work
Globalization, labor shortages, digitization, major demographic shifts, and the global pandemic that began in 2020 have redefined the workforce, workplace, and marketplace. Into the 2030s, workers will continue to experience a new normal in the way they work and live as workforce predictions come true.
In this chapter, I outline the key demographic shifts that have occurred in the workforce and that are predicted to occur in the next 10 to 20 years. I also detail how technological advances continue to impact the way we work and the jobs and skills that will be needed.
WORKFORCE PREDICTIONS: 2030 AND BEYOND
The workforce predictions for 2030 and beyond are quite informative. Over the years, I’ve studied workforce trends published by global consulting firms such as PricewaterhouseCoopers (PwC); Accenture; Mercer; McKinsey & Company; EY (formerly Ernst & Young); KPMG; Josh Bersin, and others. They’ve all conducted extensive research on the future of work and how it will impact workers and leaders. The research findings provide insight into how dramatically different things will be and what new skills, habits, and behaviors people need to adopt in order to remain relevant, competitive, and sustainable. A few notable predictions include the following:
Our world is rapidly growing older. According to the United Nations Department of Economic and Social Affairs, people aged 65 or older is projected to reach 1.5 billion by 2050.
Artificial intelligence may replace jobs humans once held and create jobs that didn’t exist before.
Employers may recruit global, contract-based workers instead of employing full-time workers. Traditional offices and corporate headquarters may go by the wayside.
Traditional retirement will peter out as workers continue working as long they can.
Workers will demand more comprehensive benefits and “best place to work” environments, which may lead to job hopping.
You know how a smartwatch can track your steps and health activity? Imagine sensors that employers can use monitor employees, not just at work but all the time
Driverless cars may make commuting faster.
Increasingly Global
Globalization occurs when a business operates in a country outside its original location. Globalization allows for business growth because it provides a platform for companies to offer products in many locales, regions, and countries. Labor costs and the price of manufacturing vary all over the globe, and countries often offer economic incentives such as tax breaks and land grants to win international business. Expanding to another country presents an opportunity to employ labor from that particular location, which means an opportunity for cultural additions and diversity education.
As companies expand their global footprints, their global workforces expand as well. But this process isn’t as simple as it may sound. Essentially, successful global expansion hinges on the following:
Knowledge management: What does the company know about the countries it wants to expand to or the country where it employs workers? How is the company utilizing that information?
Skillfulness and acumen: How is the organization using its data analytics to develop and execute strategy for the production stream, operations, and people management?
Agility: How quickly and appropriately is the company responding to market changes across the globe? And is your workforce mobile (can employees work from anywhere and move quickly)?
Capturing and then strategically utilizing appropriate data is an important factor in effective global expansion. This data should reveal information about the organization and its market. Also, optimizing your data infrastructure is something to consider when expanding globally. What are your current and future IT needs, and how will a transition to the cloud impact those needs while allowing you to grow?
Another important factor is having in-country talent and a knowledge base that ensures your organization’s ability to enter or exit a market as business needs change. Establishing partnerships and alliances in the people management and talent development space allows you to meet human resource needs such as hiring, payroll, and performance management.
So how do you then attract the best talent from anywhere in the world to work anywhere in the world? Following are three important considerations for hiring globally:
Establish a legal presence in the locale through a foreign subsidiary.
Hire an independent contractor from overseas. This approach may be a more viable option until you’re ready for a direct hire.
Manage compliance. Adhering to local and national laws of operations is essential, and to do so, you need talent onboard to manage this area.
If you’re interested in recruiting talent to work globally, here are a few tips:
Provide the employee with a “best place to work” experience, beginning with the recruitment and onboarding processes.
Provide a diverse work community.
Establish excellent corporate social responsibility practices.
Offer comprehensive and competitive benefits and services.
Allow for flexibility in how and when workers work and get paid.
Increasingly Diverse
With increased globalization comes an increasingly diverse workforce. Five generations are currently in the workplace (seniors, baby boomers, Generation X, millennials, and Generation Z), with millennials and Gen Zers making up approximately 50 percent of the workforce. Add gender, race, ability, LGBTQ identity, diversity of thought, and many other attributes, and you’re looking at an intricate mosaic of individuals.
In this section, I break down in more detail some examples of
