Planning for 2023: HR Trends You Should Know

The events of the past few years have caused many changes in HR and leadership in general. Employees have started to think more about their well-being and work-life balance. Work from home and flexibility have changed the way employees look at their workplace. Both employees and employers have had to adapt to the new shifts in business, since many changes were sudden and unexpected. So, what can we expect in 2023 when it comes to HR? Here are the trends you should pay attention to.


What 2022 taught us?

In 2022 we faced the Great Resignation trend and in the US the ratio of job openings to hires remains historically high. This ratio is likely to lower by the end of the year. Employers realized that employee engagement is the result of cultivating, connecting, motivating, and nurturing talent. Besides the Great Resignation, companies faced quiet quitting which was probably the result of quiet firing. The main consequence of that is low productivity and employee engagement.

But what are the changes on the horizon in the next period?

Will employees return to the office? 

The main question many are asking is what will happen with flexible working and whether employees will return to the offices. Predictions are that recession will bring another shift of power and there will be less quiet quitting and companies will get the opportunity to bring the workforce back into the office, at least for a few days per week. The main drive for this is to increase engagement and productivity. It might as well have a positive impact on employees because we are social beings and we want to connect with others.

The role of the leaders is more important than ever

Leaders should invest in employee experience as much as in customer experience. Businesses should invest in training their management because their role will be to ensure that employees feel connected and engaged. Employees will want to work in an environment where they feel involved. No matter if the organization remains remote or employees are back in the office, leaders will have to be creative and become the link between their team members. Understanding and motivating employees should be the centre of attention of any leader in the company.

Will automation replace disengaged workers?

Whenever major shifts are happening, this question pops out. Entering a recession where productivity went down, employers are likely to invest in automation. A recession is challenging for businesses and they need to be more productive and more efficient than ever. On the other hand, a tightened labor market makes it difficult to find engaged and high-performing talent.

The best employee benefits to offer in 2023

Planning is becoming more and more difficult in the past few years due to many unexpected shifts in the job market. Finding and retaining top talent is becoming more difficult and companies need to nail down the details of its benefits. Here are some of the key trends from 2022 that can provide insight into planning employ.

  • Healthcare benefits

Uncertain economic times mean employees are looking for healthcare that is easy to access and pay for. After COVID-19, health benefits are on top of employees’ priority lists. During the pandemic, virtual care was popular, and employees who are offered access to healthcare professionals that fits into their schedules will be more desirable. Let’s not forget medical travel reimbursement which has been in the spotlight lately. Employees are seeking reimbursing costs for types of care that may not be available to them locally.

  • Family-friendly benefits

During COVID-19 employees got the chance to spend more time with families and therefore paid family leave became high in demand. Paid family leave is not guaranteed in the United States, but two-thirds of employers are offering it in some form. Employers who are more generous with parental leave policies will have way fewer difficulties with attracting talent than those who don’t have any. Balancing between professional and private life is a number one priority that employees are seeking. Child care assistance, equal parental leave, longer parental leaves, etc are just some of the benefits that can help organizations when it comes to recruitment.

  • Inclusive and flexible care

The workplace in 2023 is more dynamic and diverse than ever and in an environment like that, it is crucial for employers to develop a benefits package that recognizes their worker’s individual needs. Employers need to show that they value their employees’ differences. That is why mental health benefits are increasingly in demand as this became one of the crucial differences between employers who are supporting their employees and those who don’t. By offering your employees work flexibility, you are showing them trust when it comes to their ability to manage their time. Even for companies who think that remote or hybrid work isn’t right for their business model, it would be good to consider flexible start and end times, a four-day work week, or any other flexible benefit that can attract top talent.

Many companies are dealing with employee shortages by hiring internationally, but dealing with different labor laws and policies is everything but simple and it requires a lot of experience. With EuroDev, you can hire abroad fast without worrying about setting up an entity. You will stay compliant in every European country of your choice, and you will have an excellent team experienced to offer the necessary HR support. Let’s chat about the next steps for your hiring in Europe

Contact us

About EuroDev

EuroDev, established in 1996 with offices in The Netherlands, has a single, defined purpose to help mid-sized North American companies expand their business in Europe. We have created a proven, successful business development model and since our founding, have partnered with over 500 companies to help them define and meet their European business goals. Services provided include Sales Outsourcing, HR Outsourcing, and Digital Marketing.

Source: HRO Today, Human Resources Today, HowNow

Our latest blogs: