The HR strategies, practices, and decisions play a significant part in any organization’s value addition and growth process. So, considering the latest trends and human resource statistics becomes essential for getting the most out of your HR decisions.
You need to hire the right talent, engage with it, and retain it. It will require talking to the talent (new and existing), getting insights into their psychology, and coming up with the best HR strategies that favor the organization and its human resources. It’s possible only through thorough HR statistical analysis on multiple parameters.
So, in this article, we have compiled together more than sixty HR industry statistics and trends that give you insights into the crucial data you need for building your HR strategies as per the HR department benchmark and analysis.
Let’s dive right into the data without any further ado!
60+ Trending and Important Human Resource Statistics to Look Out for in 2022
Your human resource activities and decisions will determine how the organizational talent works, engages, and contributes to the growth of your organization. So, the strategies and decisions need to be well-planned and well-thought.
An insight into all the important and trending HR industry statistics can serve as a helpful guide for all your HR planning and decisions. From employee hiring, recruitment, and onboarding to employee engagement, retention, and other employee behavior, you need to know the latest trends in every area to create and add value to your organization through your HR decisions.
With the right statistics, you have the right insights, and your decisions are more thoughtful and information-driven. On that note, let us acquaint you with the essential information and insights you need for fulfilling your role and duties as an HR successfully.
Human Resource Hiring and Recruitment Statistics
Source: Finances Online
The hiring and recruitment process never ends. You constantly need to look for new talents and personnel who can contribute effectively, efficiently, and productively towards your organizational goals and objectives.
However, finding the right talent to meet your end-to-end organizational needs and requirements is never easy. You have to go through a series of applications, sort them, connect with the candidates, interview them for several rounds, and sometimes, even with all these hassles, you might end up recruiting no one at all.
Does this sound relatable to you? The candidates have changed and become smarter. It’s not the candidates who need you, but the other way around. So, you need to work on creating value for the candidates and making them want to apply to your organizations.
So, an insight into the hiring and recruitment statistics can help big time in improving your hiring and recruitment procedure.
After all, the right inspiration for the perfect strategy and plan kicks in eventually after thorough research and study.
So, here are some of the most trending recruitment and hiring strategy driving the HRs and candidates in 2022.
- Recruitment and hiring managers find multiple channels for the challenges they face in hiring the right talent.
- 43% believe that the challenge comes from the competition.
- Almost 30-35% think that the challenge is posed due to factors like lack of skills, work experience, and applicants.
- Incompetitive salaries are also a big reason for the hiring challenge that recruiters face. Almost 32% of candidates don’t apply for a job due to incompetitive salaries.
Given these statistics, it would help if you, as a recruiter, worked on skill training and development for the candidates. While the candidates might lack skills, there are always ways to train and give them a chance for skill development.
Improving your salary structures and budgets can also be an excellent way to overcome the challenges faced in hiring and recruitment.
- A positive company reputation and interview experience matter a lot to the candidates. So, you need to keep your hiring process smooth.
- 60% of applicants drop out of an application form if they find it lengthy, complicated, and time-consuming to fill. (Zoomshift and SHRM)
- 50% of the candidates decline a job offer for the simple reason that their experience of the recruitment process was not poor and unacceptable. (Userguiding)
- 50% of the candidates decline a job offer or recruitment invitation from a company because of negative reviews. (Zippia)
- Among the many resources and platforms to seek a job, 60% of candidates refer to a Job Board, 56% apply through their Network, and 50% come from referrals. (Userguiding)
So, you must use every single channel to improve your chances of getting applications and getting done with the recruitments faster.
- Applying for a job through referrals can increase the chances of getting a job by almost 85times. (CareerPlug and Zoomshift).
