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10 predictions for New Zealand’s future of work

In 2023, we’ll be celebrating our 24th year of operation in New Zealand and while we’re proud of our achievements, we always look towards the future to help you stay ahead. So, what will the future of work look like?

This is a more difficult question than it was just a few years ago, as many predictions flew out the window when COVID-19 arrived at our borders. Organisations needed to accelerate technology in workplaces and pivot towards new business models to survive. That rapid transformation period meant some predictions arrived early however we can look ahead to what the future workplace will look like.

From ethical job automation to collaborative workplaces, an aging workforce to wellbeing, following are ten trends that we believe will impact New Zealand’s future of work.

1. Ethical job automation

The first of these is an emphasis on ethical job automation. The threat that robots will take our jobs has fuelled science fiction for decades, but in the next 20 years, ethical considerations surrounding job automation will be addressed. New Zealand employers will still automate routine and repetitive tasks, but they’ll simultaneously upskill employees to perform the more highly skilled tasks they are freed to carry out. Meanwhile, workers displaced by automation will see their job redesigned and will in turn be reskilled into a non-routine, varied, valuable and creative role.

2. Artificial intelligence

Continuing this theme, automation programs in workplaces are continuing to evolve. Automation is developing in disciplines such as data analysis, and artificial intelligence programs are becoming more mainstream with the popularity of graphics and imagery developed by AI thanks to a few inputs from users, taking the internet by storm. AI technology will mature towards being able to detect patterns in work, retrieve information from data and images, and therefore be able to make decisions and recommendations for companies.

3. Hybrid working will continue, and managers need to learn how to lead in this environment

Hybrid working is well and truly here to stay. Business leaders and senior managers especially will need to upskill in being able to manage people in this new era of work and be able to juggle between those that are in the office and those that choose to work remotely. As Hybrid working is here to stay, managers need to learn how they can better manage hybrid working. On the topic of hybrid working, office space may even decrease as the need for it dwindles with some many workers choosing to work remotely.

4. People-focused culture

We’re already seeing a focus on retaining talent in organisations due to the current skills shortage, but we see this continuing well into the future. Increasing consumer scrutiny favouring ethical business models and the ever-present competitiveness in the talent market and development of new positions, will make it just as important for an organisation to be seen to be “doing good” as it is to be “doing well”.

Employees will continue to benefit through increased flexibility, long-term career development and upskilling opportunities to engage and retain the best talent in a world where an organisation’s people are the single greatest source of competitive advantage.

5. A wellbeing-centric workplace

Back in 2019 the first Wellbeing Budget was unveiled, which prioritised mental health and broader living goals. “Today’s budget shows you can be both economically responsible and kind,” said Prime Minister Jacinda Ardern after the budget was originally released.

Looking ahead, the idea that financial prosperity alone is not a sufficient measure of quality of life will ripple through workplaces. Flexible working, unlimited annual leave and practices and workplace wellbeing programs that allow employees to take better care of themselves will become and is already becoming the standard. In the post pandemic world, while pay matters, it isn’t going to be the only thing that helps hold onto employees.

New Zealand is poised to be a progressive world leader in this area, which may go some way to easing skills shortages, particularly as people shorten their OE in favour of coming home earlier to work for an organisation that values wellbeing.

6. Non-biased bots will improve diversity outcomes

AI technology will develop to the extent that it is able to remove unconscious bias from the recruitment process to improve workplace diversity. Organisations have started to experiment in this area, but it remains a work-in-progress since a programmer’s underlying biases can inhibit the technology’s impartiality.

Looking ahead, more sophisticated AI solutions will be used extensively to screen job applications to create interview shortlists, in succession planning, in performance appraisals and even when selecting roles for redundancy. Such decisions are currently subjective, prone to the bias of managers. With the data that AI provides, impartial decisions will be made, leading to more diverse and inclusive workplaces. AI-based salary tools will also be used, which will help minimise the gender pay gap.

7. An older workforce

Over the past 20 years, New Zealand’s workforce has been aging. In 1999, the year Hays opened its first office in New Zealand, just 1.5 per cent of the labour force was aged 65 or above, according to Stats NZ.

In 2039, it’s projected that 9.8 per cent of the labour force will be aged 65 or above. With a strong work ethic, institutional knowledge and life experience, the stigma surrounding ‘grey workers’ will disappear as their participation in the workforce increases and employers and colleagues alike come to understand the benefits of experience. In turn, employers will proactively look to attract, engage and retain mature-age workers in a way that is seldom done today.

8. The gender pay gap will (hopefully) close

Over the years, the gender pay gap has been trending down, however it still very much exists, with men still earning 10 per cent more on average than women in New Zealand. Recently there was a push to lower the pay gap figure in public sector agencies and there is greater pressure on the private sector to report on and improve pay equity.

Looking ahead, greater pay transparency, parental leave equality and the adoption of AI tools in salary decisions to eliminate negotiations and any management or systems bias will help to reduce the pay gap further. With wellbeing a New Zealand priority, the country is in one of the best positions in the world to close the gender pay gap.

9. Collaborative workplaces

Over the years, the unique Kiwi ‘can do’ positive attitude has helped both business performance and careers thrive as we worked towards solutions and got things done.

Looking ahead, as work becomes more complex and traditional hierarchical structures give way to more cross functional operating models, this ‘can do’ attitude will become even more important. It will allow people to work cross-functionally to collaborate to enrich innovation, creativity, productivity and efficiency. Given the rapidly escalating pace of change in today’s business environment, this will give Kiwis a competitive advantage in a global marketplace. Even with the presence of hybrid working models for the foreseeable future, collaboration will still be integrated by managers that have the skills and knowledge to bring together teams no matter where they are.

10. Battling skill shortages

New Zealand’s labour supply has consistently failed to meet demand. This has been amplified by today’s skills shortage issue and new jobs being developed, especially in sustainability.

Looking ahead, while it’s hard to see a silver bullet solution to skill shortages, skilled migration will remain a factor as the world progressively returns to travel. So too will a new model of recruitment, which utilises AI and data science to identify the best candidates for each role, regardless of whether they are currently job searching, and pinpoint what will successfully attract and retain each individual candidate.

When we look back over the years, there’s no denying that the recruitment market and world of work have experienced significant change. But there’s one thing that’s remained the same since we first opened our doors in 1999, and that’s the impact we’ve made on our candidates’ lives and our clients’ organisations. We’re proud to say we are lifelong partners to our clients and candidates. That’s something that will never change for us.


About this author

Adam Shapley, Managing Director, Hays New Zealand and Hays IT Australia & New Zealand, began working at Hays in 2001 and during this time has held significant leadership roles across the business including responsibility for multiple specialisms in various locations across Australia & New Zealand.

In 2018, he was appointed to Hays ANZ Management Board and made Managing Director for Hays New Zealand.

Adam is also responsible for the strategic direction of the Hays Information Technology business across Australia & New Zealand including driving growth across Digital Technology, Projects & Business Change and IT Operations & Support.

Follow Adam on LinkedIn

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