HRreview Header

Employee retention is HR’s top challenge in 2024

-

Some of the biggest challenges facing UK organisations right now include retaining skilled talent, meeting pay expectations, providing a good work-life balance, and supporting employees’ wellbeing, according to new research commissioned by HR software provider Ciphr.

According to the findings gleaned from 300 UK HR decision-makers, a multitude of challenges confront employers, with around 11 distinct pain points identified on average.

Notably, over half of the respondents (51%) singled out employee retention as their paramount worry for the upcoming year.

This concern is underscored by the apprehension that organisations may struggle to meet the escalating expectations of their workforce across dimensions such as wages, work-life balance, and mental health and wellbeing support, a sentiment shared by 46 percent of those surveyed.

 

HRreview Logo

Get our essential daily HR news and updates.

This field is for validation purposes and should be left unchanged.
Weekday HR updates. Unsubscribe anytime.
This field is hidden when viewing the form
This field is hidden when viewing the form
Optin_date
This field is hidden when viewing the form

 

 

Recruitment difficulties

In addition to retention woes, a myriad of other hurdles loom large on the HR horizon. Nearly half of the organisations anticipate grappling with recruitment difficulties, employee engagement issues, and the management of remote and hybrid work arrangements, each cited by 45 percent of respondents. Meanwhile, challenges encompassing the provision of a conducive employee experience (42%), bridging skills gaps (42%), curbing absenteeism (41%), and fostering a positive workplace culture (41%) further compound the complexity of HR responsibilities.

Commenting on the survey’s implications, Claire Williams, Chief People and Operations Officer at Ciphr, underscores the imperative for organisations to recognise their workforce as their most invaluable asset. Williams asserts, “Employers need to step up and invest in their people if they want to hire the best talent and then retain them.”

What is causing these issues?

Williams elaborates on the multifaceted nature of contemporary workforce challenges, attributing them to a confluence of factors including economic volatility, unprecedented salary inflation, rapid technological advancements, and the diverse expectations of multi-generational workforces. Despite the financial constraints faced by many organisations, Williams contends that effective people investment hinges more on a shift in mindset than on exorbitant budgets.

Advocating for a strategic focus on employee-centric initiatives, Williams emphasises the pivotal role of leaders in fostering purpose-driven cultures, transparent communication channels, and inclusive workplaces. She highlights the significance of leveraging data insights and benchmarking against industry best practices to refine the employee value proposition and enhance the overall employee experience.

The survey also delineates the top priorities for HR teams in 2024, with retaining skilled employees, recruiting staff, and supporting health and wellbeing emerging as the foremost imperatives. Addressing salary expectations, providing enhanced training opportunities, nurturing workplace diversity, and managing hybrid work arrangements are among the key areas of focus identified by HR professionals.

Amelia Brand is the Editor for HRreview, and host of the HR in Review podcast series. With a Master’s degree in Legal and Political Theory, her particular interests within HR include employment law, DE&I, and wellbeing within the workplace. Prior to working with HRreview, Amelia was Sub-Editor of a magazine, and Editor of the Environmental Justice Project at University College London, writing and overseeing articles into UCL’s weekly newsletter. Her previous academic work has focused on philosophy, politics and law, with a special focus on how artificial intelligence will feature in the future.

Latest news

Three million working days lost to mental ill health this year

Three million working days have already been lost to mental ill health in 2026, as new support efforts aim to tackle workplace absence.

Zero-hours and gig work linked to rising mental health risks

Precarious and insecure work is linked to poorer mental health, with financial strain, isolation and lack of support driving higher risks.

Ministers reconsider youth minimum wage plans as unemployment rises

Ministers reconsider youth minimum wage plans as unemployment hits 16.1 percent and employers warn rising costs are limiting entry level hiring.

Jo Kansagra: HR builds the benefits strategy, but fails to use them

HR teams are often seen as the designers of employee well-being. They build the benefits strategy - but many of them rarely use it themselves.
- Advertisement -

Optimism rises among UK workers but retirement fears persist

UK workers feel more positive about work, health and finances, but concerns over retirement savings continue to drive stress and uncertainty.

Pay awards rise to 3.2% as employers balance caution with hiring pressures

UK pay rises tick up to 3.2% at the start of 2026 as employers balance wage pressures, hiring challenges and rising labour costs.

Must read

Chelsea Feeney: Supreme Court decision for Women Scotland v Scottish Ministers – implications for employers

On Wednesday 16 April 2025, the Supreme Court handed down a landmark decision in the case of For Women Scotland Ltd v Scottish Ministers. What does it mean?

Emily Rose McRae: HR leadership at a crossroads: Is it time to explore or restore work practices?

While the world of work continues to change, many senior HR professionals remain undecided about how best to adapt, says Emily Rose McRae.
- Advertisement -

You might also likeRELATED
Recommended to you