The UK has long suffered from a productivity challenge, but it is possible that this has recently stepped up a notch. Faced with a range of external and internal challenges, ranging from inflation to remote working, UK employers find themselves in the midst of a sharp drop in motivation and engagement. The question is: how can they inspire and motivate their employees?
The research in Ayming’s second UK HR Barometer uncovers a staggering fall in motivation among UK workers. Almost nine in ten businesses reported a decline in motivation and engagement over the last three years.
It’s difficult not to characterise this as a motivation crisis. The unfortunate reality is that the UK workforce has faced a unique amount of turmoil. Over that three-year period, the UK has experienced a once-in-a-lifetime pandemic, several governments collapses, extreme inflation and an energy crisis.
Here is a quick look at some of the insights from the UK HR Barometer.
Motivation is in free-fall in the UK: The research uncovers a staggering fall in motivation among UK workers, with 89 per cent of businesses reporting a decline in motivation and engagement over the last three years.
It’s due to a unique amount of turmoil: Motivation has decreased specifically in the last year as the UK experiences a range of crises. Employees are being influenced by a range of external factors, but the cost-of-living crisis and the recession are the two most negative factors.
Pandemic as the start of decline: The decline starts three years ago at the start of the pandemic. Initially, workloads increased, leading to reports of burnout, but people and businesses are still trying to adapt to the new normal, to varying degrees of success.
The ‘Work Connection Deficit’: Organisations are positive about remote working, which they perhaps shouldn’t be. People are significantly less connected to colleagues, managers, and the overall company vision than before the pandemic, which is chipping away at motivation.
Remote working and stimulating the workforce: Many firms are reducing flexibility. Understandably, people want to sustain a good work-life balance, but working from home has a trade-off, especially with development. Organisations must stay connected and ensure communication channels are working effectively.
Extensive cost-cutting action: Half of organisations plan to cut costs this year while 37 per cent of businesses plan to freeze hiring, suggesting competition for employment is about to increase.
There is likely to be a surge in redundancies for 2023: More than a quarter of organisations are likely to make redundancies in 2023, raising serious questions about the health of the UK economy. That said, these redundancies will in part be a consequence of that hiring sprees seen over the pandemic, particularly in the tech sector.
The big impact of automation: 30 per cent of businesses are introducing AI/automation that will replace jobs. However, this will also improve work life and efficiency, saving people time and allowing people to focus on different, often more rewarding, work.
Employers of the future: The way people think about the concept of employment is changing and firms are introducing innovative new programmes to improve their employees lives, including volunteer programmes as well as financial support and childcare.
The 4-day week: The research reflects the growing momentum for a four-day work week, with 64 per cent of organisations supporting the move. However, there are a lot of questions over how it would work in practice, especially for specific sectors and jobs.
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