New research shows a “complexity crisis” is affecting frontline managers, who are often tasked with leading efforts to improve employee retention and productivity across the majority (80%) of the global workforce.
The complex crisis refers to the multifaceted and increasing challenges that frontline managers face in today’s highly competitive work environments. Researchers from Dayforce surveyed nearly 7,000 workers, managers, and executives, and identified that these workforce challenges are driven by several factors including labor shortages and skill mismatches.
One of the most urgent issues revealed in the study is the disparity in perceptions of fair pay. Most executives (83%) believe employees are paid fairly, but only 62% of workers agree. This gap in perceptions reveals the need for better compensation data and better pay transparency.
Experts believe that with rising living costs, financial wellness tools such as on-demand pay can significantly enhance employee satisfaction and retention. In fact, 82% of workers stated in the survey that they would be less likely to seek new employment if such tools were offered.
Flexible scheduling is another big factor in improving frontline employee retention. The majority of managers (89%) and workers (86%) would consider leaving their current job for one with a better schedule.
Common scheduling challenges include lack of control over schedules, missing important events, and stress caused by rigid work hours. The shows a need for organizations to invest in technology that facilitates shift swapping and provides greater control over schedules to both managers and workers.
Both executives and managers agree on the need for technological solutions to manage compliance more effectively, but nearly half of executives reported lacking sufficient data to make informed staffing decisions — a problem shared by 41% of middle managers.
Effective communication and employee appreciation are also important to maintaining a motivated workforce. The report found that 27% of frontline workers lack access to work email, and nearly 40% cannot communicate with their team through a dedicated work app. Improved communication tools are seen as essential to address these concerns.
To address these challenges, the report outlines five critical actions:
- Empower Frontline Managers: Simplify managerial tasks with automation and provide tools that give workers more control over their work-life balance.
- Be Data-Driven: Invest in a unified people platform for real-time insights into staffing, pay, and workforce needs.
- Nail the Hard Stuff: Adopt technology to ease compliance management and ensure accurate, timely pay.
- Be Ready for Anything: Leverage contingent workers and AI-assisted career pathing to adapt to changing demands and support employee development.
- Deliver Quantifiable Value: Modernize workforce technology to improve productivity, reduce turnover, and enhance customer experience.
By focusing on these areas, organizations can improve support for their frontline managers, address gaps between executives and workers, and create a more motivated and productive workforce.
