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Employee Engagement HR Resources

Workplace Trends: Shifting the Focus to Company Culture and Retention

May 3, 2022
6 min read
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The COVID-19 pandemic sparked a swift evolution of the workplace that has yet to slow down. Offices have closed and opened — and then closed and opened again, and the number of remote workers is at an all-time high. Millions of U.S. workers have quit, and many more plan to, during the ongoing Great Resignation. It’s likely that some of your own employees are considering their own options, and you may have felt the impact of the Great Resignation already.

Today’s workforce has a new set of expectations for its employers and isn’t afraid to find a new job to have those expectations met. Fortunately, those expectations are not a mystery — there’s a reason the Great Resignation has also been called the Great Reprioritization. Employees are reevaluating their priorities at work, and 70% want to work for a company that shares their values.

HR leaders are taking notice, shifting their focus to improving employee retention and creating a stable company culture that lives up to company values. Let’s take a look at some of the top culture and retention workplace trends.

Take a look at some of the top trends in #companyculture and #employeeretention, including remote work and a commitment to #DEI:

Strengthen Company Culture to Retain Employees

According to Great Place to Work, corporate culture is formed by how some important things happen at the company. Answering these questions can help describe your company culture:

  • How do employees communicate?
  • How are decisions made?
  • How are employees hired, promoted, and let go?
  • How are employees recognized?
  • How do employees celebrate their work and their colleagues?

These interactions should align with company values to create the kind of culture the company intends. Strong company culture has benefits in addition to retention:

  • Great Place to Work companies showed significantly higher financial returns compared to the Russell 3000 Index.
  • An inclusive culture makes employees feel a sense of belonging. It also increases innovation since employees feel confident in sharing their ideas and that their contributions are valued. 
  • When employees feel welcome and trusted at work and company values are at the core of culture, customers receive better service and support. 
  • It’s worth noting that company culture is especially important to younger employees — Millennials are 11 times more likely than Gen Xers to leave a company if their needs aren’t being met.

Cultivating company culture is something that has to be done on purpose, especially for remote teams and companies. Luckily, employees are becoming more vocal about what they want and need in order to do their best work. If you’re wondering how to retain top talent, check out these trends for 2022 and beyond.

1. Flexible Work Options

It’s expected that by the end of 2022, 25% of professional jobs in North America will be fully remote. After all, it’s what employees want — 91% of people who work from home or are hybrid want it to stay that way. It’s not feasible for every role, but for many workers, remote work and hybrid work have given them an increased work-life balance that they don’t want to give up. Companies are also exploring flexible work hours and four-day work weeks to attract and retain employees. 

Did you know that #employeerecognition is one of the best things your company can do to motivate its employees? Find out more top #companyculture and retention trends:

2. Increased Support for Mental Health

No doubt your company offers a strong benefits package, and it’s essential that those employee benefits include mental health care, too. 87% of employees say they want an employer that cares about their mental health, which is no surprise considering high burnout and stress levels brought on by the pandemic.

According to Harvard Business Review, 84% of employees said something at work has negatively impacted their mental health. In response, companies are doing even more to take care of employees’ mental health and create a transparent and honest work environment:

  • Mental health training 
  • Talking about mental health at work
  • Checking in with employees in an empathetic way
  • Days off for employee wellness
  • Leaves of absence and sabbaticals
  • More frequent breaks during the workday

3. Appreciation for Achievement — and Effort

Did you know that 37% of employees say that receiving personal recognition is the best thing their manager or company could do to encourage them? Employees also want to be appreciated for how hard they work on a regular basis and not just when they have a big win. When employees feel recognized, job satisfaction is higher, and they are more likely to think promotions are fair and innovative thinking is encouraged. 85% of HR leaders agree that employee recognition programs have a positive impact on company culture.

4. Upholding Commitments to DEI

The Benefits of DEI At Work

  • Employee retention is up to 5.4x higher
  • 6.3x more likely to have pride in their work
  • More diverse teams are better at making decisions and executing on ideas

76% of employees say diversity is important to them when considering new jobs, which shows that it’s an important value — and we know that employees today want an employer that shares their values. So, it’s clear why diversity, equity, and inclusion will continue to be a focus for HR, with 80% of talent acquisition professionals naming DEI a top priority in 2022. When their workplaces make a true commitment to DEI, all employees can feel like they belong, have the opportunity to contribute, and can be themselves at work.

5. Professional Development

The importance of employee development can’t be understated as the competitive labor market endures. Retention is 34% higher and employee engagement is 15% higher when employees have opportunities to grow and learn. Providing access to coaching, training, and learning opportunities is another way companies are investing in their employees and adding valuable skills and knowledge to internal teams.

These trends go far beyond 2022 — they’re really more like future of work trends, especially as resignations continue. Employees will keep looking for jobs where they feel appreciated at companies that share their values and provide the support they need to do great work. Provide the opportunities employees are looking for and meet their expectations for company culture to reap the benefits of employee retention.

Now that we’ve covered some top culture and retention trends for 2022, find out more about the top recruiting trends for this year’s competitive hiring market. Download ClearCompany’s 2022 Recruiting Trends Guide.

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