People Processes: Open Workspaces, Short Term Incentives, and Background Checks

What this episode covers

Workers value sense of community in the workplace About half (47 percent) of part- or full-time employees value a community atmosphere in the place where they work, according to a new survey by Clutch, a B2B research, ratings and reviews company. The number increases to 55 percent for millennial workers aged 18-34. These findings suggest that workspaces, including traditional offices, coworking spaces, coffee shops, and other public work areas, benefit from finding ways to bring their young employees together. While Generation X and baby boomers also value community, they don’t prioritize it at the same level as their younger coworkers. This is likely because millennials are the first generation to grow up with the internet, says Laurel Cummings, a makerspace researcher and member of Building Momentum, a science and engineering consulting company. Cummings says that the internet is a connective tool that allows people to create projects of previously unimaginable scale and reach. “The internet has brought this idea of multi-disciplinary work to a whole new level.” Kfir Shaked, senior architect lead at WeWork, a coworking network, agrees that making workspaces that encourage community-building interactions, such as stopping to chat, collaborating on projects, or teaching new skills, is key. “When designing the community spaces, I’m thinking about these spontaneous conversations that might happen,” Shaked said. Putting community building at the forefront of workspace design is critical. The top quality that employees want in their physical surroundings is a pleasant, comfortable workspace. More than 3 out of 5 office workers (61 percent) want their workspaces to look and feel good. When workers have access to space they find agreeable and cozy, they’re able to concentrate better and think more positively about the work they do. Source: Clutch. Short-term incentives no longer just for executives Short-term, cash incentives continue to dominate the incentive-pay landscape at both private companies and nonprofit/government organizations according to research released on May 8 by WorldatWork in partnership with Vivient Consulting. “Spending on short-term incentives (STIs) increased modestly at private companies from 2015 to 2017, which reflects the tight labor market and competition for talent,” said Bonnie Schindler, partner and co-founder of Vivient Consulting. On the nonprofit side: “U.S. nonprofit organizations continue to make significant use of short-term cash incentives to motivate and reward employees. Long-term incentive (LTI) use is still a little-used compensation element, but prevalence increased modestly in 2017 and may signal an emerging trend,” Schindler said. As for private companies, the research reveals: Spending on STIs increased to 6 percent of operating profit at median, from 5 percent in prior years. The prevalence of exempt, salaried employees and nonexempt (salaried or hourly) employees included in annual incentive plans increased in 2017. The biggest jump occurred for nonexempt employees. Approximately two-thirds of nonexempt employees are eligible for annual incentives, up from half in 2015. The majority of respondents consider their annual incentive plans to be only moderately effective, with plan communication, the level of discretion, goal setting and the risk-reward trade-off noted as areas for improvement.