HR Statistics 2021 That You Should Know

Human resources (HR) are a vital component of every business, but they also come at a high cost. After a recession in the previous year (2020), the year 2021 will be extremely tough, and thus hiring the best talents will be essential. As an HR, you must eliminate costly obstacles and create the most committed, diverse, and skilled workforce possible. 

Whether you’re a recruiter or a job seeker, it’s crucial to understand the level of competition and what you’re up against. As a job seeker, if you know the number of people who applied, you can spend time building your resume. Recruiters can save a lot of money if they understand the economics underlying the job hunt.

Knowledge about HR statistics may assist company leaders and managers in building a healthier work environment for everyone. That is why we at SaaSworthy have put together a list of HR statistics to consider in 2021. The statistics below are sorted into categories to help you find a particular statistic that you are interested in with ease. 

Statistics on Employee Engagement and Morale

A company’s efficiency, performance, retention, and reputation are heavily influenced by the company’s employee engagement.

• Only 30% of workers in the United States are engaged at work.
• 84% of HR executives believe that acknowledging workers boosts engagement, while 82%  believe that it increases employee happiness.
• Boredom and lack of challenges drive 33% of workers to search for a new job.
• Managers are disengaged in 51% of cases and are actively disengaged in 14% of cases.
• 89%  of workers feel it is critical to network constantly for job opportunities in the future.
• Companies that have a high level of employee engagement are 21% more prosperous.

Statistics on Productivity Management

Maintaining highly productive employees and encouraging them to execute their jobs successfully will help your company thrive. Productive employees are the driving force behind your company’s success. 

• 32% of employees desire five days at home per week, 9% – four days, 17% – three days, 14% – two days, and 11% – one day per week once the COVID-19 pandemic has passed. 
• Only 17% want to work remotely less than once each week or work full time in the office.
• Developed economies expect a shortfall of up to 18 million workers.
• When it comes to more difficult jobs, one exceptional employee may be equal to as much as eight ordinary ones.
• Just 39% of workers wanted to work from home at least one day per week prior to the COVID-19 pandemic. Now 55% intend to do so after the pandemic.

Statistics on Training and Development

Employee training and development initiatives can help retain employees while also increasing their engagement and productivity.

• Email marketing leads to the discovery of learning programs for 32% of managers.
• 24% of development professionals do not track learner engagement.
• Only 34% of HR professionals engage in workforce development and reskilling as part of their long-term workforce strategy.
• 83% of HR executives embrace the learning of their employees. 
• 73% of employees are more engaged in their job, developing and sharing new ideas owing to training and development.
• Employer portals directed 56% of employees towards educational opportunities. Employee intranets provide possibilities for employees to learn. 

Statistics on Employee Loyalty and Retention

Employees loyal to their employers stay with them for a longer period, thereby lowering hiring and turnover expenses.

• Every year, 27% of employees willingly quit their employment.
• Every year, roughly 35% of employees quit their employment to pursue other opportunities.
• Employee retention and turnover are cited as the most difficult problems by 47% of HR executives.
• The overall expenses of voluntary turnover for US firms exceeded $600 billion and are likely to rise further.
• At 81% and 53%, respectively, job qualities and work environment drove voluntary turnover.
• By conducting surveys on the last day of employment, 80% of exit surveys use inadequate techniques.

Statistics on Hiring and Recruiting

A well-planned recruiting strategy assists your company in finding skilled employees suitable for your workplace culture and the specified task.

• According to 67% and 63% of job aspirants, the most crucial information was salary and perks, respectively. They did not prefer networking with their friends and colleagues to find employment.
• One out of every two job searchers has had a poor experience during the recruiting process. 50% of the job applicants have refused a job offer as a result of a bad experience.
• On job search websites, 53% of individuals seek information and reviews about their preferred company.
• 51% of job seekers prefer to discover job openings through online job postings.
• 55% of 35- to 44-year-olds used a smartphone to apply for a job.

Statistics on the HR Technology and Software Market

By using HR software and technology, you can boost the productivity and insights of your company.

• Approximately 44% of talent managers see cloud solutions as a method to maximize productivity, while 35% see the cloud as a way to cut expenses.
• By 2022, the rapidly expanding HR software industry is anticipated to exceed $10 billion.
• 58% of organizations use HR technology to discover, attract, and retain talented employees. Paper-based hiring methods have been replaced by digital technologies, and certain elements of this process have been automated. 
• 74% of companies want to increase their investment in HR software and technology.

Statistics on Workplace Wellbeing

The well-being of employees can influence worker productivity. Companies that handle employee wellbeing comprehensively can boost revenue and loyalty.

• Lifestyle management programs are made use of by 87% of employees. Employers saved $0.50 per month, while employees saved $6 per month on average by using these programs.
• Overall, for every dollar spent on employee wellbeing involving healthy staff, a return of $1.50 was made.
• A dollar invested in wellness treatment initiatives for high-risk employees produces a five-fold return.
• A two-part illness management and lifestyle program saved businesses around $30 per employee. Disease management-related savings accounted for 87% of the total money saved.

Statistics on HR Automation

AI isn’t only about automating processes and making profits. Employees can be freed up to work on more challenging activities if monotonous chores are automated. It also enhances your employees’ daily work experience.

• 51% of HR professionals consider AI as a way to reduce expenses.
• 57% of HR executives who use AI want to enrich the work experience of their employees.
• 17% of the companies are already employing AI. By 2022, it is expected that 47% of the companies will adopt AI technology in human resources. 
• 41% of the companies credit the tight collaboration between IT and HR departments to the success of their HR software.

Statistics on Diversity, Equality, and Inclusiveness

By implementing excellent diversity initiatives, companies can surpass those that do not. At the same time, they also work in promoting equality to minority groups.

• Men hold 58% of the leadership roles.
• If the gender gap is eliminated, the global GDP may rise by $12 trillion. Firms with higher gender diversity could profit from this development.
• People of color hold only 5.8% of leadership positions.
• Firms with more gender diversity outperform firms with little gender diversity by 25%.
• Men make up 55.3% of the worldwide workforce, while women make up only 44.7%.
• Companies with high ethnic diversity outperform their less diverse rivals financially by 36%.

Statistics on Onboarding

While it is vital to swiftly prepare employees for their tasks, cost-cutting might result in unsatisfactory performance and increased resignations. It is costly to hire and train new staff. Therefore it is critical to hire and train them properly to retain them.

• Within the first 45 days of joining, up to 20% of new employees leave the company.
• 70% believe that having a friend at work is the most important aspect of having a pleasant work life. A solid onboarding program may assist employees in developing relationships. 50% of the employees who have a best friend at work express a strong attachment to the firm.
• No sort of training is involved in 25% of the organizations’ onboarding program.
• The most essential aspect of an onboarding process, according to 72% of employees, is one-on-one time with their immediate manager.

Conclusion

We hope that we were able to provide an insight into the various HR statistics in 2021. Having a real understanding of what it is like to find a job in today’s world is an added advantage. Although these HR statistics are merely a fraction of the many available, they should be more than enough.