If you haven’t come across the term ‘quiet promotion’, it references the practice of employees assuming the responsibilities of a former colleague without formal recognition or compensation.

Sadly, this is not as uncommon as people might think. One recent study found that 67% of workers had taken on the responsibilities of a more senior colleague after that colleague left the company, while 78% had taken on additional workload without any additional compensation.

Quiet promotions can pose unintended consequences for the employee assuming these additional responsibilities, the leadership team, and the organization as a whole:

The Employee:

  • It is likely the employee will not have the bandwidth to assume greater responsibilities, and if the employee receives little-to-no communication around this need, it is unlikely that they will be able to remain productive in an environment of increased responsibility.
  • There could be training concerns over the employee – have they received the proper training to execute the new work/responsibilities?
  • Giving someone new responsibilities without effective coaching will lead to engagement concerns. Even if an employee understands how to facilitate the additional responsibilities, without overall vision and the opportunity to demonstrate new skills that could lead to future potential with the organization, the employee’s commitment to and trust in the organization are likely to falter.
  • All of this can lead to the employee potentially looking for other positions, which will result in a turnover cost that would be greater than the additional compensation saved through a quiet promotion. Turnover can cost up to 75% of a salary, and for more executive roles this number can rise to over 200% – which ultimately leads to a larger economic loss.

The Leadership Team:

  • Choosing to quietly promote can fracture the relationships that management have with their employees. There is a surreptitious element to a quiet promotion, and this can cause employees to question the trust they have in their leaders, leading to a range of miscommunication issues later down the line.
  • If leaders are choosing to quietly promote, they are likely missing the opportunity to analyze the role of the employee who departed the company. There is unrecognized opportunity to study the role of that person and assess whether there were any obsolete or inefficient processes in their responsibilities. This can be used as a starting point to decide whether the organization needs someone to replace this role or whether the actual usefulness of it can be fulfilled and absorbed by others. This then needs to be communicated with the prospective employee(s) taking on these new responsibilities, with considerations for future compensation and advancement, tied to successful performance of the new skills and responsibilities.  

The Organization:

  • Mismanaging a separating employee’s transition can have ripple effects on the productivity of a department, as outlined above. Additionally, these effects are not likely sequestered at the department-level; there are impacts and potential output concerns for the organization as a whole.
  • Pay philosophy and performance motivation become weakened if employees are quietly being given more work to do without formal measurements of success, which is linked to the organization’s total rewards. Even if the employee is taking on a larger workload for a short amount of time while the company seeks a replacement, then ensure that gratitude is expressed to this employee through recognition programs, a one-off bonus, or additional benefits.

When it comes down to it, quiet promotions are unlikely to create cost savings for an organization. While initially it may seem like a smart move to save some money, especially in economically trying times, ultimately the costs associated with the loss of productivity, engagement, and potential increased turnover do not compare to the cost of effectively leading an organization through transition and providing rewarding career opportunities for committed and loyal employees.

If you would like to discuss strategies for supporting your business with its turnover rate, or how to manage an employee separation in a cost-effective manner, please do get in touch with me at victoria.sprenger@orgshakers.com

We are all aware that each generation has been attributed macro characteristics – the Greatest Generation are ‘responsible and hard-working’, Baby Boomers are ‘selfish’, Gen X are ‘cynical’, Millennials are ‘entitled and lazy’, and Gen Z are ‘civic-minded snowflakes’.

When these stereotypical beliefs spill over into the world of work, however, they can lead to biases in the hiring process, problems with the culture of a company, and can be considered offensive. After all, if employers (or, frankly, anyone) were to ascribe similar characteristics to gender, race, sexuality and/or class, this would be completely unacceptable. Rather, employers need to focus on seizing the opportunities for innovation that generational cohesion can bring – a Generational Dividend.

Firstly, if a company finds that it doesn’t have a diversified workforce from a generational perspective, it should consider ways in which it could attract different types of people so to create the opportunity for innovation and diversified perspectives. One way of doing this is by tailoring benefit packages towards the needs of different generations in order to make your job look more attractive to a specific group.

This then leads onto how to optimize a generationally-diverse workforce – and this is where SurePeople come in. Specializing in people science, they offer their WorkforceX software, which uses AI-powered technology to leverage data to provide leaders and their teams with actionable workforce insights in order to drive continuous alignment, development, and high-performance.

Their interface gathers psychometric data on every employee in an organization and uses this to create an individualised ‘Prism Portrait’ which groups staff into four main categories: ‘powerful’, ‘versatile’, ‘adaptable’, and ‘precise’. It then breaks this down into detail surrounding personality type and how an individual works best, as well as allowing leaders to compare two profiles to provide them with the most efficient ways of working with specific individuals.

