Category Archives: HR leadership

Battle Over Certifications Rages On

As might be expected, the Society for Human Resource Management made sure its HR-certification effort, announced roughly two years ago, received a healthy dose of air time this week at its SHRM 2016 conference in Washington.

ThinkstockPhotos-522859146At a press briefing on the opening day of the event, for example, Alexander Alonso, senior vice president for knowledge development and head of examination development and operations for SHRM’s professional certifications, reported that the society’s CP and SCP certifications are being well-adopted across key industries.

“Key metrics,” he said, “now include the 92,000 SHRM certificates that exist today [as well as] tremendous growth in the [number of] SHRM exam applications from spring 2015 all the way through to spring 2016, with roughly 9,800 people sitting for the exam in this window.” (Some of these figures were previously reported in a story we posted in April.)

In addition, he said that roughly 84,000 took part in the pathway certifications in 2015. (The pathway enables HR generalists who already have certain HR certifications to obtain SHRM’s certification by completing a brief online tutorial focusing on HR competencies.)

Alonso also reported that about 5,000 HR job postings per month refer to SHRM’s CP or SCP certifications and said that SHRM will be piloting a Spanish-language version of the exam in the winter.

What impact these numbers will have on the HR Certification Institute and its Professional in Human Resources and Senior Professional in Human Resources certifications isn’t entirely clear, but one thing is certain: HRCI isn’t sitting still.

In addition to holding a 40th Anniversary Celebration at Smithsonian American Art Museum (between hors-d’oeuvres and cocktails, participants were able to stroll the gallery and take in some great works of art), HRCI announced that, beginning on Nov. 1, it would offer year-round testing—essentially throwing testing windows “out the window” (HRCI’s words, not mine). Prior to this change, exams were available to practitioners twice a year.

As HRCI Chief Marketing Officer Kerry Morgan explained, HRCI is putting HR on the short list of professions that make certification exams available to their practitioners whenever they are ready and wherever it’s most convenient.

(SHRM currently has testing windows in the spring and winter.)

HRCI CEO Amy Schabacker Dufrane noted that HRCI partner organizations were especially excited about the move because it allows them to support the process year-round.

Asked about the impact of SHRM’s entrance in the field, Dufrane admitted that exam applications were down. But she pointed out that, during the group’s 40-year history, it wasn’t unusual for these numbers to decline during periods of low unemployment (currently at 4.7 percent), being that people may be less motivated to invest in their careers when the job market is more stable.

What’s more, she said, the number of recertifications was very encouraging, climbing from percentages in the mid-80s to around 91 percent.

Of course, as we’ve noted in the past, time will tell as to how this battle over HR certifications plays out. But for now, anyway, HRCI, as moves like this suggest, seems intent on keeping SHRM at bay and remaining a major force in the HR-certification world.

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A Three-Prong Approach for Transforming HR

If there ever was any doubt that HR is now at a pivotal moment in its evolution, Ryan Estis tried his best to put them to rest in his Monday Master Session titled “Rethinking HR: The Future of Work” at SHRM 2016.

Changes Ahead

Changes Ahead

Estis, chief experience officer for Ryan Estis & Associates in Minneapolis and a regular presenter at SHRM, told a packed room of attendees that the HR profession is at an important “inflexion point.” As the world of work continues to change, he said, HR professionals are going to need to transform the way they go about performing their jobs.

Specifically, Estis served up three key principles HR practitioners need to keep top of mind.

No. 1: The profession needs to undergo continuous reinvention. “It’s our opportunity to play offense and be a disruptor,” he said. To successfully contribute to their organizations, he explained, HR leaders have to step out of their comfort zone and try new approaches.

“I personally try to force myself to stay in my learning lane,” he said, noting that every day he asks himself if “I’ve done something today that made me uncomfortable?” and whether or not “I’m making progress and improving?”

People resist change because they’re afraid to fail, he said, adding that “the antidote for curing that problem is to take action,” he said.

Estis specifically cited Adobe’s decision a few years back to eliminate its performance-appraisal system as an excellent example of how HR was able step out of its comfort zone to fix a process that everyone agreed was broken. “Leaders hated it and employees hated it,” he said. “So they got rid of it and replaced it with what they call Check-ins, where employees have conversations with their managers.”

(Estis referred attendees to HRE’s July 2013 cover story titled “Rethinking the Review,” featuring Adobe Senior Vice President of People Resources Donna Morris on the cover.)

No. 2: HR needs to deliver from a position of influence. “You have to inspire other people to champion initiatives,” he said. “You can’t do it alone.”