- 48% of the recruiters also believe that employee referrals are the best channels for hiring. (Zippia)
- It’s a technology-driven industry, and recruitment software, artificial intelligence, etc., have taken roots in the recruitment processes. Almost 47% of businesses mention that they will invest in artificial intelligence for their recruitment process in some way or other. (Zippia)
- Your communication skills as a recruiter must be great. You must follow a process to communicate and follow up with the candidates from time to time. 89% of the candidates say that they would accept a job offer faster if their communication with the recruiters is regular and consistent. (Userguiding)
Employee Onboarding and Organizational Socialization Statistics
Once you have hired the right candidates, you need to ensure that they gel well with the organizational culture. So, the employee onboarding process is extremely essential, and you need to pay attention that the new hires and recruits have good experience socializing with the other staff and organizational policies, patterns, and culture.
Here are some statistics on Employee Onboarding that can provide you an insight into how important the process is and how you can plan it better to keep the new employees comfortable in your company.
- 71% of the employees believe that a good onboarding process helps them clearly understand their roles and responsibilities within the organization. (TalentLMS)
- On average, 64% of employees feel more welcomed, respected, accepted, productive, and less anxious when they are provided with good onboarding training and insight into the organizational culture and other social aspects. (TalentLMS)
- 76% of new employees believe that on-the-job training and onboarding is extremely essential for them to get an idea of their job roles and responsibilities. Additionally, 23% of the people who left their jobs too early after the recruitment mentioned that they would have stayed if they had gone through a better onboarding process. (BambooHR)
- 53% of the recruiters have seen a boost in employee productivity and performance after they worked on improving their employee onboarding processes. (Zippia)
- 61% of the new recruits don’t get any onboarding knowledge or training whatsoever on the company culture. This creates a huge gap between the organization and those recruits and can lead to an increased employee turnover rate. (TalentLMS)
- On average, 15-20% of the employees remain confused during the onboarding process, are scared about not being able to meet expectations, and feel unprepared and uncertain about their ability to perform. (TalentLMS)
So, the onus falls upon the HR managers to ensure that employees become comfortable, and that happens only by putting a strong, robust, and effective Employee Onboarding and Training Process in place.
Employee Experience and Engagement Statistics
People have a general human tendency to get bored with their work, jobs, and tasks quickly. Therefore, the onus falls on the HR managers and departments to keep the employees interested and satisfied with their jobs by providing them constant motivation in the form of perks, benefits, and rewards.
An insight into the employee mindset as regards their jobs and engagement with the same can make a huge difference in understanding employee behavior and providing them a better experience and higher job satisfaction by keeping them engaged with their work. Here are some of the most relevant statistics as regards employee engagement.
- More than 90% of the employees and recruiters give importance to showing care and empathy towards their colleagues. Almost 76% believe that an empathetic attitude and culture within an organization go a long way in increasing employee engagement. (Businessolver)
- Older people generally termed as “millennials” in today’s time are the ones who find engaging with their job most challenging. Statistics reveal that hardly 29% of the older employees are able to find interest in and engage with their work. The reasons could be the increasing digital shift and the difficulty for the older generation to cope with the same. (Gallup)
It will help if organizations arrange training and development programs to help these millennials understand newer things and find their lost interest back in their work.
- Employee engagement is always proportional to the fun they are having at work. Almost 79% of the Americans mention that they seek the fun element to stay interested and engaged in their tasks and jobs and won’t put up well with monotony. (UltimateSoftware)
- The way an organization treats its employees also plays a crucial role in enhancing employee engagement. Employees value respect and recognition, and almost 75% of them would engage more with the organization when their ideas are heard, and concerns are solved. (UltimateSoftware)
- Software, applications, and tools can play a major role in driving higher employee engagement. As per G2, there are more than 400 software that organizations can deploy for bringing ease in work and increasing employee engagement rates. (G2)
- Employees engage better in a work environment where they can connect with their colleagues and get constant feedback for their work and performance. A report from SHRM suggests that 89% of HR managers have noticed increased engagement from employees when the organization takes the initiative to provide constant feedback. (SHRM)
Employee Turnover and Retention Statistics
Retaining talent for a longer period of time is extremely challenging in today’s dynamic job market. The candidates have numerous options, and they will stick to your organization only if you are providing them with good experiences.
However, as an HR manager, you need to constantly work on retaining the employees by enhancing their job experience, engagement, and satisfaction and keeping the employee turnover rate as low as possible.
