2021 Year in Review – The Great Resignation, U.S & Global Workforce Trends

The great resignation is affecting many corporations and their partners in the Human Capital Industry. For companies implementing a hybrid office with remote work post covid, worker resistance and an outbreak on new covid strains have caused delays.

With companies and their workforces wrapping up 2021, we have seen many corporations and their partners in the Human Capital Industry explore new methods and processes to help source and retain the best talent.   As some companies tried to return to a hybrid office with remote work post covid, a few factors including worker resistance and an outbreak on new covid strains have delayed many companies’ plans.  The worker resistance to returning to the office has caused what many are referring to as “The Great Resignation”.

TALENT SOURCING

Companies are now looking to identify full time workers, contingent contractors, and global remote workers in every corner of the world.  Global talent today has the education, skills, language, versatility and desire to with work for companies, regardless of borders and boundaries.

REMOTE WORKER ENGAGEMENT

A few factors are present when looking to onboard and entice these global remote workers. These are important considerations for every company to consider before they make the decision to engage remote talent.

  • Does the company have a local entity in-country, and sufficient understanding of the local employment laws to bring on the worker compliantly and effectively?
  • Should they utilize a tested and trusted in-country Employer of Record “EOR” partner to manage all the workers contracts, payroll, compliance, taxation and benefits to ensure success?
  • What type of tasks are suitable for remote work with little daily interactions with the overall team? What communication tools are available to achieve virtual presence?

STARTUPS

Many start up companies are looking to bring in talented workers to help expedite and fuel their growth and expansion. These companies also are looking globally for the best talent and many times want to engage the workers as Independent Contractors to save cost and time to on-board.

This brings other sets of challenges and international worker, or contractor compliance is sometimes overlooked.

COMPLIANCE

Government requirements for independent contractors to fully comply with local regulations vary widely. Making a payment via a transaction payment platform does not bring any level of compliance and usually only expands the risk of non-compliance. Global worker and independent contractor compliance can also be achieved with the utilization of a global partner who is experienced in worker compliance and vetting.

“The days of being limited to a city, state, or country when looking to engage talent or expand your team are dwindling as the competitive access to talent continues to rise with the increased capabilities. A 2021 survey by PWC showed that 65% of Americans were looking for new jobs in August 2021, with a leading reason being “more workplace flexibility”. Organizations and candidates alike are becoming increasingly interested in the importance of work, rather than the importance of where the work is being done.” Konner Scherry, CCWP Senior Global Solutions Manager, CXC North America

TALENT POOLS

As these various forms of global workers are being engaged, many companies are placing these workers as contractors into talent pools, to assist in the future identification of the needed talent for possible projects in the future.  Talent pools can be both private and exclusive to a single company or can be public talent pools open to multiple companies and human capital companies.

THE FUTURE OF TALENT

“The Great Resignation”, combined with companies’ continued expansion of contingent and remote workers around the globe, will further affect today’s environment of talent shortages and employee driven market.

ABOUT CXC

CXC simplifies how organizations and independent contractors or self-employed workers connect, ensuring compliance and efficiency.

Established in Australia in 1992 to provide contractor vetting, compliance and payroll, the international independent contractor market has continued to be our core, with services now delivered worldwide by local specialists. Our corporate solutions have evolved over the past decade due to increasing market complexity, regulation, technology and evolving client demand.

CXC is now able to be an extension of your HR and Procurement function, taking responsibility for your entire employed and self-employed workforce. CXC’s difference is that, while managing visibility, cost and control, we also enable your talent first approach – including access to new and known talent and improving the engagement and performance of the workforce.

As an experienced and trusted domestic and global partner for your remote and in-office workers, CXC acts as the Employer of Record (EOR) in each country where your workers need to work.

CXC’s cloud-based worker platform MyCXC, enables onboarding, benefits management, employer and employee taxation and compliant payroll in local currency.

ABOUT CXC COMPLY

CXC Comply is CXC’s proprietary global independent contractor compliance SAAS platform, for vetting, worker classification, right to work checks, contractor payroll and payments worldwide.  Contact us directly to book a demo.

 

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