If you want to keep skilled people, show them what’s next

Sorry to be the bearer of news you already knew if you’re subscribed to our newsletters, but attracting talent isn’t just about offering a competitive salary and jeans Friday anymore.

Whilst yes, pay and benefits still get people in the door, what keeps them there is something deeper.

Clarity, stability, and a real sense of where their career is heading – the data from the recent Hays Salary Guide highlights this.

A lack of future opportunities is the number one reason employees say they want to leave. It is also the second biggest reason people have already moved organisations in the past year at 36%, just behind low salary at 31%.

Saying this, employers are aware of the issue too.

Around 37% say unclear progression is one of their biggest retention challenges.

Yet only 26% think career development helps them attract talent in the first place.

That gap is where the opportunity sits.

Progression is often only addressed when someone is already halfway out the door, instead of being part of the initial value proposition.

Looking closer at promotion structures, the picture becomes even more telling.

Only 1 in 10 employees say promotions in their organisation are frequent and based on clear performance criteria.  A third report there is no clear promotion structure at all, and another 22% say promotions happen but without transparency.

This has a direct impact on engagement.

When promotion pathways are clear, 79% of employees report being satisfied and only 25% are actively job hunting. Where there is no structure, satisfaction drops to 42%, and active job searching rises to 36%…that is a significant shift tied to something entirely within an organisation’s control.

Development support shows a similar disconnect. Many employers (bless them) believe they are doing more than employees actually experience.

For instance, 57% of hirers say they provide online learning platforms, but only 42% of employees agree.

The same gap appears in in-house training, with 46% of employers reporting it versus 32% of employees.

Notably, 19% of employees say they receive no upskilling support at all.

What employees want is not vague or difficult to deliver.

Half say funded external courses or certifications would make the biggest difference.

Another 33% want clear career paths with defined milestones to build skills over time.

These are practical, achievable steps that can directly improve retention.

Flexibility is another important piece, but its role has shifted.

Around 70% of employees say flexible working is very or extremely important when deciding to join or stay with an organisation.

At the same time, 66% of employers already offer it as standard.

That is the point.

Flexibility is no longer a standout perk. It is expected and now considered a hygiene factor.

It has become a baseline requirement to even be considered moving forward in interview processes.

While certain groups value it even more, such as women at 79%, employees aged 30 to 49 at up to 79%, and part-time workers at 83%

Salary and career progression still carry more weight when it comes to making a move. Flexibility simply keeps organisations in the running when candidates are weighing up offers.

Layered over all of this is a persistent skills shortage.

In the past year, 82% of organisations have experienced a lack of key skills, rising from 79% the previous year.

Technical industries are feeling it most, with engineering, trades, public sector, manufacturing and mining all reporting shortages of 89% or higher.

Engineering roles are struggling to fill mechanical, civil and electrical positions, with 72% reporting gaps driven largely by competition for talent.

Trades and services highlight a different issue, with 62% lacking skilled trades and 40% pointing to a weak pipeline of younger workers, thank goodness for businesses like Gold Coast Trades College that assist in training up the next generation of skilled workers!

Take Away?

A one-size-fits-all approach simply won’t solve challenges that vary this much in reality.

On the Gold Coast, where 95% of businesses are small, keeping up with these demands is no small task. It takes real commitment, and I have a lot of respect for those who are stepping up to meet it.

With salary and flexibility no longer enough on their own, it’s worth taking the time to map out clear career progression pathways before bringing on your next team member. It’s a simple shift that can make a meaningful difference.

The organisations that lead with these elements, not just as retention tools but as part of how they attract talent from the outset, will be the ones that stand out in an increasingly competitive market.

If you’re not quite sure where to start, or would like support putting this into practice, feel free to reach out to me or Renee at Integrated HR.