This year’s ninth edition of the Malta HR Pulse Survey, a joint annual exercise by PwC Malta and the Malta Foundation for Human Resources Development (FHRD), focused on the future of work, including learning 21st century skills, the synergy between humans and technology and the importance of inclusive and sustainable practices.

The survey covered several crucial HR areas by asking respondents to assess statements from two different lenses. Firstly, by thinking about their organisation today and responding based on the situation in their organisation in the present moment. Secondly, by assessing the same statement based on how important it is to the future of their organisation. The following is a condensed overview of the results.

Workforce planning and 21st century skills

Operating in a rapidly changing global environment necessitates proactive and visionary planning. In this regard, 54% of the organisations surveyed said they have adopted a scenario-based approach to planning for the future, positioning themselves to anticipate and manage uncertainties.

When exploring the adoption of sophisticated workforce planning and predictive analytics, only 30% of respondents stated having these in place, with 54% considering this to be crucial for the future of their organisation. Noteworthy is that 68% of respondents said they have workforce succession plans in place.

The focus on 21st century skills, such as leadership, creativity and empathy, is evident. Eighty per cent of respondents said their organisation not only recognises the importance of these skills but actively invests in promoting them, while 86% said they were committed to nurturing re-skilling and continuous learning to help workers remain employable.

Advancements in technology and the talent market

The growing integration of human intelligence and technology marks a crucial shift in organisational strategies. In this regard, 71% of respondents indicated that their organisation is carrying out steps related to the automation of repeated tasks. Furthermore, 70% said their organisations are actively identifying and building future skills required by the impact of technology, though only 56% consider this very important for the future. This may reflect the cautious optimism surrounding the potential of AI.

However, organisations are still grappling with some challenges, such as the integration of technological innovations with the skills and capabilities of the workforce. Only 43% said that they are exploring the potential of AI in redefining roles. Furthermore, 49% believe that their HR team has an in-depth understanding of technology.

The survey further highlights the ongoing paradigm shift in talent acquisition and talent management. In total, 35% of respondents said they are diversifying their talent mix to include freelancers, consultants and contractors. Additionally, a striking 75% indicated that their sourcing and talent management strategies recognise the need to compete in a global talent market.

The survey also explores transparency in compensation determination, the push towards a diverse talent pool and the increasing emphasis on undergoing internal job evaluations, reflecting the changing priorities of HR professionals.

Inclusivity, well-being and a (dis)connected workplace

Organisations are realising the benefits of fostering a diverse and inclusive environment. From the adaptation of hiring practices for neurodiverse candidates to well-being initiatives and policies, the push to embrace the entire talent spectrum is evident.

With regard to inclusivity, 57% of respondents confirmed initiatives within their organisations to recruit diverse staff, with a remarkable 81% seeing its future importance. Only 23% of organisations have non-traditional hiring assessments and training for people with disabilities, but 62% of respondents emphasise its future importance.

Moreover, the emphasis on employee well-being has never been stronger. A significant 80% of respondents believe that their organisation currently has effective initiatives and policies in place to ensure mental and physical well-being, with 92% also considering this to be important for the future. Sixty-two per cent believe that the workload is manageable to ensure that employees can use their vacation leave, and 93% emphasise the crucial importance of this for the future of their organisation.

Seventy-eight per cent of respondents feel that their organisation understands the importance of employee disconnection outside working hours, while 94% believe it is important to create and maintain a culture where disconnection outside working hours is encouraged. In parallel, the drive towards more interconnected and flexible workplaces reflects the changing expectations of the modern workforce.

As the pace of digital transformation intensifies, the need for technologically advanced and adaptable workplaces is clearer than ever. In fact, 64% believe their organisation offers flexibility in terms of working hours and locations, and 83% view its introduction as crucial.

With remote work becoming a key characteristic of the world of work, 65% said their organisation supports remote work, with 81% expecting continued adoption of this moving forward. Also, 72% feel equipped with digital collaboration tools, but as many as 95% believe that their enhancement is essential for the future of their organisation.

The future of learning

The survey explores how learning must adapt over time, with an emphasis on continuous learning, adaptability and the development of future-relevant skills. Sixty-one per cent of respondents said their learning and development is based on a competency framework/skills taxonomy.

Looking forward, 86% consider it crucial to have such a framework in place. In total, 74% said their organisation bases learning and development (L&D) at both an organisational and department level on a training needs assessment. A striking 93% added this is important to their organisation in the future. A shift from standardised training to more personalised learning appears to have taken place, with 70% of the respondents saying their organisation offers personalised learning plans.

In terms of digital learning, 52% of respondents said their L&D approach leverages technology, while 83% are currently considering the incorporation of technology such as VR, AR and AI to be crucial.

The integration of sustainability in organisational strategies

In a world increasingly conscious of environmental and social impacts, the focus on sustainability in organisational strategies is evident. In the area of sustainability, 62% of respondents indicated that ESG (environmental, social, governance) principles are incorporated into their organisation’s purpose.

Also, 83% believe that the integration of ESG principles is essential for their organisation’s future. With regard to people sustainability strategies, 48% confirm this to be in place. However, 86% emphasise the need for such strategies to be developed further.

One noteworthy point is awareness of upcoming regulations. Forty-five per cent of respondents are confident that their HR teams are familiar with the European Corporate Sustainability Reporting Directive and its implications. However, a significant 83% consider becoming more familiar with this is crucial, indicating the pressing need for HR teams to align with evolving sustainability standards.

Interestingly, only 30% of participants believe that executive pay is linked to ESG objectives in their organisations. On the other hand, 73% believe that this link is crucial in the future, indicating a potential trend whereby organisations could prioritise ESG-oriented remuneration strategies.

Carried out among a diverse group of 109 participants, mainly from senior HR positions, the survey offers a comprehensive view of the current HR landscape in Malta.

The HR Pulse survey highlights both challenges and opportunities. As sustainability and technology integration become central, HR must not only adapt but also anticipate future trends.

The strategic role of HR in innovation and culture is undeniable and requires investment and upskilling. The findings highlight a fine balance between contemporary HR practices and future ambitions. They encourage organisations to be agile and forward-looking in their strategies, ensuring that they remain aligned with changes and are well-positioned for the challenges and opportunities that the future holds.

Claudine Attard and Mark Grech are director, management consulting, and manager, workforce consulting, PwC Malta, respectively.