The best leaders are the best listeners, he added.

Estis told those in the audience they need to be able to have the courage to attack old ways of doing things and be willing to challenge leadership.

Further, he said, HR must develop a digital mind-set if it expects to be relevant.

No. 3: Be a culture champion and a catalyst of change, he said. Employers with breakthroughs have great cultures, he said, referencing Mayo Clinic (another client of his) as an example of an organization that has built a culture that has resulted in a highly engaged and loyal workforce.

At the Mayo Clinic, he explained, every employee, even those who don’t have jobs in which they interact directly with patients, embrace the organization’s core value of “putting the needs of the patient first.”

In employee focus groups, he said, each and every employee who took part fully understood the role they play in actualizing that value.

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Effective Leaders Know their Leadership Stories

“What’s your leadership story?”

PeopleThat was the question posed to a roomful of attendees at the Society for Human Resource Management’s annual conference in Washington Monday. Speaking was Timothy J. Tobin, vice president of human resources for Marriott International, with headquarters in Washington as well.

And he had a host of things to think about that few probably had, based on the murmurs during and after his session, “Five Steps to Effectively Communicate Your leadership Story.”

Like what it really means to know your message and have a solid leadership point of view. And what it means to know yourself as a leader, why you are one and where you want to make a difference and have an impact. Equally important is understanding your core values and your personal mission.

“What contribution do you want to make? What do you want to accomplish? For whom?” he asked the crowd. “As Aristotle taught us many years ago, ‘knowing yourself is the beginning of all wisdom.’ ”

But even more crucial for those leading others in business, said Tobin, is to maximize those “moments of truth” with other leaders in order to better understand specific pieces of the business and interact with those who can actually help you — all the while, carrying yourself with credibility and consistency.

“Who you know,” Tobin said, “can be as powerful as what you know. But the most powerful of all is who knows you and what they would say on your behalf. Who are those people who can act as credibility substitutes and speak up for you when you’re not there? You gotta find these people.”

And how do you find, support and sustain such a network? By engaging others in the organization at every opportunity and in every decision that needs to be made.

“The four most important words in leadership,” said Tobin, are ‘What do you think?’ ”

Two more seemed to be equally important as session takeaways: perceptions matter.

“You are only as good of a leader as people around you believe,” he told his listeners. “Communicate your story. Make it epic. And when it comes to telling it, remember, you all have a voice.”

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Mulally, Rowe Herald Hard Work, HR at SHRM

Alan Mulally, left, and Mike Rowe share the stage in SHRM’s open ing keynote. Photo by Chris Williams/SHRM

In an unlikely coupling of two friends — one described by his co-star as a kind of Howdy Doody “Boy Scout” and the other a well-recognized master of grunge, grit and grime — Alan Mulally and Mike Rowe kicked off this year’s Society for Human Resource Management’s annual conference heralding the importance of hard work and HR leadership.

In their joint opening keynote Sunday at the Walter E. Washington Convention Center in the nation’s capital, Mulally, former president and CEO of Ford Motor Co., and Rowe, host of Dirty Jobs on the Discovery Channel, shared their stories, and their messages about HR’s new stature in the business world, with a healthy dose of fun.

“Here’s what I think,” Mulally told a roomful of thousands of conference-goers. “I think human resource professionals rock!” His comment got raucous applause.

Sharing his keys to success, though — putting his people first; including everyone in all communications; and making sure everyone knows the company’s vision, performance goals and the status of every plan, to name just a few — he came back to the importance of HR.

“HR is the leader of many, many resources, and you’re making all of that happen,” he said.

Even in the country’s tough, post-9/11 years, Ford’s decision not to take federal bailout money was a transparent, collective one. “Watching our suppliers falling into bankruptcy,” he said, “knowing what was happening could bankrupt the nation, we made our decision [together] to do the right thing.”

And even then, he added, HR drove the communication, alignment and buy-in.

Rowe — who said he had worked for Mulally at Ford and then met him years later after becoming a voice behind many Ford commercials and later a television star — injected some hilarity into the “duet” by recalling how Dirty Jobs came to be.

As he told it, his concept came to him after reviewing tapes of himself trying to interview a sanitation official in the sewers of San Francisco, with many disgusting mishaps of every imaginable disgusting variety.

“I realized I was laughing; something very compelling was happening,” said Rowe. “But what was even more compelling than [the scatological Laurel and Hardy routine, for lack of a better description] was the knowledge and the real work” his interviewee was describing throughout it all. It seems the real work involved replacing bricks and understanding every nuance about why that had to be done.

