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What are the Key HR Trends in Malaysia for 2022?

key hr trend in Malaysia 2022

The COVID-19 pandemic has changed most of the ways that the world functions. One of these changes is work trends.

The pandemic has mandated HR personnel to modify how employee recruitment, performance and management are done.

This modification is imperative for businesses to remain competitive and sustainable.

With these changes sweeping across businesses around the world, more new HR trends are expected to be seen in 2022.

With that in mind, let’s look at the emerging HR trends in Malaysia for 2022 and what they hold for businesses.

1. A Rise in Remote Working

Since the pandemic began, there has been a shift in the workspace from the physical office to homes. This was done as part of precautionary measures to prevent widespread infections.

Seeing the benefits of remote working in regard to saving money used to rent office space, giving employees flexibility and boosting performance, more companies in Malaysia will embrace this development in 2022.

Businesses in Malaysia will need to integrate more digital tools into their operations to enable remote working.  Consider how to shift performance goal-setting and employee evaluations.

2. Digitization of HR

It is necessary to ensure that the transition from the office to working from home is smooth. Employees’ performance needs to be tracked and it’s going to be challenging without the right digital tools.

The world today is going digital and this trend is going to continue for many years. It is going to do businesses a lot good if they embrace this trend as it will help them automate tasks and boost productivity.

There are many digital management tools that businesses can use today to keep their operations afloat and increase productivity and competitiveness in 2022 and beyond.

3. Use of HR Software

Human resources apps are a technology that helps HR departments automate and simplify complex HR processes.

These software combine several vital HR functions such as an employee attendance system, benefits, recruitment, employee data, employee performance, employee management data and more.

They can also be used to streamline communication between an organization’s leaders and employees.

In 2022, there will be a rise in the use of HR apps and employee attendance apps by companies to enhance the execution of their responsibilities.

This is because the benefits of using these apps are becoming glaringly obvious to many business organizations.

4. Increase of Contingent Workers

The economic uncertainty caused by the pandemic led to many people losing their jobs. As businesses had less funds to afford to manage their workforce, their budgets had to be reduced.

However, there has been a shift to hiring more contingent workers. This is done in a bid to maintain more flexibility in workforce management post-COVID-19.

This saves business organizations money as the contingent employees won’t be entitled to full employee benefits.

HR leaders will examine and evaluate the performance of each business department and determine which one will need the use of contingent workers.

5. Building and Enhancing Essential Skills

It has always been among companies’ top priorities to upskill their workforce, but this trend is skyrocketing due to the pandemic.

Business organizations know that the larger their talent pools, the higher their chances of getting through tough times, especially when certain skills have become redundant.

6. Diversity and Inclusion

Malaysia is among the frontrunners of workforce diversity and inclusion. The rate of diversity and inclusion in business enterprises is poised to rise further in 2022.

This is essential for a company to thrive, as a diversified workforce brings their individual experiences to the workplace.

7. Emphasis on Mental Health

It’s becoming clearer to businesses how essential mental health is to the proper running of day-to-day business activities.

Multiple surveys have found that since the pandemic, remote workers have had a boost in mental health and this has led to an increase in productivity.

In 2022, HR departments are going to see to it that a healthy working environment is created to promote the mental health enhancement of workers.

Mental health first aiders may be made available to respond immediately and effectively to any employee that may be facing a mental issue.

More so, stress reduction will be looked at among the policies to ensure employees’ wellbeing.

The Bottom Line

As organizational complexities increase, HR leaders are coming up with initiatives to keep business operations running smoothly.

The trends discussed above are to be expected in 2022 in Malaysia to help businesses change, automate, track and make well-informed decisions for their growth.

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