47% of the HR departments agree that one of their biggest job challenges is to retain employees and reduce employee turnover rate. (Zippia)
So, an insight into the different statistics as regards employee turnover and retention can help understand what makes the talent stay and what can put them off and make them leave the job.
- People always look for growth in their careers, and if they don’t feel like they are achieving the desired growth in their current job, they will make a switch. 22% of employees say that they consider changing jobs if they are not able to see any significant career development and growth. (Zippia)
- 31% of the newly recruited employees resign from their job within 6months of joining. (BambooHR)
The reasons are inefficient onboarding process and other confusions due to the lack of understanding of the company culture.
Source: People Managing People
- The management of an organization matters to the employees. They want to reach out to the management conveniently and would feel that their job is not worth their time and talent if the management is not performing to their expectation levels. As a result, almost 33% of employees leave their job due to poor management. (BambooHR)
So, if you wish to retain talent in your organization, working on strengthening the management must be your focus.
- Employees look for work-life balance and are more likely to leave their job if they don’t find the same. A report from Jobvite reveals that almost 10% of women and 6% of men leave their jobs due to a lack of work-life balance. (Jobvite)
- Compensation, perks, and other benefits to the employees also play a key role in employee retention. Almost 9% of employees leave their jobs due to unsatisfactory compensation and lack of other employee perks and benefits. (Jobvite)
However, compensation isn’t always the key driver in retaining employees. As mentioned, employee perks, benefits, and work-life balance also matter. The same reports from Jobvite also reveal that 32% of employees and workers in an organization agree to salary reductions if they are happy and satisfied with their jobs. (Jobvite)
Employee Respect, Recognition, and Value Statistics
While people work for monetary benefits and compensation, they seek respect and recognition at their jobs. The job satisfaction and engagement levels among employees are much higher when they are recognized and valued for their contribution to the organization.
Here are some statistics that will help understand how employee recognition plays a key role in attracting, engaging, and retaining talent.
- 84% of HR managers have agreed that employee recognition helps increase and enhance employee engagement. (SHRM)
- HR managers have revealed that having an employee recognition program in the organization helps increase employee retention rate by 68% and leads to an almost 56% increase in recruitments. (SHRM)
- 80% of the organizations have employee recognition programs that have their focus on organizational value and culture, talent recognition, employee empowerment, etc. (SHRM)
All such recognition plans and programs help the employees engage better with the organizational culture while also contributing to the best of their capabilities with increased productivity driven by recognition.
- 60% of the organizations recognize their employees by celebrating their life events such as birthdays, anniversaries, etc., by giving gift cards, or organizing parties for such events. (SHRM)
Such recognition makes the employees feel emotionally attached to the organization, and they start valuing the organization and their job not only from a professional perspective but also on a personal level.
Employee Burnout, Job Satisfaction, and Happiness Quotient Statistics
The most important factor for an employee to continue with a job would be the job satisfaction level and happiness quotient. If the employees don’t get the desired results from their job or feel overloaded with work, hardly finding any time for themselves, it will lead to employee burnout and lower job satisfaction.
An insight into the relevant statistics in this area can help HR managers understand the ways they can drive job satisfaction and happiness for their employees.
- Almost 77% of the employees experience constant and frequent burnout at their job, and around 50% of the millennials experiencing burnout quit their job. (Deloitte)
The same study also reveals that 70% of employees feel that their companies are doing nothing to alleviate the burnout rates. Such feelings are a major driver in the employees wanting to leave the organization.
- The reputation of an organization has a major role in job satisfaction for the employees. Almost 75% of the employees are driven by job satisfaction from the fact that they’re working with a very reputable company. (Ultimate Software)
- The behavior of managers and leads also plays an important role in driving job satisfaction. 90% of the employees in an organization remain satisfied at their jobs if they are able to trust their managers and have a good relationship with them. (Ultimate Software)
- Salaries and perks have a major role in keeping the employees satisfied and happy at their jobs. Almost 80% of the employees are of the opinion that more paid leaves and holidays drive their job satisfaction levels and keep them more engaged in the job. (Ultimate Software)
- As the world is driven by technology, it also plays an important role. 92% of employees consider technology as a key differentiator for their job satisfaction levels and cite that having the right technology at work is essential for them to perform efficiently. (Ultimate Software)
Performance Tracking, Management, Appraisal, and Training Statistics
The HR department consistently needs to evaluate the performance of the employees to check their growth and plan the necessary skill development and training activities.
