The labor market belongs to the post-pandemic employee, who is characterized by a newfound autonomy discovered during the COVID-19 pandemic; and while salary and benefits remain important qualifiers, their importance has been superseded by a good work-life balance, according to a regional insight report by LinkedIn. This shift has been followed by new additional priorities that will require employer concessions.
The study recognized three principal priorities in the Mexican post-pandemic labor market: a good work-life balance, excellent pay and benefits and job security. Meanwhile, the importance of flexible work conditions has increased by 16 percent, decision autonomy by 14 percent and the ease of transportation to the workplace has increased by 11 percent as of June 2021. This transformation is reflective of employees lived experiences during lockdown that allowed them to build their work schedules around their needs, gave them more time with their families and helped them avoid multi-hour-long commutes.
While the employee has changed however, businesses have failed to adapt their work environments and standards to new labor expectation, which is the underlying problem driving the great resignation. Employee dissatisfaction is reflected in growing rates of burnout, which skyrocketed by 9 percent in recent months, and a 3 percent drop in employee satisfaction, according to global data by Glint, an employee services company. Furthermore, in surveys over the past year, employees gave work-life reconciliation and remuneration low scores, according to the same Glint study.
This disconnect is already driving a massive labor exodus in information economies like the US and it is projected to make its way to Mexico, Blanca Ruth Ortuño, Sales HRBP Senior, Nestlé, told MBN. This ongoing phenomenon has signaled to employers that the singular remunerative incentive and the traditional top-down work model is outdated and apparently businesses have been slow to react. If companies fail to respond they will find themselves loosing valuable human capital to competitors. Therefore, the task for employers is to formulate and incorporate conditions that are reflective of their employee’s expectations, which in some cases will require concessions.
“Just as they changed, our strategy must transform and adapt, always based on really listening to your associates” said MBN expert contributor Maite Delgadillo, Director of People, Scania Mexico.