What SHOULD You Be Thinking About as We Ring in 2022?
At ETHIX360, we think a lot about compliance, HR, and applying technology to make those departments more efficient and robust. Like, all the time a lot. In all honesty, only a few years ago it was not the same daunting task that it has become. So now that we find ourselves at the end of another year that was like a ride on Mr. Toad’s Wild Ride at Disneyland, it’s time to add the mountain of 2022 prediction articles and blog posts.
It’s been incredibly challenging to keep up with the world of compliance and HR the past few years. One of the main reasons is the quickly evolving global regulatory rate of change, and another is the compounding nature of extreme outside influences like COVID and the unpredictability and rapid response that those outside influences require.
Top 5 HR and Compliance Predictions for 2022
Increased uncertainty about the future state of the workforce. WFH? Full office reopenings? Hybrid? We are in uncharted waters with this phenomenon, but as we hopefully reach some kind of “next normal” we need to stop experimenting, determine what works for our business or industry, and move forward. We think this will remain “unsettled” throughout 2022.
Acknowledging the multi-generational workforce. We are seeing a much higher degree of diversity in the age demographics of the workforce that now includes everything from traditionalists (born pre-1946) to Gen Z (born 2001-2020). We have never seen a wider representation and that impacts everything from policies to communication. Sadly, a recent Deloitte survey showed that less than 6% of corporate leaders are equipped to lead in this multi-generational environment.
Increased focus and spend on DEI training and revisiting corporate culture. It’s not just age demographics that are expanding, but others as well - the gender spectrum and racial boundaries to name two.
The “Great Resignation” will continue, will grow, and will expand globally. So far a largely US-centric phenomenon, this will expand globally. This has driven employees to leave jobs so they can achieve a greater work-life balance and has caused retention havoc. This will only get worse in 2022.
A renewed focus on talent management and talent development. Talent development needs a reinvention considering high turnover and remote workers. Existing tools and processes just won’t cut it. Given the rate of turnover and short tenures, you have less time to get employees productive and have to balance that investment knowing many will be poached (see point 4 above!).
I’ll list my top 5 predictions for 2022 without much commentary. Instead, I’m going to focus on what you might not be considering as you buckle up for what could be another wild ride.
WFH Tax and Business License Implications. This has become somewhat complex and differs greatly between jurisdictions. For example, there could be local business licensing regulations and not many companies are doing all the legal due diligence in this regard. This is even more important to understand if you are converting prior full-time employees to contractors.
Liability Insurance. One company I spoke to recently has made the decision to go 100% virtual. They updated their insurer and were surprised to find out that prior events which may have previously been covered weren’t anymore. This left them with a lot more exposure around errors, omissions, and cyber insurance than they had previously enjoyed.
Perks and Benefits. It was only a few short years ago when small businesses, especially tech startups, had some pretty cool offices with bars, game rooms, lounges, workout facilities, and even day care on premises. These were mostly instituted to drive a cohesive culture when there was strength in social alignment. People supported each other because there was a bond that went past the work. In moving to virtual or hybrid environments, the value driven by those perks and benefits in creating cohesive supportive culture are gone. So where will you turn? Zoom was the coolest thing in 2020, but now it is predictable, isolating, and limited. Start to look for solutions that will facilitate human interaction and not just drive productivity. That human connection is critical and sadly pretty low on the list of considerations.
All in all, the good news is that HR and compliance professionals have a minute to think about this. After nearly two years of being in constant response mode to new and emerging threats, things are more normal than they have been in a long time, which allows us to be strategic and not just reactionary.
The ETHIX360 blog brings you weekly updates on all things human resources and compliance.
MEET THE AUTHOR
J Rollins is the co-founder and CEO of ETHIX360. J is a well known leader and innovator who has served on senior leadership teams ranging in responsibility from Chief Revenue Officer, Chief Marketing Officer, SVP of Product Strategy and Chief Operating Officer.
ABOUT ETHIX360
At ETHIX360, our goal is simple: to provide an affordable, flexible, and comprehensive answer to employee communication, policy management, corporate training and case management on issues related to corporate ethics, code of conduct, fraud, bribery, and workplace violence.
