Hourly Workers Want More Schedule Flexibility and Control: Report
Much has been spoken about regular employees and the power they wield today when it comes to the Great Resignation and the employment landscape. But, what is the state of hourly workers? A recent study commissioned by Legion and conducted by Propeller shines a light on this.
The Great Resignation or the Great Reshuffle has been one of the most discussed topics when it comes to employment for more than a year. Studies, including the one from ResumeBuilder, even predicted that the phenomenon might continue this year. Much has been discussed about how the phenomenon has given more power to regular employees and the steps companies should take to retain employees. But what about hourly workers? How has the phenomenon affected hourly employees?
A recent study conducted by Propeller and commissioned by Legion tried to find the answers. A major finding was that the phenomenon might be showing signs of slowing down. That said, it has also put more power into the hands of hourly workers.
The following are the findings in detail.
Lower Resignation Rates Does Not Mean More Job Satisfaction
According to the study, about 57.6% of hourly workers do not plan to quit within the next year, with only 8.7% currently looking for a new position. That said, 75% of Gen Z employees will likely look for a new job within the next 12 months. The overall lower intent to quit doesn’t mean higher satisfaction rates. According to the survey, hourly employees gave their work environment an employee net promoter score (eNPS) of -7 on a scale of -100 to 100 (0-30 is acceptable). Such a low score meant employees were dissatisfied and would not recommend the employer to others.
Hourly Workers Want Empowerment
So, what are hourly workers dissatisfied about, and what do they want? The study showed that the top issues for these employees were pay rate as well as scheduling flexibility and control. And these were the same reasons they would take up a new job. About 97.6% of employees valued having some control over their schedules. About 86% of employees even felt it was “important or very important” to have control over their schedule. Employees also wanted more transparency in shift assignments and scheduled hours.
Several reasons were cited for the need for schedule flexibility, including school-related issues and childcare duties. But beyond the need for a schedule change, hourly employees also crave other types of schedule flexibility. For example, 56% wanted to choose the number of hours they worked in a week, and 38% wanted to pick up extra shifts. About 56.3% also said the flexibility to take extra shifts or swap shifts would persuade them.
Two types of shift flexibility that would be most useful
Source: 2022: State of the Hourly Workforce report
Besides pay rise and schedule control, employees also wanted greater recognition and rewards. About 58.3% of employees said it would persuade them to take a new job. About 35% of respondents wanted the employer to invest in skills training and education.
Gen Z Employees Specifically Look To Get Paid Early
Gen Z employees were more likely to change jobs than the older generations. About 75% of hourly employees between 18-24 were planning to change jobs in the next year. They were also likely to have a primary job and a side gig. About 57% who took up more than one job did so because they did not make enough money to cover food and rent. As such, most wanted faster and easier access to their earnings. More than 80% of employees of this age group said it was “important or very important” to get paid early. Further, 30% of employees between 18-24 would take up more shifts if they could get paid immediately after the shift.
Manual Processors and Outdated Communication Methods Are Causing a Strain
Just like hourly employees, managers face many constraints and stressors. And they can’t balance all the constraints effectively if they rely on manual processes, especially with a large employee roster. When they cannot effectively match business needs with employee preferences, they face last-minute scrambling to manage call-outs and no-shows. In fact, 42% of managers said this took the most time and effort, a 7% increase from last year. This was closely followed by matching business needs and employee preferences.
What has made managing hourly employee schedules most difficult
Source: 2022: State of the Hourly Workforce report
Managing call-outs and no-shows is time-consuming as employees manually communicate schedule changes through text messages, calls, and emails. About 83% of employees called or texted their managers to notify them about unexpected schedule changes. And often, this happened after the shift rather than before.
While this is already challenging for managers, communication about non-schedule-related matters may be more challenging. Hourly employees often lack communication and collaboration tools like Slack or corporate email. Hence, managers will have to depend on manual processes or personal emails and texts. This may lead to non-compliance in some regions.
Better Communication Tools With Self-service Capabilities Are Needed
Better communication tools with self-service capabilities are vital to improving employee engagement and operational efficiency. That said, managers do not want an additional app to manage. They want self-service communication apps within the same platform their employees use to view schedules. Managers know that their messages will be read as employees access the app daily to check their schedules, claim open shifts, and swap shifts. About 84% of managers agreed that productivity and efficiency would increase if they could communicate with employees through the same app employees use.
Besides improved communication, managers also want employers to invest in solutions that can automate routine tasks and reduce administrative burdens. They further want more capabilities that make hiring and retaining hourly employees easier. These capabilities include performance and rewards, benefits, and instant access to earned wages.
Being able to communicate with employees through the same app would improve efficiency
Source: 2022: State of the Hourly Workforce report
See more: How To Use Modern Payments To Tap Into the Growing Gig Workforce
Tips To Improve Employee Engagement and Future-proof Operations
In addition to hiring and retaining talent, aim to future-proof your operations. The Great Resignation may be showing signs of slowing down, but the shortage of hourly workers and inevitable schedule gaps are likely to continue. Hence, look at delivering value to these employees beyond wages. An excellent way to fill scheduling gaps is to offer extra shift premiums and instant access to earned wages. According to the study, almost 75% of employees would be most motivated to take extra shifts if paid a premium.
As you look to improve operational efficiency and hire and retain employees, provide schedule flexibility and control, modern communication with self-service capabilities, and instant access to earned wages in a single app. You can use AI-based tools and software that offer schedule empowerment.
Finally, provide solutions that automate administrative tasks and improve employee communications while reducing administrative burdens to improve managers’ lives.
Offering the right solutions and technologies to hourly workers and their managers can significantly improve their experience, leading to better employee retention.
What steps have you taken to retain hourly and deskless employees? Let us know on Facebook, Twitter, and LinkedIn.
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