In a span of less than two years, the U.S. witnessed a significant shift in its employment landscape, transitioning from a historic peak in unemployment to a scarcity of labor. In November 2021, an unprecedented 4.5 million Americans voluntarily left their jobs, prompting companies to urgently engage in recruiting, hiring, and training efforts to sustain operational efficiency. Despite the fluctuations in labor statistics, it remains imperative to grasp the preferences of potential candidates and the essential elements for talent retention.

While competitive compensation remains pivotal, job seekers and employees are increasingly seeking a holistic employer. As the CEO of a company overseeing nearly 300 employees and over 20,000 independent service partners, my collaboration with our HR department revolves around cultivating a corporate culture that places value on employees and partners. This approach results in them becoming enthusiastic ambassadors for our organization.

In 2024, leaders navigating the recruitment and retention landscape should align their strategies with the key factors that resonate with job seekers. Here are five crucial areas to focus on.

FLEXIBILITY: While networking events, in-person meetings and team activities are valuable, the pandemic made it clear that employees can also be productive in a work-from-home environment. Before the pandemic, full-time attendance in an office or cubicle was typically mandatory five days a week. However, with sustained and often improved productivity, a flexible remote or hybrid approach could attract candidates from more regions and expand the talent pool.

Flexibility is no longer just a health and safety decision. Employees can work in physical offices some days, while other times, they can use tools and technology to produce, learn and grow remotely. According to a survey by Bain & Co. (via Bloomberg), U.S. workers indicate that flexibility is tied for second as the most significant motivator when evaluating a job, landing only behind compensation and benefits.

INCLUSIVENESS AND TRANSPARENCY: Amid the heightened uncertainty of 2020, transparent communication from leadership emerged as a crucial element for employee well-being in the early stages of the pandemic. In my organization, we embraced openness by sharing comprehensive information with our team, and our commitment to overcommunicate our goals, mission, and vision remains steadfast for the future.

Leadership should prioritize honest and authentic communication, ensuring that messages are conveyed consistently across all departments and levels within the company. It’s not just about encouraging feedback; actively seek it from every employee. Strengthening communication and trust in both directions becomes more pronounced when employees grasp the underlying “why” behind decisions and initiatives.

EQUITY  : Equity extends beyond mere adherence to anti-discrimination laws. It involves actively supporting and appreciating the diverse qualities within your entire team, be it related to gender, race, age, abilities, education, religion, or orientation. Companies should proactively embrace diversity and create an environment where learning, training, and growth opportunities are accessible to all employees. A mix of backgrounds fosters varied perspectives, innovative thinking, creativity, and constructive dialogue. A workplace that prioritizes safety and encouragement for all employees becomes a hub for generating new ideas. Ultimately, cultivating an environment that values equality enhances a company’s capacity for growth and establishes connections with individuals from all walks of life.

PHILANTHROPY: Building a community involves both internal goodwill and external philanthropy. Internally, it entails a holistic approach to caring for employees, whether during work hours or beyond. For instance, during the pandemic, our company organized virtual cooking classes and enrichment programs for employees’ families. External philanthropy should be ingrained in the mission of any successful business. Our company integrates input from partners and employees to guide the allocation of company time and resources for donations. Often, beneficiaries are selected in local communities where our employees and partners reside.

CORPORATE CULTURE : Each of the aforementioned points contributes to crafting a compelling corporate culture that attracts prospective employees and is cherished by existing ones. Cultivating and sustaining culture is a daily commitment that aligns with strategic goals. A thriving culture requires a well-defined mission and the ability to address any dysfunction. With the right blend of flexibility, inclusivity, transparency, equity, philanthropy, and corporate culture, employers can broaden the quality of their candidate pool, fostering a workforce of motivated and inspired individuals. The impact is tangible, as evidenced by a study from Bain & Company (as reported by Harvard Business Review), which found that inspired employees are 125% more productive than merely “satisfied” employees—equivalent to the output of 2.25 satisfied employees.