This is a fantastic tool when putting together a team entirely based on their individual strengths – it ensures that staff are diverse and offers a guide of how to optimize the productivity of the team so to gain the strongest and most innovative output.

We work closely with SurePeople and can help bring their results to life – helping to integrate their people data into the fabric of a company so that they have the best possible combination of people working together to gain the best results. Using a psychometric program such as this strips away any preconceived notions surrounding generational stereotypes – or any stereotypes – and instead allows employers to focus on the individual’s needs and abilities.

Optimizing your people and their differences will allow you to unlock all of their potential. If you would like to discuss working with us and SurePeople in how we can help you do this, please get in touch with us here.

Equal Pay Day comes around every year to shed light on the fact that pay disparities are still very much present – women working full-time in the US are still only paid 83% of what men earn for the same job.

But for employers to successfully address pay disparity, they first must understand the differences between pay equality and pay equity, and how to utilize them successfully.

Pay equality is the practice that all employees are paid the same amount for doing the same job, regardless of their gender, race, or other protected characteristics. This essentially means that if two employees have the same job role, same responsibilities, and same qualifications, then they should both receive the same pay.

Pay equity, more broadly, is the practice of ensuring that employees are paid fairly for the actual work they do, taking into account factors such as job responsibilities, required skills and experience, and market demand. This means that two people who have the same job title may not be paid the same wage, if one of them has more responsibilities and/or experience than the other and market demand is different based on the location of their work.

When organizations are looking to solve pay disparities, they need to bear in mind that pay alone should not be the sole focus for assessing fairness. Typically, pay disparity issues will be a symptom of wider systemic problems – there may be practices or cultural issues which inadvertently cause (or worsen) these inconsistencies.

That is why the best way of approaching this issue is by using both pay equity and pay equality mindsets. Ensuring that your pay is equitable is vital when attracting and retaining talent, as it means that people are considered based on their value and talent rather than their gender, race or anything else.

But for equitable pay to even truly be achievable, you must first look at the wider context of pay equality on an organizational level. If your processes are not established in a way which allows for employees to be considered on an equal basis from the outset, then you cannot attempt to pay people equitably.

Therefore, to achieve pay equity and pay equality, a company must establish a pay philosophy, which acts as a clear strategy for how the business approaches compensation.

In addition to this, implementing transparent and objective pay practices, regularly reviewing and adjusting pay structures, and eliminating any biases in hiring processes and the company culture, will allow for an employer to successfully be able to pay employees equally and equitably. And this is undoubtedly a smart business move – McKinsey discovered that the least diverse organizations were found to be 27% more likely to underperform on profitability, whereas those companies that were most diverse outperformed their peers by 36%.

However, a company will fail to attract a diverse talent pool if it cannot demonstrate equality and equity in their wages. So, if you need guidance in creating or solidifying your pay philosophy, get in contact with me at alisa.cardenas@orgshakers.com

Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020

The skills shortage is becoming an increasing concern amongst many organizations. Recent data from McKinsey has found that 87% of companies either have or expect to have a skill gap in the next few years.

One way of tackling (or preventing) this issue is by looking at onboarding those younger workers who are active in college or university – and a great way of doing this is through offering internships.  

As Gen Z enter into the workforce during one of its most unstable periods in history, recent data is showing that this is already starting to have an effect on them: Gen Z workers are the most stressed group in the workplace as they are concerned they lack the skills (78%) and education (71%) required to advance their careers.  

In the same way apprenticeships develop talent and engender employer loyalty, internships and work experience are also an innovative way of attracting a generation who, in the current employment market, have so much more choice. So, offering them the opportunity to learn and develop business skills/experience in the professional field they are targeting is a great way of attracting a hands-on generation. 

As they graduate from an education system obsessed with performance league tables, many students are leaving with an inconsistent variety of qualifications as their subject choices would have been orientated around driving higher grade attainment. In the same vein, Generation Z is also exhibiting signs of a more divergent “multitasking” approach to their career paths(s), and so employers who embody this mindset place themselves in a much stronger position in the labour market by offering a regular “turnover” of “learning opportunities”. 

Using internships as a talent development vehicle is now more important than ever. The Early Careers Survey 2022 found that the main blocker to students finding an internship was the lack of opportunity (35%), as many had been cancelled due to the long-lasting effects of the pandemic. This resulted in only 12% of work experience being conducted through internships, which leaves a huge gap for employers to fill. 

