Post-Vacation Burnout, Digital Offshoring, and How to Improve EX to Drive Better Business Outcomes


News Spotlight

Promotions are on the decline. Over the past year, the rate of promotion into management has been falling, impacting Gen Z and Millennial workers in particular and reducing entry-level hiring for recent grads (Bloomberg).

Vacation shines the light on burnout. Taking time off can allow workers to recharge, but can also reveal the extent of burnout and on-the-job frustrations (The New York Times).

Digital offshoring at the checkout line. A new form of offshoring has emerged, with companies hiring Zoom cashiers, outsourcing content moderation, and creating “digital sweatshops” in other countries where labor is cheap (Marketplace).


Stat of the Week

This year’s Gender Gap Index reveals that the global gender pay gap remains unchanged from last year, with women earning 68.5 cents on average for every dollar earned by their male counterparts.

Globally, there is minimal meaningful progress, and at this rate, it’s projected to take 134 years to reach full parity, something none of the 146 countries analyzed have currently achieved. Increased collaboration between business and government is needed to accelerate progress on closing the gender pay gap — along with a paradigm shift in which equal pay is not just an aspiration but a non-negotiable.


Deep Dive Article

7 Ways to Improve EX and Drive Better Business Outcomes

Today, HR leaders face a myriad of unprecedented challenges when it comes to their workforce. Between widening IT and AI skills gaps, the ups and downs of hybrid work, and stagnating employee engagement — to name just a few — today’s workplace leaders are juggling a lot to keep their employees satisfied and thriving.

This is all happening against the backdrop of a complicated and uncertain labor market. This month’s US jobs report showed that 272,000 jobs were added in May, significantly more than the 190,000 that economists forecast. However, we also saw unemployment tick above 4% —the highest it’s been in over 2 years — signaling that while job growth was strong last month, it’s cooling overall.

With quit rates down and more workers staying put in their current roles, workplace leaders must consider how they’re investing in employee experience over the long term. A positive employee experience is not only good for workers, it’s good for customers — and in turn, a company’s bottom line.

Research has shown a clear link between employee experience (EX) and customer experience (CX), confirming that happy workers make happy customers. This link may be obvious — satisfied, motivated, and fulfilled employees are more likely to show up for their company’s customers and clients. However, the path there is not always straightforward, and HR leaders often bear the burden of ensuring good CX by cultivating good EX.

And so what makes a good EX? It tends to be rooted in fulfilling employees’ most foundational, basic, and personal needs — paying them a living wage, investing in their career development, and ensuring work-life balance, strong benefits, and overall well-being. When employers’ priorities align with those of their employees, companies see reduced turnover, higher employee engagement, and increased productivity.

This leads to better experiences for customers and is something that can directly translate to better business outcomes. Research demonstrates a direct relationship between employee engagement and business performance. In other words, investments in employees are not only a “nice-to-have” but a “need-to-have.”

A new study from isolved shows that employees and employers alike are well aware of this link. 90% of full-time employees in the U.S. say that the experience they have as employees directly impact the experience they provide to customers. HR leaders also see the importance of EX in driving overall business outcomes, with 91% saying it is a priority for their company.

"Achieving long-term success hinges on balancing your business needs with those of your employees," stated Celia Fleischaker, CMO at isolved. "Enhancing employee experiences begins with investing in advanced HCM technology, which aids in talent retention, inclusivity promotion, and productivity and engagement improvement. With the right foundation, you can prioritize creating exceptional employee experiences that translate into outstanding customer experiences."

In its report, isolved notes that many of the steps employers can take to foster engagement — like providing competitive wages, eliminating payroll errors, and providing frictionless benefits — are essential for both recruitment and retention. And with many employees staying at their companies, these investments are crucial to ensuring that employees don’t just stay, but stay engaged.

Here are seven key investments HR leaders can make to build a better employee experience that supports their company’s bottom line:

  1. Provide Growth and Development Opportunities
    Offering continuous learning and development opportunities helps employees grow professionally, feel confident in their abilities, and bridge key skills gaps. Through training programs, workshops, and mentorship, employees can acquire new skills that drive innovation and efficiency at work. Supporting career development not only grows employees' individual capabilities but also contributes to long-term business success.
  2. Enhance Communication and Transparency
    Effective communication is the backbone of an engaged workforce. Keeping employees informed about company goals, changes, and performance through regular updates fosters a sense of inclusion and alignment and can support employees in their communications with customers and clients. Encouraging open dialogue between employees and management helps build trust and allows for the exchange of ideas, which can lead to a more dynamic and innovative work environment.
  3. Recognize and Empower Employees
    For many workers, engagement lags when they are not adequately recognized or empowered at work. By regularly acknowledging and celebrating employees’ achievements, companies can reinforce their value and encourage continued effort and dedication. Additionally, when employees are granted autonomy and involved in decision-making processes, they feel more empowered and take greater ownership of the business, including customer interactions.
  4. Streamline HR Processes
    Efficient HR processes contribute to a smoother employee experience by reducing administrative burdens and frustrations. Implementing comprehensive HR software for tasks like payroll and benefits administration can save time and reduce errors, allowing employees to focus on their core responsibilities, including interactions with customers and clients. Streamlined HR processes lead to a more efficient and satisfied workforce, which is crucial for achieving business goals.
  5. Support Employee Well-being
    By investing in the well-being of their employees, workplace leaders help maintain a motivated and productive workforce. Offering wellness programs that support physical and mental health shows that the company cares about its employees’ overall well-being, something that can translate to good customer and client relationships. Providing access to mental health resources can also help employees manage stress and stay engaged in their work.
  6. Provide competitive compensation and benefits
    Perhaps most important to cultivating good employee experience is paying workers a fair and competitive wage and offering good benefits. These factors can enhance productivity, engagement, and retention, reduce turnover costs, and attract top talent. They can also lead to better customer service and satisfaction, driving loyalty from both workers and customers and fostering broader business growth.

Find out what your employees need.

In addition to the steps above, HR leaders must turn to their employees directly to ask what they need. Regularly assess employee experience through surveys and other feedback mechanisms to ensure that the workforce’s specific needs are taken into account.

Beyond traditional feedback, new solutions are also evolving to help employers better understand the needs of their workforces. For example, a Roto-Rooter plumbing franchise recently leveraged AI tools from isolved to help boost employee engagement — including Predictive People Analytics, which analyzes historic workforce trends to help predict future workforce needs.

Taken together, the above steps — along with surveys and analyses that seek to understand the specific needs of a company’s workforce — can help build stronger EX at any company and in turn, stronger CX and better business outcomes.

Thanks for reading — be sure to join the conversation on LinkedIn and let me know your thoughts on this topic!


Quote of the Week

“If you are working on something that you really care about, you don’t have to be pushed. The vision pulls you.”
Steve Jobs, co-founder of Apple


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