Rebuilding reward and career frameworks based on skills 

Reskilling employees is the #1 workforce initiative for executives, and HR ranks and re-designing talent processes around skills as their second highest priorities, according to our latest research. Leading organisations are already looking at ways to weave skills into their established performance-based approaches. Do you measure up?

Mercer’s annual Skills Snapshot Survey collects benchmarking data from multinationals worldwide to uncover key trends, challenges and opportunities around skills-based talent practices, gauging market progress year by year. The research report will provide you with actionable insights and data to benchmark your approaches against peers and optimise your efforts. 

In Mercer’s 2022 Pay for Skills Survey, more than 650 organisations from around the world shared their experiences attracting, retaining and rewarding people with the skills they require to advance their business strategies

With more companies than ever before prioritising skills over education, all organisations need to think about developing their skills-based talent management capabilities.

Competition for top talent is fierce. About 45% of companies report a pressing need for skills that are generally in high demand, which makes the search for talent (and talent retention) especially challenging.

Overall, the need for certain skills has moved to the forefront of the hiring process — in some cases ahead of education and experience. As a result, skills-based pay practices are often deployed to attract new talent. However, even though organisations are assessing skills when hiring (with a view to achieving their strategic goals), many companies still have no formal skills-based rewards in place to recognise and drive in-house skills development.

This poses the question: are companies over-focusing on skills during the hiring process, while under-focusing on building and retaining the skills they need to advance their business priorities?