Employer vs Employee: SHRM Big Debate

The future world of work presents a crucial question: where will the balance shift? This high-stakes debate among CXOs at the SHRM iAC24 tackled pressing issues such as:

• Talent: Skills vs. Degrees: How can employers adapt to the evolving expectations of talent in valuing skills over traditional degrees?

• Gig workforce and its implications: What are the challenges and opportunities presented by the rise of the gig economy?

• Loyalty vs. Attrition: How can companies foster loyalty and reduce high attrition rates?

These topics, discussed by seasoned industry professionals and HR leaders at SHRM iAC24—including Rajan Kalia (Co-founder, Salto Dee Fe), Nikhil Sharma (Managing Director, Perfetti Van Melle India), Raj Nayak (Founder and Managing Director, House of Cheer Networks), Nitu Bhushan (CHRO, Pernod Ricard, South Asia), and Pavitra Singh (CHRO, PepsiCo India)—highlight the need for HR leaders to develop comprehensive strategies to attract and retain top talent. This blog delves into their insights, presenting key takeaways from the debate.

Hybrid Work, Employee Engagement, and Productivity

Hybrid work and its implications on employee engagement and productivity have gained traction in recent years. The speakers debated whether employees should be required to work from the office or if flexibility should be given to them. 

• One perspective was that flexibility empowers employees, allowing them to decide when they want to work. 

• On the other hand, there was concern about the potential for disengagement if employees are not required to come to the office. 

• A balanced approach is required, combining flexibility with engagement, allowing employees to choose when they want to work while ensuring overlaps for key functions.

• Additionally, the importance of work-life balance and the potential for employees to feel empowered through flexibility are key for employee engagement.

Changing Workforce Expectations and Psychological Safety

The changing expectations of younger generations in the workforce, particularly those born after 1995, were a focal point. These expectations, although associated with younger generations, are fundamentally crucial for a conducive work environment. 

Topics of psychological safety, meaningful careers, and transparency were highlighted. The need for organizations to invest in training and upskilling employees was emphasized rather than relying on superficial perks like free food or fun Fridays. There is a heightened need for inspirational leadership and moving beyond traditional work culture in retaining employees.

AI and Gig Economy in Workforce Planning

The role of AI and the gig economy in workforce planning are no longer just buzzwords. AI is seen as a massive enabler, providing sharper insights and real-time analytics. However, there are potential downsides to the gig economy, such as the lack of career progression and the challenge of balancing gig workers' schedules with the organization's needs. The gig economy, especially for specialized skills, presents both challenges and opportunities, with significant growth predicted in the coming years.

Unions, Gig Economy, Purpose, and Employee Engagement

Unions have far-reaching impacts on the gig economy in India. Unions are deemed necessary for workers to have a voice and negotiate better benefits. However, gig workers may not receive the same benefits as regular employees. The importance of purpose and connections within organizations was highlighted as crucial for employee engagement and motivation. The potential risks of prioritizing shareholder value over organizational purpose, with examples like Boeing and AI, were highlighted. 

Respect, Recognition, and Reward in the Workplace

Respect, recognition, and reward are crucial but often overlooked factors in employee growth and morale. People work first for respect, then for recognition, and finally for reward, yet organizations often mistakenly prioritize rewards over the others.

Key Takeaways:

• Respect: The foundation of a positive work environment. Employees thrive when they feel respected by their peers and leaders.

• Recognition: Acknowledging employees' efforts and achievements fosters a sense of value and belonging.

• Reward: While important, financial incentives should not overshadow the need for respect and recognition.

The debate also highlighted the importance of psychological safety and validation. Employees need to feel safe to express ideas and concerns without fear of retribution. Additionally, lifelong learning, inclusion, flexibility, and career growth were emphasized as essential components of a supportive work environment. In this context, financial incentives are seen as secondary to the overall work environment and growth opportunities, which significantly impact employee satisfaction and retention.

Balancing Past Achievements with Adaptation

The importance of learning from the past while evolving and adapting to new ideas and situations was stressed. A balanced approach that acknowledges past achievements and experiences while recognizing the need for change and improvement was deemed essential. The conversation touched on understanding different generations and their needs in the workplace and the necessity for organizations to evolve their practices to cater to these diverse groups. While learning from the past is crucial, moving forward and adapting to new situations is equally important.

Emphasizing Professionalism and Inclusive Work Environments

The importance of treating employees as professionals, not just as subordinates, was discussed. Human resource professionals need to guide employees in their careers. Organizations should provide avenues for internal job postings and gig roles, creating an inclusive work environment. While guaranteeing careers might not be possible, creating opportunities for growth is key.