2021 State of HR Report

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Mar 29, 2021, 2 Minute Read

According to the 2021 State of HR Survey, conducted by ThinkHR from October 12, 2020, to November 9, 2020, responses from 2,200 professionals revealed small-to-medium employers were still dedicated to the health and well-being of employees, even after a tumultuous year with countless human resource and compliance challenges.

ThinkHR’s 2021 State of HR Report dives into employers’ challenges with understanding and complying with laws and regulations that hindered their ability to focus on their employees, in addition to their need for help with complex issues and administrative burdens.

Key Insights

Most employers added or expanded their benefits in 2020 (59%). The most popular added benefit was paying for remote set-up costs (44% added this benefit).
Employee Assistance Programs (EAPs), mental wellness support, and extra paid time off were also popular additions to employer’s benefits offerings.
The top reason for offering benefits was to support employees, which will increase in 2021.
92% of employers used HR technology in 2020. Two main reasons that drove this investment in HR technology were to reduce the administrative burden (72%) and ensure compliance (69%).
- HR technology usage breakdown: 77% payroll, 49% online compliance training, and 33% learning management system.
Complying with laws was a significant struggle for employers in 2020. Most challenging were changes to federal (63%), state (59%), and local (34%) laws and regulations.
- This includes compliance with the federal Families First Coronavirus Relief Act, state paid leave laws, and local health and safety regulations.
56% of employers indicated that the portion of the employee handbook or policy management that was the most challenging for their HR department to manage was tracking new compliance requirements.
For two years in a row, harassment and discrimination were the most popular training topics (75%). Second place was workplace health and safety (73%). Diversity, equity, and inclusion training increased from last year (35% to 50%).
Despite the challenges of 2020, employers prioritized employees over cost and profits in response to COVID-19.
Employee wellbeing was the highest priority for HR departments as a result of the pandemic.

Gain more insights into what small-to-medium businesses are thinking this year by downloading the 2021 State of HR Report.

2021 State of HR Report

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