As we navigate the post pandemic and Brexit skill shortages, it’s more important than ever that employers open their doors and create internship opportunities, as they offer a golden opportunity for talent attraction:

  • Internships provide a boost to your labour force, releasing core team members to focus on key priorities, and whilst only short term, the day-to-day tasks an intern discharges are those essential to building their own business acumen and skills.  
  • Internships are a great tool for attracting new talent and retaining it. For years Blue Chip organisations such as Google, Meta, PwC and Deloitte have used internships, with their workforces being made up of around 80% of those who took part in one. 
  • They allow for a company to get a real feel for potential new hires, as well as to build and sustain a constructive working relationship, fostering a sense of loyalty through investment. 
  • From an environmental, social and governance perspective, offering an internship program is a great way of furthering your social agenda, as internships are a solid form of outreach in the local community to offer young people alternative options to further education. 
  • Purposefully onboarding young people through internships is a great way to get diversified perspectives on your company’s strategy, plans and policies. It will also allow you to get a sense of what young people actually want and this can be used to expand your market accordingly.  
  • They offer young people a means to successfully build skills in sectors that can often feel inaccessible, especially to those from lower-income and underprivileged backgrounds. 
  • Internships are a cost-effective option for an employer vs. hiring full-time staff, and whilst based around academic holidays, a successful internship can see a candidate working repeatedly throughout the annual cycle of study period. This permits employers to measure the success of candidates based on their attitude whilst they work towards gaining their qualifications.  

However, I offer a word of advice: historically many organisations have opted to offer unpaid internships, and whilst tempting in these frugal times, this approach tends not to foster a performance-orientated mindset or encourage longevity between the two parties. In fact, the aforementioned Early Careers Survey found that career prospects were significantly improved for those who undertook a paid internship (42%) compared to those who were unpaid (30%). 

If you would like to discuss more on early careers talent attraction and retention or even setting up an internship programme, don’t hesitate to reach out to me at gavin.jones@orgshakers.com  

Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020

At the beginning of January, the Federal Trade Commission (FTC) proposed a new law that would ban the use of non-compete clauses, as well as rescind any previously signed agreements. 

This may seem like a drastic change – especially with nearly a third (31.8%) of employers making all their employees sign a non-compete – but the banning of these clauses will very likely have a positive effect overall.

For one thing, non-compete agreements are notoriously US-centric. If you look at companies in Europe – as well as states such as California, who have not enforced these since 1872 – it is clear that the absence of these binding agreements has not hindered profitability. 

And this is because there are many ways that are more effective than non-compete agreements to protect yourself as a business. The reality of a non-compete is that they are like threatening someone with a blunt hammer; they’re very difficult and very costly to argue in court, so usually won’t have much effect. But they hold weighty connotations that are enough to deter people from attempting to break them. 

Instead, employers can hold employees to their duty of loyalty, which means that while they are working with them, they will not do anything that is inconsistent with the organization’s interests. 

As well as this, the FTC’s new rules still allow for the recovery of reasonable costs of training, as well as the implementation of a non-solicitation clause so that a reasonable degree of confidentiality is still intact after an employee terminates their contract. So from a legal standpoint, you are still covered in the areas that you need to be, while also making room for an acceleration of innovation to take place in the market. 

It will also set into motion the recalibration of retention strategies. For lack of a better word, a non-compete agreement is a lazy tool, and so with its revoking, this paves the way for businesses to focus on using more positive, people-centric strategies to promote retention. These will emphasize how a company values its team members, and with leaders demonstrating the trust they have in their staff, they will foster a healthy sense of loyalty without the need for it in writing. 

What employers need to take from this proposition is that job mobility does not mean the free flow of confidential information. It simply means that the labor market becomes more flexible and competitive, and is an opportunity for businesses to gain access to top talent. But the companies that are examining their attraction and retention strategies and taking into account the changing needs of the workforce will be the ones who get ahead in this raging war for talent. 

OrgShakers can help with this. With a vast amount of experience and knowledge on these subjects, we can ensure that the rescinding of non-competes is smooth and successful, all the while aiding in strengthening your retention strategies and boosting employee loyalty. If you would like to discuss how we can do this, get in touch with me at: elizabeth.huldin@orgshakers.com

Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020

For many around the world the festive season is upon us once again – a time of celebration, family gatherings and neighbourly sharing. These days, it is also underpinned by a flurry of purchases to achieve the idyllic picture of copious presents sitting under the Christmas tree. And as our TVs and social media feeds fill up with retail adverts encouraging us to part with our hard-earned cash, it will be no surprise to hear that online sales have increased by almost a trillion dollars worldwide between 2020 and 2021.

