As UK organisations gear up for the future (with potential new leadership), skills will still be one of the hottest topics about and developing a robust resourcing strategy is paramount to ensure you have the right skills and the right personalities to support your organisation whilst facing into your growth strategies.
This strategy must align with emerging trends and the evolving business landscape. Let’s delve into key considerations for crafting a resourcing strategy for 2025-2026, drawing on data and insights from the past two years in consulting. These are our top 10.
The pandemic impact is still felt and has irrevocably transformed the workforce. According to the Office for National Statistics (ONS), remote and hybrid work models have become mainstream, with 38% of UK employees working from home at least once a week. This shift demands that companies rethink their resourcing strategies to accommodate flexible working arrangements and ensure they have the necessary infrastructure to support remote work (even if some are asking their teams to return to offices).
The job market in the UK has become highly competitive, with a significant increase in job openings in sectors like Human Health And Social Work Activities (179,000 vacancies), Education (67,000 vacancies), Accommodation And Food Service Activities (121,000 vacancies), Professional Scientific And Technical Activities (91,000 vacancies) and a corresponding rise in the number of job seekers.
A 2023 survey by the Chartered Institute of Personnel and Development (CIPD) revealed that 41% of UK companies faced challenges in finding qualified candidates. To overcome this, organisations must leverage diverse sourcing channels, such as social media recruiting, employee referral programs, and leveraging AI in recruitment processes. Additionally, partnerships with educational institutions can help bridge the skills gap.
In 2023, a report by the UK Commission for Employment and Skills highlighted the importance of continuous learning, noting that 43% of UK employees will need reskilling by 2025 due to the adoption of new technologies.
Companies should invest in robust training and development programs, offering employees opportunities to acquire new skills and advance their careers. Apprenticeships and professional qualifications are particularly effective in the UK context. Furthermore, promoting a culture of lifelong learning will ensure the workforce remains adaptable and innovative.
Employee wellbeing has become a central focus for UK businesses. The CIPD’s 2022 Health and Wellbeing at Work survey indicated that 60% of UK employers are making efforts to improve workplace wellbeing.
Mental health support, flexible working arrangements, and wellness programs are critical components of a wellbeing strategy. Providing access to resources such as counselling services, mindfulness programs, and physical health initiatives can significantly enhance employee wellbeing, leading to increased productivity and reduced absenteeism.
The UK workforce is increasingly multigenerational, with Baby Boomers, Generation X, Millennials, and Generation Z working side by side. Each generation brings unique strengths and preferences.
The CIPD highlights that effective management of a multigenerational workforce involves understanding and addressing these diverse needs. This includes offering flexible working arrangements, diverse learning opportunities, and creating an inclusive culture that values all employees. Tailoring communication and engagement strategies to suit different generational preferences is also crucial.
Employee engagement remains a critical factor in retention. The CIPD’s 2022 Employee Outlook report showed that only 30% of UK employees are engaged at work. To boost engagement, companies need to foster a supportive and inclusive culture, provide meaningful work, and offer competitive compensation and benefits. Flexible working hours, mental health support, and career development opportunities are crucial elements of an effective engagement strategy in the UK.
Diversity and inclusion (D&I) are essential components of a successful resourcing strategy. According to McKinsey, UK companies with diverse teams are 33% more likely to outperform their less diverse counterparts. Setting clear D&I goals and implementing initiatives to create an inclusive workplace culture are vital. This includes addressing issues such as the gender pay gap, racial diversity, and support for LGBTQ+ employees.
The adoption of HR technology has accelerated since 2022. UK Tech Association found that 65% of large UK enterprises are investing in HR tech solutions such as applicant tracking systems (ATS), human resource information systems (HRIS), and AI-powered recruitment tools.
These technologies streamline HR processes, improve efficiency, and provide data-driven insights for better decision-making however spend per head in HR is still as low as £3-£7 per head vs overall average IT spend close to £500 per head.
Effective budgeting and resource allocation are fundamental to executing a successful resourcing strategy. The 2023 CIPD Labour Market Outlook emphasises the need for strategic investment in HR initiatives, including technology, training, and employee wellness programs. Organisations should allocate resources to areas that drive the most value and support strategic objectives, ensuring they are prepared for economic fluctuations and market changes.
Continuous monitoring and evaluation of the resourcing strategy are essential to ensure its effectiveness. Establishing key performance indicators (KPIs) and conducting regular reviews can help organisations stay on track. PwC’s 2022 UK HR Effectiveness Survey, companies that regularly review and adjust their strategies are 27% more likely to achieve their resourcing goals.
As we move towards 2025-2026, we must adapt to the changing workforce dynamics and leverage data-driven insights to craft a future-ready resourcing strategy. As I heard a leader once say, "You fix the roof whilst the sun is out," and whilst it might be partially cloudy in some markets it’s never too late to build the infrastructure to allow for talent intelligence to become a common place discussion with data to support it.
Crafting a resourcing strategy that is aligned with current trends and future predictions will not only help in attracting and retaining top talent but also drive organisational success in the years to come. The UK marketplace presents unique challenges and opportunities, and by tailoring strategies to this context, organisations can not just weather but thrive in this landscape.
About the author
Dieter Deuer
Dieter serves as our Head of Technology and Innovation providing strategic Learning and HR leadership, driven by a passion for streamlining the learning experience.
With a wealth of expertise spanning two decades, Dieter has been instrumental in leveraging technology to propel learning forward in the Financial, Energy & Sustainability sectors. His extensive track record showcases adeptness in strategic leadership within the learning & HR realm.
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