| In my post from last October, "How Can We | | | | disturbingly low. |
| Rebuild the Path to the American Dream?"I | | | | They conclude their results with the following |
| explored the impact the "Great Recession" has | | | | assessment: "The pressures in today's work |
| had on the changing employment relationship for | | | | environment will continue to alter how businesses |
| contemporary workers and employers. Now, | | | | operate and how people connect to their |
| Towers Watson's newly released 2010 Global | | | | companies and work. At one end of the |
| Workforce Study provides additional insight into | | | | spectrum, few employers can sustain the kind of |
| the evolution of the employment relationship. | | | | paternalistic employment proposition that has long |
| As a refresher, here's the core of my earlier | | | | held sway in industrialized countries. At the other |
| post: | | | | end, it's clear that technology will continue to |
| "We've all experienced tremendous impact to our | | | | revolutionize not only how work gets done, but |
| personal finances (and net reduced worth) from | | | | also how people access their work and each |
| this devastating recession. We believed that if | | | | other. In short, "business as usual" on the people |
| we chose to follow a prescribed path and live our | | | | front is not an option now and won't be in the |
| lives in a responsible manner, our futures would | | | | future, even when recovery fully takes hold." |
| be financially secure. The generally accepted | | | | So what's a progressive HR Exec to do? |
| path to a secure retirement included earning a | | | | Apparently, there's lots of opportunity to provide |
| college degree, additional professional certifications | | | | support through providing information and |
| and/or advanced degrees, having a good | | | | training. Here are a few examples of what you |
| corporate job,maxing out 401K contributions over | | | | could do now at your company to build value: |
| decades of continued, steady employment, and | | | | 1. Keep employees informed about the current |
| buying our own homes. | | | | status of the business. Hold quarterly meetings |
| It was the path to realize the American Dream. | | | | inviting all employees to learn how the organization |
| Like little soldiers, many of us lined up and drank | | | | is doing, how it's shifting in response to market or |
| the Kool Aid. | | | | environmental dynamics, and how their job relates |
| Following the downfall of the economy at large | | | | to the organizational goals. |
| and its destruction of the housing and job | | | | 2. If employees now understand that they're |
| markets, we no longer believe that following this | | | | personally responsible for their financial and health |
| path will secure our futures in retirement, or that | | | | care well-being, give them the tools they need in |
| it's even possible anymore. Nor do we believe | | | | order to accomplish those objectives. Bring in |
| that the job we landed just out of college will be | | | | 401K providers, financial advisors, health care |
| there until retirement, that there are many | | | | benefits brokers, etc. to offer a series of |
| employment options for people at all levels and | | | | informational brown bag lunches. For higher |
| capabilities, or that our homes will continue to | | | | tiered performers or by level (i.e., manager, |
| increase in value over time. | | | | director, etc.), offer company sponsored, |
| We've learned the hard way that paternalistic | | | | customized one-on-one financial consulting for the |
| employers are a thing of the past. So many of | | | | employee and their spouse. |
| our beliefs have been shaken to their very core! | | | | 3. Even though employees aren't likely to leave |
| We find ourselves living through a time of | | | | due to lack of employment opportunities |
| enormous transition in the employment | | | | elsewhere, if they become frustrated at their lack |
| relationship. Trust in our employer to look out | | | | of mobility they may demonstrate diminished |
| for us evaporated as millions of jobs were | | | | performance. Keep 'em engaged through |
| eliminated, benefits reduced and salaries frozen | | | | cross-training, special assignments, and similar |
| during this recession. Even now, employers | | | | opportunities that let them learn something new |
| continue to continually reduce expenses to | | | | to build additional skills. |
| become more competitive on a global basis, | | | | 4. The lack of confidence in leaders and managers |
| further reducing their employee's take home pay. | | | | found in this report is troubling. But it's worth |
| We know where we've been as employers, but | | | | digging deeper in your organization to find the |
| where is the employment relationship going? | | | | trouble spots and then build leadership training |
| Where will it land? How much can we continue | | | | programs for senior management teams or |
| to cut total rewards and still retain necessary | | | | individuals to enhance managerial and leadership |
| talent in our organizations?" | | | | ability. |
| Towers Watson's 2010 Global Workforce Study's | | | | There's no doubt that the employment |
| key findings closely follow key points I made last | | | | relationship between workers and employers is |
| October to reveal how employees now view their | | | | undergoing a tremendous shift from paternalism |
| relationship with their employer. Among their key | | | | to personal responsibility. Because of that |
| findings: | | | | change, HR is receiving yet another opportunity to |
| 1. The desire for security trumps everything. | | | | identify organizational issues and respond to those |
| 2. Employees understand they are responsible for | | | | needs. Add your comments about how your |
| their long-term financial and physical health but | | | | employees have been affected and what your |
| they doubt their ability to take on this role. | | | | company is doing to respond to the evolving |
| 3. Mobility is at a decade-long low point, and many | | | | traditional employment relationship. |
| are sacrificing career growth for a secure job. | | | | Copyright 2010 Regan HR, Inc. |
| 4. Confidence in leaders and managers is | | | | |