More human resources (HR) leaders expect their budgets to rise in 2008 than expect it to fall – flying in the face of recession fears.
One in three HR managers surveyed by talent management supplier Taleo said they thought their department would have more money to work with this year than last. Only one in five expected their budget to fall, while the remainder were expecting the same deal as 2007.
The Chartered Institute of Personnel and Development warned last month that 2008 could be the worst year for employment in more than a decade. This gloomy outlook appeared to be backed up when share prices plummeted in January, and talk of a recession intensified.
But, according to Taleo, there is no sign of a ceasefire in the relentless war for talent, so chief executives are pouring more money into HR activities. “HR is experiencing sustained pressure to recruit and retain the best people in a market where staff are increasingly calling the shots,” said a spokesman.
The survey of more than 200 senior UK HR managers found that recruiting and hiring are top of their agendas. Three in 10 said staff retention was their number one challenge for 2008, while 23% said they were prioritising recruitment.
HR directors are happy with their lot
HR directors gave the job a big thumbs up last week with 85% of respondents to a poll saying they liked both the company they work for and their role within it.
Only 7% of 53 HR chiefs at large organisations surveyed by consultancy Hewitt Associates said they would swap their job in HR for one in another department. This contrasts with 40% who would move to another country.
The survey also showed that talent management was the area where HR has the greatest impact on business performance. Organisational effectiveness, performance evaluation and leadership development also ranked highly.