“I let my guest be the expert he is … to connect [with viewers] the real miracle of how things really work and how jobs really get done,” he said, adding a lament that “we’re not valuing work enough, understanding how work gets done.”

But HR, he suggested, can take  the lead in understanding and facilitating this communication in an organization, about how things work there and what work needs to happen.

“Somewhere in your company is [this type of sewer specialist],” he said. “He’s probably little-known, but he needs to be heard.”

Mulally echoed the importance of facilitating the communication of work and what needs to be done as the only way an entire organization — in his case, Ford — can come together and “face reality.”

Added to his list of imperatives for successfully climbing out of the kind of “economic and financial reality we were facing in our toughest years,” he said, [were] respecting, listening to, helping and appreciating each other [and] building emotional resistance to trust the process.”

Lastly and most importantly, said Mulally, “is [to] have fun; enjoy the journey and each other” through everything you weather and accomplish.

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Harnessing the Power of Vulnerability

Many HR leaders — along with leaders of every stripe — tend to view vulnerability as a weakness, and strive to “engineer it out” of their organizations. This is a mistake, according to author, consultant and University of Houston research professor Brené Brown, who delivered a keynote address at the Indeed Interactive conference in Austin, Tex. today on “Vulnerability and Workplace Transformation.”

Far from being a weakness, vulnerability can be a source of strength, power and innovation if people understand how to use it properly, said Brown, who’s spent the past 13 years of her career studying vulnerability, shame, courage and worthiness. Leaders who have an honest understanding of their own vulnerability, and who are comfortable displaying it during critical moments, are better equipped to lead and inspire other employees, she said.

Brown, whose TED Talk on The Power of Vulnerability in 2010 became the fifth most-viewed TED Talk ever, cited her own experience in the wake of the talk’s popularity as instructive. Although it garnered more than 25 million views, the video also attracted some nasty comments from online viewers denigrating Brown’s appearance.  The anonymous comments included suggestions that Brown get Botox injections for her wrinkles and “If I looked like that, I’d feel vulnerable, too.”

Feeling traumatized, Brown compensated by “binge-watching Downton Abbey and eating lots of peanut butter.” But while watching the iconic British drama, she researched who was U.S. president at the time, and came across a speech excerpt by Teddy Roosevelt that inspired her:

It is not the critic who counts; not the man who points out how the strong man stumbles, or where the doer of deeds could have done them better. The credit belongs to the man who is actually in the arena, whose face is marred by dust and sweat and blood; who strives valiantly;  …  who at the best knows in the end the triumph of high achievement, and who at the worst, if he fails, at least fails while daring greatly, so that his place shall never be with those cold and timid souls who neither know victory nor defeat. 

Roosevelt’s words not only helped Brown put the comments in perspective, but inspired the title of her 2012 book, Daring Greatly: How the Courage to Be Vulnerable Transforms the Way We Live, Love, Parent and Lead.

“If you’re not in the arena, being brave and getting your ass kicked, then I have no interest in your feedback,” she said. “The world is filled with cheap seats, with people who hide behind anonymous comments and never get in the arena.”

Feeling vulnerable often leads people to try and compensate in ways that aren’t always helpful and, in some cases, damaging. She cited a brief disagreement with her husband that could’ve turned ugly had she not applied her own lessons in being aware of and mastering one’s vulnerability.

“Emotions drive our responses to tough things,” said Brown. “We tell ourselves stories about things that are happening and we get a reward from our brain that makes us feel better, even if the story isn’t accurate.”

However, vulnerability is not only the source of shame, fear and anxiety but also of love, belonging and joy, she said. It’s also the source of courage, empathy, trust, innovation, creativity, accountability and adoptability.

“If you foster a culture in your organization that doesn’t allow for vulnerability, then do not expect people to take risks and innovate,” said Brown. “If you don’t understand vulnerability, you cannot manage and lead people.”

Of course, leaders can’t display vulnerability in every situation, she said, citing the CEO of a start-up who told her he’d decided to share his vulnerability by going public with his feelings of being in over his head and having no idea what he was doing. “People who invested money in your company obviously aren’t going to want to hear that,” said Brown. “But if people sense that you’ll reach out for help when you need it, rather than not saying anything and continuing to plug along, that’s OK.”

The ability to be honest about what you don’t know or are uncertain of is a strength, not a weakness, said Brown.

“To be alive is to be vulnerable,” she said. “To be a leader is to be vulnerable every moment of every day.”

