As businesses navigate continued times of disruption, employee resilience has emerged as a key success and, in some cases, survival factor. From pandemic-induced 'mass resignations' to the rise of hybrid work and generative AI, organizations are facing unprecedented changes in the way people work. Boards are now tasked with not only overseeing strategy and financial performance, but also ensuring that companies adapt to new workforce realities. Employee expectations for pay, flexibility, culture, and career growth are changing dramatically, requiring boards to recalibrate their approach to talent governance.
In a recent panel discussion at the Board of Directors Summit, industry leaders discussed how boards can better manage their workforce strategy, ensure they meet evolving workforce needs and prepare for the future of work. We considered the method. The panel was moderated by Chris Pederson, EY Americas Board Matters Center Leader, and featured insights from Roselyn Feinsod, EY People Advisory Services Principal. Debra Kelly Ennis, director of Altria Group and TFI International; Kelvin Westbrook serves on the boards of large companies such as T-Mobile and Archer Daniel Midlands. Together, they considered how boards can better understand the employee experience and strengthen talent governance. Below are the highlights of the conversation.
About gaining insights into employee experiencee:
Kelvin Westbrook: The most valuable learning for me was actually interacting with people on site visits in an unstructured way. You can attend management meetings and travel around to interact with employees. If the site visit is overly structured by senior members of management and attendees, or you may hear more information than you would get from a survey. I'm not sure how many of our employees really trust this survey. Do they understand that this information is confidential and that somehow in the age of AI they can't get the source back to them? So they walk around a little bit and find out.
Debra Kelly-Ennis: When the CHRO is in the room, you can ask the following questions: “What data shows we hire the best people, retain the best people, and motivate the best people?” What would our employees recommend to their friends and family? What data do we have that tells us that we're a company that we think we are?'' And from a qualitative data perspective, the question is how do you get those unscripted moments that really give you insight into the employee experience?'' It will be.
I participated in a women's panel with employees and other executives. There, we had social time before and after, giving employees the opportunity to ask us questions and have casual, relationship-building conversations. So you have data that lets you know the good, the bad, and the ugly, and you can find unscripted moments and build a complete picture of what the employee experience is like. .
Roselyn F.Einsod: It's also how you behave in the boardroom. How open are your boards when it comes to hearing negative feedback? Have you created an environment where CHROs and CEOs can be fully transparent and honest? I want to be sure, are we open to hearing bad news? To hear the good, the bad, and the ugly? So what's the plan to fix it?
About training employees on new technology…
Fine Sod: What we're seeing in the market is a gap between what companies are trying to do and what their employees want. Employers' top priority should be to invest in upskilling and develop programs around it. But guess what? Employees want transferable skills. They say: “I want you to invest in my student loan and tuition repayments, not in a program that you develop yourself. I want something portable that I can take with me…” And balancing that is really It's difficult.
Kelly Ennis: Recognizing the need to upskill, we are seeing a dramatic shift in the way CEOs and executives plan. In one of my board meetings, we looked at what the future should look like for the entire C-suite, not just the CEO. And we said, “There are some things we need to do to prepare for the future.” So we conducted an assessment and introduced coaches to all executives. While the coaching is ongoing, we are already seeing an impact in terms of culture and leadership behaviors.
Westbrook: Training development and reskilling go hand in hand with retention. Retention success will largely depend on how well you do in the areas of training development and reskilling. What I mean is full compensation, and not everyone can manipulate coins these days. When I graduated from college, I just wanted a job that paid, and that was fine. The new generation expects you to pay them, but they also expect that they don't have to sacrifice their lifestyle issues to work for you.
Regarding responding to the diverse needs of employees…
Feinsod: We have a multigenerational workforce, with five generations working for us. You have to look at it from that perspective and understand that it's not one size fits all. The answers will be very different if your board is an energy company or manufacturing organization versus a financial services or technology company. Similarly, from a geographic perspective, you are managing a global organization. The secret of the sauce is embedded in its segments, so take your time to understand some of the differences. Issues such as downsizing, productivity, what changes are needed to compensation structures, how much flexibility is needed, technology implementation, etc. vary. Therefore, pay attention to sectors, geographies, and their variations.
Westbrook: It has to be intentional. If you're really worried, you should lean in and ask. If you want to go see a particular site, go for it. I invited my employees to the site, agreed on a date and time, and emailed the CEO and CHRO to say, “You're invited.” I'm planning to go. I will let you know how it goes. It's that simple. Now, when you do that, you're coming with no purpose other than to just interact and build trust. And ask very good questions. Because at the end of the day, you have to ask yourself, am I doing the best job at this company if I'm not informed about this particular issue?
