With the election campaigns starting to get into full swing, plenty of media attention is being drawn towards the plight of Aucklanders – the unaffordable housing, worsening traffic problems, immigration issues…. the list goes on.
While the reality of these issues change, often dependent on which media commentator you listen to, the combination does add up to a huge impact for Auckland organisations and the attraction and retention of their people.
Over the next year smart businesses will consider these issues, seek to understand the impacts and start to make plans to support their people to overcome these.
Buying a home is still a Kiwi dream, and with the affordability challenges many people are facing in Auckland, the migration to the regions will continue. Many businesses have started to lose talented team members as they look to buy a house for their family in more affordable areas.
It is still possible to get on the housing ladder in Auckland, but it is a huge challenge for many. Businesses can support their team by investing in financial education, budgeting and property advice to help them save and be able to make a solid plan for their family’s future in Auckland.
Traffic is an issue which has plagued Aucklanders for years with no solid plan in sight to rectify the situation. Aucklanders are becoming choosier with their work location in relation to travel. The increase in focus of work/life balance has also seen fewer people finding hours spent in a car travelling to work acceptable. People have started to look for options closer to home.
Travel should start to be a key interview question, to make sure you understand if candidates have considered this in advance of an offer being made. Consideration should also be given to your office location. Are you close to reliable public transport? Do you have a surrounding demographic of people who will want to work in your business? Can you hire locally where possible? Making sure you consider this will help you to retain staff and set your business up to meet future recruitment needs.
With the tightening of immigration rules fewer migrants will be available for work, reducing a valuable pool of talent for employers. It’s a good idea to start now and make sure you have a clear picture of which roles will be impacted in your organisation, and how this will affect your hiring. This will allow you time to build for the future by developing internal career paths to fill some of your tough vacancies, and improve your recruitment offering to be more attractive to New Zealand candidates.
It will also be prudent to become familiar with the new immigration legislation and even seek help from immigration experts to help you retain the top immigrants that you might have already in your organisation.
Pressure on wages
Recent information has shown that despite the “rock star” economy, wages in New Zealand have failed to keep pace with economic growth and that lower to middle income households are still doing it tough. This information may embolden employees as they ask for wage increases or actively search for other roles at a higher rate. Market rates have increased significantly in some areas, and it is essential businesses continue to monitor market rates often so they don’t run the risk of being left behind.
Having a well-structured and clearly communicated policy on increases helps to reduce the uncertainty in this area and assists employees understand what they need to do internally to receive an increase. Having an open-door policy around remuneration is essential so your team speak to you first before approaching employers. No-one wants to end up in a bidding war.
Key Take Away Points
- Provide your employees with financial planning, budgeting & property planning advice
- Include travel as a key interview question
- Have flexible hours of work policies in place
- Develop internal career paths for key team members
- Improve your recruitment offering
- Understand the immigration laws
- Monitor and stay in tune with the comparative job rates in the area
Thinking ahead can help you to be successful through improved retention and team productivity. Understanding the issues and pressures your team face will help you build loyalty and commitment, and some creative HR support focused in the right areas can go a long way to mitigating some of the risks you may face in the future.
At Positive People we understand HR, the environment and your team, and we are happy to help.
If you would like to talk to us to see if a free HR Check Up is a good fit for your business, contact the team at Positive People on 09 445 1077, or email us at firstname.lastname@example.org.
If you would like to check available times to book your HR Check Up click here.