The Future Is Coming: Is Your Workforce Ready?

The Future Is Coming: Is Your Workforce Ready? | Mercer 2018

Tax Cuts and Jobs Act

The Future Is Coming: Is Your Workforce Ready?

The Tax Cuts and Jobs Act unleashed a relative windfall of additional investment dollars for companies of all sizes. Now, business leaders are charged with determining where best to invest the money to accelerate growth.

 

At first, companies announcing one-off bonuses and minimum wage increases grabbed the headlines. Now it’s time to turn attention to the real conversations happening in board rooms and amongst the C-suite: From all the options we have for substantial growth-driving investments, what will drive the best outcomes?

 

Share repurchases and M&A are at the top of the agenda for many, but in order to truly position their companies ahead of the curve, leaders need to direct a portion of their investment dollars into building a workforce prepared for the future.

 

Four Forces of Change Are Creating An Urgency for Action

The rate of change is exponential

Technological and digital advancements are forcing exponential changes in what your business – and your workforce – will look like in the future. How will you adapt to this rapid change?

The war for talent is intensifying

Economists suggest that unemployment rates could soon reach a five-decade low of 3.5%. If you think good talent is hard to find now, it’s about to get worse. How will you attract and retain the best talent for the modern workplace?

Employee expectations are high

Advancements in AI and robotics have been creating fears of job loss amongst employees. Now, tax reform is being built off of promises of benefits to workers. If they go undelivered, could a “talent boiling point” be near?

Deadline looms for further tax savings

The Tax Cuts and Jobs Act presents a one-time opportunity for companies to realize a 20%+ post-tax savings gain on pension contributions. Will you react in time to make the most of your tax savings opportunity?

Every CEO, CHRO and CFO has a choice as to how and when they will respond to these events. With investment dollars made available through tax reform, the time to act is now.

 

The visionaries, pioneers and challengers amongst us will recognize this as their opportunity to lead in the building a workforce for the future and in turn will leap ahead of their competitors to fast-track business growth. Those who wait risk being left too far behind to catch up.

The Tax Reform Investment Opportunity: 5 Critical Workforce Investments The C-Suite Needs to Make Now

 

 

Maximize Your Tax Savings 



Companies have a one-time opportunity to realize more than 20% in post-tax savings on contributions needed to by pre-funding pension plans by September 15.

Reassess your investment strategy to lock in long-term gains and minimize future volatility.

Time to retire retirement

  • People expect to spend 15-20 years in retirement, but without better planning, many will outlive their income.
  • 2 out of 3 adults expect to live past 80, but only 1 in 3 are confident they will have enough money to afford to do so.
  • 68% of people globally don’t ever expect to retire or expect to keep working after retirement.
  • 86% say that continuing to develop professional and personal capabilities is important.

Time to retire retirement

  • People expect to spend 15-20 years in retirement, but without better planning, many will outlive their income.
  • 2 out of 3 adults expect to live past 80, but only 1 in 3 are confident they will have enough money to afford to do so.
  • 68% of people globally don’t ever expect to retire or expect to keep working after retirement.
  • 86% say that continuing to develop professional and personal capabilities is important.

Time to retire retirement

  • People expect to spend 15-20 years in retirement, but without better planning, many will outlive their income.
  • 2 out of 3 adults expect to live past 80, but only 1 in 3 are confident they will have enough money to afford to do so.
  • 68% of people globally don’t ever expect to retire or expect to keep working after retirement.
  • 86% say that continuing to develop professional and personal capabilities is important.

Time to retire retirement

  • People expect to spend 15-20 years in retirement, but without better planning, many will outlive their income.
  • 2 out of 3 adults expect to live past 80, but only 1 in 3 are confident they will have enough money to afford to do so.
  • 68% of people globally don’t ever expect to retire or expect to keep working after retirement.
  • 86% say that continuing to develop professional and personal capabilities is important.

Time to retire retirement

  • People expect to spend 15-20 years in retirement, but without better planning, many will outlive their income.
  • 2 out of 3 adults expect to live past 80, but only 1 in 3 are confident they will have enough money to afford to do so.
  • 68% of people globally don’t ever expect to retire or expect to keep working after retirement.
  • 86% say that continuing to develop professional and personal capabilities is important.

Time to retire retirement

  • People expect to spend 15-20 years in retirement, but without better planning, many will outlive their income.
  • 2 out of 3 adults expect to live past 80, but only 1 in 3 are confident they will have enough money to afford to do so.
  • 68% of people globally don’t ever expect to retire or expect to keep working after retirement.
  • 86% say that continuing to develop professional and personal capabilities is important.

Time to retire retirement

  • People expect to spend 15-20 years in retirement, but without better planning, many will outlive their income.
  • 2 out of 3 adults expect to live past 80, but only 1 in 3 are confident they will have enough money to afford to do so.
  • 68% of people globally don’t ever expect to retire or expect to keep working after retirement.
  • 86% say that continuing to develop professional and personal capabilities is important.

Time to retire retirement

  • People expect to spend 15-20 years in retirement, but without better planning, many will outlive their income.
  • 2 out of 3 adults expect to live past 80, but only 1 in 3 are confident they will have enough money to afford to do so.
  • 68% of people globally don’t ever expect to retire or expect to keep working after retirement.
  • 86% say that continuing to develop professional and personal capabilities is important.

 

 

 

Create A Brand-Building Compensation Plan

 

Average pay gaps can be between 20% and 40%, yet 67% of companies do not have a regular pay equity review process.

 

Take this opportunity to make sure your compensation strategy is fair and competitive to protect your brand, reduce litigation risk and simply do what’s best and right by your employees.

 

Get Ahead of the Curve in Building Your Workforce for the Future

 

The workforce for the future will look vastly different from what it is today, yet 62% of companies rate themselves as ineffective at workforce planning.

 

Accelerate your workforce transformation to be able to compete in a digital age, extend your leadership and secure a sustainable competitive advantage. 

 

 

 

Deliver a Meaningful, Differentiated Employee Value Proposition

 

With 1 in 3 employees satisfied in their current role, but still planning to leave in the next 12 months, it’s clear that companies just aren’t doing enough to reward and engage their workforce.

 

Strengthen your employee value proposition with an expanded view of total rewards to inspire, energize and empower your best skilled talent, making them want to stay with you.

 

Ignite Your Culture. Measure. Adjust. Repeat.

 

Investments in people work. Companies with highly energized and engaged employees have 11-16% higher stock performance.

 

Build trust and engagement with your employees through communications that empower them to contribute your company strategy and measure the impact this has on business growth.

 

  Ready to Get Started?
This window of opportunity is closing fast. No matter where you are in your workforce action plan, Mercer can help you get started or fast-track progress. Reach out now to speak with a Mercer consultant:
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