The changing world of employee mobility: Trends and next practices

Transcription

1 The changing world of employee mobility: Trends and next practices Katalin Jakobsen Senior Manager

2 HR Knowledge Fair The changing world of employee mobility Agenda 1 Megatrends and changing the rules What s on the mind of CEO s? Employee mobility trends Mobility challenges & next practices 5 Taking your mobility program forward

3 Megatrends are changing the rules Demographic and social changes Shift in global economic power Rapid urbanization Climate change and resource scarcity Technological breakthroughs Effective workforce planning and longer term mobility strategies are required to close talent gaps between markets Expansion is reshaping the war for talent and with it flexibility in mobility package design and delivery is expected Companies are embracing nontraditional mobility to balance interest in roles, but not locations Companies are re-evaluating the definition of hardship locations and how to address this in the mobility policies Predictive analytics will enable companies to make informed mobility decisions grounded on empirical data Source:

4 What s on the mind of CEOs? 75% 49% 59% 72% of CEOs say that a skilled, educated and adaptable workforce should be a priority for business of CEOs are changing their focus on the leadership pipeline of CEOs believe that top talent wants to work with organizations that share their social values of CEOs are concerned about the availability of key skills Source: PwC 19 th Annual Global CEO Survey, 2016

5 What s on the mind of CEOs? In 2020 the top skills needed in workers will be.. Workers in high demand will be..

6 Employee mobility trends (1) Emerging markets Seven of the world s biggest economies will come from emerging markets by 2030 How will your company meet the hiring demands of emerging markets? Section title Mobile population growth Estimated 50% more mobile workers by 2020 Is your company on pace with the trends of increased worldwide mobility? Millenials Millennials will make up 80% of new hires by 2020 and prefer firms with established mobility programs What longterm risk is your company taking by not engaging Millennials in mobility roles?

7 Employee mobility trends (2) Traditional long & short term assignees Individuals on assignment for a defined period of time with a guaranteed right of return to the home country Local plus Individuals who move permanently to a new country who receive some additional compensation or benefits compared with locals in that country Permanent transfers Individuals who resign from their home country employer and take up permanent employment with the host country employer Regional/Global roles & Global Nomads Individuals on assignment whose remit covers multiple countries and individuals who undertake back to back assignments with no real home country Developmental and Talent swaps Individuals sent on assignment for developmental purposes Talent swaps where two companies in the same group agree to swap individuals for a fixed period of time Senior International hires Senior level employees recruited locally in country, who are not a native of that country International commuters Individuals who live in one country and work in another on a regular basis International Business travellers Individuals who are not on any formal assignment programme but who undertake business travel as part of their role

8 Mobility challenges & next practices Agile global workforce Strategy Operational excellence Cost & Compliance Businesses want and need a more global and diverse workforce, one that can work easily anywhere, at any time and be agile to meet business needs. Businesses need HR and mobility teams to step up and take a more strategic role (with a defined talent mobility strategy) HR and mobility teams are expected to deliver operational excellence and a distinctive mobility experience Managing costs and increasingly complex compliance remain the top priorities to get right

9 Mobility challenges & next practices We have a few business meetings coming up all in different cities around the globe.. Short-term business traveler risk New York Sao Paulo Madrid Shanghai Sydney Risk include: Immigration Social security Employment and personal taxes Corporate tax (PE risk) Employment law violations Reputation

10 Mobility policy considerations Developing a strong suite of policies and innovative solutions Differentiation of mobility spend to criticality of market Increased use of various types of deployments Simplification of policy documents One-size-fits-all assignments based on duration alone are no longer adequate. Forward-looking organisations are moving to purpose-based assignments, which match the type of move and the associated reward package with the business and career development reasons for the move. Development of flexible reward within a framework Introduction of assignee choice programs Provide tailored and attractive nontraditional benefits

11 Taking your mobility program forward Those organization that keep pace with the changes in the world and continue to evolve their strategies and programs will become leaders in the talent market and create long-term value for their business. Key program considerations High diversity of assignments (gender, age, talent criticality, market criticality, origin) KPIs, ROI, data analytics and improved cost reporting Increasing role of technology, automatization Mobility management integrated with talent management Regular review of mobility strategy (structure, policies and processes) Business travel compliance responsibility

12 Will your organization keep pace with the world changes? Critical actions to think about... Mobility strategy and policy needs to reflect the impact of the megatrends, particularly with regard to the expansion of policies to encompass nontraditional forms of mobility, such as extended and frequent business travel and commuter arrangements. Market forces will increasingly drive mobility strategy and this requires continuous open dialogue between stakeholders including line HR, talent mobility teams and business leaders. Strike a balance between meeting immediate and shorter term business needs and developing high potential talent and future leaders in the longer term.

13 Contact Katalin Jakobsen Senior Manager PwC Geneva Avenue Guiseppe-Motta Geneva PwC

14 Thank you! This publication has been prepared for general guidance on matters of interest only, and does not constitute professional advice. You should not act upon the information contained in this publication without obtaining specific professional advice. No representation or warranty (express or implied) is given as to the accuracy or completeness of the information contained in this publication, and, to the extent permitted by law, PricewaterhouseCoopers AG, its members, employees and agents do not accept or assume any liability, responsibility or duty of care for any consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this publication or for any decision based on it PwC. All rights reserved. In this document, PwC refers to PricewaterhouseCoopers AG which is a member firm of PricewaterhouseCoopers International Limited, each member firm of which is a separate legal entity. HR Knowledge Fair Diversity & Inclusion PwC November