June 20 2006 - A survey by Hewitt Associates, a global HR services company,
has found that big and small organizations in all industries throughout Canada are
finding it challenging to attract and retain workers. Most of the 232 employers in the survey
are focusing on flexibility as a means of addressing the problem.
While three-quarters of Canadian companies are finding difficulties in
attracting or retaining employees, 44% have problems with both. The situation is worst
in Alberta where 97% of respondents were having difficulties and almost two-thirds reported
that both attraction and retention were challenging. With an aging workforce - half are over 40 -
the problem can only get worse.
According to Cathy Course, a senior benefits consultant in Hewitt's Calgary
office: "Canadian employers understand that they will all soon be facing the
labour shortages companies in Alberta are already experiencing. As a result,
we're working with HR professionals across the country to look at new ways to
adapt workplace policies and practices to appeal to workers in a competitive
environment."
Flexibility offers a solution, according to the survey. More than half (52%) of
respondents said that flexible hours and benefits will help attract and keep the best employees.
John Tompkins, a principal in Hewitt's Toronto benefits consulting group says that:
"Organizations are beginning to realize the need to convince older
workers to stay on the job longer. At the same time, they want to convince
Generation X and Y employees - those under age 40 - to join them. With an
employee population so diverse in terms of age, a 'one size fits all' approach
is no longer effective. Employers who can identify and meet the different
needs of their employees will be most successful in the current labour
market."
Hewitt's survey indicates that 55% of organizations are intending to
introduce formal phased retirement programs, offering shorter working weeks for older employees near retirement, by 2009. This compares with the
26% that have such schemes at present. Additionally, there is increasing interest in
offering other flexible arrangements such as:
- Job sharing
- Flexible hours
- Compressed work schedules
- Vacation buying and selling
- Working from home
- Elder care support
- Wellness accounts
- Unpaid time off for charitable work
- Assistance with home technology purchases
Hewitt advises employers to take a disciplined approach to such working
arrangements. "Employers need to
balance their need to have the right talent with the reality of their
financial situation. We recommend organizations undergo a process to audit
their current talent pool, assess their future workforce needs, and then
determine what they want to change and how that fits within their budget,"
said Cathy Course.
"Workers need to really
understand the value of what employers are providing over and above wages and
salary," she said. "With the labour shortage, organizations can't afford
to lose employees because they don't know the extent of their full
compensation package."