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HR at Humana Learns by Listening

Earlier this week, I stumbled upon a press release summarizing a recent Employee Benefit Research Institute report.

In the 2015 Health and Voluntary Workplace Benefits Survey, the Washington-based organization found the percentage of workers reporting they are satisfied with the health benefits they currently receive has fallen from 74 percent to 66 percent between the years 2012 and 2015.

This is just a guess, but I have a hunch Humana Inc. employees were not among the 1,500 workers who EBRI polled for its study.

Last week, I attended a session at HRE’s Health & Benefits Leadership Conference, led by Humana’s Tim State, who serves as the Louisville, Ky.-based Medicare provider and health insurer’s vice president of human resources. Over the course of that informative hour, State discussed how HR leaders at Humana have embraced the “experience group” research methodology both to gain insight into the unmet health needs of its roughly 52,000 employees and to design a benefits program that helps them better meet those needs.

“It’s only from the associates’ point[s] of view that we can understand their health challenges,” he said. “It’s not about just having a Q&A session. It’s about having a real conversation around employees’ experience[s] with health benefits.”

Humana’s experience groups, according to State, typically consist of five to eight employees, who, along with a facilitator from the Humana HR function, convene for 60 to 90 minutes in an effort “to get across the idea that [our employees are] the experts [on their lives and health needs]. The facilitator really just kind of gets out of the way.”

Topics include obstacles that employees face on the path to better health, and, together, these experience groups and the HR team brainstorm ways to clear these hurdles.

What State and his colleagues in HR have heard from these experience groups has certainly been instructive, he said.

One employee, for instance, mentioned in a group session that work is actually “one of the biggest challenges to my health,” citing the combination of daily job-related stress and the often-sedentary lifestyle of the office employee.

Meanwhile, another female employee pointed out that the office dress code deterred her from walking more while at work, noting that going up a few flights of stairs isn’t always so easy in a pencil skirt.

State and his colleagues in HR have taken action in response to such comments, changing dress codes and introducing benefits that encourage prevention and provide more chronic-condition support, for instance.

Such adjustments—even small ones—have reaped almost immediate rewards, said State, adding that Humana’s experience groups have only been meeting for approximately 12 months.

For example, the organization has seen a 21-percent jump in employees’ use of preventive services offered by the company and has seen medication adherence increase by more than 10 percent. In addition, four out of 10 Humana employees report that they’ve improved their health by cutting down on physically risky behaviors, said State.

Making such changes has given employee engagement a boost as well, with Humana ranking in the top 10th percentile of the IBM Kenexa WorldNorms database for “world-class associate engagement” for the past four years, he added.

Such results—which have been realized in the space of one year— should be heartening for HR leaders at other large companies as well, said State.

“[Humana] is a Fortune 100, 50,000-plus employee organization,” he said. “Change can happen in an organization that size.”

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Mercer: People Risks Can Undermine Mergers

Last year saw a veritable “merger tsunami,” including health-insurance giant Anthem’s proposed $47 billion acquisition of rival Cigna Corp., chemical giants Dow and DuPont becoming one and Dell’s announcement that it would acquire EMC. The trend is expected to continue through 2016, as low interest rates and volatile capital markets spur companies to grow via mergers and acquisitions.

A failure to address people issues can lead to a merger's unraveling.

Failing to address people issues may lead to a merger’s unraveling.

Mergers can and do go wrong, however, and one of the most volatile components are the people, especially the talented and experienced ones necessary for making it work in the first place. This risk is magnified when the necessary planning for employee retention, cultural integration, leadership assessment and compensation/benefits is given short shrift. However, in its first-ever People Risks in M&A Transactions report, Mercer finds that corporate leaders are being given less time than ever to properly address these risks.

The report finds that 41 percent of buyers report less time to complete due diligence compared to three years ago, while 33 percent say sellers are providing less information about assets for sale. Notably, more than one-third of sellers (34 percent) say more and more of their divestment resources are needed to address HR issues.

For buyers and sellers alike, a plan for clear and consistent communication is necessary for minimizing disruption, says Mercer. Beyond that, the companies doing the buying should use skills inventories and competency assessments to gauge the capabilities of leadership teams and key employees on factors such as their ability to govern, lead people and drive cultural change.

Buyers also need to “adopt an enterprise or global view” to effectively manage benefits, the report finds, and develop effective retention strategies for key stakeholder groups beyond the executive team during and after the transaction.

