1、Unlocking human potential in a machine-augmented worldWorkforce 2.0Global Talent Trends20242Mercer Global Talent Trends 2024IntroductionThe world of work is in full metamorphosis,forever changed by the seismic shifts of the past few years and accelerated by the imminent human-machine teaming revolut

2、ion.Just as organizations were settling into a new normal with a focus on hybrid working,comprehensive health and well-being,digitalization,and upskilling Generative AI(Gen AI)burst onto the scene.Changing not only how people work but the work experience itself,Gen AI has been met with equal measure

3、s of unease and excitement.Will it produce a real productivity lift?Can the increased risk exposure be effectively managed,and is it worth it?What will be the permanent impact on the competitive landscape?These are the conversations dominating boardrooms and team chats,with one universal truth emerg

4、ing:Unlocking the potential of this new world of work means keeping people at the heart of the transformation agenda.Thank you to the 12,200+C-suite executives,HR leaders,employees,and investors who participated in this years study.There is no escaping the need for new ways of working and new ways t

5、o value workers.The societal dynamics emanating from the last few years(including louder calls for fair pay,better working conditions,and less environmental impact)are aggressively reshaping the work contract.Leading companies are rethinking their People practices,and leveraging greater talent scien

6、ce to ensure a more sustainable,equitable and intuitive work experience.The urgency is coming from all stakeholders.Two in five workers believe that the world of work is fundamentally broken and one in four wish they didnt have to work at all.People crave the peace of mind that comes with job securi

7、ty and financial well-being staples that become increasingly important during times of upheaval.Executives are also seeking solid ground,focused on keeping their business running by addressing inflation,digital acceleration,and alternative work models(see Figure 1).Climate concerns are hitting close

8、r to home as more frequent extreme weather events impact business continuity.Cyber risk has been bumped from its top spot in 2022,and significantly fewer executives are accounting for an overall heightened risk environment in their plans.HR remains anxious about rising labor costs,managing a remote

9、workforce,and skills shortages.And 89%of asset managers see an engaged workforce as a key driver of company value.Figure 1.Geopolitical and socioeconomic forces impacting three-year plansUp from 31%(5th)in 2022Up from 27%(9th)in 2022Cyber risk was#1 in 2022Down from 28%(8th)in 2022C-suite question:W

10、hich of the following are influencing your 3-year plans?(Select up to five)Inflation,currency,and capital concernsDigital acceleration including AIRise of alternative,flexible,or distributive work modelsShifting economic interestsExtreme weather or natural disasters accelerated by climate changeNew

11、business entrants and digital-first disruptorsCyber riskStakeholder capitalismBusiness interruption related to health crisisRole of organizations in driving social impact/equityHealth and wealth protection gapSupply chain interruptions/challengesPolitical unrest/warRising healthcare costsOverall hei

12、ghtened risk environmentNet zero and environmental goals52%46%42%37%35%32%29%25%23%20%19%18%16%12%10%8%Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction3Mercer Global Talent Trends 202

13、4The C-suite is bracing for riskThe turbulent business environment shows no signs of easing up.Protracted conflicts,skittish financial markets,and high operational costs continue to haunt the business community.Add in a raft of elections in key geographies in 2024,and its no wonder near-term risks d

14、ominate the C-suite agenda.This focus on the present is concerning given executives long-term pessimism:Nearly two-thirds predict a“stormy”or“turbulent”outlook over the next 10 years,according to the 2024 Global Risks Report.1 Weathering the storm requires risk management and people management strat

15、egies that drive long-term sustainability.As organizations brace for uncertainty,executives top strategies for an economic downturn are telling:They will double down on AI investment(43%),reskilling(40%),and digital transformation(39%).Only one in five said they would reduce their workforce(down fro

16、m one in four in 2022).This signals a positive trend toward breaking the exhausting cycle of“churn and burn”and reflects HRs focus on building from within this year.Nearly two-thirds(63%)of executives believe jobs,not people,should be made redundant.Yet with less than one-third very confident they c

17、an make human-machine teaming a success,navigating the future of work will require attention to persistent people issues.goals,yet executives see these areas as top drivers of business growth this year.Seventy percent of asset managers say that a companys people sustainability(including turnover,emp

18、loyer brand and talent pipeline strength)is critical to informing investment decisions,and 55%cite social sustainability(a focus on equity,social inclusion,and societal impact)as a secondary driver(ahead of environmental sustainability and governance)recognition that People risks are business risks.

19、Figure 2:HR priorities for the 2024 People agendaColor key=Initiatives that executives believe will deliver the most business growth=Initiatives that executives believe will deliver the least business growth1.Enhancing the EX/EVP to attract and retain top talent11.Improving sustainability/ESG accoun

20、tability,metrics,reporting2.Investing more in benefits to improve physical/mental health12.Combating increased health and benefit costs3.Improving workforce planning to better inform buy/build/borrow strategies13.Rolling out new HR tech/optimizing existing platforms4.Improving our HR/People analytic

21、s capabilities14.Delivering on DEI goals 5.Redesigning work to incorporate AI and automation15.Redesigning our work operating model for increased agility6.Enhancing/modernizing rewards practices16.Optimizing the HR service delivery model7.Investing more in benefits related to retirement savings and

22、financial well-being17.Putting sustainability/ESG at the heart of our business agenda8.Designing talent processes around skills18.Delivering on WEF Good Work standards9.Improving people managers capabilities19.Cultivating a digital-first culture10.Investing in talent assessment and employee skills d

23、evelopment20.Restructuring,downsizing,and/or significant M&A activityOn the agenda for 50%of HR leaders globallyOn the agenda for only 15%of HR leadersLack of consensus among stakeholders Most HR leaders have plans to enhance the employee value proposition and experience this year to better attract

24、and retain top talent(see Figure 2).Fewer are prioritizing sustainability accountability,“Good Work”standards,2 and diversity,equity,and inclusion(DEI)Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric producti

25、vityIntroduction4Mercer Global Talent Trends 2024Organizations are being tested in new waysThis year,solving for business agility and people sustainability is critical.3 HR professionals in high-growth companies(self-reported 10%revenue growth or greater in 2023)are more likely to describe their com

26、pany as agile(54%)and focused on the long term(49%)than those in low-growth companies(less than 3%growth).Fewer than half of executives(46%)are confident their organization can meet customer demand with its current talent model,and only 27%strongly agree that their workforce models are agile enough

27、to pivot talent from one area to another.The productivity gains of yesteryear have run their course.The cost of labor is not abating,and offshoring,near-shoring,and business process re-engineering are no longer moving the productivity needle.Now,organizations have the opportunity to deliver technolo

28、gy arbitrage that can not only unleash the potential of their workforce but offer a new(and much needed)cost and return landscape.4 Gen AI is here,and its changing the game.Over half of executives(54%)believe that their businesses will not survive beyond 2030 without embracing AI at scale.To capital

29、ize on the most significant technological breakthrough of our time,organizations need to ensure that their business and people plans are amplifying human progress.Organizations that are outpacing competitors are striding ahead on four priorities.They recognize that human-centric productivity require

30、s attention to how work is evolving and the skills and motivations of those doing the work.They appreciate that trust is the true dialogue of work,fortified through transparency and equitable work practices.As risks become more connected and less predictable,they understand that a new level of risk

31、awareness and mitigation is essential to building a ready and resilient workforce.They acknowledge that as work becomes more complex,it will be critical to simplify,engage and inspire their workforce toward a digitally-infused future.It has never been more critical to design for tomorrow,plan for tr

32、ansitions,and cultivate a culture where all stakeholders can thrive in perpetual motion.Financial stability“My company helps me afford medical care.”“My company helps me prepare for retirement.”Psychological safety “I can bring my authentic self to work.”“I feel empowered to make decisions independe

33、ntly.”“Our work and work practices promote autonomy and dignity.”“I can voice my opinion openly without fear of repercussion.”Figure 3:What really makes a difference to employeesSense of purpose “I believe my work contributes to a worthwhile mission.”Digital enablement“We have a digital-first cultur

34、e.”“I have access to the latest tech(e.g.,Gen AI)to do my job.”“My work experience is designed to bring out the best in me.”Skills growth and job security“I will have a career at my company even if my job is eliminated”“My company helps keep my skills up to date.”Making work“work”:What helps employe

35、es thriveDespite some softening of the labor market,organizations still struggle with their talent pipeline elevating the importance of retention and putting the onus on managers to ensure that their people leave work feeling good about their day and energized for tomorrow.What drives a sense of thr

36、iving varies,but a regression analysis shows that 42%of this variance can be accounted for across five dimensions(see Figure 3).Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroductionDrive h

37、uman-centricproductivitySolve the productivity equation with AI,assessment and work designAnchor to trust and equityBoost the corporate immune systemCultivate adigital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction6Mercer Global Talent Trends 2024The rapid ris

38、e of human-machine teaming presents an urgent opportunity to re-examine the productivity equation.The new math must take into account AIs ability to augment human capability,improve efficiency and fuel innovations in both business solutions and personalization of the employee experience.But AI is on

39、ly one side of the equation.Leading companies are complementing emerging technologies with agile talent models and human-centric work design both crucial in reshaping how work gets done and quantifying the value delivered by each worker.This requires deep insights into skills demand and supply,as we

40、ll as investment in upskilling.Keeping people at the heart of the productivity equation ensures that the gains delivered will be shared by all.Cracking the code on productivity Following years of weak output growth and diminishing returns from traditional labor arbitrage,5 its no surprise that incre

41、asing productivity is the number one driver of business transformation plans this year.The pandemic sparked a more inclusive model of productivity and executives understand that a continued focus on workforce upskilling/reskilling,employee well-being,and process/workflow optimization will be require

