Hiring Globally: The New Opportunity for Local Talent EverywhereBy Gustavo Linares | Mon, 09/05/2022 - 09:00
Little did I know that in the blink of an eye our normal way of working was going to change and that change was going to be here to stay. Two years have passed since the pandemic changed typical working habits. Some companies and their employees were able to cope with this change but others were not. During this time, HR professionals and CEOs around the world had to think outside the box to keep their staff members happy and reduce attrition. But what did many companies do about it? Well, they implemented different working styles and different hiring techniques, which I call “Glocal.”
But what is Glocal? During the pandemic, new terminologies have risen, such as digital nomads and digital jetsetters. Glocal is a mixture of local and global, whether staff members want to keep working remotely or companies and startups are having exponential growth and need to expand globally. Our global must become our new local and as HR professionals we must keep up to date with new HR trends to help the business grow and, at the same time, retain our talent. I first heard this word “Glocal” in a movie over a decade ago and I remember thinking it was ahead of its time. I won’t lie: In all my years of experience working in HR in both the private and public sectors in companies big and small, I never thought HR trends would change so drastically at such speed. I still can recall attending a Hacking HR event in New York City a few years back where many HR professionals were reluctant about the need for digital transformation and artificial intelligence in their companies. A year later, the pandemic struck worldwide.
We now see thousands of remote workers living and working abroad to be closer to family and to live in the geographic region of their choice. Why? There is no need to go back to an office when most of the work can be done remotely. Mexico is quickly becoming one of the most popular destinations to work remotely because it offers remote workers everything they need to work in a comfortable place. We are also seeing many startups drastically expanding worldwide, especially tech companies. Nevertheless, many companies may experience growing pains as their headcount increases – especially if they are growing internationally. Not all of us HR professionals know the local labor laws of each country and that could be a huge liability, putting your company’s reputation at risk of legal issues. All HR practitioners can be good at spotting talent but depending on where you are hiring, the process could be complex, especially if you are hiring overseas. In a recent survey by Globalization Partners, global CFOs cite this as one of the chief obstacles that comes with hiring talent globally. Among the most referenced issues were setting up foreign subsidiaries, managing unfamiliar international HR, and payroll processing that is burdensome to their businesses.
In this same survey, global CFOs also report that their long-term growth strategies will depend on international growth. More than four out of five CFOs (83 percent) say that their company’s strategies include potential (or ongoing) growth into countries where they do not currently operate. More than half of CFOs (55 percent) say that their top priority for the next 12-18 months to achieve business goals and objectives is implementing strategies for global expansion and presence. The study also found that a key to employee retention is to allow talent to move to and work from the locations of their choice rather than having to rely on local talent only.
We are just at the beginning stages of seeing the true effects of a Glocal strategy for companies and I anticipate the exciting changes to come. So, if there’s a new word or trend I want to leave you with, it’s this: Glocal. We must adapt to change and move in the right direction. Finding and learning about an international market is key to a successful expansion and as remote work becomes the new normal in many organizations, so does the possibility of hiring people no matter where they live. Therefore, we as HR practitioners along with business decision-makers must be willing to cope with new trends that are arising worldwide. Although international expansion might sound daunting, with an Employer of Record (EOR), you can avoid the challenges of learning about the intricacies of administrative duties in other countries and focus on delivering fantastic products and services to a new market. Most importantly, you will have more time to focus on the substantial work rather than the administrative tasks. However, the best thing is that your turnover rate will fall and you will be able to have staff members all around the world, making yourself an attractive place to work.