Contemporary influences on workforce include changes in the demographic trends in a region, multi-generational workforce, diversity in the workforce and environmental (green) impacts. Ageing and migration have severe consequences on workforce as they may lead to an influx of workers or shortage. Either way, forward thinking is required in understanding the specific requirements in a workforce that will create sustainable pools.
For instance, in the UK, the number of individuals seeking employment has been decreasing since 2016 leading to an increase in job vacancies. Looking deeper into this demographic trend, the situation lies in the increase of individuals aged 50 years and above who are considered inactive.
For net migrations, younger people were recorded to be moving which means that the baby boomers are expected to fill the workforce positions of the ageing (Olson, n.d, p.173). The impact of this influence is increased reliance on foreign born workers which has an implication on employers as they have to find suitable workers with the skill they require. Moreover, with the decreased immigration to the EU, businesses are running at risk of failure.
With each generation bringing its own style to the workplace, diverse strengths, teams and relationship benefits are experienced. There is the silent generation whose major impacts on workforce lies in collaboration and team commitment, generation x which are more independent and adaptable thus great technology savvy’s, baby boomers who take work to be more important that personal life, millennials who are energetic and socially conscious and the generation z who are more concerned with career stability as they tend to be very cautious especially during recession.
Multi-generational influence the workforce negatively especially due to the skills gap, expectations in formality and communication styles and work environment (Holder & Lannon, 2018, p.113). Given these differences, a single approach in utilizing all their capabilities is difficult meaning that multiple strategies in management will have to be used.
On the other hand, focusing on similarities between multi-generations, supporting their differences, and attracting them to engage in a common goal could prove to be useful in changing the relationship between employees and also between the employee and employer (Holder & Lannon, 2018, p.114). This is because all these generations present an array of opportunities which could add value to the business while remaining mindful to the generational differences.
Diversity changes organizational structure and increases globalization in an organization. Diversity efforts in a workforce reinforces the battle against discrimination by supporting equality. This has led to the implementation of many workforce legislations which support equality such as the 1976 equal remuneration act, 1999 persons with disability act, 1967 employment act which addressed age discrimination among others.
Diversity enhances competition which motivates the workforce to engage in meaningful opportunities and practices which lead to the development of the organization (Belbin, 2010, p.39). This in return builds relationships within an organization that brings a healthy return on investment through improved problem-solving and decision-making that enhances the image of the organization.