Whilst the COVID pandemic accelerated this trend, using the internet to buy goods has already become second nature to many of us. The rise of the online marketplace is something that employers are keenly involved in, and make most of their goods and services accessible from in order to apply to the largest group of consumers.

And yet, if companies were to take a step back, they would see that there are 10 million people lacking basic digital skills in the UK alone. This is a vast pool of potential clients who are unable to access those online services and interact with the world of e-commerce, which is a large potential profit being lost, especially during the holidays when commercialism is booming.

Signposting and providing alternative options and channels for customers to communicate with your organization will help to open your virtual business doors to those who were previously being excluded as they didn’t know how, do not have, or cannot use the digital technology of today. Upskilling those staff who are customer-facing will also help widen communication abilities – but this brings into question the digital competency of your staff, too.

If we look more closely, there is a large potential pool of talent that is being iced out due to a lack of digital proficiency. The recent FutureDotNow report, which examined how many people could complete Lloyds’ Essential Digital Skills for Work tasks, found that only 32% of the UK workforce were able to complete all 17. And yet, a report published by Oxford Economics has discovered that by 2030, 75% of jobs will require advanced digital skills.

What we are seeing is that workers and consumers alike are yet to fully develop their digital abilities, and so if a company is not finding alternative ways to access these groups of people, then they are at risk of missing out on a large opportunity to increase their market scope as well as their hiring potential.

Employers should also consider offering training to new staff in their digital comprehension, as this will ensure that everyone has the desired skills they need to be able to successfully achieve at their place of employment. This also means that all the experience that has been gained from those older workers who are less tech-savvy will not go to waste, helping to further enrich and diversify your talent.

To discuss any of these topics further, or for guidance on how to create an accessible business model, get in touch with me at gavin.jones@orgshakers.com

Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020

Creating the conditions which enable employees to be engaged and motivated should be a top priority for employers. Gallup’s State of the Global Workforce report, which found that only 21% of employees were actively engaged at work, sadly shed light on the fact that employee engagement is not being done effectively, or even prioritised, and the result is unhappy employees. This unhappiness will affect performance and will lead inevitably to unhappy customers and less successful business outcomes.

Employee engagement should be an important year-round focus, but we can do some things to help create a ‘reset’ at the beginning of the New Year and support our teams to reengage with their work. 16th January 2023 will be ‘Blue Monday’ in the UK, so called (and coined by a psychologist Cliff Arnall) because of people returning to work post-holiday to bad weather, debt and low levels of motivation. This does not apply to everyone of course, but how can employers help counteract this?

The end of year holiday period creates a ‘pause’ which people are often desperately looking forward to. With our ‘always on’ working lives, and what seems to have been an epidemic of overwork this year, many people are limping towards the finishing line of what has felt like the Marathon of 2022.  The joy of having some rest time with family and friends also creates time and space for people to think about their lives, the good and the ‘not so good’, and in particular their work lives, and how this aligns with their personal aspirations.

Rather than just hoping that people will come back from their holidays refreshed and suddenly regain engagement, we are suggesting that employers need to be proactive this new year and enable a January ‘reset’.

A key part of a leader’s role is to tap into what motivates their people, to carry the torch for the organisational purpose and create excitement about what they are to achieve in 2023 through their ability to create an engaging story of what might be.

We would like to suggest a few things businesses can do to enable a reset:

  • Make a point of welcoming everyone back. This may sound obvious but do we do it? The best way to start the year from a leadership perspective is to have a proper welcome back catch up with all your team members. Dedicate some time early in the year to get together, share holiday stories and discuss aspirations for the upcoming year. Not just going straight in talking about detailed task objectives but discussing what they would aspire to see happen in 2023. Human beings like to feel valuable, and feel that they belong, so these conversations are vitally important in maintaining the ‘social glue’ that ties teams together and in ensuring we value our colleagues and humanise our workplaces.
  • Restating and realigning purpose. Rather than just carrying on where we left off in December, the New Year gives you as leader the ideal opportunity to restate the organisational purpose; to reconnect your people with the ‘why’ we do what we do. You can reconnect your team members with their role in achieving the overall purpose of the organisation and remind them of their purpose and their value to you and the organisation. We often have a ‘look back’ at the end of a year but are less inclined to have a ‘look forward’ at the beginning of the New one as we throw ourselves straight into the work. Whatever happened last year, we are now looking forward and need to focus on what we can do in the future. This ‘look forward’ reminder also ensures that everyone is venturing into this new year with a clear sense of what the company is aiming to achieve, and this restatement of purpose can help strengthen team bonds as well as create alignment and improve the speed at which these goals are met.

