Guest Blog: The “Job for Life” mindset – is it making a comeback?

The ongoing economic uncertainty, brittle geopolitical landscape and sensitivity of the younger generation have led me to wonder whether we are moving back towards a ‘job for life’ mentality. Perhaps not in the same way as the baby boomer generation experienced in the post-war decades, but there is a noticeable shift in the job market.

Clearly, if a company is paying well under the market rate, people will still move. That competitiveness is there, and in some sectors more than others. However, political uncertainty and an overall lack of stability has made people more cautious about job security, leading workers to batten down the hatches and make the best of their situation. If they feel that position is stable, they may be less inclined to switch jobs for a small pay increase.

Hybrid working is an interesting junction in this debate because it can go two ways. On the one hand working remotely enables people to work globally or nationwide without physical relocation. That can naturally lead to longer tenures as employees feel less tied to a specific place or office or can balance work with parenting or caring responsibilities. At the same time, those same people might enjoy the freedom so much that they explore alternative career paths, like freelancing or entrepreneurship.

A revolution in benefits

Expanding the baby boomer comparison, employers 30 or 40 years ago had relatively little to offer in terms of benefits, but what they did have was shiny and new. The UK market for PMI grew rapidly from the mid-1970s to 1990, while company-paid pensions were growing in popularity and company cars had become a real badge of honour.

What we are seeing now is a step on from that: a digital revolution in the way companies can support and protect their employees, while also making their pay packet go further. Cash plans offer an affordable ‘blue-collar’ alternative to PMI. Online GPs save time and hassle. Voucher and discount schemes can help cash stretch further on the high street. Gym memberships and wellness schemes boost people’s health, while recognition schemes make them feel more valued. All these things sweeten the deal and help companies hold onto workers for longer.

Communication and Personalisation

Of course, we all know that word travels fast. If a competitor’s EVP becomes more enticing than our own, it is only natural that people might be tempted to move. However, we can also mitigate that by using data and technology well to enhance communication and personalisation around reward, recognition and benefits in a way that builds loyalty. Nothing is more powerful than simple, personal comms or recognition delivered straight to a worker’s smart phone, whether they’re at home, in the office or deskless on the factory floor. For the first time, HR tech is making it as easy for workers to access and use their benefits as it is to purchase on Amazon, or binge on Netflix. That is a giant leap forward in retaining talent.

Investment in career progression

I’ll finish, though, with arguably the biggest difference – how we are investing in people. Whereas a ‘career’ used to be as a series of earned promotions with bottlenecks and frustrations, we are now seeing a more modern, skills-led approach to progression and a series of life experiences. It may make for a more circuitous route through a business, but a more modular approach can allow workers to experience more of a company – and build up their sense of loyalty - before maybe settling on their favourite area via a sideways move.

Millennials and Gen Zers may not be actively looking for a ‘job for life,’ but they do tend to prioritise work-life balance and meaningful, purpose-led work and still value stability and opportunities for growth. Technological changes will, of course, constantly reshape roles and businesses, but if companies can match their employees’ appetite for development with opportunity for growth and creative thinking around reward and benefits, it is possible that people will choose the devil they know, rather than risk the one they don’t.