The game has changed when it comes to attracting and keeping good people. Competitive salaries and promotion paths aren't enough anymore. As we move through 2025, businesses should take the time to understand what today's professionals truly value and how to create an employee value proposition (EVP) that resonates in today's market.
Why People Are Leaving
Recent AHRI data shows turnover rates hitting record highs, with 34% of Australian organisations experiencing turnover of 20% or more[1]. For businesses where expertise and client relationships are crucial, this level of staff churn threatens both business continuity and service quality. Understanding what drives these departures is essential for creating an effective retention strategy.
Beyond the Paycheck
While fair pay remains essential, it's now just the starting point. According to Mercer's 2025 Global Talent Trends report, 78% of employees rank non-financial benefits as "very important" or "extremely important" in their decision to join or stay with an employer[2]. Today's professionals look for a complete package addressing their work needs, personal life, and sense of purpose.
Flexibility That Works for Everyone
Many businesses have seen positive impacts of increased flexibility. According to Robert Walters, 52% of employers agree that flexible working arrangements increase employee commitment to the job. However, effective flexibility requires thoughtful implementation:
· Structured autonomy: Create frameworks with core collaboration hours when teams should be available, while allowing flexibility around these hours. This balanced approach respects both collaboration needs and individual work patterns.
· Clear communication protocols: Define response time expectations based on message urgency rather than time of day. This prevents the "always-on" culture that leads to burnout while ensuring critical communications aren't missed.
· Purpose-driven office attendance: Rather than mandatory 5 days a week office attendance, tie in-person days to specific collaborative activities like client meetings, training sessions, or project kick-offs. This gives meaning to office attendance beyond mere presence.
At Worrells, we've found that implementing structured flexibility—where teams have clear parameters around availability but autonomy within those parameters—has improved both retention and productivity.
Growth Opportunities That Matter
Professional development has expanded beyond technical training. Research indicates Australian employees who say they are likely to switch employers in the next 12 months are nearly three times as likely to factor in opportunities to learn new skills in such decisions [3].
Today's employees are seeking development that builds their overall career potential:
· Career skill building: Provide training in essential professional capabilities like business development, leadership communication, and project management, early in careers, rather than reserving these opportunities for senior roles.
· Cross-functional experience: Create opportunities for people to work across different areas of the business, developing broader skills and understanding how various functions interconnect.
· Self-directed learning: Move beyond prescribed training to provide resources for employees to pursue development aligned with both organisational needs and personal development goals.
· Industry visibility: Support employees in building their professional profiles through speaking opportunities, publication contributions, and industry networking events.
At Worrells, we've found that by shifting our professional development framework from solely technical skills to incorporate broader professional development, we now have more well-rounded team members who are promotion-ready sooner.
Wellbeing as Business Critical
The link between wellbeing and performance is firmly established and Mercer research states that 46% of employees would give up a pay increase for additional wellbeing benefits [4].
Effective wellbeing initiatives for today's workplace include:
· Workload monitoring: Implement systems that provide early warning of unsustainable workloads, allowing for redistribution before burnout occurs.
· Comprehensive mental health support: Move beyond basic Employee Assistance Programs to provide specialised support for high-pressure environments, including preventative measures and tailored resources.
· Physical workspace flexibility: Create environments that support different work modes—focused work, collaboration, learning, and social connection—recognising that one-size-fits-all solutions rarely meet diverse needs.
· Preventative approach: Focus on educating employees about foundational wellbeing elements like sleep quality, nutrition, and exercise, which have proven more effective than reactive mental health interventions alone.
Making It Happen
Updating your employee offering doesn't happen overnight. A step-by-step approach works best:
1. Listen first: Gather honest feedback about current employee experiences through surveys, focus groups, and exit interviews.
2. Focus your efforts: Identify which aspects need the most urgent attention based on both employee feedback and strategic priorities.
3. Test changes: Try new approaches with specific teams before rolling them out business wide.
4. Communicate clearly: Explain what's changing and why it matters to both employees and the business.
5. Measure results: Track how changes affect recruitment, retention, and engagement over time.
We have found that when people feel valued and supported, they deliver better service and stay longer with our organisation. In a market where highly skilled professionals have abundant options, how your people experience their work environment becomes your true competitive edge.
---
References:
1. Australian HR Institute (AHRI), "Quarterly Australian Work Outlook," March 2025
2. Robert Walters, "Driving and implementing a flexibility-at-work agenda,"
3. PwC, " Global Workforce Hopes and Fears Survey," 2024
4. Mercer, "Global Talent Trends Report," 2025