Uncovering key factors that make a company an ideal place to work

The job landscape has witnessed two seminal moments in the past two years that have brought major transformations in the employees’ perception of their jobs- the mass layoffs and the Great Resignation that followed.

While India weathered both events relatively well, uncertainty about jobs skyrocketed. The mass layoffs took a psychological toll on the workforce, making them rethink their expectations from a job. One clear pattern which emerged is that employees no longer want to be subconsciously treated as mere resources. They want greater visibility into their future at the workplace, better job security, a more balanced work-life, and to be truly treated as a part of the company.

For more than two decades now, Taggd, in association with Business Today, conducts an annual survey to understand employee aspirations and what they expect from an ideal workplace, and use these insights to prepare the list of the Best Companies to Work For. The survey report acknowledges the best companies for their proactive employee well-being practices, and provides insights to India Inc about what policies make companies ideal places to work.

Job-hopping as a macro phenomenon has run its course. The unsustainably high compensations being offered for hiring talent which is skilled during 2020-21, which thus led to frequent job changes, is well over.

Salaries have been adjusted, and employees are cognizant that frequent job changes are not ideal for their all-round growth. Job stability and security, which were not considered seriously for evaluating companies until just two years ago, have grown to become a prime factor to evaluate companies in 2023. The need for stability has skyrocketed so much so that the absence of job stability and security is one of the top five reasons for attrition among Indian employees.

The weight of the paycheck has conventionally been the biggest factor to evaluate companies and pick jobs. However, present day employees want to pursue work that enhances their learning curve, and helps in overall professional development.

Paycheck is still important– no doubt about that. However, more important than it is the flexibility to choose work assignments (30% weightage) and availability of growth opportunities at the company (at 22%). As compared to these two factors, compensation influences an employee’s decision to take a job by only 20% in 2023 as against 51% in 2021.

The ability to offer growth and ample learning opportunities has been a constant factor that distinguishes the best companies from the rest. Companies with ample growth prospects, well-curated learning programs, and upskilling support opportunities experience better employee engagement, happier employees, and maintain better retention rates.

The importance attributed to this parameter is growing with every passing year ( from 19.88% in 2021 to 22% in 2023), and companies focused on ensuring employee growth will continue to prosper.

Companies can no longer disregard the need to introduce measures to ensure work-life balance. Creating a positive office environment that promotes diversity and inclusion, spurs innovation, and encourages productivity, should be the target for all HR leaders.

Apart from ensuring that work does not spill over outside office hours, companies must create a workplace environment that emphasizes employee wellness.  According to a 2023 Gartner  report, 82% of employees want their companies to value them as persons and not mere employees, but only 45% feel that their companies actually do so. Creating a positive office environment that promotes diversity & inclusion, spurs innovation, and encourages productivity should be the target for all HR leaders.

In recent years, India Inc has seen that work can be efficiently done in ways that were previously unconventional, such as WFH or Hybrid work. While these ways are now common, in the coming times, companies should be prepared to engage employees with terms that might not be so popular until now.

For instance, industries like media, entertainment, and hospitality are experiencing employees engaging in moonlighting. While such practices seem outright unethical at the beginning, it’s not the case. What it actually hints at is how the future of the job landscape will shape in the coming years. People with multiple skill sets may choose to undertake two different vocations to augment their income. Is that actually wrong, and are your business interests in any way getting affected by such behavior? Some food for thought, I believe.

As companies set higher growth targets, it is vital for business leaders to keep the workforce in India happy and motivated. Companies can leverage these insights to tune their policies with employees’ evolving aspirations and ensure a conducive and fulfilling workplace.

Devashish Sharma is Founding Member & President, Taggd by PeopleStrong.