42、d to boost productivity in 2024 and beyond(see Figure 4).Figure 4.Given productivity is the#1 driver of transformation this year,what could move the needle?C-suite question:Investment in which areas would give the biggest boost to productivity in your organization?(Select all that apply)Employee up/

43、reskillingPhysical and mental well-being initiativesProcess optimization&workflow managementGenerative AISimplified organizational structureWorkforce deployment platformsCybersecurity measures to prevent disruptionsSelf-service solutions for routine informationWorkforce monitoring and feedbackWork r

44、edesign efforts51%45%44%40%37%34%31%27%25%22%Drive human-centric productivityAnchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction7Mercer Global Talent Trends 2024TransactionalTransactiona

45、lSource:1 OpenAI,OpenResearch,and the University of Pennsylvania 2 Brookings Research 3 Goldman Sachs Research,Reinventing Jobs:A 4-Step Approach for applying automation to work(Jesuthasan and Boudreau,HBR Press 2018)RelationalRelationalExpertiseHuman workHuman workAugmented by AIAugmented by AISubs

46、tituted by RPA+AIIncremental productivity gain(1030%)Expertise19%of jobs will see 50%of their tasks affected80%of todays jobs are likely to be affected by Generative AIMost importantly,virtually all jobs will see their core tasks change significantlyToday20272027Figure 5.The power of“And”How Generat

47、ive AI is augmenting jobs Now,organizations large and small are racing to capture the upside of“augmented intelligence.”Fifty-six percent of executives see AI as a job creator in their organization(44%believe the opposite),but with one in four saying that AI will fundamentally change their business

48、model,changes will permeate across all jobs.Both executives and HR are grappling with one question:What will be the impact on the workforce and the skills needed to compete?Generative AI is already augmenting jobs at the task level and demanding a shift in skillsets(see Figure 5),ushering in a new d

49、ebate around how best to measure,reward,and cultivate human contribution.If new technologies promise efficiency hikes,why do productivity gains remain so elusive?One reason is that tech deployments are not translated into new ways of working and not enough time is spent on helping people make the ch

50、ange.Another is that traditional“hours-in,widgets-out”measures of productivity,while easy to quantify,fail to reflect workers longer-term contribution.6 Many business leaders agree:One in four executives say that todays productivity metrics do not fully capture the value workers provide.And workers

51、themselves feel commoditized,with nearly two in five employees(39%)believing they are more replaceable and less valued than before the pandemic.Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityInt

52、roduction8Mercer Global Talent Trends 2024The past few years have underscored the importance of workers energy levels as a driver of productivity.When asked what gets in the way,workers noted busy work,too many interruptions,ineffective organizational structures,and unsustainable workloads(see Figur

53、e 6)with fifty-seven percent of employees reporting that they are working longer hours than ever before.While employees do not see a lack of autonomy as non-value-adding work,and use of AI tools to improve skills/task matching.Addressing poorly designed jobs and making work more attractive can mitig

54、ate productivity loss in the short term and boost productivity in the longer term allowing for junior-fication,non-traditional hires,and more widespread use of early/mid career moves.Sustaining a healthy talent pipeline also requires a shift from badge swipes to more Figure 6.Biggest drains on emplo

55、yee productivityEmployee question:What keeps you from being most productive at work?(Select all that apply)Too much busy work(tasks that dont add value)42%Too many interruptions/not enough“thinking”time38%Ineffective org structure(e.g.,matrixed,siloed,etc)35%Workload that is too high/unsustainable 3

56、2%Stress29%Difficulty finding the right information/experts26%Too many meetings 23%Too much change21%Lack of direction and feedback20%Inability to work when and where I work best17%Being asked to learn/use new technologies16%Lack of trust/autonomy to do my job13%an issue,they do point to poor work d

57、esign,ineffective work habits,and a desire for greater direction and feedback.AI and skills are part of the equation,but moving everyone to new ways of working and creating space for upskilling in the flow of work is going to be critical to success.Tackling these challenges requires increased attent

58、ion to capacity planning,work design to eliminate holistic,impact-based measures of value creation.There has been a recent shift at the top of the house:Executives are being held more accountable for human capital metrics that directly or indirectly impact productivity,such as employee health and we

59、ll-being(50%of executives have this on their scorecard,up from 40%in 2022 and 21%in 2020),delivering on Good Work standards(43%this year),and employee engagement(40%).Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-

60、centric productivityIntroduction9Mercer Global Talent Trends 2024How a solar technology company centers skills development as a catalyst for growth As countries set climate goals to reduce their carbon footprint,LONGi,a global leader in solar technology,is expanding to meet this rising demand while

61、navigating intense competition.To fend off skills scarcity and drive consistent growth,LONGi re-evaluated their productivity equation and strengthened its talent pipeline,focusing on redesigning career pathways.LONGi first added structure to job grading,performance management,Redesigning career path

62、ways for a sustainable talent pipeline at LONGi9Mercer Global Talent Trends 2024and compensation management to address inconsistencies which had impacted recruitment and career development processes,evidenced by managers uncertainty in outlining job requirements.LONGi couldnt afford to lose ground g

63、iven the strict regulations surrounding product quality,so their HR Management Center implemented a robust job grading system and redesigned career paths with a skills lens to better align with business needs.As part of strategic workforce planning,LONGi inventories talent and skills by aligning bus

64、iness strategy,organizational capabilities and position requirements.To improve skills benchmarking,they transitioned from an iceberg model of competencies to a concentric circle model.The new approach aids internal and external talent selection by identifying core skills and employee differentiator

65、s across 33 job categories and 121 sub-categories.This allows the team to assess performance,values,potential,and ability using a talent review matrix and identify high-potential talent to support business-critical campaigns.LONGi also identified six key leadership capabilities,which form the basis

66、for their leadership development programs.LONGis talent development model,“Learn,Test,Train,Practice,Assess,”promotes practical experience,rapid training,deployment and skills development.Their holistic approach to performance management combines typical performance reviews with project-based assess

67、ment,in which the project manager considers both individual and collaborative success.Ongoing“empowerment projects”(including job-related training,job rotations,and internal gigs)accelerate growth opportunities further.This focus on internal skills development over outside hiring is paying off:The i

68、nternal talent growth rate increased by 15 percentage points YOY(from 20%to 35%).Ma Fuhai,General Manager of the Human Resource Management Center,shares the upside:“By promoting the continuous improvement of skills,a sustainable talent pipeline is established,thereby ensuring the continuity of busin

69、ess development.This achieves the triple benefits of skill enhancement,productivity improvement,and future business sustainability,laying a solid foundation for the company to continuously innovate in the rapidly changing market.”Anchor to trust and equityBoost the corporate immune systemCultivate a

70、 digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction10Mercer Global Talent Trends 2024Designing work for new demandsFifty-three percent of executives project that AI and automation will bring a 10-30%productivity boost to their organization over the next th

71、ree years,and an additional 40%see an even greater upside.Estimates suggest that AI could add trillions of dollars to the global economy.7 While these figures are alluring,productivity gains will remain out of reach unless organizations take a fundamental look at how work is done today and actively

72、redesign it for a machine-augmented future.Employees report that one-third of their work today is mundane and repetitive,presenting an obvious opportunity for process and cognitive automation.But AI holds promise as more than just an efficiency play.One-third(32%)of executives believe AI will add th

73、e most value in their organization by amplifying intelligence to enable higher quality work.They see the potential of human-machine teaming to mitigate some of the most pressing talent risks of our time constrained supply,rising labor costs,ineffective talent mobility,low workforce energy levels,and

74、 more.These benefits will be realized only if work is designed around how humans want to work and their skills are continuously nurtured at pace with technological advances.To that end,98%of organizations are planning work design changes in 2024,with increased productivity as the main driver.Their r

75、ecent redesign efforts focused on identifying which roles are best suited for nontraditional work models and reallocating work to different talent pools(see Figure 7).HR leaders in lower-growth organizations are more likely to say these work design changes are not on their roadmap this year.Figure 7

76、.Increasing productivity through intentional work designHR question:Which work design changes have you recently made or are planning for 2024?(Select all that apply)Recently implemented Planning for 2024 Not on our roadmap Defining which roles are most suitable to agile working47%36%17%Identifying r

77、oles most suitable for job sharing46%36%18%Identifying skills/roles best served by gig/freelance workers45%35%20%Identifying roles most suitable for hybrid/remote working48%37%15%Quantifying the ROI of work design and/or tech investments43%40%17%Bringing more roles back into the organization(in-sour

78、cing)43%39%19%Engaging in co-opetition(collaborating with competitors)42%37%21%Joining a talent consortium to share talent with other companies41%37%22%Outsourcing a significant portion of the workforce42%37%21%Transitioning some employees to gig/freelancer status38%38%24%Redesigning career models/p

79、athways41%45%14%Deconstructing jobs into tasks for reconfiguration39%41%20%Moving more roles offshore34%40%25%Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction11Mercer Global Talent Tr

80、ends 2024Thoughtful work design will broaden an organizations talent supply options,a critical advantage when 48%of HR leaders see skills shortages as a top threat to their business this year.By deconstructing jobs and redeploying tasks to optimize work,organizations can create new jobs that reflect

81、 changing skills needs and make work more accessible to non-traditional talent.Translating post-pandemic pockets of agility into a permanent“new shape of work”has proved Talent in fixed rolesTalent in flex rolesTalent fully flows to tasks,assignments,and projectsFixed,flex,flow:Options for connectin

82、g talent to work Jobs with pre-determined volume of work Jobs that demand consistency due to control/expertise Stable roles that benefit from workforce planning and managed job architecture Jobs with a proportion of time designated for non-fixed tasks Additional activities from internal gigs,marketp

