Stay Ahead in the Labor Market: Applying Maslow’s Theory to Talent Retention
Discover the benefits companies provide to meet additional elements of Maslow’s Hierarchy of Needs.
In the first part of the two-part series, Derek McIntyre, chief operating officer of TCP Software, discussed how companies can create an environment for employees to thrive by providing benefits combined with technologies that make work and life easier. In this second part, he explores the benefits companies provide to meet additional elements of Maslow’s Hierarchy of Needs.
Second, only to compensation, work-life balance is a top priority for job seekers who expect to receive flexibility from prospective employers. Expectations of employers have grown in our post-COVID lives, particularly given the rising labor shortage. Employees now look to their employers to fulfill a broader spectrum of their needs. As technology has advanced, companies have adapted and are providing a range of software and apps to meet employees’ every need and help recruiting and retention efforts.
In Part I of this series, I explored the evolution of employers’ responsibility for meeting the various needs of employees, which was accelerated and influenced greatly by COVID-19. In the nearly three years since the pandemic began, we have seen this continue, with many of the needs closely mirroring Maslow’s Hierarchy of Needs.
Employers are attracting and retaining talent by meeting safety needs, including providing generous caregiver benefits and delivering financial freedom through on-demand pay. Beyond meeting safety needs, employers also fulfill additional elements of Maslow’s Hierarchy of Needs, including esteem and self-actualization.
Enabling Development and Retention Through Continual Training
Going back to Maslow’s Hierarchy of Needs, once employees have achieved job and financial security, in addition to feeling that they belong within their network of colleagues, they are looking to fulfill esteem and self-actualization.
We know that the best talent continually seeks opportunities to learn, build new skills, and grow. According to the American Upskilling Study: Empowering Workers for the Jobs of Tomorrow by Gallup, 61% of U.S. workers say that upskilling opportunities are an important reason to stay at their job. In comparison, 48% would consider leaving their job to pursue an opportunity that supports skill development.
Even among the youngest members of the workforce, there is a strong demand for learning, with 66% of workers ages 18-24 ranking learning new skills as the third-most important perk when evaluating new job opportunities, behind only health insurance and disability benefits.
As employee development plays a fundamental role in recruiting and retention, organizations must find ways to facilitate employee growth through training sessions and learning opportunities that add value and can be applied on the job. Sam’s Club is a leading employer in this arena, as they offer a variety of valuable training programs for employees of all levels. Programs focus on supporting employees in their current roles and preparing them for future roles — a key to retaining talent.
For instance, the company’s Manager in Training program prepares high-potential team leads for managerial roles. In contrast, the Career Futuring program is available for any associate unsure about the next step in their career. And these programs are paying off. Each year, Sam’s Club promotes approximately 20,000 employees into jobs with more responsibility and higher pay, a significant feat given 75% of its salaried managers started with the company as hourly employees.
These results speak for themselves and unequivocally demonstrate the tangible impact employee development programs have on retention. By providing specialization and job training to employees at all levels, Sam’s Club enables its associates to achieve greater opportunities and status, hirer wages, increased job security, and a stronger sense of belonging.
See More: How to Best Engage Virtual Learners in a Corporate Training Event
Leveraging Technology To Improve Employee Experience
Employee experience is all the talk, particularly in today’s environment where attracting and retaining talent is table stakes. But how can business leaders go beyond lip service and deliver on the promises of employee engagement? Technology is key. We now have apps, widgets, and wearable devices that help us manage our personal lives, and we expect to leverage similar technologies that enable us to work better.
Prospective employees seek companies with the best benefits and perks, which often include modern technologies to improve business processes. Gone are the days of punching a timecard. Today’s talent expects access to innovative technology across all facets of their work, from using an app or facial recognition technology to clock in and out of their shift, to using AI technologies to automate complicated and time-consuming processes like data analysis, customer support, and transcribing meeting notes.
For employees in HR, there are a wide variety of tools and software solutions that streamline complex processes that were completed manually in the not-so-distant past. Advances in compliance software make it easy to comply with labor laws and mitigate the risks of employing minors, while payroll and scheduling solutions can also be automated. Human capital management software also makes it easier to assess employees’ skills, streamline talent acquisition processes, and manage employees from hiring to retirement. Employees are increasingly seeking meaningful work, and to have the most impact, access to modern technology is key to operating as effectively and efficiently as possible, enabling freedom, a fundamental piece of Maslow’s esteem need.
See More: 5 Experts on HR Technologies Transforming the Employee Experience
In the wake of COVID-19 and critical labor shortages, employee expectations and the involvement of employers have changed drastically. As companies seek to compete, let alone stand out in today’s competitive market, they must provide a wider range of benefits and technologies to attract talent and retain committed, engaged employees. With these perks in tow and employees’ needs across the spectrum of Maslow’s Hierarchy met, companies will notice improved morale, engagement, performance, and retention across their workforce.
How are you using technology to provide your employees with the required benefits? Share with us on Facebook, Twitter, and LinkedIn.
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