RECRUITMENT & RETENTION

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Everything is happening slowly and quickly all at once.

The labor market’s slowing churn has had many freaking out: Turnover is essentially flat, as hires and total separations (quits, layoffs, firings, retirements) have barely outpaced each other over the last few years.

That slowing movement is reflected in data from Workday’s latest Global Workforce Report. Job creation was down 4% year over year on the tech giant’s own platforms. And an analysis of the same data found that promotions had remained relatively flat year over year: Around 51% of employers increased their promotion rates, while 49% saw fewer. Similarly, 57% of employers made fewer lateral internal hires than the year prior.

While many organizations have seen internal movement stall, they and their employees are currently experiencing a lot of change in their current roles, Phil Willburn, Workday’s VP of people systems, intelligence, and support, told HR Brew.

For more on how organizations are changing, and what HR can do to support employees, keep reading here.—PM

      

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Annual 401(k) compliance testing—also called nondiscrimination testing—is required under IRS rules to confirm that a plan benefits all employees instead of favoring owners and highly compensated workers.

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Smaller and midsize companies can find testing harder, especially when highly compensated employees make up a larger share of the workforce.

Failing these tests can mean returning contributions to those highly compensated employees, making additional employer contributions for others, issuing taxable refunds, and incurring penalties for uncorrected issues.

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Disclosure: Paid non-client. Views may not be representative. See G2 reviews. Learn more.

RECRUITMENT & RETENTION

Morning Brew

The UK has grappled with a worsening employment situation, as young workers experience joblessness at a higher rate than older workers. The government has encouraged employers to do their part to reduce the youth unemployment rate, and Amazon is the latest company to pick up the baton.

On Oct. 20, the e-commerce giant announced a new program called the Amazon Youth Promise, through which it aims to create 30,000 new entry-level jobs in the UK by 2030, the Independent reported. The initiative is geared toward young workers, but will also provide job training to people “not in education, employment or training” (also known as Neets). Salaries will start at 31,000 British pounds (roughly $41,500).

“When I visit our sites, I meet young people who had no idea where to start six months ago,” John Boumphrey, UK country manager for Amazon, said in the company’s press release. “They didn’t have a CV. They didn’t have experience. What they had was a positive attitude and a willingness to learn.”

For more on the public-private partnership to reduce youth unemployment in the UK, keep reading here.—KP

      

RECRUITMENT & RETENTION

Kareem Osman

Companies are forking out more money for IT talent who have mastered AI and other cutting-edge skills. According to Robert Half’s 2027 Salary Guide, 65% of tech leaders say they are offering higher-than-expected salaries, partly in a bid to secure those candidates.

Kareem Osman, Robert Half VP and market director of technology talent solutions, told IT Brew the tech-hiring market is finally seeing “modest gains,” with AI helping drive salary increases. Most (92%) tech leaders are offering higher pay for relevant AI skills.

“It’s a good time. I think we’re pivoting. We see salary numbers are going up modestly, which is great,” Osman said. “We’re hoping for 2027 to kind of be the year for things to be back to normal.”

For more on the changing hiring landscape, keep reading on IT Brew.—BM

      

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Francis Scialabba

Today’s top HR reads.

Stat: Nearly half (48%) of workers fear that AI will make at least part of their job obsolete. (American Psychological Association)

Quote: “We’ll look at how employees are using the technology, the kinds of workflows they develop and how it helps them work more effectively. We’ll evaluate those outcomes and use what we learn to guide how we deploy AI across the business”—Sumanth Sukumar, VP of engineering at Uber, on the company rolling out ChatGPT Work to its 30,000 global employees (TechCrunch)

Read: New York Knicks owner James Dolan is under fire for an internal email phishing test that made employees think they would receive a championship ring. (USA Today)

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