Thinking back to what the world of work was like just three years ago, it seems inconceivable that we’ve all experienced so much change since the days before the pandemic.

Flexible and hybrid work is no longer a quirky and unusual set-up but is commonplace or even expected among employees. Offices have become places for collaboration or socialization for many people, rather than just a place for nine-to-five work. And technology has empowered people to work anywhere and at any time, which has also served to redefine their relationships with their managers and employers.

Given how much change we’ve experienced of late, it’s harder than ever to say exactly what the future will hold. However, some long-term trends are beginning to emerge: new ways of working will continue to develop, geographical barriers to work will be broken down further, and new generations within the workforce will reshape working models and the work environment. In this blog, we’ll explore how these general themes translate into likely changes and key trends for 2023:

The most notable workplace trends

Amongst everything else that is going on in the business world at present, these four trends will most likely stand out over the year to come:

Accessibility anywhere

The move towards remote and hybrid working isn’t going away, although that is being tempered by a realization that the office still has some value. In the UK, for example, 72% of employees within the Gen Z bracket now want to work from the office at least three days a week, likely down to their compromised space for working at home, and the learning opportunities they miss out on when away from the office. Because of this, 2023 will see an adjustment in focus toward making work accessibility and connectivity possible for everyone, all the time, wherever they’re working.

The changing roles of management

As the working arrangements of employees have changed, the roles and responsibilities of managers have had to adjust, too. Firstly, they’ve had to get used to overseeing progress and productivity remotely, and trusting staff to get work done out of their direct view. But increasingly, employees are expecting their managers to take on much wider responsibilities, and this will continue through 2023. Managers need to be mentors, coaches and to be available for mental health and wellbeing support, just as much as to guide them through their day-to-day work.

Cultivating employee engagement and satisfaction

The previous point mentioned the need for managers to support employees with their mental and emotional wellbeing. In terms of employee satisfaction and engagement, this is just one small part of the expectation workers have of their employers to be fair, transparent, empowering, and inclusive.

On top of support, employees want a positive workplace culture in which they can thrive, feel proud of their work and enjoy their day-to-day working activities. This includes giving employees the time and space to build bonds and relationships, helping employees fit work around their personal lives better to curb the risk of burnout, and enabling them to praise and recognize the efforts of their co-workers.

This is especially important given the ‘Great Resignation’ that emerged in 2021, and the more recent move towards ‘quiet quitting’, a term initially spread through tiktok, where employees who are disengaged from their jobs are doing the bare minimum of only what is contractually-mandated. Gallup estimates that at least half of the entire American workforce are now quiet quitting, which means that employers have plenty of work to do to re-engage, motivate and empower their staff.

Discarding legacy processes and technologies

Freshworks research has found that 91% of employees feel frustrated with the technology they use for work, and 57% say it’s holding them back. Now more than ever, businesses need to look at getting their hardware, software and processes up-to-date, so that they complement new ways of working, reduce frustration levels in the workforce, meet millennial and gen z expectations, and minimize business disruption. Enterprises that stick with old technology will find it increasingly difficult to attract and retain talented staff.

How will payroll need to adapt?

These changes in workplace culture will impact just about every area of a business, and payroll is no exception in having to make adjustments, including:

• Deploying a globally enabled and compliant payroll solution, to accommodate the increasingly distributed nature of the workforce

• Exploring on-demand pay options like Earned Wage Access, to support employees’ financial wellbeing, and by extension their mental wellbeing both in and out of work

• Implementing new technology that can improve the efficiency and consistency of payroll processes, while reducing costs and employee admin burden, so that payroll can become an asset for business growth

CloudPay’s technologies and position as a leading global payroll expert mean we can help you embrace all of 2023’s emerging workplace trends. Learn more about how payroll can be a force for good throughout your organization here.