Dive Brief:
- Increased competition for talent is the biggest concern over the next year for directors of public companies, according to a survey of 372 board members by the National Association of Corporate Directors.
- However, concerns about the state of the economy also loom large. More than half of board members said that growing inflation was a concern, while 38% said the same of uncertainty regarding the pace of economic recovery.
- Human capital strategy “is a growing point of focus” for boardrooms, NACD said, with 57% of respondents stating that their board now discusses such strategy on a more regular basis, and a similar percentage saying oversight over human capital issues is likely to fall under the purview of compensation committees.
Dive Insight:
NACD’s survey findings are similar to those of other firms in recent months. In January, data from a PwC pulse survey found 48% of C-suite executives had identified talent acquisition and retention as the biggest concern facing their organizations. In the run-up to 2022, a survey of C-suite executives and board members by North Carolina State University and consulting firm Protiviti also found that attracting and retaining talent had become a top concern.
The increased attention to talent concerns is part of a broader trend for the HR function, which has become an increasingly integral piece of organizational strategy. Human capital discussions around topics such as compensation and benefits may grow more complex in the coming months as inflation persists.
Industry observers have pointed to a variety of strategies for attracting and retaining talent in the current market. These include digging deeper talent pipelines at the local level to reach people who may have lacked opportunities for training and development, as well as looking to internal candidates who may be interested in growing their careers beyond their current positions.