My suggested reading for points 1. and 2. is ‘The Heart of Business’ by Hubert Joly – his personal playbook for achieving extraordinary outcomes by putting people and purpose at the heart of business.

  •  Speaking of goals…we all know it’s a common tradition to set new year’s resolutions for our personal goals, but there’s no reason why companies shouldn’t support this ethos. Asking each team member to set a motivational goal at the beginning of the year, that you and they can check in on every month or so, is a great way to engage people and have them work towards something other than their day-to-day organisational tasks. It may be to learn something new, go to a particular conference, or to shadow someone. It does not have to be part of their development plan but must be something that means something to them personally, like getting involved in the organisation’s corporate social responsibility events or supporting a particular charity or cause.
  • Prioritise wellbeing. 2022 was an arduous year for a lot of us – cost-of-living worries are following us into the new year, as well as increased stress levels and increasing levels of burnout. We at OrgShakers prioritise supporting wellbeing in the workplace, not just as a moral issue but as a key business driver. We understand that it makes sense to actively and consciously enhance employee wellbeing rather than having to keep fixing issues arising from overwork and stress. Adopting the January ‘reset’ mindset means making wellbeing a priority from the get-go. Consider as an organisation what you can do to create a culture of wellbeing, how you might change last year’s working practices to create the conditions for employee wellness in 2023 and see the business benefits that will follow this. Einstein said that the definition of insanity was ‘doing the same thing over and over again and expecting different results’. What can you change as a leader, and as an organisation, to create a more engaged and healthier workforce?

A strong start to your business year can make all the difference and engaging in a January reset will have big business benefits. If you would like to discuss these and other ways to create this reset, you can get in touch with me at pamela@orgshakers.com

Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020

by Gary Payne, Robert Satterwhite, and Ann Wheeler

How do you motivate a middle manager?

Middle managers need to be sold on the culture and vision of your organization. When your middle managers are going to model organizational behaviors and values, it’s critical to win over their hearts and minds, and keep them motivated. 

To do so, your company should:

Provide purpose

People are motivated by purpose, particularly the younger generation. In a 2021 Deloitte survey, out of 8,273 Gen Z respondents, 49% said they chose their careers and employment based on their personal ethics.

Motivation is not solely about career advancement; people want to feel like they are adding value, meaning, and purpose within the company and beyond. They want to feel proud of their work.

Your company communications, both internal and external, need to be consistent and highlight the impact your organization is making.

Identify individual drives and goals

Motivation is different for each individual.

Some might be driven by a promotion, while others want to avoid boredom; they fear growing stale in their career. They want to be innovators as opposed to overseers. 

Take opportunities during scheduled check-ins, quarterly assessments, and year-end reviews to ask your middle managers about the vision for their careers and how that vision fits within both their current roles and potential future roles.

Whether they are striving for career advancement, or they want to expand their skillset, help them define what drives their passions and their individual goals, so your organization can create opportunities and projects to keep them interested and engaged in their work.

Develop multiple mentor relationships

Many organizations see the value in dedicated mentorship programs, but it’s important to remember that people can have many mentors who will help them with various aspects of their career.

Encourage your middle managers to establish and build different relationships and get multiple sources of input.

How do you progress your middle management?

Helping middle managers progress their career path involves three key factors:

Early identification

As you are working with middle management and attempting to identify those who could grow into even greater leadership roles, it’s important to establish your criteria and competency model.

A common challenge for organizations is identifying leadership potential early enough in an individual’s career path. Often by the time they have been identified, it’s too late to ensure they get enough diverse experience to fulfill those leadership qualifications.

Thorough assessment

Assessment still needs to be viewed as an internal employee investment. The hiring rigor of qualifications needs to be applied equally to all promotions. If you want to retain the majority of your employees, it goes without saying that you need to treat people fairly and consistently.

When you are assessing internal employees for a role, make sure to communicate that you are using the exact same standards as you would for external employees. Give every internal candidate feedback throughout the process, especially if they aren’t chosen for the position.

Use the assessment process as an additional development tool, so you can build upon that feedback and provide the resources or a coach to help your internal hire candidates continue to develop.

Continued training and leadership development

When internal hires are promoted, they are already embedded within the organization’s DNA. There tends to be an expectation they will hit the ground running when you might give more leeway to an external hire. But as we noted earlier, that can be a weird mirage of success; it becomes very easy to fail under the burden of presupposed expectations. What made an internal hire successful in their previous role will be different from the KPIs of their new role.

