New insights shared by global human capital management (HCM) firm Dayforce revealed that more than two-thirds of the organisations it has surveyed believe that Australia’s new right to disconnect legislation will have a significant impact on their operations.
The survey found that only 28 per cent of the respondents believed the legislation would improve work-life balance for employees, while just 14 per cent believed it would enhance employee retention and reduce turnover.
The right to disconnect legislation, which came into effect last August for many employees in Australia, provides protection for individuals who do not monitor, read or respond to contact, or attempted contact, from their employer outside working hours, unless their refusal is unreasonable.
While the legislation has been hailed by some as pivotal in helping employees achieve work-life balance in the digital era, there were also concerns raised that the requirement to allow employees to fully disconnect once they’ve clocked off may force employers to overhaul their processes and practices. ISB has also heard concerns that the ‘right to disconnect’ may overshadow workplace measures that are just as important for striking work-life balance.
Concerns on compliance
The report also noted other concerns facing organisations today. Primary among them is with regards to compliance, as managing compliance requirements is now the biggest barrier to high performance for 30 per cent of organisations. In particular, almost two-thirds of survey respondents cited labour laws and regulations as their chief challenge, followed by data privacy and security (26 per cent).
Impact of flexible work
The report additionally highlighted the impact of flexible work as being the norm among many organisations. What is notable is that it found that flexible working has made no significant change to productivity for 52 per cent of organisations, while 36 per cent have experienced a productivity increase. Only seven per cent stated productivity had decreased as a result.
What is shaping the future of work?
With regards to the future of work, survey respondents said that digital technologies and AI are the most significant factors shaping the future of work in 57 per cent of organisations, followed by shifts in employee expectations (18 per cent).
The jobs situation
The survey also noted that the jobs market has remained steady, with 52 per cent of organisations actively hiring for multiple roles and 26 per cent hiring for specific critical roles only. However, 50 per cent shared that finding workers with the right skills and experience has been difficult, while 26 per cent shared that they’re experiencing general labour shortages.
Embracing DEI
On the matter of embracing diversity, equity and inclusion (DEI) in the workplace, 51 per cent of respondents shared that creating an inclusive culture was the DEI initiative most critical to organisational success, followed by enhancing diversity in leadership (22 per cent), and addressing pay equity (15 per cent).
“These results highlight the growing complexity crisis that Australian employers are navigating, including increasing compliance risk and the expectations of a boundless workforce,” said Brian Donn, Managing Director, APJ at Dayforce, Inc. “Fostering strong connections between an organisation and its people, as well as investing in efficiencies through strong processes and innovative technology, is critical.”
