Korn Ferry surveyed 10,000 professionals at various career stages ranging from entry-level roles to CEOs across six key markets: USA, UK, Brazil, Middle East, Australia and India. The startling facts revealed by the survey shed light on the evolving priorities of the workforce and how employers can attract the best talent in line with the current trend.
The main factors employees consider when choosing a new job
‘What is the salary structure?’ This is one of the most frequent questions asked by employees when considering a job offer. However, statistics revealed by Korn Ferry’s Global Insights Report: Workforce 2024 There is a striking difference in the preferences of employees when it comes to working conditions. Salary is in second place, while the first rank is secured by flexible working hours in the list of employees’ preferences for a new job. This is the top choice among all age groups. While money is also a major priority for many age groups, flexibility has not taken a back seat. The scope of work flexibility also includes allowing employees to work from wherever they want.
Apart from these three crucial parameters, there are other factors that deeply influence the decision of job seekers: learning and growth opportunities, diversity and inclusion, etc.
Important Factors Affecting Employee Retention Rate
According to the study, the six main factors that employees consider for staying in a job are: financial perks, flexible work hours, job security, helpful co-workers, great managers, and growth opportunities. Flexible work hours remain a top priority for employees. In addition, job security and positive workplace culture contribute significantly to improving retention rates within companies.
Main reasons for leaving the job
According to the survey, employees cited three main reasons for leaving their jobs: inadequate compensation packages, concerns about job security, and limited opportunities for career growth. Dissatisfaction can arise when pay is not in line with industry standards or fails to reflect an employee’s contributions. Additionally, the perception of instability in their roles can discourage employees from staying in the organization while the absence of clear opportunities for professional advancement often prompts them to seek new opportunities.
Job Preferences of Indian Workforce
The study found that individuals aged 35-65 years in India consider learning and development (L&D) to be the most important factor for career growth more than any other age group. Meanwhile, younger respondents aged 18-24 and 25-34 years ranked flexible working hours as their top priority. Surpassing the global average of 64%, 81% of Indians are optimistic about how AI will transform their work. Moreover, 74% believe that integrating AI into their jobs will boost their career prospects and increase their professional value. Here are some more interesting findings about the job preferences of the Indian workforce.
Key lessons for employers
The Korn Ferry survey highlights the changing demands of the current workforce, making it essential for employers to meet the needs of employees to improve job satisfaction and reduce attrition rates. Here are some essential things for employers to learn from the report.
Create an employee-friendly workplace
The report outlines the changing priorities of the workforce and how flexibility and positive work culture have gained a central place in employee preferences. They are no longer buzzwords but have become a vital mandate. Micromanagement and creation of claustrophobic spaces can not only negatively impact productivity but will also lead to higher attrition rates. Developing a positive work culture is the only answer to high attrition rates.
Offer a competitive salary package
According to the report, 40% of employees globally feel that they are underpaid. Remuneration is always one of the biggest factors while choosing a job opportunity or deciding to change jobs. Make sure your employees are being paid as per the industry standards. Evaluate their performance on a regular basis and provide them with incentives and bonuses based on the efforts and skills they have put in.
Strengthen job security
In the current job market dominated by layoffs, job security has become a major concern for employees. Employers must ensure that they are alleviating the fears of their employees and reassuring them that their efforts matter. Surveys show that half of employees under the age of 44 feel that they can be replaced by AI. This may lead to younger employees quitting and exploring other fields. Employers need to have positive conversations with their employees and reassure them that AI cannot be a substitute for human intelligence, empathy, and decision-making skills. This will re-instill their confidence in their abilities.
Provide ample learning and development opportunities
Learning and development (L&D) opportunities are a key focus for the Indian workforce. 67% of employees surveyed responded that they would rather stay in a workplace they don’t like if it provided them with suitable learning and development opportunities. With the massive influx of Gen Z and millennials in the workplace, whose main focus is on upskilling, L&D has come to the forefront of job preferences.
Facilitating growth opportunities
Companies that provide their employees with the right environment of opportunities are more likely to have highly satisfied employees. Providing promotions or new projects that have their own challenges and learning opportunities will undoubtedly enable team members to hone their skills and increase their job satisfaction.