Sellers also need to identify critical employee groups and consider a retention program, says Mercer, and document a clear talent management/staffing plan to establish the infrastructure of the entity being sold and determine which employees will stay and which will join the new organization.

“The people risks highlighted in our report are clearly part of our conversations with the deal community here in the [United States],” says Mercer’s Chuck Moritt, North American multinational client leader. “The good news is that both buyers and sellers are fully realizing the urgent need to address them in a thorough and thoughtful manner.”

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Uncovering a Six-Year Ditch in Spain

If an employee doesn’t show up to work for six years and no one notices, was the employee really that essential in the first place?

City officials in Cadiz, Spain are left to ponder this existential riddle after determining that Joaquin Garcia—a 69-year-old civil servant who was thought to be supervising the construction of a water treatment plant—was AWOL from his job for more than half a decade before being found out.

As if that wasn’t wacky enough, the way in which this serial slacker’s ruse was eventually discovered is almost too good to be true.

As USA Today reports, the water company thought that Garcia’s position was within the purview of the Cadiz city council, while city officials were under the impression that Garcia reported to leadership at the water company.

Amid this confusion, it seems his extreme absenteeism somehow went almost completely undetected, and apparently didn’t faze those at the water company who happened to notice that Garcia hadn’t been to work in a really, really long time. One manager, for example, even admitted to “not having seen Garcia for years, despite having an office across from him,” according to the paper.

Still, seeing Garcia’s workspace sit unoccupied for years on end evidently didn’t alarm this co-worker (or any of Garcia’s other colleagues?) enough to raise any concerns.

No, the jig was only up when deputy mayor Jorge Blas arrived to present Garcia with an award for—of all things—his 20 years of “loyal and dedicated service” to the city in 2010.

Garcia, of course, was nowhere to be found.

“[I wondered], is he still there? Has he retired? Has he died? But the payroll showed he was still receiving a salary,” Blas recently told media outlets. “I called him up and asked him, ‘What did you do yesterday? The month before, the month before that? He didn’t know what to say.”

An investigation was launched in short order, revealing that Garcia hadn’t been to his office in at least six years and had done “absolutely no work” between 2007 and 2010, according to USA Today. Legal action was taken against him in 2010. The case only concluded last week, with Garcia being fined approximately $30,000.

Garcia, who retired in 2011, has written to the city’s mayor asking that the fine be waived, and has requested a review of the judgment, according to BBC News. Garcia also maintains that he didn’t simply stop coming to work, but was assigned to a post “where there was no work to do” after being bullied on the job for his socialist political leanings, the BBC reports.

Whatever precipitated Garcia’s … let’s call it an extended, unsanctioned vacation, the details uncovered by the subsequent investigation are almost inconceivable. It’s hard to imagine most companies allowing an employee—in this case, a supervisor!—to slip so far between the cracks that he or she could be virtually invisible for any period of time, let alone six years. But, if this far-flung story holds any lessons for the typical HR executive, maybe it’s as a cautionary (if highly improbable) tale that shows just what can happen when reporting structures are unclear and communication is lacking.

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Want Performers? Then Share Your Information

If you want your high-performing team members to really perform by participating in leadership decisions, then you’d better be giving 506554668 -- business meetingthem — or training your managers to give them — the information they need.

So says a recent study by researchers in China, published in the Academy of Management Journal.

According to that study’s report, “The Threshold Effect of Participative Leadership and the Role of Leader Information-Sharing,” released last year, there’s a certain performance threshold employees cross when bosses “openly share, discuss and communicate important information needed to make decisions and form judgments.”

Without the confidence that supervisors’ information-sharing fosters, the study suggests, employees may actually come to “hold a negative assessment of the leader’s participative action, interpreting it as a way to increase their workload and responsibilities with no reward.”

According to the authors, making such points is important because managers often assume “that a moderate degree of participative leadership may be enough to improve employees’ performance; this is a common phenomenon in organizations — participation is widely recognized [as valuable], but often done half-heartedly by managers.”

Earlier this week, I contacted Xu Huang, a researcher and professor at the Hong Kong Polytechnic University — and co-author of the study along with Catherine K. Lam of the City University of Hong Kong and Simon C.H. Chan of the Hong Kong Polytechnic University — asking for more specific takeaways for employers and HR, especially how leaders and managers can be trained to share, authentically instead of half-heartedly, more organizational information.

First off, he tells me, the differences between participative leadership and information-sharing are important to note. Based on years of research into these behaviors, he says, participative leaders encourage team members to express ideas and suggestions, they listen to those ideas and suggestions, they use those suggestions to make decisions affecting the entire organization, they give all group members a chance to voice opinions and they consider all team ideas even when they disagree with them.

