Top HR challenges for employers in 2023

In the current economic climate, 2023 is going to bring with it some HR challenges for employers. Recruiting and retaining people will remain a key focus for many businesses, but there will be a shift towards HR underpinning and supporting the wider business objectives as we look to make cost-savings and get through a challenging period.

The top HR challenges for employers in 2023 are:

Maximising business efficiency

The recruitment crisis, along with increases to the National Minimum Wage and National Living Wage in April, is increasing pressure on employers to maximise business efficiency. A considered HR strategy can support this, and help to deliver business objectives. This should cover attracting and retaining talent, to maximising staff efficiency, and teaching them to understand how to make cost savings. By aligning your HR strategy with your business objectives, you will break down any productivity barriers and keep motivation levels high. A good HR strategy should also highlight where there may be operational inefficiencies.

Attracting and recruiting high-quality staff

The recruitment crisis is set to roll into 2023 and it’s now more important than ever to streamline your process. A long, drawn-out recruitment process will lose you candidates and give your competitors the edge. Take a look at a post Bespoke HR created on how to revamp your recruitment strategy. You might also like their XX employee incentive ideas to help retain talent once you’ve found it.

Staff facing burnout 

It’s estimated that in 2022 almost 80% of workers faced some type of burnout. The implications for this are huge for employers and the wider business. It’s essential to prevent burnout before it happens by keeping an open dialogue with staff to tackle issues before they escalate.  This links in with the term ‘quiet quitting’ which has been banded about. This refers to workers who are doing the bare minimum in their role and are disengaged with the job and the business. Have a read at Bespoke HR’s post on helping employees avoid burnout.

Developing your staff

One of the top HR challenges for employers in 2023 is that pay raises and promotions may well be on hold for many businesses. This means managers must come up with alternative ways to motivate and develop staff. These should be tangible steps taken to allow for personal growth. Listen to staff, understand their aspirations and what motivates them. Transparency is key, by being open and honest with staff about the state of the business, they are likely to feel more connected and won’t resent the lack of promotion. Look at training junior managers so that they support their direct reports.

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