a major challenge for companies

The labor market has experienced a rapid trend reversal over the past 24 months.

In 2020, companies had a vast pool of talent that they could attract at will, depending on their needs. Two years later, the balance of power has been reversed and now it is current employees and the most coveted profiles that lead the game, being selective and demanding in their job search.

Since April 2021, according to official data published by Dares, the statistics service of the Ministry of Labour, the number of voluntary departures has increased very sharply. In the third quarter of 2021, it even surpassed the pre-crisis level with 445,000 departures (an increase of 14.1% compared to the third quarter of 2019). In the current context, companies seek to solve structural problems in order to stop this loss of qualified employees. Furthermore, a recent study carried out jointly by Udacity and Ipsos reveals that, for almost half of the companies surveyed, staff turnover is a brake on their development and the achievement of their growth goals.

The white paper – published by the recruitment company Robert Walters – on talent integration and retention reveals that, for 58% of the executives surveyed, one of the main causes of dismissal is the mismatch between the job description and the reality. Qualified profiles feel the need to evolve when they feel their career is stagnant. To maintain these profiles, companies must pay special attention to career progression, investing significantly in professional skills development programs.

Despite this awareness, there remains a significant disconnect between how companies and employees perceive the effectiveness of these training programs. Although our research indicates that most companies consider their training offerings relevant, 78% of the executives surveyed admit to having felt, after taking office, a lack of training or support from their managers. It is essential to remedy this disparity because the retention and loyalty of a company’s employees depends on the satisfaction of its employees.

The shortage of digital talent

During the health crisis and the massive use of telecommuting, many employees were plagued by a feeling of professional uncertainty, moral exhaustion and the impression of stagnation in their careers. In the aftermath of this period of great uncertainty, many took the opportunity to embark on a new professional challenge and did not hesitate to leave their position to evolve.

This issue is having a strong impact on the entire tech industry, which was already struggling to fill the most specialized positions before the health crisis. According to a study by the American recruitment company Korn Ferry, France could lack 1.5 million qualified profiles by 2030, in other words, a deficit of almost 175 billion euros for the French economy.

The ongoing digital revolution has accelerated in various parts of the French economy and allowed B2B tech companies to experience rapid growth during the pandemic. The scarcity of immediately operational technology profiles has prevented these successful companies from recruiting enough to meet their growth. According to a study carried out jointly by Udacity and Ipsos, 63% of French managers believe that the current shortage of qualified personnel has a negative impact on the activity of their company.

Differences between employees and managers

Bearing in mind the differences between the positions of the HRD and the employees with regard to the training programs in place, it is not surprising that the vast majority of professionals in the IT sector intend to leave the position sooner or later. term. But why is there such a huge gap between management and employees in terms of training and professional skills development?

For many employees, these skills development programs consist of following mandatory training based on obsolete and theoretical concepts, which are difficult to apply in the reality of their daily tasks. Too often, attendance is the only decisive factor for the success (or failure) of a training, so the assimilation of the knowledge taught is not the main concern.

In Michael Spence’s book “Market Signaling: Information Transfer in Hiring and Related Screening Processes,” educational rewards are used to “signal” that a certain number of skills have been acquired, whether developed or not. For employees with busy schedules, these ineffective and time-consuming training programs can be very disappointing. Often, employees regard these trainings as mere formalities to indicate to their management that they have a certain skill, instead of acquiring new knowledge that could be useful to them on a day-to-day basis.

However, HR departments can stop this phenomenon by working together with employees to develop personalized training offers so that the employees concerned acquire new skills immediately applicable to their professional practice. Our study shows that 70% of employees believe that being able to create their own educational path by choosing their education will help them acquire useful new skills. In order to re-motivate their employees and maximize the impact of training and development programs, HR departments must therefore ensure that competent personnel are sufficiently involved in the development of training programs to acquire relevant skills in the desired areas.

Train tomorrow’s workforce

Not surprisingly, younger workers are most at risk, fueling the “Big Layoff” statistics. A survey conducted by Gartner reveals that more than 84% of IT professionals aged 19-29 plan to change jobs in the near future.

Retaining young employees is a growing concern for companies. One of the challenges employers face today is an aging population. With the shrinking workforce, companies need to create sustainable career opportunities for young talent.

Today’s young people are well aware of their worth in the workforce and their employer loyalty is far from certain. Our recent study reveals that 57% of 18-29 year olds and 65% of 30-49 year olds believe companies should invest in their future by providing qualified training.

While the current wave of layoffs may only be a short-term effect of emerging from the health crisis, an aging working population is not a problem that can be solved overnight. To maintain a competent, motivated and accomplished workforce, companies must act now and invest in long-term strategies to develop the skills of their employees.

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