The labour shortage is here to stay and will likely continue to affect our economy for years to come. A recent study by Statistics Canada counted a million unfilled positions in the second quarter of 2022 – the most on record and double pre-pandemic levels. There isn’t a quick solution and this will be something that businesses will need to continuously work on for the foreseeable future. So what can you do?
In our latest blog post, we discussed the different universal needs that employees are currently seeking in a job – foundation needs, value needs, and growth needs. But what are some short-term solutions that business owners can focus on to lead with a people-first approach?
Strong People Policies
A study conducted by the Business Development Bank of Canada concluded that strong People policies facilitate hiring, improve retention, and reduce legal and reputational risks, among other benefits. When thinking of strong People policies, business owners should consider the following fundamental HR policies as a foundation for other improvements: standardizing hiring processes, formalizing job descriptions, improving access to training programs, and reviewing compensation policies.
Standardizing Hiring Processes and Formalizing Job Descriptions
This will help business owners understand what kind of employees they are seeking before they start recruiting. Once you have a clear understanding of what type of employee you are looking for, you can create a focused campaign to find them.
Improving Access to Training Programs
This will help businesses improve the skills of their workforce and increase job satisfaction. Training will also help raise your productivity and generate employees more determined and confident in their skills.
Reviewing Compensation Practices
This will help ensure that your compensation framework is competitive with the market. Think beyond salary: explore every single avenue that is linked to performance, from commission and bonuses to stock options and profit-sharing.
To retain top talent, you should also consider providing an employee manual, detailed job descriptions, and a clear organization chart to help employees have a greater understanding of what will be expected of them.
Labour shortages are yet another fundamental challenge that must not be left unchecked. At BTA, we are always looking for ways to help you and your business succeed. For more information, contact us at firstname.lastname@example.org.
We are business owners and advisors that offer consulting services to entrepreneurs. Working hands-on, we help develop and implement effective strategies that increase business value, growth and profitability, to prepare for the future.