Employment Hero, a platform for managing people, has recently published its Talent Insights Report 2023.
The report highlights that a significant majority of Australian workers, approximately 57 per cent, feel that their wages need to be keeping up with the increasing cost of living.
However, despite this concern, a considerable number of employees, around 68 per cent, have rated their productivity levels as high over the last six months, indicating their determination to persevere.
The report also highlights that salaries in Australia have been fluctuating while inflation rates have continued to surge. Furthermore, around 54 per cent of the survey respondents reported that they had not received any salary increments in the past 12 months.
Despite the recent influx of international workers into the Australian job market, job vacancies still remain high. It is noteworthy that in the face of global job uncertainties, the employment market in Australia still seems to favour job seekers, making it an employee market.
Based on a survey of more than 1,000 employees across Australia conducted in the initial weeks of January 2023, the Talent Insights Report revealed that over half of Australian workers, 54 per cent, did not receive a salary increase last year, potentially leading to the perception that their wages are not keeping up with inflation.
For those who did receive an increment, it was, on average, seven per cent, which is similar to the inflation rate, with younger generations benefiting more. Approximately 52 per cent of employees aged 18-34 saw an increase in their salary, while 67 per cent of those aged 55 and above reported no salary increase. Additionally, employees between the ages of 25 and 34 were more likely to receive a cash bonus.
Despite a challenging global economic outlook in 2023, Australian workers remain optimistic about their professional futures. According to a recent survey, 71 per cent of Australians believe that their jobs are secure, and 44 per cent are confident that their companies will continue to grow this year.
While talk about the Great Resignation may have subsided, many Australians are still seeking career advancement and are actively looking for new opportunities. In fact, 63 per cent of employees who plan to switch roles are looking to make a move within the next six months. Additionally, 44 per cent of workers are eager to pursue career growth by seeking their next role in a different organisation.
One of the key drivers for this job-seeking behaviour is a desire for continuous learning and upskilling. Australian workers are seeking opportunities for personal and professional growth, with 36 per cent expressing a desire for their next role to be a promotion or lateral move within their current organisation – a significant increase of 29 percentage points from 2021.
Ben Thompson, Co-founder and CEO of Employment Hero, said: “The past two years have challenged managers and leaders to lead their teams in a fast-paced environment. Businesses must continue to keep up with the evolving working future or risk being left behind. The employee experience is now more important than ever – instilling a more holistic approach that acknowledges the full range of job seekers’ expectations needs to be implemented in the work culture.”
Mr Thompson continued: “With the worker shortage crisis looking to continue, small business owners need to overcome hiring challenges by shifting the lens of recruitment and retention of employees. To attract job seekers in the midst of a shortage of talent and a looming recession, companies need to adjust to an increased schedule of work flexibility, increased wages, and opportunities for professional growth and wellbeing.”
“Despite the challenges, small businesses can be well placed to win the war for talent if they have a clear plan in place to strengthen their EVP. Actions can send a strong message to potential employees about the workplace culture, and it is important that they recognise the genuine intention to respect and protect staff through flexible working conditions.”
“Companies cannot afford to ignore the values of flexible working and the impact it has on productivity rates. Job seekers are feeling more empowered with their growing options, and employers need to take the initiative to be compatible with changing expectations,” he said.
The report will be available to download here https://employmenthero.com/talent-insights/