83、lace opportunities,etc.More fluid roles that benefit from skills insights and talent deployment processes Jobs with no pre-defined owner and work allocated on a needs basis Bursts of activity aligned to capability Agile roles that benefit from skills-based planning and credentialingAdapted from:Work

84、 Without Jobs8 challenging.Companies that are building a more systematic approach have identified which roles are best suited to fixed,flexible,or flow-to-work talent models and strengthened their underlying career architecture and skills taxonomy to enable more agile ways of working.AI-powered plat

85、forms have made the fixed-flex-flow framework easier to operationalize,but only 26%of organizations are using internal talent marketplaces today.Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIn

86、troduction12Mercer Global Talent Trends 2024Flexible working continues to deliver a productivity boostWhile it may seem that employers have finalized return-to-office plans and codified their post-pandemic flexible working policies,in fact 41%are planning further changes this year.The good news is t

87、hat conversations have moved beyond location-based considerations to include other forms of flexibility.For the 10%that are moving to more onsite work,opportunities to learn corporate behaviors and increased cyber risks from remote work are driving their decision.The technology industry is leading t

88、he way in moving to more onsite work,But the majority of those making changes are more fully embracing flexible working for all.Their main driver is increased productivity,which aligns with the 64%of workers who say they are more productive when they work remotely.Other top drivers are increased emp

89、loyee engagement and improvement in the organizational culture.Today,the dominant model is onsite full-time(38%of workers,plus an additional 16%onsite most of the time),followed by 27%in a 50/50 hybrid model,and 10%remote full-time(with an additional 10%remote most of the time).Interestingly,only 22

90、%of organizations are expanding their flexible working options to better attract top talent,reflecting a shift in employee preferences for“together time.”At the end of 2021,a staggering 62%of employees said they would only join or stay with an organization if they were able to work remotely at least

91、 some of the time.This year,that number has dropped to 41%.Overwhelmingly,people want some degree of social contact,with 46%preferring to work onsite most or all of the time,even if their job could be done remotely,and 27%saying their ideal would be a 50/50 hybrid arrangement.Only 10%wish to be full

92、y remote and this is consistent across geographies,generations,and genders.Taking a multidimensional view of flexible work is key to increasing agility and productivity.This is especially important when the nature of the job does not lend itself to location-based flexibility(e.g.,in the manufacturin

93、g,retail,or healthcare sectors).Considering the where,when,what,who,how,and why of work expands the parameters and makes it easier to take an“all roles can flex”approach opening up more possibilities for work redesign and reducing the friction that prevents talent from flowing to work.Incorporating

94、flexible working into work redesign can strengthen the employee experience,diversify the workforce,tap into non-traditional talent pools,and access new skills making headway on attraction,agility and productivity in unison.There is also greater acknowledgement that leaders and people managers need t

95、o partner with their team members in new ways,having more regular and proactive conversations on pay,flexibility and careers as both work and personal circumstances evolve.Six dimensions of flexible workingLocation and infrastructureWhereHours and schedulingWhenJob content and sharingWhatAlternative

96、 workforce and automationWhoScaling and technologyHowMission and purposeWhyAnchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction13Mercer Global Talent Trends 2024Unlocking productivity wit

97、h talent intelligence A deep understanding of the work to be done is one input into the productivity equation;insight into the capacity and capability of the workforce completes the picture.High-growth organizations are 1.4 times more likely to be using assessment throughout the employee lifecycle.W

98、ith better talent intelligence,organizations can more objectively match people to work,yet less than half of employees(47%)say their manager understands their current skills,interests,and skill gaps and just 31%say they are required to enter their skills into a centralized database.The world of tale

99、nt insights is evolving.Psychometric assessments(that measure employees work style,motivations,and cognitive abilities)and technical skills audits(including self-report,proficiency scoring by managers and peers,and hackathons)are closing knowledge gaps,while big data,predictive analytics,and AI are

100、driving new insights about enterprise skills supply and demand.Together,this talent intelligence can unlock latent productivity by better matching work to individuals skills and motivations,fueling agile flow-to-work models,and improving the accuracy of strategic workforce planning.Understanding peo

101、ples skills and gaps is also vital to encouraging employees to spend their learning time in value-adding ways developing skills that are in-demand,pay a premium,and/or help them remain employable.Using talent insights to make more informed decisions Enhanced insights for internal succession.33%use p

102、sychometrics,simulations,technical skills assessments,and situational judgment tests for internal talent decisions.Rise of technical credentialing.30%use technical skills assessments to fuel their talent marketplaces,with 25%of employees saying that their technical skills are being validated when ap

103、plying for internal gigs.Increase in manager/peer validation for skills.30%require validation of skills if used in performance reviews,and 24%require validation if used for compensation.Emerging trends Increasing skill visibility:Centralized databases that give all employees access to everyones skil

104、l information Well-being:Worker well-being assessments,work habit self-insights and work culture auditsAnchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction14Mercer Global Talent Trends 20

105、24Shift from churn&burn to reskill&redeploy with skills-powered organizations Armed with robust talent intelligence,leading employers are matching people to work using skills,not jobs,as the currency.Solving for skills shortages today and keeping the workforce employable tomorrow requires intentiona

106、l planning to effectively migrate talent from sunset to sunrise roles and avoid successive rounds of“churn and burn”as demand shifts.HR leaders are predicting,on average,a 19%turnover rate this year(higher in the healthcare and construction sectors),with RIFs impacting,on average,20%of their workfor

107、ce.There may be a disconnect here:60%of workers trust their employer to provide a career for them even if their job is eliminated.When the nature of work is changing rapidly and in-demand skills are not available or affordable,building a skills-powered organization will pay dividends.9 The talent cr

108、unch is requiring HR to take a“build from within”approach,rather than relying on the“buy”strategy most popular over the last five years.High-growth companies are already seeing the return,having invested more in skills intelligence platforms,migrated to agile talent practices,and gained leverage thr

109、ough increased use of a variable/contingent workforce.48%of HR leaders see skills shortages as a top threat to their business this yearIn addition to capability,productivity rests on having sufficient capacity not measured in hours alone,but also in capacity to learn new ways of working,to have dedi

110、cated uninterrupted time to work,and to optimally integrate life inside and outside of work.As the productivity equation shifts with greater human-machine teaming,its never been more critical to move from headcount planning to skills-based strategic workforce planning.Leading firms are mapping futur

111、e demand,modeling internal taxes on peoples time and quantifying needs in skills rather than FTEs.Improving workforce planning is a top priority for HR leaders this year(#3 globally),but the real advantage comes from doing this in combination with work redesign.Together,these can unlock new ways of

112、working,define the ROI of tech investments on capacity,and more effectively address forecasted talent shortfalls.Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction15Mercer Global Talent

113、 Trends 2024Pay-for-skills models are finally incentivizing skills development Whats different this year is that organizations are increasingly using rewards,not just talent levers,to address skills gaps.Forty-five percent of HR leaders report that rewarding skill acquisition has been the number one

114、 approach,a dramatic rise from number nine in 2020(see Figure 8).Even as these practices have been gaining ground,they have a way to go in reaching their intended audience:Only 18%of employees say their organization pays a premium for critical skills.If too many workers are left wondering“whats in i

115、t for me?”,upskilling and reskilling efforts will fail to deliver a return for an individual or their organization.2020(pre-pandemic)=38%#9 of 112020=60%#12020=12%Last2020=45%Figure 8.Leading organizations are powered by skills HR question:What approaches have been most successful in ensuring you ha

116、ve the skills you need in your organization?(Select all that apply)Rewarding skill acquisition(e.g.,course completion,certification)Buying/hiring new talent with the required skills and/or experienceRewarding skill deployment(e.g.,paying a premium for skills used)Building via experiential learning(i

117、nternal rotations,short-term projects,internal gigs)Paying for outside learning(e.g.,tuition reimbursement)Building via internal trainingTransferring by resourcing work with multidisciplinary teamsBorrowing skilled workers/leveraging the gig economyAcquiring skills via an acquisition or merger45%42%

118、39%38%34%29%28%21%20%Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction16Mercer Global Talent Trends 2024Executives see human-machine teaming as a productivity game changer,economists b

119、elieve it will reshape markets,and employees are already experiencing the benefits firsthand.Early productivity gains from AI and quantum computing are enticing(mostly due to short-term cost savings),but its human-centric design not tech implementations that will unlock real productivity and innovat

120、ion.As the technology landscape moves from written prompts to multimodal large language models and domain-specific knowledge applications,AIs ability to amplify human intelligence will have a profound impact on hiring and mid-career moves.Together with more robust talent insights,diverse voices and

121、a focus on healthy work habits,technology can be the catalyst for productivity that benefits all.Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction17Mercer Global Talent Trends 2024How

122、a design,engineering and consultancy firm is on the journey to use skills-based practices and smart technology to accelerate business and career growth Arcadis recruits for thousands of jobs annually,but with approximately a third of leavers citing a desire for greater career opportunities,the busin

123、ess knew they had to take action.The move to a Skills Powered Organization is central to the pillars of the companys business strategy:digital and human innovation,sustainable project choices and powered by our Enabling human-centered change to create a skills-powered organization at Arcadis17Mercer

124、 Global Talent Trends 2024people.The companys journey calls for human-centered change that leverages technology to build a skills-powered organization and cultivates future-ready skillsets.A key part of the change is enabling employees to identify their skills,create career paths,access personalized

125、 learning,and apply for internal positions that align to their skills,interests and career goals.The journey to become a skills-powered organization also aligns to the companys“Standardize and Automate”program.By identifying opportunities to substitute,augment and reinvent work,Arcadis aims to drive

