Trends for the New Zealand HR professionals to watch in 2019

There’s no end to the predictions for 2019 that will impact Human Resource professionals. It’s important though to keep the conversation real and consider these trends within the New Zealand context. So here’s our spin on the top trends for 2019...

A continuing war for talent
Most economic commentaries you read will identify the supply of labour as a key constraint for business growth in New Zealand. We are currently enjoying what is
technically full employment. However it’s not just a numbers game. We know that the types of skills sets being demanded by employers are changing too. Driven by infrastructural concerns, the Government is “taking a breather” on immigration. The overall picture is one of a continuing shortage of talent and the need for businesses to think innovatively about options. Some of these options give rise to some of the other key trends we’re likely to see.

Diversity evolves, it’s about inclusion
The days of quotas and targets for measuring success with our progress on diversity are behind us. Or are they? If we are fighting a war for talent then it makes sense to  spread the net wide in terms of the hunt for the best skills and creating innovation in the workplace. The “addon” to diversity these days is inclusion. It’s not just about getting people into the workplace; it’s also about making the best of that diversity when you have it. If you don’t, that diversity won’t last. Employers need to adjust to changing trends in the New Zealand population and make sure they are making the most of the talent we have. It’s also important to make sure your workforce reflects the diversity of the population at large i.e. your customers! For example, we have an ageing population and New Zealanders are increasingly working until later in life. How are New Zealand organisations responding to this reality? In many cases they’re not. There are many faces to diversity in New Zealand and those employers who develop truly inclusive practices will transform their businesses.

Change is accelerating
We’ve been hearing this since the ‘80’s. It doesn’t make it any less true. The New Zealand economy relies on trade and we’re facing an increasing level of uncertainty in
global markets. All the signs are that there are significant shifts in the wind. We’ll need to respond to changing markets and rules with new offerings. We’re all aware
of the growing popularity of agile practices and the notion of the agile workforce. The origins of this trend were the need for more rapid deployment of new product
ideas and technology. It’s about speed to market to meet ever changing customer preferences. Organisations are looking for new ways of working that ensure greater
responsiveness to change. It comes down to talent acquisition but also encouraging continuous learning and tapping into innovation driven by people. It’s no longer
about changing from A to B, it’s about organisations designed for continuous learning and change.

Digital everything
If you’re an HR professional in New Zealand the chances are you’re suffering from sub-optimal use of technology in your HR processes. The level of investment in technology for improving HR processes and the employee experience lags behind investments being made in core business systems and customer oriented automation. The organisations that win the war for talent will be those that recognise the fact that employees like having digital tools to help them do their jobs – especially the digital savvy millennials. This includes how they interact with the HR processes that form part of their experience of the organisation from an early stage. Of course the successful deployment of technology into HR processes produces another great benefit – data. To get the best out of people in a diverse workforce having good  information about people is essential – what are their preferences, how well are they developing, how well are they performing and if they’re leaving, then, who and why? Having a strong platform to undertake robust people analytics will be a key to competitiveness in the labour market. There’s a step change needed in the understanding and deployment of technology within HR in New Zealand organisations.

The employee experience
It’s time to start applying those human centred design principles that we’ve using to improve customer offerings to the employee experience. Not everyone has cracked it like Google but employers are more interested than ever in creating that elusive employee experience to attract and retain the best talent. It’s about enhancing the Brand. A big part of this is offering employees an opportunity to work with purpose – it’s not all about games rooms and pet days. The best talent these days wants meaning and purpose in their work and to feel cared about by their employer. Flexibility in work arrangements including remote working, health and wellness tools and access to learning and career development are all part of the package.

The return of the collective
The balance is shifting in the industrial relations environment with a greater willingness by employees to engage in collective action to achieve their aims. We’re seeing many occupational groups take a more assertive approach over pay equity issues as well as broader issues of working conditions. For New Zealand HR professionals this might be new territory, we’ve been used to a more benign environment since the ‘90s. This change is likely to produce a challenging environment for employers trying to implement rapid change, improve productivity and respond to the needs of a more diverse workforce. HR professionals will also need to stay abreast of legislative changes in the employment relations space.

A holistic approach to wellness
There is a growing recognition of the need for a more holistic view when it comes to employee well-being. Employers have made a progression from compliance
based approaches driven by health and safety legislation to accepting a wider responsibility around wellness. Within this there is a growing recognition of the importance of responding to mental health issues in the workplace. This includes understanding the impacts of workplace culture on the employees overall wellbeing. Whilst awareness is definitely improving the solutions are arguably still a work-in-progress. In 2019 these are the areas that HRINZ will be looking to connect its members with leading edge thinking and solutions.