HR TRENDS 2023: This year, more businesses will transform their workforce to become multigenerational and leverage the different skill sets, knowledge, and business know-how of each generation to further enhance and future-proof their business.
The world of work is changing, with five generations now working side by side in the workplace as many workers defer retirement to continue contributing their skills for as long as they can.
In Southeast Asia, multigenerational teams are becoming increasingly common. Singapore, in particular, is known for its aging population and its workforce is starting to reflect that. In 2016, nearly one-third of the workforce was over 55 years old, and that number continues to increase yearly.
This shift is an indication for businesses to rethink their retirement and work-life balance policies and practices in the coming years. In the past, workers generally retire at age 65. However, with people living longer and remaining healthier well into their golden years, many are choosing or needing to work well beyond retirement.
Meanwhile, millennials account for approximately 50% of today's workforce, according to a report from the Society for Human Resource Management (SHRM) and AARP. In 2025, 75% of the workforce will be overwhelmingly millennial.
This will have implications for succession planning. As more baby boomers retire, businesses will need to identify and groom millennial leaders to take their place. This can be a challenge, as millennials are often less interested in climbing the corporate ladder than previous generations.
To prepare millennials for leadership positions, companies can offer them career growth and development opportunities, while also promoting work-life balance policies that appeal to the age group.
Looking at the bigger picture, businesses will need to pay more attention to intergenerational communication and collaboration because having large gaps between generations of workers could lead to tensions.
One way to accommodate workers of all ages is to offer flexible work arrangements. This could include allowing older employees to work part-time or remotely, or providing training and development opportunities that are relevant to their age group. HR leaders can also promote mentorship programs that can help older and younger employees learn from each other.
Effective communication techniques to bridge the communication gap between different generations should also be implemented. They can also encourage employees to attend team meetings and social events to get to know each other better.
In addition, businesses can take steps to facilitate positive intergenerational interaction as multigenerational workplaces have the potential to be more productive and innovative with different generations sharing their uniqueness and experiences.
To create a successful multigenerational workplace, businesses should consider establishing clear guidelines for communication, encourage open dialogue and collaboration, and provide opportunities for employees of all ages to interact with one another.
This article is from Chief of Staff Asia's latest report, Looking Ahead: HR Trends for 2023.
Businesses to maximise power of multigenerational workforces