126、 smarter ways of working using a human-centered approach.This intends to drive career autonomy,allowing Arcadians to identify and step into roles that enable them to use their skills in different ways.Matching skills to tasks and connecting talent with internal opportunities aims to translate into c

127、lear and empowering career paths for employees,even if their work changes due to AI or automation.In the early adoption phase,56%of the employee test group accessed opportunities and 20%engaged with courses on the internal learning experience platform.The talent insights and trends Arcadis gathers f

128、rom this talent intelligence will feed the companys future strategy to win,grow and retain exemplary talent.To foster the transfer of talent between teams,Arcadis will establish governance around skills-first practices to cultivate a culture of talent mobility,where every Arcadian has transparent ac

129、cess to opportunities and is encouraged to explore opportunities where their skills are needed.Amy Baxendale,Global Capability and Workforce Readiness Director,sums it up like this:“Becoming a skills-powered organization is about investing in Arcadians,their unique skills,and their personal growth.I

130、t means creating transparent and equitable access to diverse and personalized career paths,learning experiences,and opportunities that align with an individuals personal ambitions.This will ensure we are in the best possible place to meet the needs not just of our people,but also the changing needs

131、of our clients both now and in the future.”Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction18Mercer Global Talent Trends 20241.Establish AI governance and training for the workforce.I

132、nstitute and enforce policies for the responsible use of emerging technologies and use of un-gated large language models that can expose sensitive or proprietary information.Ensure human oversight where AI impacts peoples health,wealth and career prospects.2.Communicate openly with employees about h

133、ow AI will impact work models and talent strategies within the organization.Specify which roles and skills will be displaced,and which ones will take on new importance in the future of work.Solicit and incorporate employee feedback into your planning.3.Know your peoples skills and aspirations.Unders

134、tand workers skills and motivations through skills assessments to support strategic workforce planning,career growth,and the acquisition of in-demand skills.Use psychometrics to inform hiring and succession.4.Embrace flexibility for all.While corporate culture and the nature of work does not always

135、support offsite working,the where is only one dimension of flexibility.Consider potential variations in when the work happens,who does it,what theyre doing,how it gets done,and why aligning to the companys mission and purpose.Ensure knowledge workers are not the only ones afforded flexibility.1.Buil

136、d the business case for new ways of working.Tap into human-machine synergy through work process optimization and intentional work design.Deconstruct jobs into tasks;determine whether each task is best handled by AI or humans(in fixed,flex,or flow roles).Outsource or delegate non-core tasks(e.g.,fidu

137、ciary duties).2.Make skills the currency of work.Realign your people processes and business models around monitoring,acquiring,upskilling and rewarding high-value skills(current and future).Create more gig-based work to encourage versatile skill building and enterprise-wide talent sharing.3.Increase

138、 workforce agility through fit-for-purpose job architecture and work models that enable alternative talent pools and flexible working to quickly scale capacity up and down without adding FTE headcount.Earn worker buy-in on skills passports and internal talent marketplaces.Set up retention-based tale

139、nt pools to help manage skills scarcity and competition,and outsource specialized skills when demand outpaces buy/build models.4.Incentivize productivity and share gains.Reward up/reskilling and encourage employees to find and share ways to boost productivity through AI and automation.Consider how g

140、ains can be redistributed to employees via bonuses,flexible schedules,additional time off or other rewards.Getting started(great for smaller employers)Suggestions to accelerateTaking actionThreats to productivity Enterprise risks:Inefficiencies and missed growth potential from lagging or poor AI ado

141、ption Increased liability stemming from errors and biases in AI outputs and changing data protection laws More frequent data breaches and cyber attacks due to remote working and networked organizational designsPeople risks Inefficiencies and missed growth potential from failure to adopt new work mod

142、els Unforeseen costs and skills obsolescence by failing to up/reskill or underestimating the time/resources required Job disruption by AI and automation due to poorly managed skill transition Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey

143、 demographicsDrive human-centric productivityIntroductionAnchor to trust and equityFoster a climate of trust through fair pay,equity,and inclusionAnchor to trust and equityBoost the corporate immune systemCultivate adigital-first cultureConclusionSurvey demographicsDrive human-centric productivityIn

144、troduction20Mercer Global Talent Trends 2024Anchor to trust and equityTrust fuels relationships.When trust is in the room,even the most difficult conversations can go well.In todays business environment,value follows trust leaders invest in the people and projects they trust to deliver.“Putting your

145、 money where your mouth is”serves as a powerful message to the workforce.But its a two-way street,with employees wanting to work for a“trusted brand”that they believe will honor its commitments.Leaders,take note employees trust in their organization is the strongest variable in influencing how energ

146、ized they feel at work,their sense of thriving,and their intent to stay.Trust:An intangible asset with outsized valueTrust in organizations hit an all-time high in 2022.Through listening,collaboration and empathy,much of the world came together in the face of crisis.Companies invested in purpose and

147、 people throughout the pandemic period,taking actions to serve the greater good that resonated with employees.Now that trust is wavering.Employees trust in their company,though still strong,has declined significantly over the last couple of years.Today,69%believe their employers will do the right th

148、ing for society,down from 78%during the pandemic.Trust that employers will do the right thing for employees also fell,from 80%to 69%.HR leaders see it too 45%rate their organizational culture as low trust.In the 21st century,trust is complicated.The latest research shows that roughly 30%of U.S.adult

149、s say most people can be trusted,10 a steady decline from previous decades.Technology has permanently changed peoples relationship with trust calling into question the information from Google search results,Wikipedia pages,social media,and now generative AI tools such as ChatGPT.In fact,executives a

150、round the world have identified misinformation/disinformation as the top risk over the next two years11 especially critical in the 2024 election cycle as more than half of the worlds population heads into the voting booth.Anchor to trust and equityBoost the corporate immune systemCultivate a digital

151、-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction21Mercer Global Talent Trends 2024Cracks in the foundation of employee trustSo what is eroding trust?Employees point to broken promises both on promotions,raises,and career opportunities(#1)as well as on stakehold

152、er commitments related to sustainability and Good Work principles(#4).Failing to take a human-centered approach to organization design can also impact the trust equation(#2)when employees feel that the ground is constantly shifting under their feet,they may be less likely to fully buy in to the chan

153、ges and try to“ride it out”until the next restructure.A sense of equity is also intimately connected to trust.Increased pay transparency,more scrutiny on pay gaps,and cost of living concerns have pushed living wages,fair pay,and fair opportunity into the spotlight its no surprise that unfair/unequal

154、 treatment(such as perceived favoritism,bias,and discrimination)also erodes trust(#3).Notably,return-to-office mandates and a perceived lack of autonomy(hot topics in the past)were cited less often this year.In todays uncertain economy,power is shifting back to employers.The rising cost of living,jo

155、b uncertainty,and cost cutting that reduces rewards/benefits are top concerns among workers.The result is that more employees report feeling“stuck”with employees in Japan most likely to be unsatisfied with their job but staying anyway(29%)but only 9%in Mexico feeling the same.Too little turnover is

156、as concerning as too much especially against a backdrop of transformation plans that demand high energy and commitment from workers.Organizations are trying to nurture an engaged workforce with the will and skill to transform,yet 42%of employees say that their employer is not meeting their needs(sig

157、nificantly worse than the 19%in 2022).Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction22Mercer Global Talent Trends 2024Benevolence,competence,and integrity build trustWhat actions ca

158、n organizations take to address the erosion of employee trust?The research in this area is well established and validated.12 Psychologists have uncovered three factors for highly effective,trusted relationships:benevolence,competence and integrity(see Figure 9).All three matter;for example,you canno

159、t make up for a lack of integrity by being more competent and benevolent.Lets take each in turn.Benevolence as a business strategy means listening to employees,understanding what they want,designing work that brings out the best in them,and including them every step of the way.Job security is natura

160、lly the top reason that people stay at their current employer;this year,fair pay,positive work culture,and growth opportunities trend next.Investing in these areas demonstrates an organizations trust in its employees and willingness to commit to their long-term success.Figure 9:How organizations can

161、 build back employee trustBenevolenceCompetenceIntegrityEmployee view:Employee view:say that when someone makes a mistake,its easy for them to recover(up from 62%pre-pandemic)say their org culture is to trust decisions to be made locallyExecutive view:say that their current role aligns with their mo

162、tivations and makes the best use of their skillssay that their unique skills and experience are valuedEmployee view:“I trust that you will do right by me.”“I trust that you know what youre doing.”“I trust that you are telling me the truth.”trust their manager to have their back(up from 66%pre-pandem

163、ic)say that people trust each other at their company(up from 67%)say their company designs work to bring out the best in themHR leader view:say that decisions are made via top-down mandates rather than co-creation with employeessay that continuous listening platforms are a core component of their EX

164、 approach81%79%68%54%47%78%48%40%36%believe that pay/promotion decisions are made fairly,equitably,and without biasHR leader view:say that their org culture promotes genuine caring over“lip service”34%55%share pay/ranges for all roles,and 17%believe this level of transparency is critical to attracti

165、ng&retaining top talent31%Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction23Mercer Global Talent Trends 2024Competence goes both ways:leaders trusting that their people have what it t

166、akes,and employees trusting that their leaders are being held accountable.If employees feel that their leaders dont have faith in their abilities,they might be right three in four(74%)executives believe that the majority of their workforce cannot adapt to the new world of work(up from 61%in 2020).In

167、tegrity is“walking the talk,”consistency between words and actions.Radical transparency can help especially on decisions such as pay and promotion that matter the most to employees.13 This underscores the importance of companies living up to their pay philosophies,recognizing workers for their uniqu

