Insights into global expansion & employee retention

Published: February 7, 2023

Adapting to Remote Work in 2023: 4 Key HR Trends

Adapting businesses in 2023 means more non-traditional hiring, quiet hiring, flexible work, and competitive benefits packages. Explore 4 key HR trends.

Through 2022, the virtues of the “workcation” were touted by skilled telecommuters (there’s another one), and HR managers raced to find ways to stem the tide of “quiet quitting”. For business leaders, the conversation has been taking place against a gloomy backdrop of “The Great Resignation” (or “The Big Quit” if you like), threatening to dry up talent pipelines for key roles. 

Looking ahead to 2023, some are expecting a rebalance as economic headwinds give employers the upper hand once more. Others expect competition for talent to stay as intense as it’s been. While we wait to find out, here are some key trends that are likely to influence global hiring through 2023.

Breaking the mold: expect more non traditional candidates and career switches 

In a recent Gartner poll, around 56% of candidates claimed they had applied for roles outside their current field. The growth of these nonlinear career paths reflects a shift in emphasis away from qualifications and towards potential. Companies who are open to non-traditional candidates can access a wider talent pool, and reap the benefits of a diverse workforce with varied perspectives and abilities. 

Another source for non-traditional recruitment is in upskilling and reskilling frontline workers, the majority of whom are actively seeking career advancement opportunities. In 2023, we expect to see more companies turning to this cohort to find work-ready people to train and deploy into personnel gaps.

The end of “quiet quitting”? Asking employees to do more

Qantas took a headline-grabbing approach to talent shortages in late 2022. Facing an acute shortage of labor, the airline asked executives to volunteer as baggage handlers. That’s a particularly loud example of “quiet hiring”: expecting more of employees, rather than hiring more. It’s still unlikely that we’ll see CEOs in call centers this year. But businesses will want to get more out of their existing resources, as overall hiring slows.

So, if employers were reticent about demanding more in 2022, it’s likely they’ll be bolder in 2023. As a counter to “quiet quitting” – doing the bare minimum – quiet hiring could help cash-strapped businesses to make it through a tight year. That could mean emphasizing internal talent mobility, to use existing personnel to address urgent needs. Or, it could involve more upskilling, to diversify the skill set of each individual employee. 

Not going back to the office yet (if ever): talent will remain inflexible on flexibility

Desk-based personnel have had a taste of flexibility and autonomy, and there’s virtually no indication they’re prepared to relinquish it. If anything, flexibility will extend to workers who have been left out so far, such as frontline staff. And as the concept of flexibility itself continues to evolve, it’s likely that we will continue to see more artifacts of the past give way. The daily commute to the office was first, the 5-day work week may well be next. 

A large scale trial of this idea had promising results, suggesting that a 4-day week may become more common. And while there’s no one-size-fits-all when it comes to implementing flexibility, business leaders should prioritize the task of finding ways to address this need.

The teleworker wish list: competitive benefits packages

As the cost of living rises globally, workers will prioritize benefits packages that address their most fundamental needs. Generous health insurance and retirement plans are most attractive for remote workers, followed by in-kind benefits such as work-life balance benefits and extra leave. Mental health support has also gained in popularity as an attractive additional perk, largely because of the risk of digital burnout among remote teams. 

For companies with remote workers, it’s essential to know the difference between mandatory and fringe benefits in each country where team members live. A competitive benefits package in one country may be the bare minimum in another. 

The need for in-country partnerships to hire talent, wherever they are

Knowing the difference between “mandatory” and “in-kind” on a country-by-country basis is just one of the many challenges businesses face in building remote workforces. As a global Employer of Record, Playroll provides businesses with straightforward answers to the riddles of international labor law compliance. We also enable companies to avoid the daunting costs of incorporating legal entities in foreign jurisdictions, and start hiring quickly and compliantly in over 170 countries.

By leveraging our extensive partner network, these companies are able to find solutions to all the future of work challenges emerging in 2023 and beyond. Start exploring with a free account. Log in, open your Playroll dashboard and start planning your expansion in detail. From pension and contribution estimates to country-by-country legal insights, Playroll gives you what you need to build and retain distributed teams.

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