Kelly Report reveals most talent strategies are ineffective; identifies workforce leaders who buck the trend
The 2024 Kelly Global Re:work Report is now out. See what C-level executives and employees at all levels think about the world of work today and the world of work of the future. Get your copy here: https://mykelly.me/3KCrwk0
TROY, Mich., June 12, 2024 (GLOBE NEWSWIRE) — A global survey conducted by specialized workforce solutions provider Kerry reveals that businesses are failing to unlock the full potential of their employees and poor workforce planning is impeding the growth of most organizations. The 2024 Kerry Global Rework Report reveals that while executives are turning to artificial intelligence (AI) and automation to solve these challenges, they are struggling to effectively implement digital strategies and are not providing their employees with the proper training.
Kerry's fourth annual Global Workforce Report Building a resilient workforce in the AI eraAccording to a recent study, 54% of senior executives say poor workforce planning is hindering business growth, and 47% say they are missing out on business opportunities due to a lack of talent. Four in 10 (42%) senior executives say they are not realizing the full potential of their employees.
Workers are looking to their employers for this failure, citing lack of skills development and career progression as their top complaint. Women, in particular, are at a disadvantage in terms of career opportunities and say they are more likely than men to leave their current role (34% vs. 20%). Workers who identify as part of an underrepresented group are nearly twice as likely to say they plan to leave their job in the next 12 months. Executives are aware of these frustrations, acknowledging that inadequate skills development and career progression are a major cause of employee attrition. Despite this perception, only one in four executives say their organization provides sufficient in-person training programs.
Many organizations are turning to technology to solve these challenges. The majority (64%) have invested or plan to invest in AI and automation to improve employee productivity, efficiency and engagement, but one in five executives admit that their digital strategies to empower the workforce are ineffective. Employees are frustrated by these changes and wary of AI’s impact on their jobs and careers. While 73% of workers expect AI to impact their roles, only 36% are positive about the technology and only 39% say they have received any AI-related training. Additionally, workers cite a lack of autonomy in how they work, lack of flexibility in where and when they work, and poor work-life balance as frustrations. Executives acknowledge this, but almost half (48%) mandate on-site work days.
“These findings are eye-opening,” said Peter Quigley, president and CEO of Kelley, “and they underscore the importance of developing a long-term workforce strategy focused on the right mix of full-time and contingent employees, effective skills and career development, meaningful employee engagement, and the thoughtful implementation of AI tools that combine the best of human talent and technology.”
The Re:work report provides insight into how the world's leading organisations are achieving this. For the first time, the report: Workforce Resilience IndexThe Index reveals how leading companies are building agile, capable, and inclusive teams to thrive in the AI era. Resilience Leaders Companies (7% of companies surveyed) report superior results across both core business and key people metrics compared to mid-market (85%) and laggards (8%).
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70% of Resilience Leaders report increased revenue over the past year, compared to 35% of Laggards.
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61% of Resilience Leaders report increased profitability compared to 35% of Laggards.
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74% of Resilient Leaders report improved customer satisfaction compared to 37% of Laggards.
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79% of resilient leaders report improved recruiting capabilities compared to 27% of laggards.
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72% of resilient leaders report improved retention, compared to 34% of laggards.
According to the report, leaders on workforce resilience are most often based in Norway, Sweden and Germany. The study identifies four best practices for building workforce resilience:
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Partnering with a talent solutions provider builds more agile and capable teams. 71% of Resilience Leaders collaborate with a third party to develop their talent strategy, compared to 35% of Laggards.
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Leveraging new technologies can help you get a more accurate picture of your talent needs. 64% of Resilience Leaders have a clear strategy for how they will deploy AI to support human work, compared to 22% of Laggards, and 69% are using the technology to improve workforce analytics, monitor productivity and support hybrid work.
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Leveraging diverse perspectives and offering flexible work arrangements empowers employees to contribute. 77% of Resilience Leaders say their C-suite is responsible for DEI, compared to just 5% of Laggards. 53% of Resilience Leaders offer flexible or hybrid work arrangements to employees at all levels, compared to just 19% of Laggards.
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Being proactive about your health and mental health will improve your performance. 54% of Resilience Leaders provide mental health resources compared to 28% of Laggards.
“Research shows that a strategic focus on workforce agility, capability and inclusion enhances productivity, growth and employee engagement,” said Quigley. “For organizations struggling to build effective teams, our Workforce Resilience Index provides critical insights to take their talent strategy to the next level and a benchmark for tracking success over the long term.”
About the survey
Kerry surveyed 1,500 senior executives, including C-suite executives, directors, department heads, directors and managers, and 4,000 employees at all levels across 13 countries and eight industries in Q2 2024. The 13 countries include the United States, Canada, Germany, Hungary, Ireland, Norway, Poland, Sweden, Switzerland, the United Kingdom, Australia, India and Singapore. The eight industries include consumer retail, education, energy, engineering, financial services, life sciences, manufacturing and technology. 35% of respondents were from organizations with 10,000+ employees, 35% were from organizations with 5,001-10,000 employees and 30% were from organizations with 1,000-5,000 employees. Read the full report here.
About Kelly®
Kelly (Nasdaq: KELYA, KELYB) helps companies recruit and manage skilled workers and job seekers find great jobs. Since founding the staffing industry in 1946, we've become experts in many industries and regional and global markets. With a network of suppliers and partners, we connect job seekers around the world to meaningful work. Our suite of outsourcing and consulting services helps companies get the talent they need, when and where they need it. Headquartered in Troy, Michigan, we help businesses and individuals access endless opportunities in industries including science, engineering, technology, education, manufacturing, retail, finance and energy. Visit kellyservices.com.
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