Over the past 12 months, we’ve seen a seismic shift in the global workplace — what we call “The Great Reshuffle” — where people have started to reconsider not only how they work, but what their work means. Job transitions are up nearly 50 percent year-over-year, and a LinkedIn survey recently found more than half of working Americans are looking for more fulfillment from their work.
As a result, talent leaders are operating in new ways, investing in what people care most about now — things like clear career paths, inclusion and flexibility. In one of the hottest labor markets on record, a skills-based approach to attracting and retaining talent is one of the biggest competitive advantages.
Why investing in skills has come to the forefront
With the dynamic change of the past two years, companies are still rethinking their working models, cultures and values. A big part of this evaluation is a renewed focus on upskilling and reskilling as they work to retain talent, as well as a shift to skills-based recruiting.
Over the past year, organizations have made a material shift in the way they hire. Rather than primarily focusing on diplomas and past experiences, they are becoming laser-focused on skills, as evidenced by a 20 percent increase in managers hired who don’t have a traditional four-year degree. With the labor market being as hot as it is, this trend allows organizations to expand their talent pools, create a more inclusive recruiting process, attract more diverse talent into their organization and ultimately achieve more.
Employers can broaden talent pools, level the playing field for job seekers from nontraditional backgrounds and find people who will be more committed to their organizations. LinkedIn data shows that employees without a traditional four-year degree stay at companies 34 percent longer than those with a degree.
Employees are also demanding opportunities to learn and grow. This is now the No. 1 driver of a strong work culture, as 44 percent of people plan to invest in online learning to improve their careers, according to recent LinkedIn research. As people yearn for jobs and careers with purpose and closer alignment to their own values and personal needs, organizations need to revolutionize the way people learn at work by investing in their employees’ development and ability to build skills for the future.
Learning and development will be leading the charge. Nearly three-quarters of executives believe that training is crucial to helping people work effectively in a hybrid world.
How people learn, and what they expect, is evolving too
Just as the way we work has changed, so has the way we learn. Development efforts should align effectively with hybrid and flexible work environments and new employee expectations. A connected and relevant learning experience that is on-demand, rich with insights and in the flow of work will be critical.
Content must be accessible and should be tailored to an individual’s goals, abilities and learning style. Programs should also enable the much missed connection employees are craving.
Community-based learning and social features help fill this void, and learning together increases engagement. Our data shows that learners who participate in Q&A discussions, course shares or learning groups watch 30 times more hours of learning content than those who don’t.
Skills-building programs should also be integrated with talent acquisition so people can own their learning journeys. With the right tools in place, companies can create a flywheel that makes it easy for people to future-proof their careers through evolving roles and stretch assignments within the same company.
Investing in people isn’t just the right thing to do — it yields better business results. Creating a culture where people feel invested in — where they are building new skills and capabilities for the job they have and the job they want — is a strategic investment in not just your employees, but your entire organization.
When ongoing learning is the norm and built into the fabric of the culture, organizations will be able to build skills at a rapid pace. And more skills at your organization means more innovation, impactful business results, more engaged employees — a true competitive advantage.
Until recently, however, most employees did not feel supported enough to look for their next role internally. LinkedIn’s Employee Well-Being Report shows that only 1 in 5 believe they can meet their career goals where they work today.
Competing for talent in ‘The Great Reshuffle’ and beyond
As we move into a new year and the next chapter of work, expect to see a resurgence of internal mobility, expanded diverse talent pools and career transformations propelled by upskilling. The talent conversation will shift from a career path to, as Harvard Business Review puts it, a “career portfolio,” which includes individual skills profiles, experience and potential.
In other words, a career journey is rarely a straight line to a final destination. There are twists and turns and pit stops for learning along the way. Talent developers are charting a new course for skills building at their companies. Employers that help their employees learn and grow with intention, clarity and flexibility will have competitive advantage and emerge as the leaders in 2022.
