’t hire someone with AI skills. 71% say they’d rather hire a less experienced candidate with AI skills than a more experienced candidate without them.” (Microsoft, 2024)
- AI will replace 45million workers by 2030; AI and technology could create as many as 50 million jobs. (AIIR Consulting, 2024)
Some Potential Implications
- Additional workforce—not less
- New skills required
- Legal implications
- Changes to business operations, sales, marketing, and customer service
3 – Workforce Diversity, Equity, Inclusion, and Belonging
- 40% of employees feel alienated by their organization’s DEI strategy. (Gartner, 2024)
- Employees reporting conflict at work: disabled (35%), non-heterosexual (33%), under 35 (32%), ethnic minority (29%), and women (28%). (Brinkley, 2024)
- “After a flood of corporate attention in 2020, there has been a growing disillusionment with DEI — and even direct pushback in some quarters. For too many organizations, DEI still operates in a silo and suffers from a lack of accountability and ownership from business leaders, limited decision-making power to drive outcomes, and ineffective, uncoordinated cross-enterprise DEI efforts. When companies expect enterprise-wide results without enterprise-wide ownership and accountability, it results in unfair expectations for DEI programs and disappointment in DEI outcomes”. (McRae, Aykens, Lowmaster, and Shepp, 2024)
- The USA ranked 43 out of 146 countries on gender equality. (Statista, 2024)
Some Potential Implications
- DEIB is embedded in the way work is done
- Need to understand, appreciate, & adapt to differences
4 – Gig Economy and Freelancing
- The post-pandemic rise in part-time (<35 hours/week) labor: 43% (Dec. ’19) to 47% (Dec. ‘23), along with a decline in the median hours worked. (ADP, 2024)
Some Potential Implications
- Temporary workforce
- Access to specialized talent and labor when needed
- Managing an expanding element of diversity—employees AND contracted workers
- Career paths
- Loyalty
5 – Employee Well-being and Mental Health
- 75+% of the time, leaders make employees feel positive emotions, such as trust, respect, and safety. (Talogy, 2024)
- “Life Evaluation” (Global vs. USA/Canada): “Thriving” (34% vs. 53%), ”Struggling” (58% vs. 43%), “Suffering”(8% vs. 4%). (Gallup, 2024)
- Workplace stress: the share of thriving workers (27%) to overloaded workers (24%) is approximately even. “People who thrive in times of stress are 21 times more likely to be fully engaged on the job than their overloaded peers. They’re also 20 times more likely to be highly resilient.” (ADP, 2024)
- USA/Canada had the second-highest regional percentage of employees experiencing daily stress. (Gallup, 2024)
- Most essential conflicts in the workplace: 1) undermined/humiliated, 2) shouted at/heated argument, 3) verbal abuse or insult, 4) discriminatory behavior, 5) false allegations. (Brinkley, 2024)
Some Potential Implications
- Work redesign—e.g., remote and hybrid, 4-day workweek
- Benefits offered—e.g., housing subsidies, caregiving, student loan repayment, etc.
- Skills of managers to identify issues and make referrals to resources
- Develop resilience
- Incorporate mindfulness practices
- Identify and address the sources of stress in the workplace
6 – Reskilling and Upskilling
- “More than two-thirds (68%) of this year’s LinkedIn’s Jobs on the Rise (fastest-growing roles in the US) didn’t exist 20 years ago”. (Microsoft, 2024)
- 75% of global survey participants indicate their organizations are shifting to a skilled-based approach vs. degrees. (Udemy, 2024)
- “…Google, Delta Airlines, Accenture, and Zoho, have already removed many of their degree requirements from job postings to attract qualified talent without arbitrarily limiting themselves”. (McRae, Aykens, Lowmaster, and Shepp, 2024)
- ”…being supportive, providing constructive feedback, giving autonomy, and communicating well” are leadership behaviors that most enhance work performance. (Talogy, 2024)
- “Only 38% of leaders feel extremely or very prepared to move to the next level of leadership.” (Talogy, 2024)
- “80% of leaders felt they had to change their behavior to a moderate, large, or considerable extent when they transitioned to their current leadership role.” (Talogy, 2024)
- In 2023, 25%+ of employees said “they would like to make a significant change to their current work circumstances such as working in a new industry or changing careers”. (Gartner, 2024)
- Top 5 skills being developed: Geovisualization, SQL, Business Communication, General Accounting, Epidemiology. (Coursera, 2024)
- “in 2024, 35% of respondents thought they had more skills to do more than their job demands, compared with just 12% who thought they lacked skills to do their job well.” (Brinkley, 2024)
- Top skills leaders will need in 2024: 1) resilience, 2) navigating change, 3) self-awareness, 4) self-care, 5) prioritization, 6) communication, 7) trust. (AIIR Consulting, 2024)
- The workforce (and population) is aging.
Some Potential Implications
- Abilities of those entering the workforce
- Demands to “retool” existing talent
- Training and development
- Adjustments to career paths
- Break the stereotypes of career continuity
- Uncouple expertise and tenure
- Prepare for the imminent retirement of experienced workers
7 – Workplace Culture and Employee Engagement
- Employee engagement (global vs USA/Canada): “Engaged” (23% vs. 33%), “Not Engaged” (62% vs. 51%), “Actively Disengaged” (15% vs. 16%). (Gallup, 2024).
- 83% of HR leaders are more focused on linking compensation to performance. (Lattice, 2023)
- High performing vs. low-performing HR teams: Ability to link compensation to performance (64% v. 27%), Have clear employee growth paths (58% v 19%), Invest in coaching/upskilling employees (46% v. 29%). (Lattice, 2023)
- “On-site workers who are part of a team are three times more likely to be highly engaged”. (ADP, 2024)
- 23% of US employees strongly agree that they trust the leaders in their organizations; 45% say lack of trust in leadership is the biggest issue impacting their work performance. (AIIR Consulting, 2024)
Some Potential Implications
- Employee benefits and services
- Teach managers to develop, engage, and lead team members and teams
8 – Sustainability and Green Practices
- As wildfires and excessive heat, “…events shift from localized and episodic to widespread and persistent, organizations are making climate change disaster response plans a more explicit and transparent part of their employee value proposition”. (McRae, Aykens, Lowmaster, and Shepp, 2024)
- The generations entering the workforce are more environmentally conscious and expect companies to be.
Some Potential Implications
- Careful attention to environmental and socially responsible decision-making and action. Criteria for working for an organization
- Paradoxical decisions
- Companies will make explicit commitments to physical safety
- Increases in benefits such as compensation for impacted workers and mental health support
9 – Legislation, Labor Policies and Regulations
- The burden of regulations and regulatory oversight increase.
- Union membership has declined as a percentage of workers and unions continue to expand in new areas—e.g., Starbucks, Amazon.
- Increased benefits and workplace conditions require additional support and oversight.
Some Potential Implications
- Increase specialized resources to administer and ensure compliance
10 – Geopolitics
- “… only 26% of employees say that members of their team share similar opinions on socio-political issues.” (Gartner, 2024)
- “Participants in 2024’s elections account for 60% of the world’s economic output” (AIIR Consulting, 2024).
Some Potential Implications
- Nationalism
- Uncertainty
- Workplace tensions and conflicts
- Reduce connection between team members
What trends are you noticing? What are you and your organization doing to respond to these trends? I’d love to know your thoughts, so please leave your comments below.
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© 2024, John L. Bennett. All Rights Reserved.