Knowing how the employees respond to performance management, appraisal, and training can help them perform the task better.
- Generally, performance evaluation and appraisals are done yearly or half-yearly. However, HRs have realized that it’s not a very effective process to manage employee performance. Instead, in a survey, almost 89% of HR managers agreed that continuous performance evaluation would serve as a better way to manage employee performance and enhance employee productivity. (HR.com)
- Organizations are increasingly deploying performance management software for their employees. However, more often than not, employees are not willing to use these software. A survey by HR.com shows that a quarter of the employees will use these software only because their superiors are using them, some 10% use it for the sake because their organizations have made it mandatory, and only 34% of employees use these software with the motivation that better performance is tied to bonuses, rewards, promotions, and career growth. (HR.com)
- 40% of the HR managers remain unaware of the skills and talents of their employees. If that’s not bad enough, only 34% of them even plan to organize employee skill development and training programs. (Zoomshift)
Such statistics reveal that HRs need to talk more to their employees and create more scope for skill development and training. For instance, the HRs can run a form for the preferred skill development and training programs that the employees seek, and based on the results; they can plan a training program for all the employees.
- More than 75% of the employees look forward to skill development and enhancement programs in an organization. (Zoomshift)
- 40% of the employees in an organization agree to lack the time and other necessary resources to upscale their professional skills and talents. (Zoomshift).
If the organizations make skill development and training a part of their process and create time for the employees to take up these training and programs during their working hours, it can go a long way in enhancing the performance and productivity of the employees.
Demographics, Diversity, and Inclusion Statistics
“Unity in Diversity,” we have all heard of this famous quote. Having diversity in the workforce can help deal with customers and clients from different cultures and traditions. Additionally, when an organization is able to remain inclusive to everyone despite the diversity in the workforce, the employees can engage better with everyone and deliver performance most efficiently and capably.
Here are some of the HR statistics on diversity and inclusion that will highlight the importance of planning your HR strategies keeping these aspects in mind.
- 71% of the organizations are making a move to hire people who come from different cultures and traditions to keep diversity in their workforce. (Zippia)
- A report and survey by HR.com reveal that while organizations look forward to maintaining diversity in their workforce, only 51% believe that it reflects the diversity within the market in which they are operating. (HR.com)
- 86% of the employees on a global level give importance to diversity and inclusion in their workplace. (Zippia)
The same source also reveals that 62% of the candidates will decline a job offer from an organization that doesn’t support diversity in their workforce.
- Inclusivity and diversity provide a competitive advantage and increase the financial profits and returns by as much as 35%. (Zippia)
- A report by Deloitte has also suggested that almost 78% of HR managers confirmed that they were able to have a competitive advantage by simply having a diverse workforce of employees coming from different cultures.
Employee Mental and Physical Health and Wellness Statistics
The employees spend most of their day in the offices, often stressing about work and sometimes handling extreme pressures. At times, they also work extra hours. All such things can take a toll on the employees’ mental and physical health and wellness. So, they look up to their organizations to support their wellness and health.
So, the HR managers are responsible for doing everything in their hands to keep their employees in good health. An insight into the statistics that reflect the mental and physical health and well-being of the employees and other factors affecting the same can help create strategies and plans around the same.
- 51% of the employers mention that providing health and wellness benefits to the employees has become more important than ever, and the same will grow in importance over the course of the next few years. (Zippia)
- 43% of the employees are of the opinion that the flexibility as regards working hours and attendance in the organization helps them manage their stress levels, and they can be in a better position as regards their mental health and wellness. (Deloitte)
- 87% of the organizations invest in programs and practices for employee health and wellness. However, only half of the employees respond positively to such programs. (HR.com)
- 63% of the organizations have experienced higher engagement and productivity after investing in health and wellness programs for their employees. (HR.com)
- 94% of the employees believe that flexibility at the workplace will help improve their mental health and wellness while also helping them perform better at work and manage their personal life without any hassles. (Deloitte)
Every $1 spent on employee wellness brings a 50% return on investment for the company. (Userguiding)
HR Statistics Related to Covid-19 Pandemic Threat
Covid-19 has been a huge threat to everyone. Among other things, the pandemic threat has entirely changed the dynamics for organizations and businesses. Companies had to shift to a remote working model, and it posed a major challenge for the HR department as regards managing the entire workforce working from different locations.
