Last year saw a significant shift in the way we work. Following the relaxation of COVID-19 restrictions, many enjoyed a returned sense of normality. But companies everywhere took the opportunity to revisit how their businesses operated. While some opted to go back to pre-pandemic office setups, many chose to embrace new ways of working.
Remote and hybrid models dominated news headlines. The Great Resignation left businesses scrambling for talent. And “work from anywhere” became a reality for many, not just a handful of digital nomads.
So, where will 2023 take us? While the year ahead is marked with uncertainty, there are some key work trends to ground us. Let’s take a look.
(Don't forget to download your free 2023 checklist at the end.)
1. The demand for flexible work is here to stay
One debate shaped the work narrative in 2022: to stay remote or not. Some companies insisted on returning to the office full-time. Yet many others announced their plans to adopt permanent remote and hybrid policies. These included some of the world's biggest tech organizations: Microsoft, Apple, Google, Spotify, Cisco, and many more.
In August 2022, we carried out some research on the topic in partnership with YouGov. Of the companies planning to adopt remote or hybrid policies, 94% in the US and 89% in the UK would do so within the next 12 months.
And yet, the number of remote roles available now seems to be on a downward trend. One LinkedIn report suggests employers are reducing remote offerings due to economic uncertainty. But employee demand for flexibility is still on the rise. Take Airbnb as an example. After announcing a "work from anywhere" policy, its careers page received 800,000 views.
The debate surrounding remote work continues. But the evidence is clear: the demand for flexible work is steadfast. Employees are hungry for flexible job opportunities. And employers that don’t provide them are set to miss out on the best talent.
2. Specialized international teams will become increasingly popular
As demand increases for flexible jobs, we’re also in the early stages of a shift to a global way of working. Remote and hybrid teams won't just work in the same city. Instead, they'll start collaborating across borders and time zones. We call this phenomenon the Globalization of Teams, and it’s set to take off in 2023.
Businesses that hire globally can better tackle the big issues facing the world in 2023. Let’s take the COVID-19 pandemic as an example. Experts worldwide came together to share expertise, develop vaccines, and track new variants. And they did this all without leaving their home countries amid travel bans.
So a new model of working evolved. It broke down barriers of distance and geography to foster multi-lateral collaboration and innovation instead.
This phenomenon will only continue into 2023. Combatting global challenges like the climate crisis and data security requires global expertise. And those experts shouldn’t have to leave their country of choice to do their job.
3. Compliance will be under more scrutiny by regulators
Last year, some high-profile employee misclassification cases hit the headlines. In September, Uber paid out a total of $8.4 million to drivers in California. In the same month, Spanish start-up Glovo was fined €79 million for similar reasons.
Regulators are cracking down on employee misclassification. One of the reasons for this is to ensure greater rights and benefits for workers. And it’s a trend that we expect to continue in 2023.
Similarly, as many companies look to downsize their teams amid economic pressures, terminations will be under greater scrutiny.
Leaders who don’t prioritize compliance could expose their businesses to fines, reputational damage, and employee dissatisfaction.
So having a strong partner for compliant employment has never been more important.
4. Employee experience will be business-critical
The year 2022 showed us that employees know exactly what they want. And if they don’t get it, they won’t hesitate to find a better-suited job elsewhere. The competition to attract and retain the best talent is red hot. So 2023 will be the year of employee experience.
The employee experience affects the entire employee lifecycle, from application to offboarding. So recruiters, HR teams, and managers must be mindful of it. To keep their people happy and engaged, they should ensure teams are:
- Aligned to a central mission.
- Equipped with the right tools to succeed.
- Empowered to make decisions.
- Supported with any HR issues.
- Given plenty of opportunities for learning and development.
These things can make or break an employee’s journey within an organization. Getting them right is business-critical. This is especially true for companies building global teams, where creating a sense of belonging is crucial.
5. Global talent pools will help businesses save money
As businesses tighten their purse strings, global talent pools will help them grow more sustainably. Once constrained to expensive cities, companies can now hire top talent from across the world.
This will naturally bring down overall talent acquisition and retention costs. And it will help people in lower-income countries to access a wider pool of high-paying jobs, leveling global economies as a whole.
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