On the other hand, he says, information-sharers “explain company decisions; company goals; how the team fits into the overall organization; the purposes of company policies, rules and expectations; and his or her decisions and actions.” This open sharing, he adds, doesn’t necessarily have to include sensitive information, just “organizational practices and decisions that may affect the employees and groups.”

There are ways HR professionals can train managers to show more openness and share company information without giving away the store, he says. Behavioral psychologists can even help with this. The problem is, not enough employers recognize this or do anything about it. More often than not, says Xu Huang:

“Managers show openness to different views and opinions from their subordinates, but fail to provide sufficient explanations for companies’ strategies, policies, rules and decisions that may affect employees. As such, employees may not feel that they’re being treated with full transparency and they see such leaders as less effective [and] may not be motivated to enhance their performance. Similarly, managers may offer a lot of information, yet fail to show openness.”

The trick is in combining the two, he says:

“Our key argument is that, if a manager wants his or her employees to perceive him or her as an effective leader, he or she must show a moderate-to-high level of participative leadership as well as a high level of information sharing. A low-to-moderate level of participative leadership behavior will give the impression that the participative leader is ‘half-hearted.’ Similarly, a high level of participative leadership yet low level of information sharing will [also] give the ‘half-heartedness’ impression.”

Probably a bit complex and maybe academically obscure, but worth thinking about if your goal is enhancing performance.

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Maersk Goes Global with New Maternity Benefits

You might say the parental-benefits bandwagon has just charged into the world arena. Copenhagen, Denmark-based Maersk Group 505017852--pregnancyannounced recently that, starting April 4, it will be implementing a new global guaranteed 18-weeks-minimum, fully paid maternity leave  for all its female employees.

Worldwide, the maternity policy would affect more than 23,000 employees. Once implemented in the United States, it will boost the current six-weeks leave to 18 for more than 1,200 women. It will also improve terms for women working for Maersk in at least 51 countries.

In addition, it will include a return-to-work program, giving onshore employees the opportunity to work 20 percent fewer hours at full contractual pay within the first year of birth or adoption.

“This new policy supports our aim to retain our talents and attract even more in the future — this way, strengthening our business results,” says Michael White, president and CEO of Maersk Line North America.

Maersk Line’s Asia Pacific Chief Robbert Van Trooijen, in a recent story on Seanews.com, says the new policy “supports our aim to retain the talented women working in the group and attract even more to gain access to future and wider talent pools … .”

The move was predicated on research conducted for Maersk by New York-based KPMG suggesting maternity-leave policies have an influence on the labor-market participation by contributing to higher employement rates of women.

The move doesn’t mark a first in the recent march by large, big-name companies to enhance parental-leave benefits in an effort to boost retention, reputation and employer brand. A search of this HRE Daily site yields numerous posts about this march, some might say race, to board the parental-leave bandwagon. So too does a search of HRE‘s website, HREOnline.com.

So will there be more bandwagon jumpers globally, what with Maersk leading the charge? I put this question to Kenneth Matos, senior director of research for the New York-based Families and Work Institute. What he had to say is worth sharing, particularly as it applies to HR leaders:

“I do believe that more multinationals will be pursuing improved maternity-leave and other benefits policies. One, because centralized and standardized benefits programs are easier to manage than a grab bag of varied policies impacted by an array of international legal frameworks. Offering everyone a high-end multinational program is easier to manage, avoids lawsuits from accidentally violating a country’s laws with a policy legal in another country, and avoids organizational culture clashes as employees around the world compare their benefits.”

He goes on:

“I believe that a single, affordable, multinational benefits program is the holy grail of the benefits industry. Second, there has been a recent wave of organizations attempting to outdo each other on employee benefits. The battle for talent is reigniting as the predicted retirement boom begins to pick up steam — reducing the size of the workforce –and more jobs require uncommon skills that take years of education or experience to cultivate — a major problem for a shrinking labor force.

“Organizations will want to be seen as leaders and many HR executives and benefits teams should prepare for calls from senior executives to benchmark their benefits programs against their competitors.  It is essential for HR executives to keep cool heads and examine their benefits in terms of what their people want and need rather than offering extensive benefits just to make a social or political statement. Especially if the organizational or local  cultures will suppress the usage of these elaborate offerings or interest will wane over time and leaders might call for a reversal if the benefits structure doesn’t work for their organization and staff.”

Sounds like advice worth heeding, or at least considering.

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