The situation led to many changes in the organizational working with the deployment of new software, solutions, and tools, new HR policies in the organization, and more. However, strategizing the same has not been easier for organizations, especially HR departments.
Perhaps looking at the most trending HR statistics related to Covid-19 can help take the situation in control and manage the HR operations more efficiently.
- Covid-19 led to many layoffs due to recession and the unemployment rate as a result, as of January 2022, was almost 4%. (Zippia)
However, while the unemployment rate has increased, the same source also reveals that there are multiple work-from-home opportunities, given that remote job openings increase by as much as 135%.
- The pandemic led to many instances of failed and closed businesses, resulting in severe unemployment. Statistics reveal that as many as about 9million employees lost their jobs one year into the pandemic for the simple reason that their employers had shut down the business. (Zippia)
Given these unemployment rates, the onus is on the HR departments to help people get placed to a decent job, and they must work on their hiring and recruitment procedures and strategies in a more rigorous manner.
- 96% of the HR managers say that they have managed and handled the remote working models during the pandemic, and 94% of the employees seem to be coping with the same, according to the HRs. (UserGuiding)
This highlights that organizations can easily move to the work-from-home model while keeping up with employee performance and productivity.
- The Covid-19 pandemic has seen some brutal hits on the financial budgets that the organizations have, which resulted in salary cuts, layoffs, etc. However, even within such circumstances, 28% of the workers and employees say that their employers took no actions in response to the pandemic as far as their incomes were concerned. (UserGuiding)
- Pandemic has been stressful for everyone, both personally and professionally. This is also evident from a survey in which 69% of the respondents said they had a hard time coping with the professional stress and pressure during the pandemic. (UserGuiding)
- Given the pandemic outbreak, candidates look forward to workplace flexibility and healthcare benefits. On average, 70% of the HR managers believe these two things to be the driving forces in attracting and retaining talent in the future. (UserGuiding)
- Job security was a major concern for people during the pandemic, especially those in IT companies. Almost 65% of IT professionals feared getting laid off from their job during the pandemic. (Zippia)
Some More Statistics
In addition to the above most trending HR industry statistics, there are some more statistics and trends in the HR industry to look out for, such as the use of technology for recruitment processes and other aspects of the work culture and environment. Hereinbelow are some more human resource statistics that you can look out for-
- Technology has its root in every industry, and the HR market is no different. 58% of the companies already use different HR technologies for their recruitment and other HR processes. Additionally, 74% plan further investments and spending in HR technology. (Userguiding)
- Cloud technology has been trending for the past decade and can highly increase efficiency and productivity while reducing costs. As a result, 44% of the HR managers look forward to deploying cloud solutions for increased business efficiency and productivity, while another 35% look at it as a way to reduce costs. (Userguiding)
- A Harvard Business Report mentions that having diversity in the workplace, work culture, and work environment increases an organization’s chances to capture a new market segment by 75%. (Harvard Business Report)
- The HR software market is projected to be a $10billion industry by the end of 2022. (Userguiding)
What Can You Look Forward to In the HR Industry Based on These Human Resource Statistics?
The HR industry is projected to be a 10billion dollar market during the year, and all the human resource statistics and trends discussed above reveal that the industry is continuously growing.
The candidates are changing, and they look forward to better HR decisions and policies in their organization. A constant check on all the HR industry statistics and detailed statistical analysis at regular intervals can help you keep up your game as an HR manager, and you can contribute to maximum value addition within your organization.
So, keep your eyes open for any new developments, and make sure to analyze them thoroughly as you work out your HR strategy.