168、e performance,contributions,experience,and skills.Transparency applies not Employees who can bring their authentic self to work are two times more likely to trust their organizationonly to decision making,but also extends to admitting mistakes,addressing concerns,and seeking feedback for continuous

169、improvement.Through open and honest communications,organizations can strengthen relationships with their people and build a reputation as a great place to work.Employees who trust their organization are twice as likely to report they are thriving.This year,what helps people thrive is notably consist

170、ent across gender and generation,with some differences by geography(see Figure 10).Saying that,the influence of Gen X and Gen Y is evident.Topics that have been important to these populations over the last few years are now trending upwards for everyone:Working for an organization with a purpose the

171、y can be proud of(45%)shot up from ninth to first position,a sense of belonging(40%)moved into second place,and feeling valued for their contributions(37%)rounds out the top three.Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographic

172、sDrive human-centric productivityIntroduction24Mercer Global Talent Trends 2024GlobalAustraliaBrazilCanadaChinaFrance3GermanyHong Kong4IndiaItalyJapanMiddle EastMexicoS

173、ingapore4South Africa21354691178Southeast Asia324157126911United Kingdom21United States1Working for an org with a purpose I am proud of1.A sense of belonging 2.Feeling valued for my contributions 3.Having fun at work 4.A manager whom I trust/who advocates for me 5.Te

174、ch to make my job easier/less mundane6.My org supports a healthy lifestyle 7.Integrating my life with my work 8.Opportunities to learn new skills 9.Building wealth for the future Leaders who set a clear direction Working with the best and brightest Ability to innovate/experiment Autonomy/empowered t

175、o make decisions 10.11.12.13.14.Figure 10:What helps employees to thrive at work?Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction25Mercer Global Talent Trends 2024Pride in the purpose

176、One out of every five employees who feel at risk of burnout this year attributes it to a misalignment between their own values and the values of their employer.Employees are increasingly looking to their organizations to prioritize social issues,diversity/equity and environmental impact.Nearly all e

177、mployees(99%)expect their employer to pursue a sustainability agenda,and one in three say that setting goals is not enough;they are demanding that leaders be held accountable for sustainability outcomes.When asked what they expect from their company on sustainability,employees top priority was offer

178、ing minimum health and well-being benefits to all workers yet only one-third of organizations have done so(see Figure 11).Employees second priority was sustainable investment options in retirement plans,which was rated by HR leaders as one of the most effective ways to make progress on ESG outcomes.

179、Demonstrating commitment to a greener,healthier,and more socially responsible future helps to earn employees trust in the organizational purpose.The challenge will be maintaining the momentum from the last few years over half of organizations(55%)have pulled back on ESG due to societal and/or custom

180、er pushback,which could do irreparable damage to employees trust levels.Minimum health&well-being standards for all workers Sustainable investing options in retirement plans Living wage for all workersAccountability for leaders/managers on sustainability outcomes Minimize environmental impact of bus

181、iness operationsFigure 11:Perceived values misalignment on sustainability is eroding employee trust=C-suite question:Which of the following social and sustainability best practices are in focus for your organization?=Employee question:What do you expect from your employer on sustainability?IMEALatin

182、 AmericaEuropeAsiaUS+Canada48%27%29%31%38%42%42%42%38%30%32%38%41%29%42%44%30%33%23%37%38%38%39%42%38%29%22%41%42%Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction26Mercer Global Talen

183、t Trends 2024A sense of belongingA strong EVP ties the companys purpose and talent strategy to employees personal experience at work.Much of this comes down to fostering diversity,equity,and inclusion(DEI).Once a distinct discipline,DEI now shapes the entire workforce agenda,and its become even more

184、 important given AIs potential to deepen inequities.14 Both employees and HR acknowledge the positive momentum:Only 4%of workers say that their companys DEI practices leave much to be desired,and 98%of HR leaders report their companys DEI initiatives have produced concrete results over the last few

185、years.But the details paint a less rosy picture of the true progress made(see Figure 12).Notably,employees in India and South Africa are more likely to say their company has a clear DEI strategy(51%and 50%,respectively),with employees in France less likely to say so(33%).While issues of race and gen

186、der continue to shape DEI efforts and the employee experience,other dimensions of diversity are often overlooked.This years results reveal that people with certain disabilities are substantially less likely to be energized at work,feel positive about their workplace culture,and trust their organizat

187、ion and are far more likely to feel unsatisfied at work but obligated to stay.Older workers are also the least likely to feel energized,trust their company,and feel valued at work.To widen their lens,employers are expanding the objectives of their DEI initiatives to include fostering a sense of belo

188、nging whether employees feel seen,heard,and valued without needing to change who they are.A majority of employees(76%)feel they can be themselves at work always or Age is just a numberA staggering 76%of employees report that they have witnessed age-based discrimination at work.This can impact both y

189、ounger and older workers.Misperceptions abound:Younger workers are often underestimated and undervalued,and older workers are perceived as set in their ways or unable/uninterested to learn new skills.While RIFs used to take a“last in,first out”approach,now more tenured workers are being targeted.Thi

190、s is short-sighted:The rapid expansion of new technologies has put a premium on digital savvy,but it should also make experienced employees wealth of institutional knowledge that much more important.HR leaders are aware of the problem,with 49%already measuring and addressing age discrimination in ta

191、lent decisions and a further 34%planning to start this year.With Gen Z expected to be the largest generation in the workforce by 2035 and 86%of current employees planning to work past retirement age,intergenerational working will continue to bring together a range of skill sets and worldviews and ma

192、ke the workplace a more complex environment to navigate.most of the time,with notable differences between Millennials(79%)and Baby Boomers(69%),as well as between managers/leaders(79%)and individual contributors(70%).Importantly,employees who feel comfortable bringing their authentic self to work ar

193、e two times more likely to trust their organization and over five times more likely to be satisfied with no intent to leave.Figure 12:Build trust by ensuring work works for allMy workplace has a diverse and inclusive culture where different opinions are valued(47%)Our workforce diversity reflects th

194、e diversity of our customers and the communities in which we operate(36%)Women and minority groups are well-represented in higher leadership(32%)An inclusive,fair,secure work deal for all workers(42%)DEI as an explicit part of our workplace identity and culture(29%)DEI as a visible part of our exter

195、nal brand(25%)Employees HR leaders|Our DEI initiatives have led toAnchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction27Mercer Global Talent Trends 2024How a leader in energy technology s

196、upports employees in the moments that matterAcross the globe,the pace of population aging is accelerating.Juggling multiple caregiving responsibilities(children and aging loved ones)alongside the demands of maintaining a career is becoming the norm for many people.Siemens Energy was sensitive to thi

197、s long-term challenge and the impact it has on employees who are feeling the pressure in their personal lives.This fact informed a multi-year program to level up their approach to employee leave on a global scale.The approach sought to address critical milestones for different persona groups.A criti

198、cal milestone for Generation Y for example was starting a family,with Mercer research finding that 78%of this demographic have caregiving responsibilities for children.The other Easing the burden in key employee life milestones at Siemens Energy27Mercer Global Talent Trends 2024point at which employ

199、ees felt the pinch was navigating multiple caring responsibilities,with Mercer research finding that 74%of Gen X juggle care for both children and aging parents.Siemens Energy also wanted to address bereavement by bolstering minimum standards of leave to support employees at a difficult time.In reco

200、gnition of each of these experiences,the HR team,along with the I&D(inclusion and diversity)council,developed a policy targeted at key Life Events.This led to inclusive parental leave,bereavement leave,and family care leave,giving employees worldwide a minimum standard in the event of childbirth or

201、adoption,the death of a close family member,or the need to care for a family member.A key challenge was addressing the inconsistencies in current local HR policies to improve inclusivity and ensure equitable access across the 80+countries Siemens Energy is present in.To do this,the team worked with

202、local HR to either introduce or extend coverage that often went beyond the local statutory requirements.Siemens Energy also considered language,updating policies to better reflect the range of family structures and relationships across their workforce.For example,they de-gendered their family leave

203、policy and extended leave where it was previously only offered to the primary caregiver.“Awareness is always the first step towards inclusion,”says Daniel Eppinger,Head of Benefits and Pensions.“Before you establish a minimum standard or a global policy,take the time we took more or less a year to d

204、iscuss what this will mean for each different region,society,and country,as part of your preparation.Each of us has our own biases and knowledge gaps which need to be addressed to better understand the different needs and challenges for colleagues in each region.”Anchor to trust and equityBoost the

205、corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction28Mercer Global Talent Trends 2024Feeling valued for my contributionsFor employees,a big part of feeling valued at work is knowing that decisions are being made in a trans

206、parent and equitable manner.Few decisions matter more to employees than how much they are compensated.Cost-of-living pressures and easier access to salary data are making more people question whether they are being paid fairly.Figure 13:Why do people stay?HR overestimates the importance of well-bein

207、g programs and organization brand/reputation,and underestimates the importance of manageable workload and coworkers/peopleJob security11EmployeesRankRankJob securityHR leadersFair pay22Fair payWork culture33Work cultureLearning opportunities44Well-being programsFlex working55Learning opportunitiesCo

208、mpetitive rewards66Organization brand/reputationWorkload77Flex workingCoworkers/the people88Competitive rewardsConfidence in organization strategy99Confidence in organization strategyHealth insurance1010Health insuranceLeadership1111Organization making positive impactWell-being programs1212DEIOrgani

209、zation brand/reputation1313Career advancement opptiesCareer advancement 1414LeadershipOrganization making positive impact1515WorkloadDEI1616InnovationManager2020Time offRetirement options1919PeopleTime off1818ManagerInnovation1717Retirement optionsPay transparency,especially in job postings,is fast

