Why is it necessary to identify these HR challenges?

HR challenges, if left unchecked would leave a dent in your company that is beyond recovery. This would be in the form of high attrition rates, poor performance by employees, and low morale, eventually affecting the company’s bottom line. As a result, it is necessary for companies to keep track of these metrics regularly, identify these challenges, and fix them at the earliest.

Top 12 HR challenges leaders should look out for

Challenge 1: Keeping Everyone Happy

The biggest challenge for an HR leader is to keep everybody happy. And employees must be happy. An unhappy workplace makes it difficult to retain talent or create an engaging work environment. Productivity is affected and the team morale suffers. 

As an HR leader, it is essential to ensure that every employee is happy, keeping in mind that everyone has different needs. It is a task that requires active listening, negotiating and predicting employees' moods, and skillful reaction to problems. 

Challenge 2: Employees became the new customer

Beginning in March of 2020, the role of Human Resources instantly and drastically increased in scope and importance. HR Leadership was forced to refocus and reprioritize what employees were now needing. 

While companies managed to evaluate and shift the focus to wellness,  communication, and remote work readiness, the most challenging aspect, however, is building culture and employee engagement with an employee. Particularly so, when the employee is still experiencing a re-evaluation of their personal and professional lives, respectively; all at the same time we are experiencing the biggest hiring crisis since Y2K.

Challenge 3: Recruitment

Perhaps one of the most difficult tasks, recruitment, is one of the primary duties of HR. Every hire is a coin flip; you can hire a candidate that meets every requirement, has extensive experience, and has the right attitude, but in the end, doesn't end up being the right fit for your company. 

Choosing the right people for the right job is the most important task for the company. It is a critical responsibility that needs to be taken seriously. One bad hire can cost a company thousands of dollars, not to mention the negative impact it can have on the team. Focus on the fit between the person and the job. Look for experience and skills, but we also evaluate culture fit. A person’s values, attitudes, and personality matter as much as their resume.

Challenge 4: Attracting Top Talent

The tables have turned slightly during the pandemic. In the past, the job interview consisted of a candidate trying to sell themselves to the hiring team. In today's interview, HR also needs to sell the company to the candidate. 

Because of the talent shortage, job seekers have more opportunities than ever before. They can afford to be choosy, and most young workers want to be employed by a company with a code of ethics that matches their own. 

Every organization must strive to establish that they are the best company to land. HR needs to ensure that its organization is the most preferred among all the available options. This includes establishing a corporate culture that will attract the best candidates to your organization.

Challenge 5: Managing An Ever-changing Workforce

The workforce is changing faster than ever, and so is the role of HR. In today’s world, businesses must be able to adapt quickly to changes in the marketplace. They need to be able to attract, engage and retain top talent. 

But this is easier said than done. The war for talent is real. And it’s only getting more competitive. 

With more baby boomers leaving the workforce and millennials accounting for an increasingly large number of employees, HR executives now face an entirely new set of problems. 

Generation Z is also entering the job market, bringing their own set of challenges with them. HR leaders are expected to find creative ways to engage and motivate this diverse workforce to collaborate, innovate and produce results.

Challenge 6: Keeping Up With Changing HR Industry

As an HR Leader, it's challenging to keep up with the ever-changing landscape of the HR industry. With so many new technologies and methods being introduced, it can be difficult to keep up with the latest trends. 

Additionally, HR leaders are often responsible for overseeing the recruitment process and managing employee relations. So, it has become essential to regularly train and update the skills of your HR team. 

There is an ever-growing need to keep up with every new method and ever-changing technology to ensure that we're doing our duties properly.

Challenge 7: Laying Off Employee

Conducting employee layoffs or terminations is never easy. Since allowing an employee to go is usually an emotionally exhausting process, it’s no surprise that 26% of HR leaders claimed this to be the most difficult thing. 

Moreover, the legal challenges to consider can be significantly stressful for HR leaders because one faux pas in the termination process can lead to a hefty and time-consuming lawsuit.

Challenge 8: Staying Up-To-Date On Workplace Culture

Staying up-to-date on current trends in the workplace helps attract top-performing employees. With innovation being a leading factor in most workplaces, you always want to make sure to stay on top of trends in hiring, leadership, and onboarding to better serve the company and employees. 

Therefore, it is imperative to stay on trend when there are different ways to streamline effective trends in the workplace.

Challenge 9: Navigating Leadership Changes

When leaders leave the organization, many things can often go with them: strategy, direction, vision, and business goals can sometimes get blurred. In these cases, HR teams may need to step up and become the glue that holds the team together. 

HR leaders often have to step into teams they may not know much about. Even though they don't replace the leader, they must encourage positivity and reassure employees who may be insecure without their former manager. It's important to set regular check-ins on the leaderless team and help them always keep company goals in sight and sometimes even rally morale until a new leader can step in.

Challenge 10: Giving constructive feedback

The biggest challenge when managing employee feedback is monitoring tone. You want to ensure that feedback is not perceived as a personal attack or excessively critical but as an opportunity for your employee's growth. It's crucial to let your employees know that you want to help them improve their performance. 

Don't wait to deliver everything at once; share constructive feedback in real-time. It's much easier for an employee to absorb your thoughts if they can apply them sooner rather than later. You also help them by not letting them make the same mistakes repeatedly. 

It's essential to give your employee their feedback in person. It can be difficult to read the tone in an email, but the employee can read your body language and better understand your feedback if you give feedback in person. 

Be sure to let your employees know that you also see the good things they are doing; if they feel constantly criticized, they will not do their best work.

Challenge 11: The Increasing Number of Hybrid Employees

The traditional workday was disrupted by the COVID-19 pandemic and it never fully went back to normal. Human resources directors have to cope with an increasing number of employees spending an increasing number of hours working remotely. 

There were also the headaches associated with the transition from remote work back to on-site work. Human resources managers have had to introduce new digital tools to the workforce to make those variations and transitions easier.

Challenge 12: Motivating The Team

Maintaining the motivation and productivity of the team can be daunting. This can be a challenge because there are a lot of different factors that can affect motivation and productivity. Identifying those factors and then finding ways to address them can be difficult, but it is important to keep the team focused and on track.