Counting the Cost: How Businesses Risk a Post Pandemic Talent Drain
Over the past year, many businesses have been in crisis mode. And, for some, the focus on firefighting has caused other areas, such as their people strategy, to fall to the wayside. But negligence comes at a cost.
We surveyed 500 HR decision makers and 2,000 employees in the UK and Ireland and conducted economic analysis.
About the Study
Over the past year, many businesses have been in crisis mode. And, for some, the focus on firefighting has caused other areas, such as their people strategy, to fall to the wayside. But negligence comes at a cost.
Employers have been judged on their people strategy throughout the pandemic and many risk paying the price for their actions later. Businesses that haven’t prioritised their people during the pandemic could be sleepwalking towards a talent exodus, damaged employer brand and a productivity drought.
We surveyed 500 HR decision makers and 2,000 employees in the UK and Ireland and conducted economic analysis based on our findings and other publicly available information.
Talent exodus on the horizon
As businesses in the UK and Ireland set their sights on recovery and a return to business-as-usual, a talent exodus is on the horizon.
Pre-pandemic, the average staff turnover rate was around 34.9%. But over a third of employees (38%) are looking to change roles in the next 6 or 12 months or once the economy has strengthened.
A broader disconnect
A lack of awareness amongst employers of how their company’s handling of the pandemic has been perceived could be contributing to a lack of loyalty amongst employees.
A looming productivity drought
Employers aren’t just overestimating how well their organization has handled the pandemic. They’re overestimating their team’s productivity, too.
Fragmentation Frustration
With remote working leading businesses to use more digital tools, another growing risk factor for businesses is the ‘fragmentation frustration.’ Caused by digital tool overload, this has the potential to negatively impact productivity and performance.
Barriers to effective people strategies
Despite having the very best intentions, the HR function still has some barriers to overcome in order to bring people strategy to its rightful place at the top of the agenda and help businesses to reach their productive potential.
Methodology
Survey fieldwork was undertaken on behalf of Personio by Opinium, with fieldwork conducted between 12th and 22nd March 2021. The survey sample was 500 HR decision makers and 2,002 workers in the UK and Republic of Ireland, across a range of industries and organisation types and sizes.
The report also includes figures from survey fieldwork undertaken in Europe. Economic analysis was conducted by Development Economics on behalf of Personio.
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