News Spotlight

Workers resist relocation. As high mortgage rates persist, companies are struggling to incentivize prospective hires to relocate, especially to work for new plants opening in the U.S. South (Bloomberg).

Behavioral screenings are on the rise. With the advent of AI, job seekers are increasingly being asked to take digital psychometric tests, evaluating them on their emotional intelligence, personality, and integrity (Marketplace).

Employees hire independent HR reps. In the wake of #MeToo and increasing reports of workplace harassment, workers are turning to external HR services to help them manage issues at work (The Guardian).

Stat of the Week

With more than five different generations currently in the workforce, a new report finds that CEOs see inter-generational dynamics impacting their business in key ways, including career pathing (58%), learning and development (57%), and interest in — and adoption of — tech capabilities and tools (53%).

These impacts are shaping how CEOs are pursuing new initiatives in today’s tight labor market — from hybrid arrangements to upskilling to generative AI — to prepare all generations of today’s workforce for the future.

Deep Dive Article

6 Ways HR Can Narrow the Skills Gap and Hire from Within

In today’s tight labor market, there’s a mismatch between what the global workforce can currently offer and what employers need. With the advent of green energy jobs, along with AI and other digital strategies, the demands of the workplace are growing and shifting at a rapid pace, and workers are fighting to keep up.

Nearly half of all workers’ skills are expected to be disrupted in the next five years. According to the World Economic Forum’s latest Future of Jobs Survey, six in 10 employees will need training before 2027, leading WEF to name the 2020s “the decade of upskilling.” In the coming years, business leaders anticipate that employees will need to harness creative thinking, analytical thinking, and technological literacy in new ways. For employees looking to get hired or rise through the ranks, both soft and hard skills will become increasingly important.

For example, in the green energy sector — where major job growth is expected as environmental initiatives become more urgent — the global workforce currently lacks the skills needed, like geoengineering, environmental law, and climate data analysis. The International Energy Agency (IEA) expects that 30 million green jobs will be created by 2030, but only 1 in 8 workers globally have the necessary skills to fill these roles.

To address these challenges, executives are increasingly turning to “quiet hiring” to meet the shifting demands of current and future jobs. According to Gartner, quiet hiring can benefit both employers and employees by focusing on internal talent mobility without increasing headcount. It allows companies to offer upskilling opportunities to employees and leverage contract and freelance workers where their skills would be most impactful.

In a new survey from isolved, HR leaders agree that new approaches are needed. Nearly two-thirds (65%) say recruitment will continue to be difficult in the coming year, underscoring that there is no end in sight to the growing hiring challenges of recent years. Leaders report that the top three threats facing talent acquisition include:

• A shortage of qualified candidates
• Remote work expectations
• A lack of professional development opportunities

HR leaders also find that retention presents challenges, identifying “retaining top talent” as the top concern for their organization. Furthermore, 43% see a skills gap within their organization, highlighting that there’s both a need and an opportunity to cultivate new skills within the workforce.

“Quiet hiring” provides an important playbook that HR leaders can use to tackle retention and acquisition challenges. This approach also helps their employees acquire valuable skills that will support both the future of their organizations and the economy writ large.

How should employers approach this process and ensure that their employees are well-positioned for the future of work? HR leaders should invest in the following six areas:

1. Conduct a skills gap assessment

A crucial first step toward narrowing the skills gap is to identify the critical skills needed for your organization's current and future success — and then to assess whether your employees’ existing skills currently measure up. By pinpointing the specific gaps that need to be addressed, HR leaders will be better equipped with the data needed for the next steps and important organizational goalposts by which to measure progress.

2. Offer both team and individual training.

Employers must invest in both team and individual training to support their employees. Team trainings foster collaboration, knowledge sharing, and alignment with organizational goals, while individual training can provide more personalized skill development. By aligning these two training approaches with organizational strategy and skill requirements, HR leaders can set employees up with multiple pathways for advancement.

3. Leverage existing expertise through mentorship.

As part of individual training initiatives, employers can turn to experienced mentors within or outside the organization to provide personalized guidance to less experienced employees. Experienced mentors offer invaluable insights and real-world expertise, facilitating skill development more efficiently than formal training programs alone. Mentorship can also cultivate a culture of continuous learning and collaboration, encouraging knowledge sharing across your organization.

4. Invest in a learning management system.

Learning Management Systems (LMS) — for example isolved’s Learn & Grow — provide a centralized platform for delivering personalized training content tailored to individual employees' needs. These systems enable accessible, flexible development opportunities for employees, while also offering robust assessment and analytics for HR leaders as they continuously address the evolving skill requirements of their workforce.

5. Develop employee career paths and ladders.

Career pathing guides employees in skill development and advancement within the organization by outlining potential career trajectories and required competencies. This empowers individuals to take ownership of their professional growth while allowing HR leaders to strategically align training initiatives with organizational goals and skills development objectives.

6. Provide resources for continuing education.

Employers can help employees access continuing education by offering tuition reimbursement programs and subsidizing professional development courses or certifications. Companies can also provide resources to attend conferences, establish partnerships with educational institutions, and more, to help their workforce remain skilled and adaptable to evolving demands.

When employers commit to bridging the skills gap and “quiet hiring,” they commit to building a future where the workforce is better aligned with the needs of the market, the economy, and the planet.

However, employers must approach this in the right way to genuinely benefit their employees. Because “quiet hiring” can push employees toward roles and skills they might not be interested in, it’s important to develop initiatives in conversation with employees and in support of their individual career goals. As employees amass new skills and increasing expertise — and as employers increasingly turn to the contract workforce for specialized knowledge — it’s essential that they be adequately compensated and recognized for their valuable and unique skills.

As we move forward in the “decade of upskilling,” employers have the opportunity to help employees acquire new skills, enhance existing ones, and stay competitive in the job market —fostering skills that not only benefit their companies but the broader needs of global society. When employers focus on the steps above, they can help bridge the skills gap and cultivate the workforce of tomorrow.

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