Give your internal hires the same grace period you would extend to external hires:

  • Provide formal onboarding. A deliberate onboarding process formalizes the need for new behaviors; too often, it’s perceived as training that’s only necessary for external hires. Remember your internal hires need it as well.
  • Undergo the exercise of stakeholder mapping, so they understand their potential impact and influence. Don’t assume they will already know based off their previous position.
  • Conduct a formal listening tour, even if they are already familiar with stakeholders and staff. This gives everyone a chance to get to know them in their new position and allows more freedom to ask questions and collect data.
  • Check on their calendar. Make sure they have set up regular meetings with peers and quarterly meetings with stakeholders.
  • Ask what they need and what leadership could be doing better.

Leadership also has to ensure the proper amount of focus is being put on strategic change and initiatives. If you want to create a coaching culture where there’s mutual team accountability, you need to create processes to support that philosophy.

Next Steps

Below are some questions to consider as you reexamine your current leadership development program:

Early Identification of Leaders

  • Do you know what “good” looks like at your organization?
  • Do you have a clear idea of what your leadership pipeline looks like?
  • Have you communicated that back to your managers so they can reflect on feedback?
  • Are you looking at how results are achieved and paying attention to cross-functional aspects of the role?
  • How do managers treat not only their own, but other teams, sections, and divisions within the organization?

Assessing Their Success

  • Are your middle managers as dedicated to positive reinforcement as they are to constructive feedback?
  • Are they instituting an internal coaching culture?
  • How do your middle managers show up in team meetings? Do they speak 80% of the time, when they should be speaking 10%?

Development & Progress

  • Are you utilizing talent mapping to forecast hiring needs?
  • Have you defined clear paths to career development and growth?
  • Do the company’s growth goals support all employees?
  • How are you creating opportunities for current employees who didn’t receive a promotion?
  • Are you providing formal onboarding processes for internal hires?
  • Should you use onboarding coaches to enhance and build employee capabilities as they move into new positions?
  • Are you emphasizing the importance of strategic initiatives and creating time and space for your leaders to focus on those goals?

At the end of the day, retaining your employees through leadership development is good risk management. You want to develop a deep bench of leaders that your organization can use to propel its growth and ultimately plot its succession plan. If you have any questions about retaining and promoting middle management or leadership development, please do not hesitate to reach out to us here.  

Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020

by Gary Payne, Robert Satterwhite, and Ann Wheeler

Employee retention is a hot topic for 2023.

As economic instability continues, organizations will need to lean on leaders across all levels to maintain stability, profitability, and institutional knowledge.

In a Fall 2022 report from Slack’s Future Forum, 10,677 survey respondents from the global workforce reported an increase in burnout; it rose 8% from May to August 2022. Among US workers, the numbers were quite drastic – burnout rose to 47%.

Two of every five US respondents said they were burnt out, and the highest number of those respondents were middle managers.

These numbers should provide a wake-up call because, as you will see below, middle managers play a vital role in any organization.

Why is it important to develop and retain middle managers?

Middle managers are your connecting leaders.

They often serve as:

  • Liaisons between supervised employees and leadership overseeing the flow of ideas, strategy, and progress within and across an organization
  • Change agents who drive employee initiatives and build organizational culture
  • Team builders also heavily involved in the hiring process
  • Keepers of detail-oriented, institutional knowledge

Middle managers know what motivates their team. They help people answer, “Why do I matter to the company?” and help them see how their role fits within the overall vision.

A very savvy manager is the one who knows your employees best and has the most impact over their experience with the company. You often hear the saying, “Employees don’t leave companies, they leave managers,” but the inverse is also true. When a strong middle manager leaves an organization, some of their direct employees tend to follow, and your talent losses increase even further.

Why is middle management so stressful?

Middle management often operates on the front lines of organizational change, which demands a taxing balance of rigor and flexibility. They are the ones who are tasked with handling more of the honest, direct conversations that happen in work environments.

For example, during COVID-19, middle managers were responsible for helping others adjust to remote work environments. And when companies chose to institute return-to-office policies, it was middle managers who had to work through the details of employees’ schedules.

In a recent survey conducted by Odgers Berndtson US, out of the 606 survey respondents, 41% wanted to retain the option of a hybrid work environment as opposed to fully remote work or in-office. Imagine you are a middle manager who knows hybrid work is popular among employees, but leadership has decided it wants everyone in-office full time, and now you must deliver the news.

Middle managers are the ones who implement policies, even if those policies are unpopular with employees, while they continue to remain the primary motivators for their teams.

To add an additional level of pressure, while middle managers are often the ones you call upon during a crisis, they still have to think about new strategic initiatives and big picture perspectives—even if there’s not enough time to do so.

