In our recent webinar, "Look Back, Look Ahead: 2024 Payroll and HR Trends," presenters Jerika Holton, Product Marketing Manager, and Caroline Lundgren, HR Account Executive, provided an insightful overview of the key payroll and HR trends that have shaped the first half of 2024 and what to expect in the second half of the year.
Watch the full session here.
Download the full webinar deck here.
Here's a detailed recap of the key points discussed.
Attendees learned about significant economic challenges, including rising inflation rates, labor market tightness, and minimum wage increases, which have had a profound impact on payroll and HR strategies. The session began by highlighting the pressing issues of financial insecurity among American workers, with 53% feeling financially insecure. This was emphasized through a discussion on how rising inflation rates and increasing costs of living are necessitating adjustments in compensation strategies to maintain employee purchasing power.
The session then evaluated the increased demand for Earned Wage Access (EWA) and changes in compliance. We walked through how EWA products can improve employee financial well-being and job satisfaction. It is important to keep an eye on the state-by-state legal and regulatory changes associated with EWA that have impacted states like California.
We also discussed state-specific minimum wage and overtime compliance changes, noting that more than 20 states have announced minimum wage increases for 2024.
The session shifted to t 2024 pay transparency and compensation trends and the positive impact for both employees and employers. Attendees were informed about the momentum for pay transparency and its expansion, with new laws in states like California, New York, and Colorado requiring employers to disclose salary ranges in job postings.
Next, the webinar covered the rise in hybrid work and workplace flexibility. We highlighted how hybrid work models and advancements in communication tools are enabling greater flexibility and work-life balance, with 78% of workers preferring flexible work arrangements further emphasizing why hybrid work models are on the rise.
This was followed by a look at the HR trends that are expected to shape the rest of 2024, including maximizing investments by increasing productivity and addressing workplace fatigue and burnout. As organizations are “serious about cutting cost” we see HR managers focusing on how to produce a more productive workforce.
We explored the growth and mobility inside the workforce, emphasizing the importance of investing in employee development and career mapping to retain top talent, especially as Generation Z, our future leaders, continues to enter the workforce.
Furthermore, the growing popularity of AI in hiring was discussed, highlighting its ability to streamline recruitment processes and improve the quality of hires. We provided attendees with tips to deal with concerns about biases.
We discussed the continued growth of the labor market and its implications for recruitment and employment throughout 2024. Despite the challenges, the job market has shown resilience, with 272,000 jobs added in May across various sectors, indicating robust employment opportunities. The overall unemployment rate rose slightly to 4.0%, but it remains low, reflecting a tight labor market. This positive trend is expected to support economic growth and sustain hiring momentum.
HR managers can expect the evolving landscape of paid sick leave laws across different states. For instance, California has expanded its paid sick leave to five days or forty hours annually, effective January 1, 2024. Illinois allows paid leave for any reason under its amended Paid Leave for All Workers Act. Similarly, Minnesota’s new Earned Sick and Safe Time (ESST) law covers all employees, including temporary and part-time workers.
Lastly, we broke down the generational shift in the workforce, with Baby Boomers and Gen X making up 55% of the workforce, and Gen Z expected to constitute 27% by 2025. Each generation brings unique expectations and work styles so employers must recognize and adapt to these diverse needs to foster a productive and cohesive work environment.
]The webinar concluded with key takeaways, urging organizations to utilize technology to integrate ERP, HR, timekeeping, benefits, and payroll solutions for a streamlined experience and to stay ahead by preparing for the trends that will shape the remainder of 2024.
For more information on how Greenshades can help your organization navigate payroll and HR changes, contact us today!