Previous articles of this newsletter made it clear what is the real contribution of the private employment services to the economic recovery. Their role of providing labour market access and in improving the skills and employability of workers makes of them an important stakeholder to build back better. To further advance the idea that these services are able to facilitate the functioning of labour markets and to fulfil specific needs for both companies and workers, we focused on additional information related to the future of work and the way in which its social impact is improved through innovation.

From this blog of Randstad, a multinational HR company, we learnt how the three major trends affecting today’s world of work, namely digital technology, supply chain management, demographics can be thrived while at the same time providing decent work and contributing to economic growth.

First, the world of work is reinvented by automation, artificial intelligence and all sorts of digital technologies. Since remote working has sharply increased in many countries and sectors, and this trend will continue in the future, “companies are forced to reinvent their management and leadership attitudes”. Secondly, “with the diversity of countries, cultures, legislative environments, suppliers, workers and types of work forms ever-increasing, supply chain management will be under even more scrutiny – with stronger attention to risk management, human rights and sustainability”. Third, demographics, which in turn will impact on the talent mismatch and the need for “better organized and regulated global virtual work mobility”.

In her article, Annemarie Muntz, Managing Director of Global Public Affairs is inquiring: “So, how do we make sure that we steer these developments in such a way that they benefit workers, organizations and society as a whole? [...] That’s where social impact meets social innovation”.

This means primarily that flexibility has to continue: “we need a diversity of decent, well-regulated work arrangements. Full-time, part-time, contract work, agency work and more”. However, flexibility must go hand in hand with “fair working conditions, decent social protection and proactive career guidance, regardless of the type of employment relationship. Or of work form. This is what some rightly call the ‘social innovation’ agenda”.

The role the HR services industry has to play is enormous, with the cooperation of public and private sectors: workers, employers, trade unions, recruiters, educational institutions, governments, NGOs and more. “Employers should realize that to attract the talent they need, they have to offer different forms of work to suit workers’ needs and to invest in skilling. Educational institutions should connect to businesses to prepare tomorrow’s workforce. Workers and employees should realize the need and responsibility to lifelong learning and development. Trade unions should represent all workers independent of the worker type. And finally governments must adapt regulations and policies to reduce inequalities and enable work security over job security. Labor regulations need to support easy activation and transitions. Public resources need to be used to support people in and out of employment, combining the expertise of both public and private employment services”.