PwC Saratoga’s 2012/2013 US Human Capital Effectiveness Report: State of the workforce
June 2012
At a glance
As the US economy slowly recovers from recession, several challenges are emerging for HR. Organizations that understand and adapt to this seemingly contradictory workforce environment will be able to gain the highest return from their investment in the workforce.
As the US economy slowly recovers from recession, several challenges are emerging for HR. Hiring is trending upward, but productivity is declining. The employment uptick has brought higher voluntary turnover rates, but not for new hires. Organizations that understand and adapt to this seemingly contradictory workforce environment will be able to gain the highest return from their investment in the workforce.
PwC's whitepaper summarizes results from PwC Saratoga’s 2012/2013 US Human Capital Effectiveness Report (as well as past reports), combining objective data and analysis from more than 300 organizations. We offer observations that may help organizations understand the dynamics at play in the labor market today.
Highlights from the report include:
- Return on workforce investment has diminished.
- Baby Boomer retirement remains an issue, but expectations of its impact have lessened. Vulnerability to retirement is likely to wane during the next decade.
- As unemployment has decreased, voluntary turnover has risen.
- Quality of new hires has improved during the past five years.
- Investment in HR has increased, indicating the changing nature of the function.