Lack of leadership development

Internal hires often seem like a no-brainer. Your organization retains that employee’s loyalty and commitment and the knowledge about systems, process, and customers that is important to success. You have rewarded your employee and shown the rest of the company potential career paths; if people work hard and meet expectations, you will provide possibilities.

And yet, so often, internal hires who take on new roles struggle with the responsibilities then leave.

Individual contributors, particularly at the middle management level, will excel and get promoted, but their targeted skillset still remains that of an individual contributor. They need to learn to move away from the trigger response of a “fix it” mindset and learn how to delegate and promote team accountability. However, they are often not provided with the development and training they need.

When middle managers are promoted without training, they are being set up to fail, at which point your organization loses both the leadership role and the individual contributor skills you initially valued.

What makes a middle level manager successful?

Some important skills for successful middle managers are:

Resolve conflict

A middle manager needs to handle, address, and transform conflict.

They can take a conflict and translate it into a productive discussion about individual and team growth.

It’s important to note how middle managers set the tone for these types of conversations. If they remain calm and present the ideas as part of a development discussion, then the feedback generally will be received in the same way.

Embody organizational values and reinforce positive behaviors

Middle managers must possess a deep understanding of your organization’s values and choose to embody behaviors clearly linked to those values. A leader who can translate values into expected behaviors helps develop and build your organization’s culture.

Middle managers oversee the behaviors that get rewarded, so it’s important they are able to reinforce those behaviors both with their own actions and among their teams.

Agility and coaching skills

The art and science of putting together an effective team is complex. Middle managers must develop alternative options, understand, and meet metrics, and even identify new key performance indicators (KPIs) as teams change and grow.

Leadership agility is key to middle manager success.

A huge part of that flexibility is knowing how to coach and develop the team’s capabilities to bring out the best attributes and efficiency.

Keep in mind, there’s a big difference between mentors and coaches. Mentors do a lot of talking and teaching; they relay their own experiences and make suggestions. Coaching is about listening and asking questions.

In the second part of our piece, we will be discussing how employers can help motivate middle managers and grow their skills. In the meantime, if you have any burning questions, you can get in touch with us here.

Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020

Benefit programs play a pivotal role in attracting and retaining talent – but how can you ensure that your benefits programs meet the diverse needs of employees of different ages?

Currently, there are four different generations in the workforce: so what does each generation value most?

Boomers:

Born between 1946 – 1964, the boomers are well into their midlife. And yet, it is no secret that a lot of mature workers are still active, with 25% of the US workforce being comprised of those aged 58 and above. This is largely due to the fact that people are living longer and healthier lives, and so are better able to work to retirement and beyond.

Therefore, it may come as no surprise that the benefits these people tend to value most are health related – health insurance, dental and vision coverage, as well as retirement plans and discounts on health services (such as chiropractic care).

Generation X:

This generation make up the highest percentage of executive roles, as well as being typically very skilled and specialized. While they have most likely paid off any student debts, they usually have families to support financially and emotionally, and so the benefits they value the most reflect this.

Gen Xers look for 401K plans with matching benefits, opportunities for advancement and opportunities for work-life balance. This would make the offering of increased time off or sabbatical particularly attractive to this generation. As well as being parents and supporting their young-adult children, this generation are likely to have unpaid caring duties towards their elderly parents, and so having specific benefits to help with this caregiving would also be incredibly attractive to this group.

Millennials:

Millennials are those born between 1981 – 1995, and currently make up the majority of the US workforce, at 35%. This group of people are starting to grow their families, pay back student loans and purchase property, and so the benefits they tend to value the most are paid time off, flexible spending for dependent care and health, flexible working schedules, and financial advice.

A survey found that among millennials who already had children, 72% of them cited that the lack of affordable childcare was a barrier to meeting their career goals. When paired with student loan debts and the rising prices of housing, basing your benefit programs around financial assistance in these areas will be extremely enticing to this generation of the workforce.

Generation Z:

The most recent influx into the workforce, Gen Z currently only make up 5% of it in the US, but the number is quickly rising. The youngest generation are bringing with them a new attitude towards working life, and prioritize boundaries and balance so that they can indulge in a personal life and avoid physical and mental burnout from being overworked, as seen from the quiet quitting phenomenon.

They value many similar benefits to millennials – paid time off, student loan assistance, flexible working options – but are also the most socially progressive of any generation. A lot of Gen Z candidates are looking for what mental health support services companies are offering, as well as how diverse and inclusive they are, as this reflects the type of culture they will be working in.