210、becoming an expectation(not to mention a regulatory requirement in at least 10 U.S.states and 20 countries),yet only 38%of employees say their organization is transparent about the pay/range associated with each job.This is especially relevant as employees are considering a new opportunity this is t

211、he point where they ask,“Does it pay to stay?”Compensation data shows that in 2023,merit increase budgets in the U.S.averaged 3.8%,the largest since the 2008 financial crisis.15 Employees who did not change jobs received an average base pay increase of 5.6%(including off-cycle pay changes),while job

212、 changers received an average base pay increase of 16.4%.People not only want compensation that reflects their contributions,but they also expect pay equity relative to their colleagues.This is less about market-competitive pay(which ranks as number six on the list of why people stay,see Figure 13),

213、and more about the perception of fairness.HR leaders are aware that fair pay is rising in importance,while other items like flexible working are becoming table stakes.They also understand that compensation should not only be retrospective and reviewed at year-end;it is an ongoing conversation that n

214、eeds to reflect the changing value of skills and reward loyalty on a continuous basis.Trust impacts executives decisions to leaveC-suite executives are less likely than rank-and-file employees to say they intend to stay with their organization this year(46%versus 68%).One in three senior leaders pla

215、ns to leave in the next 1218 months,and a further 20%think they may be let go or see their role eliminated.Of those who do plan to leave,one in three cite a loss of trust in their organization.Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurve

216、y demographicsDrive human-centric productivityIntroduction29Mercer Global Talent Trends 2024Modernizing total rewards to better reflect how employees contributeWhen asked how their employer can improve their compensation,employees first and foremost want more types of rewards and the opportunity to

217、personalize their package(see Figure 14).This request is not new(it was the top ask in 2020 and 2022 as well)and HR has been listening,with 51%of companies having recently implemented improvements in this area.But only 15%have gotten hyper-personalized,leveraging advanced Figure 14:Show me the money

218、:Are companies giving employees what they want?employee listening and analytics to deliver the rewards that employees value most.16Personalization is not just about salaries and bonuses.This year,46%of employees said they would be willing to forgo a 10%pay increase in exchange for additional well-be

219、ing benefits(the top response)and 41%cited increased employer contributions to retirement/savings programs.A personalized approach is now more possible than ever due to advances in AI.Another area that can benefit from AI is simplification.While 45%of companies recently implemented total rewards tec

220、hnology,there is still a long way to go to eliminate superfluous pages,portals,and platforms.A generative AI front-end can help to create one place for employees to get the information they need(e.g.,health benefits)and the information they want(e.g.,paid time off).No more time wasted searching for

221、the right tool or most recent data.A word of caution:HR may struggle to get attention and funding to modernize total rewards.When asked which People initiatives would deliver the greatest ROI,C-suite executives ranked enhancing pay practices last from a list of thirty choices.And only 16%believe tha

222、t failing to improve pay practices will expose their organization to considerable risk.How are organizations rethinking rewards?What HR recently implemented:What employees say would make a difference:More types of rewards and personalization51%45%Getting paid more frequently39%17%Opportunity to incr

223、ease earnings through more work37%34%Make benefits more affordable31%31%Agile pay structureHolistic view of contributionValue people fairlyTransparency and techIndividual pay-for-performance38%38%Skills-based pay25%23%21%29%Team-based payAddress internal pay gaps35%25%Cost-of-living adjustment27%27%

224、Pay transparency for all roles31%22%Total rewards technology45%20%Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction30Mercer Global Talent Trends 2024Reimagining the EVP to strengthen t

225、rust and belonging with WorkSafe Victoria30Mercer Global Talent Trends 2024How a workplace health and safety regulator is building their new EVP around shared purpose What do you value about working here?How does it feel to play a vital role in your community?WorkSafe Victoria,faced with a tight tal

226、ent environment,set out to better articulate their unique EVP and redesign their total rewards offering.This would allow them to quickly recruit hard-to-fill roles and improve retention where they were being out-competed by greater flexibility and higher remuneration.WorkSafe Victoria recognized the

227、 lasting shift in the employee-employer psychological contract,with people reimagining what they want from work and expecting more in terms of safety,well-being,flexibility,and career development.Through focus groups and data insights,the People&Culture team uncovered a rise in employee fatigue,comp

228、ounded by the organizations necessary changes in focus during the pandemic.It was also clear that people were unsure how to leverage internal career opportunities.Despite the underlying challenges,there was remarkable alignment in values across persona groups.Many highlighted pride in the companys p

229、urpose and impact on the Victorian community,along with its commitment to DEI through an active council and employee-led networks.Another bright spot:Most employees trust the organization cares about their well-being.Engagement scores also showed higher satisfaction with work-life balance compared t

230、o other public sector organizations,another differentiator to leverage in the EVP.While previous messaging focused on the contractual elements of employment,the EVP project provides an opportunity to showcase how WorkSafe Victoria inspires,empowers and celebrates its people across the key areas of c

231、areer development,well-being and shared purpose.By surfacing their strengths,the reimagined EVP is set to reflect the strong sense of belonging and pride that employees feel,thanks to a shared purpose.The EVP promise also feeds into recommendations for an updated total rewards framework.As a public

232、body,the business is subject to the Victorian Public Entity Executive Remuneration Policy and Classification Framework(they face tighter compensation constraints than private businesses).To stay attractive,WorkSafe Victoria leans into the areas where their offering is most competitive:career,well-be

233、ing,and leave entitlement.“Dont underestimate the unique benefits your organization can offer,or the importance of clear and frequent communication about said benefits,”advises WorkSafe Victorias Culture Specialist,Catherine Boyd.Organizational Development Manager,Elizabeth Bremner,adds,“Youd be sur

234、prised how many employees are simply not aware of whats available.”Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction31Mercer Global Talent Trends 2024A living,breathing work contractFe

235、eling valued isnt just about salary and benefits.Employees are getting better at evaluating the entire deal,and one of the things they look for is transparency of opportunity.Its concerning,then,that only one-third of employees think pay and promotion decisions in their organization are made fairly,

236、equitably,and without bias.Inequities of opportunity can show up across many dimensions including work location,with 34%of employees thinking that remote working will have a negative impact on their career prospects.One way to democratize opportunities is to use skills as the currency of work.Compan

237、ies have made significant progress:Today,only 21%of employees say that career progression at their organization is based on tenure rather than skills(an improvement from 36%in 2022).Getting the full value from a skills-based talent model requires radical transparency and a growth mindset a belief th

238、at with enough effort and support,people can upskill and add value in new ways.Here,organizations have a long way to go:36%of workers say that job/project opportunities are visible to everyone,and 32%say that promotions mostly go to current employees rather than outside hires.Its not just upward mov

239、ement three in four employees say that horizontal and lateral moves are not prevalent in their organization and that their employer does not support mid-career changes.Nudging people to make internal moves will be critical to fueling sustainable growth.Employees trust in their organization is the st

240、rongest variable influencing how energized they feel at work,their sense of thriving and their intent to stayAnchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction32Mercer Global Talent Tre

241、nds 2024Organizations are looking for ways to connect talent to work more seamlessly,and employees are eager for more opportunities to contribute.Technology can act as an enabler talent marketplaces seamlessly connect talent to work,whether it takes the form of gigs,projects,assignments,or full-time

242、 jobs.17 The most effective talent marketplace platforms generate workforce insights,recognize worker potential,and recommend personalized and dynamic learning pathways that lead to future opportunity.Ultimately,workers want to feel valued and like they are getting a fair deal.There is a need for or

243、ganizations to partner differently with their people,less structured around annual reviews and more responsive to employees evolving needs.Organizations need to stay in constant contact with workers and be willing to renegotiate rewards,flexible working arrangements,skills development,and career pat

244、hs as circumstances change.Line managers are critical to maintaining a living,breathing work contract and helping people find their unique path.While most employees dont stay because of their manager,having a manager who advocates for them is in the top five factors that help them thrive.To shore up

245、 the foundation of trust,the lived experience of employees needs to be constantly shaped by leaders,nurtured by people managers,and supported by a culture of human-centric values.18Congruence between brand and employee experience has never been more critical to get right CustomerexperienceBrandexper

246、ienceEmployeeexperienceBrand equityTotalwell-beingDigitaland physical workspaceWork and work modelsRewardsand growthHuman-centricvaluesESGGood Workcommitments84%of employees say their work contributes to a worthwhile mission65%of employees trust their company to provide them with the latest tech69%o

247、f employees trust their company to do the right thing for society61%of employees feel more valued(less replaceable)at work now compared to the last few yearsAnchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric pr

248、oductivityIntroduction33Mercer Global Talent Trends 2024Employees found their voice during the pandemic,and theyre not ready to give that up.As people reshaped their relationship with work,they depended less on their manager and built a more direct relationship with their organizations brand.When th

249、e economy shifts and workers feel like they Past focus:RetainLoyalty contract(transactional)Past focus:MotivateEngagement contract(work and workplace centered)Current focus:RecoverThrive contract(whole person consideration)Future focus:EnergizeLifestyle contract(LifeX life experience)Basic needs:Pay

250、,Benefits,SecurityPay and benefits for time and outputWorkers are assets to be retainedPsychological needs:Achievement,Camaraderie,MeaningBroader set of rewards(pay,benefits,career,experiences)in exchange for organizational engagementEmployees are assets to be acquired and optimizedWell-being needs:

251、Purpose,Equity,ImpactHealthy experiences in exchange for a commitment to organizational renewalPeople and machines work together for maximum value creationFulfillment needs:Choice,Connection,ContributionTotal rewards that include flexibility and employability in exchange for the promise of continued

252、 relevancePartnerships across the talent and tech ecosystem for long-term people sustainabilityThe evolution of the employee/employer relationshiphave more options,the degree of trust they have in their company will be a deciding factor in their choice to stay or go.For organizations to preserve tru

