This upcoming year may present a shift in priorities for HR professionals according to our own research conducted in the last couple of months of 2023.
According to the findings, retaining staff has emerged as the primary challenge for organisations in 2024, surpassing the cost-of living crisis that dominated concerns in the previous year.
36% of HR professionals identified employee retention as their top challenge, closely followed by recruiting new staff, which was a concern for 30% of respondents. Interestingly, the cost-of-living crisis, which held the top spot in 2023 with 70% of HR professionals expressing concern, has now taken a back seat with only 27% considering it a significant challenge for 2024.
The findings of the survey also reveal that employee engagement closely follows as a significant concern, with 26% of HR professionals citing it as a challenge. Legislation changes (7%) and Government changes (9%) are of lesser concern despite 2024 being an election year for the UK and the Retained EU Law (Revocation and Reform) Act 2023 triggering key employment law changes.
Top HR Concerns for 2024
- Employee retention
- Recruitment
- Cost of living
- Employee engagement
- Government changes
- Legislation changes
Understanding the Shift: From Cost-of-Living Crisis to Talent Retention
“We have seen a shift in what most concerns HR professionals with not one, but two, key areas overtaking the rising cost of living which shows how much can change in just one year,” says Charlotte Ashton, Associate Solicitor and Head of Immigration at esphr.
“As economic signs of recovery become more apparent, the job market is growing, providing individuals with more opportunities to explore job options. As such, it’s important that organisations to reevaluate their employee value proposition and ensure they’re doing all they can to foster a positive work environment. Considerations such as providing competitive salaries, attractive benefits, flexibility, opportunities for career development and more, to ensure a positive workplace culture, can help address the challenge of retention.”
Support for Employees: Top 3 Priorities for HR
- Mental health and wellbeing
- Hybrid and flexible working
- Diversity, equality and inclusion
Providing support for mental health and wellbeing remain at the forefront of HR priorities for 2024, with 46% stating it as the most important area to support employees in for 2024, closely followed by hybrid and flexible working at 42%, and diversity, equality, and inclusion (37%).
Political Changes and the Effect on HR
With the looming general election, 60% of HR professionals express concern about the potential impact a change in Government could have on employment laws and pending bills. The areas predicted to undergo the most significant changes if a new Government is elected include equality and discrimination legislation (34%), flexible working (33%), EU laws (30%), industrial relations laws (28%), family-friendly rights (23%), and employment tribunal access and process (14%).
As HR professionals gear up for the challenges of 2024, the focus on talent retention, employee engagement, and supporting overall well-being remains crucial in creating a thriving workplace environment.