Even though different generations want different things, there are ways of appealing to them all through your benefit programs. One way of approaching this is offering a standardized set that considers a key element from each, therefore making you more attractive as an employer to a larger population of workers.

Another way you could do this is by working with your HR team to design benefit programs to support and meet your people in various seasons of life. There are strategic ways you can vary your benefit plan offerings, while managing your benefit compliance responsibilities.

With the cost-of-living crisis happening in real time, understanding the needs of the workforce is paramount to finding, securing, and retaining the right talent for your business. So, if you need detailed guidance on how to design strong, appealing benefit programs, get in touch with us here or with me directly at victoria.sprenger@orgshakers.com

Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020

With a post-pandemic wellbeing mindset on the rise, as well as the influx of Generation Z into the workforce, many are starting to realise that a leader’s ability to utilise their soft skills is becoming increasingly valuable.

For the most part, hard skills are the ones that have been considered of greatest value to employers, simply because the word “hard” suggests that these skills are more difficult and complex to acquire. In reality, however, soft skills are ever-changing and ever-growing, and so can prove to be much more difficult to keep up with, despite the implied fluffiness of the word “soft”.

Soft skills relate to an individual’s emotional and cognitive capabilities: empathy, flexibility, curiosity, vulnerability…the list goes on. And what has been highlighted during and post-pandemic is that these skills are actually the most powerful ones to be harnessing, and if utilized correctly, can make all the difference in improving management approaches.

The International Institute for Management Development identified four key attributes for a manager to be successful in today’s workplace – and three of these were soft skills. This is largely due to the fact that we are seeing a new generation entering into the world of work with new mindsets, fresh perspectives and an openness that has not been seen in previous generations.

Gen Z are the first generation to have grown up with social media, an environment where expressing and sharing ones innermost thoughts and feelings is considered the norm. As a result, these younger workers will value the ‘power skills’ of honesty and vulnerability in their leaders and they would be more likely to respect a manager who is willing to openly share challenges they are facing.

A McKinsey Global Institute Report reflects this, predicting that global workplaces will see a 24% increase in the need for social and emotional skills by 2030.

So, vulnerability amongst executives is emerging as a highly beneficial quality, but the reality is that showing that vulnerability – especially for those leaders from previous generations – is not something that they are used to (or comfortable) doing.

However, a shift in mindset which views vulnerability as a powerful skill rather than an admission of weakness, is a great way to bridge the generational gap between executives and the younger workforce. And it is key for this to start from the top, so that it trickles down the hierarchy and settles into a refreshed workplace culture which recognises the ever-growing importance of these power skills.

To discuss and seek further guidance on how to turn power skills into the skills of success, get in touch with us here.

Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020

As they seek to broaden and mature their position on the diversity and inclusion agenda, most organizations agree that enhancing their accessibility is important. However, what many have not yet realised is the sheer scale of the opportunities that exists by proactively addressing this issue.

The UK government has recently produced an updated House of Commons research briefing on disability which highlights a 4% increase in those legally defined as disabled (now 22% of the population) with numbers having risen over the last decade from 12.7 million people to over 14.6 million. 

Similarly in the US, the Centre for Disease Control’s Disability and Health Data System has found that approximately 1 in 4 US citizens have accessibility needs, which equates to 61 million individuals.

These are big numbers, and organizations need to adopt an accessibility mindset if they are going to effectively engage with these potential customers and employees.  

From a customer perspective, a report from Click-Away Pound shows the commercial incentive for making the online shopping experience as accessible as possible. Their research found that almost 70% of individuals with access needs will ‘click away’ from an inaccessible site which, in the UK alone, equates to £17.1 billion in lost annual sales.

When it comes to hiring new employees, organizations will typically look at a candidate’s digital competency. Indeed, more than 82% of mid-level job advertisements demand that applicants have a proficiency in using digital tools. This, however, risks individuals with online accessibility issues being overlooked, despite being able to bring other valuable experience and skills to the table. A company that is flexible in its approaches to these needs will find that they gain access to a much larger pool of talent – as well as diverse mindsets that can help further develop a workplace’s culture.  And this does not account for the third of all potential job candidates who said they would not consider working for an organization where there was a lack of diversity amongst its staff.  

How to Improve your Accessibility 

The first step towards improving your organization’s accessibility is to start by understanding how it impacts your business. Every organization is as individual as the people who work within it and the customers that it serves – and this is where we can help. 

Step by step we can help assess where your organization is on its accessibility journey and then work with you to develop and shape your organizations capabilities to form a more inclusive business model. Get in touch with me at gavin.jones@orgshakers.com, or head over to our contact page

Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020

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