253、st and for employees to thrive,the latter needs to feel like theyre getting a fair deal and their full lifestyle needs are being addressed.Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduc

254、tion34Mercer Global Talent Trends 2024Sustainable advancement of true pay equity,diversity and inclusion at LSEG34Mercer Global Talent Trends 2024How London Stock Exchange Group(LSEG)is moving the needle on pay equity One of LSEGs sustainability priorities is creating inclusive economic opportunity

255、for all.As LSEG has grown in scope and scale over the last five years(including via its acquisition of Refinitiv),the company had to balance different equal pay/pay equity reporting standards across 67 markets,while addressing any pay discrepancies between the entities.LSEG went beyond regulatory re

256、quirements,applying a level of scrutiny on par with financial reporting to understand the“why”behind pay gaps key to achieving its ambition of bias-free pay.Driven by data insights,LSEGs plan of action aligns to their sustainability goals.Even though the non-identifiable gender pay gap(which may res

257、ult from bias or inequity)was low at 1.5%and was not statistically significant for ethnicity,LSEG reviewed pay and performance frameworks,policies and processes to scan for inequity of opportunity and began transparent reporting of annual average salary increases and bonuses.The top drivers of the i

258、dentifiable pay gap for gender(31.1%)and underrepresented ethnic groups(18.1%)were:role and location,experience and business sector.While pay gaps can be explained,this does not mean they can be justified;so LSEG set about improving representation and championing career progression.This includes man

259、ager training to recognize and mitigate bias,and a development program focusing on Black,Latinx and ally leaders.Alongside this,their talent acquisition process includes diverse shortlists and hiring panels,and tech to ensure job advertisements use inclusive and gender-neutral language.2023 results

260、are expected to maintain the proportion of underrepresented racial and ethnic groups in senior leadership(14%)and LSEG aims to increase this to at least 25%by 2027.There was also a steady improvement in the representation of women(currently 40%),with a goal to maintain this moving forward.Next steps

261、 include collecting employee ethnicity data globally,which can be challenging due to inconsistencies and regulatory limitations.Over time,LSEG will establish initiatives to address other elements of diversity.Leadership accountability is formalized by connecting DEI to Group Strategic Objectives.Bol

262、a Ogun,Group Head of Total Reward,Performance and EDI,highlights:“As employers,one of our key responsibilities is making meaningful progress on equity,diversity and inclusion.People therefore expect organizations to be on top of pay equity as part of wider business initiatives.Its an ongoing journey

263、,so businesses need clear data to measure their progress and action plans to address any challenges.It takes multiple years to get where you ultimately want to be,but we are proud of the steps we are taking and progress we have made so far.That said,we also know there is more to do and we will conti

264、nue our focus and efforts towards our goals.”Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction35Mercer Global Talent Trends 20241.Make trust an enterprise-wide competence.Identify what

265、 it means to be a trusted leader,a trusted advisor and a trustworthy employee/manager.Empower workers to make decisions that are value-based and aligned to the companys belief system.2.Recharge the EVP by embedding DEI and belonging into all aspects of your employer brand.Use internal labor mapping

266、to pinpoint where the EVP is failing different populations,and use data to course correct.3.Deliver full transparency by redesigning HR processes,policies and communications that emphasize the impact of transparency on achieving business objectives.4.Foster a sense of belonging.Create an environment

267、 in which people feel comfortable bringing their authentic self to work,enable managers to encourage diversity in all forms,and encourage everyone to solve business problems and openly flag concerns.Take a hard look at how fairness is perceived by workers at all levels.5.Celebrate employees contribu

268、tions.Define what great looks like at the individual and team level(goals and performance metrics).Invest in digital platforms to help colleagues and managers share positive feedback and give public recognition.Ensure meaningful acknowledgement of value-adding contributions.1.Personalize the EVP.Off

269、er a deal that reflects the needs and values of your workforce.Use AI-powered people analytics to infuse your employer brand with an inclusive and purpose-driven culture,and benefits that excite a diverse talent pool.2.Cut off inequity at the source.Tackle the root causes of pay,health and career in

270、equities and put in place guardrails to ensure that AI doesnt perpetuate them.Adapt HR practices to meet employees standards of fairness and design for longer term health and wealth outcomes.Start small with regulatory compliance,but work toward comprehensive measures that offer a fair total rewards

271、 package to all workers,including part-timers and freelancers.Ensure career accelerators such as international assignments are accessible to all,especially women and underrepresented minorities.3.Boost workforce engagement by communicating the rationale for changes in pay,benefits,promotions and exp

272、ectations in advance.Take a persona-based,intersectional approach across the employee lifecycle.Invest in engagement platforms that facilitate an ongoing dialogue with employees.4.Define your sustainability targets.Set clear commitments against the WEF Good Work Standards or the UN SDGs.Consider pro

273、viding sustainable investment options in retirement and long-term savings vehicles.Use climate transition and people sustainability metrics to stay on track with a multi-stakeholder agenda.Getting started(great for smaller employers)Suggestions to accelerateTaking actionThreats to trust&equityEnterp

274、rise risks Brand and reputational damage from broken promises around ESG and DEI impacting attraction and retention of customers and employees Investor impact and regulatory fall-out by failing to abide by reporting regulations and human capital disclosures Business continuity risk and cost issues d

275、ue to not managing total worker healthPeople risks Loss of institutional/tacit knowledge due to talent leaving at pace Stalled transformations from talent stagnation and low engagement Costs stemming from failing to proactively manage pay equity gaps Anchor to trust and equityBoost the corporate imm

276、une systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroductionBoost the corporateimmune systemBuild resilient cultures with teams that are risk aware and healthy at the coreAnchor to trust and equityBoost the corporate immune systemCultivate adig

277、ital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction37Mercer Global Talent Trends 2024Boost the corporate immune systemThe risk landscape is changing in unexpected ways,with risks exacerbating,intersecting,and resulting in cascading effects.The imperative has n

278、ever been greater for organizations to operate as sensing organisms,alert and ready for whats next.New technologies disrupt in known and unexpected ways,extreme weather events impact supply chains and workers alike,and geopolitical tensions are high.Deepfakes feel real and misinformation permeates d

279、aily life.These realities impact each and every organization,and weigh heavily on the minds of their people.To thrive in an uncertain and volatile environment,leaders and employees need to shore up their risk mindset and build resilience at both the individual and enterprise level.If People risks ar

280、e business risks,its time to raise the alarmAccording to the Global Risks Report,19 talent remains a critical factor driving enterprise risk,with nearly every country ranking skills shortages or unemployment as a top 10 concern.Workforce health continues to cause business continuity challenges,with

281、non-communicable diseases(NCDs)accounting for 74%of worldwide deaths and stress-related illnesses on the rise.20 A companys leadership and workforce practices also impact a companys evaluation,according to asset managers.Nearly nine out of 10(89%)see workforce engagement as a key driver of company p

282、erformance,and 84%consider a“churn and burn”approach damaging to business value.Not all executives are alert to the consequences of not addressing People risks in their own organization(see Figure 15):only one in three say that failing to invest more in benefits to prevent chronic illnesses(35%)and

283、in reducing employee burnout(32%)will expose them to considerable risk this year.With eight in 10 employees(82%)feeling at risk of burnout and the burden of NCDs impacting younger generations,the stakes are high and the demand is greater than ever to proactively address risk-exposing behaviors.Figur

284、e 15:The business impact of not addressing People risksC-suite question:Which of the following People initiatives will most impact your business this year?(Select all)/Top 10:Not addressing will expose us to considerable riskInvesting in AI tools and adoptionImproving our sustainability,metrics,and

285、reportingMitigating the human elements of cyber riskRedesigning work to incorporate AI and automationDelivering on WEF Good Work standardsInvesting more in benefits to prevent/treat chronic illnessesReducing stress-related illnesses and employee burnoutDelivering on our DEI goalsImproving benefit pl

286、an design,vendor selection,and communicationsImproving our workforce planning to better inform buy/build/borrow strategies52%46%44%40%38%35%32%29%28%26%Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric product

287、ivityIntroduction38Mercer Global Talent Trends 2024The resilience factor:A roadmap for enterprise and individual resilienceSix in 10 executives(64%)believe their business can withstand unforeseen shocks this year,up from four in 10 in 2022.These resilient organizations(as rated by C-suite executives

288、)are further ahead in building a risk-aware culture by investing in skills and structures that build“readiness”and“response”teaming(see Figure 16).Governance models and policies set the foundation for risk awareness and mitigation.One example is an organizations cybersecurity program.There is reason

289、 for concern:Only 55%of executives are very confident that their company is constantly updating its cyber-risk protocols to deal with new threats,with executives in the higher education(62%)and automotive(61%)sectors more confident than those in financial services(46%)and life sciences(45%).Even few

290、er(41%)say their employees are effectively trained in this area.Perhaps most concerning is that 54%of leaders say those responsible for their companys cyber-risk program do not understand all of the available options for risk mitigation and risk transfer.At a time when new technologies,networked org

291、anizational structures,and remote working are exacerbating data security concerns,traditional cyber-risk governance may Figure 16:The building blocks of enterprise resiliencenot be enough.To stay ahead of potential threats,leading organizations are scenario planning and fostering a mindset that is a

292、ttuned to the evolving nature of risk.One important way to move from reactive resilience(the capacity to recover quickly)to anticipatory resilience(reducing the impact of disruptive events)is by building a risk-aware culture from the ground up.The challenge lies in balancing increased resilience wit

293、h agility in People models.Trust is key(leaders at resilient organizations are 1.8 times more likely to say that their company places the right amount of trust in its employees),as is empowerment(resilient organizations are twice as likely to make important decisions at a local level).Leaders clearl

