To discuss the role of the right employee value proposition policies in hiring and retention, Nikhil Arora, VP and MD of GoDaddy India joined us for an episode of the People Matters Podcast. Here are some excerpts from the interaction.
A survey conducted by ManpowerGroup states that hiring may increase by 29% globally in quarter two of 2022, with Brazil, topping the list followed by Colombia, India, Mexico and Sweden. On the basis of this, how do you see the role of hrs transforming this year to hire the right talent in the face of great resignation at also retaining them?
As a supply struggles to match demand, we will see people costs and attrition numbers going high. We will see the attrition rate of large companies with more than 10,000 employees hovering around 30% and companies with less than 50 employees at 25 to 26%. So clearly companies are battling the attrition issues.
A lot of companies don't understand why their employees are leaving. Most of the time the assumption is that employees are leaving due to economic reasons, rather than perhaps taking the time to investigate the root causes of attrition. Sometimes businesses resort to quick fixes. For example, either increasing the pay, or financial work and bonuses and so on.
As we've seen during the pandemic, and now, employees really crave engagement in human aspects of work. Employees want the job to have meaning and improved sense of purpose. And essentially, these softer factors really will help employers retain talent and the way the HRs can go about is by having some good people analytics tools. So they can get real-time feedback and an idea about the burning issues which are affecting employees. They need to embrace hybrid work culture, and maintain more diversity, equity and inclusion. But the fundamental takeaway here is to understand the employee pain point and a lot of times it's not covered.
What has been the significance of the right EVP policies in the remote or hybrid work environment?
Management and organic retention, and a remote-first work environment with the employee value proposition have proved to be effective for the companies. Essentially, it's in the prioritization of hiring policies, the creation of a strong brand in the eyes of the public and employee involvement. It gives organizations a competitive advantage in the talent market, while also enhancing engagement, productivity and performance. EVP promotes universal employees to build deep bonds with coworkers organizations and positions, enriching their work experience and raising stakeholder engagement and most importantly.
Today's reevaluation of our employer brand and EVP will assist in attracting new talent. Having a strong EVP just displays a clear commitment from an employer to make sure that they're bringing in the employees with the right match the right expectations.
A lot in the workforce management space is new on the plates of the HRs. How much active the HR department of GoDaddy has been in welcoming the employees back into the office?
I think the job of leaders, executives, and HRs have all merged in the situation. I think it's a collective responsibility of all of us to make sure that we are wearing an HR hat because ultimately, we all are managing people. And so in partnership with HR, we have implemented programs for employee wellbeing, which include both physical and mental health in the hybrid work environment, a flexible approach to work from their own homes and so on. Our employees can come back whenever they are ready, and we are not forcing them about this.
So I think it's been, I would say, a 360-degree approach all the way from focusing on the health and well being to focusing on the physical workspace which is their home and providing everything we can ranging from allowances to pieces of equipment that they need.
What should be the right HR strategy in terms of helping employees to get back to offices this year?
First of all, it is important to be diagnostic and assessment of various locations your employees are located in because the COVID and the lockdown situation varies from site to sitet. So it's important for HR and a company to make sure each geographical location is being assessed on its own merit. And that means some locations open at some point and some locations don't open at some point and it's a phased-out approach.
Secondly, it is important to sequence out on the basis of the roles and functions before asking employees to be back at the site. It is important to make sure that when they're coming back that there are enough processes in place at the location for employees to start feeling comfortable. The process is almost like that of re-onboarding. So, HRs have to act accordingly.