Skills Gap Leads to Workforce Investment

As technology continues to advance and increase efficiency across a variety of industries, organizations continue to slow their hiring rates. Surprisingly enough, it's not always due to a slow economy or lack of growth, but simply that technological infrastructure is preventing companies from needing as many people. Additionally, for the positions employers are looking to fill, there is often a skills gap between the candidates available and what the employer is looking for. So even for the limited positions available, employers can't find qualified replacements for their departing staff. The solution? Employee retention, invest in people so they stick around. A recent study from Ken Esch and PwC Private Company Services notes that 20% of employers surveyed feel pressure to raise salaries, partially to retain employees. 56% of employers indicated that hiring remains a priority for the company, given the skills gap and the increased difficulty to fill positions with the level of talent and skill set required. However, most compelling is that a whopping 84% of employers surveyed are making substantial workforce investments, ranging from training programs, to talent retention benefits like workplace rewards programs. Workforce investments that recognize employee effort, motivation and increased production are great ways to increase employee retention. Using small denomination gift cards to retailers like
Subway,
Crutchfield or even
Xbox Live are effective ways to reward employees, with trophy value that creates a lasting impression. For more information on the skill gap and workforce investment head over to Forbes
here.