294、y set the tone.Resilient organizations are 1.8 times more likely to balance empathy and economics in decision making.A case in point is how they are preparing for the impact of new technologies.Executives of resilient organizations are 1.3 times more likely to say that jobs should be made redundant,

295、not people amid the continued rise of AI and automation.Reskilling and deploying workers whose jobs are impacted by new technologies requires a growth mindset yet less than half(46%)of executives rate their organizations culture as high on skills agility.Their HR team advises executives on human cap

296、ital risks and opportunities 1.9x2x1.4xSetting expectations through org structure and senior leadershipDriving expectations through company norms and relationshipsEquipping employees to deliver through skills and competenciesThey empower decision making at the local levelThey are skills-ready with a

297、n adaptable pipeline of talentResilient organizations are different from their less resilient peers in three important ways:Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction39Mercer Gl

298、obal Talent Trends 2024Enabling enterprise resilience with insight and foresightEvolving risks have the potential to grind businesses to a halt overnight,and their enterprise-wide implications challenge traditional approaches to risk governance.As an example,AI requires competence across all departm

299、ents(not just IT)and constant monitoring of new use cases.European laws on AI governance reflect this new approach to risk,21 requiring additional checks and balances for use cases that are deemed more risky(e.g.,decisions that impact peoples health and wealth outcomes).Timely,actionable intelligenc

300、e is critical to creating and sustaining a self-regulating culture that foresees and reacts to evolving People risks.To boost resilience,leading organizations are operating as“sensing organisms,”where all workers are expected to be risk vigilant and help shore up their organizations resilience in th

301、e face of new/evolving risks.Delivering on this culture requires three important shifts.Shift 1:Be proactive.Managing risk reactively instead of proactively can increase an organizations exposure.For example,executives say that extreme weather and natural disasters accelerated by climate change stro

302、ngly influence their three-year plans,but net-zero and environmental goals that address climate change are last on the list.The pandemic demonstrated the value of multidisciplinary teams tasked with scenario planning and empowered to proactively act on risks.Diversity in the design team is critical

303、to flag issues early and think through various use cases.Tackling tomorrows challenges today requires scenario planning and immersive techniques that bring the future forward.Other approaches that are paying dividends include setting goals that address all stakeholders needs(see the WEFs Good Work f

304、ramework)22 and ensuring risk mitigation costs are built in to business planning and P&Ls.It also means empowering individuals to take action on early warning indicators.Executives in resilient organizations value agility over efficiency and effectivenessAnchor to trust and equityBoost the corporate

305、 immune systemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction40Mercer Global Talent Trends 2024Shift 2:Be predictive.Increasingly sophisticated analytics and scenario modeling can inform data-driven decisions on risk mitigation,transfer,and

306、management.Shifting from lagging metrics(such as engagement and productivity)to predictive analytics(such as worker capacity and well-being indicators)is key to staying one step ahead.Although HR leaders have planned to move toward leading indicators for years,few have followed through.For example,i

307、n 2022,one in two said they would start identifying employees at risk of burnout the following year,yet the percent who do so has remained at 42%.A similar pattern emerges with predicting when critical talent is likely to retire(44%do so today,not much higher than the 39%back in 2022).HRs intentions

308、 are reflected in this years top priorities,where improving people analytics capabilities ranks fourth.Figure 17:What gets measured gets managedC-suite question:Which insights would be most useful in helping you to understand your workforce?(Select up to five)HR question:Which of the following data-

309、driven insights do you make available today?(Select all that apply)Identifying employees at risk of burnoutPredicted productivity gains from AI&automationWhat helps different employees thrive at workMost effective mitigation strategies for workplace safety&security risksProgress on closing skill gap

310、s for critical rolesMost prevalent workforce health issuesIdentifying employee groups that have unmet needs related to pay,benefits,or retirementUnderlying causes of pay inequitiesAdoption rate of newly implemented techWork factors that inhibit psychological safetyRetirement adequacy by employee gro

311、upImpact of work models(part-time,remote,etc)on productivityLeadership behaviors that lead to thriving&engaged teamsImpact of different pay strategies on retentionPredicting when critical talent is likely to retireWhich human capital insights do executives believe would improve decision making?At th

312、e top of the list is understanding the leadership behaviors that contribute to thriving and engaged teams but only one in two companies provides these insights today(see Figure 17).Notably,predicting burnout risk,which rose up to the number two ask from executives during the pandemic,is back down to

313、 pre-pandemic levels.Shift 3:Be accountable.Recognizing and reinforcing a risk-aware culture starts at the top.This year,50%of executives have employee health and well-being metrics(e.g.,healthcare costs,burnout rates,etc)on their scorecards,up from 40%in 2022 and 21%before the pandemic.Interestingl

314、y,fewer executives are being measured on total labor cost(from 35%in 2022 to 23%today),which can signal a mindset shift that People investments do pay dividends.Adoption rate by companiesImportance to executivesAnchor to trust and equityBoost the corporate immune systemCultivate a digital-first cult

315、ureConclusionSurvey demographicsDrive human-centric productivityIntroduction41Mercer Global Talent Trends 2024How Latin Americas largest ecommerce and fintech company identified the root causes of employee turnover and evaluated the true impact of new work models Following a period of hyper-growth,M

316、ercado Libres workforce more than tripled.But as voluntary turnover began to creep up,reaching 15%in critical developer roles,they suspected it was driven by more than compensation.To test their hypothesis,Mercado Libre leveraged Mercers predictive AI model feeding it insights from five years worth

317、of HR Mitigating people risks with data-backed people strategies at Mercado Libre 41Mercer Global Talent Trends 2024data,including HRIS feeds,salary benchmarks,engagement surveys,office presence,team hierarchy,geographical distribution,rates of digital communication,and exit interviews.Using both su

318、pervised and unsupervised machine learning techniques,they identified areas of higher attrition risk.Their analysis found that while remote working did not hinder productivity,it made it more difficult to sustain team culture,encourage desired behaviors,and plan for succession.With a workforce distr

319、ibuted across 18 countries,leaders who were not geographically close to their teams struggled to promote the culture,especially with so many new hires.As Hernn Jara,Director of People Operations and Analytics,commented:“Leaders in Mercado Libre are not hired because they can do,they are hired becaus

320、e they can learn.They have behaviors and values that align with our cultural principles.”To maximize leadership effectiveness,they restructured IT to bring managers geographically closer to their teams,to cement culture,drive development and ultimately retain talent.Results from the AI model also pr

321、ompted a few changes to the companys well-being program.For example,Mercado Libre introduced a new employee benefit a six-month“Work from Anywhere”program which many developers have taken advantage of.And to address the financial insecurity that young tech professionals face in Latin America,Mercado

322、 Libre now hosts financial literacy workshops and pays this group partially in hard currency as a direct response to employees needs.Not only has this combination of initiatives brought voluntary turnover down from 15%to 4%in three years,engagement and quality of work are on the up,too.Likewise,74%o

323、f developers plan to stay with the business for 3+years,with intent to stay rising by nine percentage points YOY.Changing tides in the IT industry helped,too,with competition for developers falling in the years after the pandemic.By using data as a compass to steer their strategy,Mercado Libre is ab

324、le to meet employees needs with sustainable talent and reward practices,and tackle a myriad of risks that influence turnover.Their approach strengthens the companys resilience and enables Mercado Libre to maintain its position as a market leader.Anchor to trust and equityBoost the corporate immune s

325、ystemCultivate a digital-first cultureConclusionSurvey demographicsDrive human-centric productivityIntroduction42Mercer Global Talent Trends 2024Resilient organizations prioritize total workforce health The resilience of every organization depends on the health of its people.23 Long hours,key person

326、 dependencies,and sick leave can be warning signs that the workforce is distracted,disengaged,and depleted.Asset managers are taking note:One in three say that an unsustainable talent pipeline would negatively impact their view of a company from an investment perspective.Healthy employees are more l

327、ikely to be present and productive,be able to cope with stress,and avoid costly accidents.They also feel energized to invest in success for tomorrow whether thats learning new skills,taking on new responsibilities,or rethinking ways of working that open up opportunity and mitigate risk.Leading organ

328、izations are auditing their culture for risk awareness and resilience,and providing feedback and coaching to employees on their own overall well-being.They are reframing health benefits not as a cost but as an investment in total workforce health,as is evidenced by the fact that one in three executi

329、ves would increase spend on employee benefits and well-being initiatives even if faced with an economic downturn.Which investments could make a difference to worker health?First and foremost,employees expect work to be designed with their well-being in mind(see Figure 18).When it comes to stand-alon

330、e initiatives,they think prevention and training will make the biggest difference,asking for health screenings and programs to improve their health both in and out of the workplace.Figure 18:46%of employees would give up a pay increase for additional well-being benefitsEmployee question:Which of the

331、 following well-being offerings are most important to you?(Select all that apply)HR question:Which of the following do you currently offer to support employee health and well-being?(Select all that apply)1.Work is designed for employee well-beingWhat employees say will make a difference,ranked%of co

332、mpanies that offer this benefit today3.Health screenings for early warning signs4.Training on workplace safety issues5.Employer-funded spending account for well-being6.Training on how to foster psychological safety7.Training to recognize mental health challenges8.Expanding benefits eligibility to mo

333、re workers9.Apps/classes to support physical well-being10.Apps/classes to build resilience skills11.AI-powered mental health resources12.Genetic/genomic testing to mitigate health risks=Requested by thriving employees more than non-thriving2.Awareness programs on difficult topics49%50%51%55%41%50%49%44%48%46%33%34%Anchor to trust and equityBoost the corporate immune systemCultivate a digital-first