The changes produced in recent years in the labor market have led to what is now called the «Great Reassessment«. Personio, the HR software. H H. expert in Europe for small and medium-sized companies, has launched a survey that reveals that el 44% of employees of SMEs throughout Spain it is planning look for a new job in the next 12 months.
To explore how the pandemic has affected the recruitment and retention of talent, Personio has interviewed 250 HR managers. H H. and 1,000 employees in Spain. As a result, it presents the report “The Great Reassessment: rethinking the management of employee loyalty and performance after the pandemic”, which reveals that talent is scarce and the recruitment and loyalty are real challenges for Spanish and European companies.
Faced with this challenge, which has only increased in the last 12 months, the time and cost of hiring new employees, small and medium-sized companies simply cannot afford to lose the valuable talent they have, which highlights the fundamental importance of employers focusing on customer loyalty.
However, management teams may not be as aware of this issue; In Spain, only a quarter (25%) of employers are concerned about “The Great Resignation”. Although these 44% of employees do not actually leave their jobs, employers should be concerned about the high proportion of unmotivated workers and, therefore, by a decrease in productivity. Thus, it remains important for employers to take action.
Although some companies are returning to traditional ways of working, many have decided to keep remote or hybrid work as the norm. The pandemic has prompted employees to reassess their priorities. Now, a good balance between work and personal life and spending more time with their families are the main considerations of Spanish workers, both with a 76% importance since the start of the pandemic, compared to 73% of salary.
Telecommuting and dissatisfaction
However, the report shows a relationship between those who have worked primarily remotely (52%) in the past year and higher potential employee turnover. There is a danger that remote work fosters dissatisfaction because it can disconnect employees from a company, establishing weaker ties with the company.
To avoid this, a good performance evaluation is essential. It’s a great opportunity to check in on employee performance, thank them for their efforts, and find out what their priorities and concerns are. However, the data reveals that employees do not receive feedback from managers regularly enough. Only 35% of Spanish workers agree that they have received a regular evaluation of their performance since the pandemic.
There are also other factors that are encouraging workers to look for work elsewhere. For example, 41% of Spanish employees feel that their career has been slowed down by the pandemic and 51% of them do not feel that they receive enough recognition from their company for their performance. These are critical areas that RR. H H. (and their colleagues on the board) must look into helping to keep staff in the company.
“There are multiple reasons why people might want to change jobs, whether it be dissatisfaction with their career progression, changing priorities in work and life, lack of recognition, or a stressful work environment. Employees clearly care about much more than pay. So while companies need to make sure their pay packages are competitive, that’s no longer enough. The question will be what broader rewards companies can offer to keep employees engaged and motivated. In this sense, follow-up meetings on the achievement of objectives and quality professional career development plans are crucial. They not only highlight personal motivators, but also help leaders identify overworked or frustrated employees and ensure they receive the recognition and career advancement opportunities they need.”says Ross Seychell, chief of staff at Personio.