28% planning to change jobs in next 12 months, Randstad reveals
Amid fast-paced innovation and global competitiveness, employees are facing more professional choices than ever. Attracting talented people to grow businesses remains extremely difficult for employers. Holding on to people proves to be an increasing challenge for organizations worldwide as well.
Global data from Randstad’s Employer Brand Research 2019 among more the 200,000 respondents show that compensation is regarded as very important, but it is also clear that if companies offer low job certainty or have a weak reputation, employees will quickly be on their way. In this dynamic environment, employers will need to step up to build a solid retention plan and align this with the wider branding strategy.
Employees are taking companies’ and industries’ values more and more into account. The overall reputation of employers is a strong reason for employees to commit to their employer. Data shows that 96% of the global employees who changed jobs checked potential employers’ reputation. People prefer to work for a multinational company rather than a start-up, whereas ITC, consumer goods and automotive appealed most as sectors. The results imply that high employer reputation can help to keep talent committed and close.
A fifth of the global workforce has changed employers in the past year and a third plans to do so in the coming year. 28% of respondents plan to change employer within the next 12 months. Overall, a substantial portion (22%) of employees would trade 6% to 10% of their pay for more job security, which seems an adverse development in these years of low unemployment globally. Unsatisfactory compensation (39%), a limited career path (37%) and work-life balance issues (29%) are the main reasons for employees to look for a future elsewhere.
With people and companies becoming more agile, employers are forced to come up with smart ways to attract and retain talent. Employee retention can only be fulfilled when employers fully understand the needs of their employees. Young workers (18-24), irrespective of education or position, are the least likely (53%) to stay with their employer if they receive an attractive compensation, compared to other generation groups. Moreover, this young workforce is bound to leave if career options within the company are limited.
In 2019, global workers increasingly consider work-life balance as more important. The way employers address this, can be an effective retention tool. ‘Work-life balance’ is named prominently when asked for the ‘top 10 reasons to choose an employer’ by 46% of respondents in 2019 (up 1% from 45% in 2018), just after attractive salary and benefits (59%). Job security (45%) and pleasant work atmosphere (44%) ranked next.
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