2002 Trends in Human Resources
Reprinted courtesy of HRnext
As we embark on a new year, the editors at HRnext put their heads together and came up with a list of trends they think will be the focus of HR departments in 2002:
In the midst of an ongoing recession, companies will need more than ever to pay close attention to the bottom line. As a large portion of any company's expenses is related to personnel, HR departments will be asked to play a more strategic and prominent role in company decisions. HR managers will be asked to closely align HR to company objectives. Staff reductions and other cost containment. As companies layoff employees, leave positions unfilled and make other cost reductions to try and stay afloat during the economic recession, it will be up to the HR department to implement the reductions, assist terminated employees and keep the retained workforce motivated and content. HR mangers will be asked to contribute ideas on how the company can continue to minimize expenses.
Containing the Cost of Health Care Benefits
The exploding cost of health insurance threatens some companies that are already floundering because of the sluggish economy. Yet, it's important for companies to continue to offer attractive benefits packages, including good health care coverage, if they are to retain and attract the talent they need to survive and ultimately succeed. HR managers will be asked to find the balance between helping the company minimize expenses and offer good benefits. In addition, HR managers will be looking toward benefits that can save the company money, such as Section 125 plans.
Workplace Security and Safety
Everyone is taking this issue very seriously since Sept. 11, as company leaders realize they will need more than a simple evacuation plan in place. HR managers will be developing thorough plans and policies designed to keep employees safe and the workplace secure. Workplace violence will also continue to be a concern.
FMLA continues to be a concern to HR managers, as companies try to make do with fewer employees. Also, military leave issues are top-of-mind in many companies, as the war on terrorism continues and more employees are called to serve.
Acquisitions and Mergers
Many companies are merging as the sluggish economy lingers, and affected HR managers will need to figure out how to merge payroll, handbooks, policies and cultures. It's important to keep key talent during mergers, so affected HR managers will play a strategic role in the process.
The Aging Workforce
As the 'Boomers' get gray, more and more of the workforce will continue to go the same way. Furthermore, better health care is extending lives and many feel up to working well into their sixties and seventies. Still others have to keep working because they failed to save enough for retirement, or saw retirement assets shrink in the stock market. HR managers will need to be wary of issues related to recruiting, hiring and employing older workers without discriminating against them, or appearing to.
HR Departments will make better use of the Internet and intranets, to store, organize and disseminate information to employees as well as implement self-service technology to reduce HR costs. The Web will continue to become an important tool for HR Departments, but one that can be difficult to implement.
Voice of the Editor
Which isn’t completely true. I mean, occasionally I drop by when I manage to sneak out of the nonstop frat party over at Going Concern, but I’m mostly a wallflower over there. I’m happy to say that I’ve been given express permission (or explicit orders, if you like) to wander over here to AccountingWEB more often.
Why is that, you might ask? My job is to replace the irreplaceable Gail Perry as Editor-in-Chief. What does that mean? I don’t really know! I think it’ll be fun getting a feel for things, throwing in my own thoughts here and there, and listening to the discussions you’re having about the accounting profession.