Sustainable Transformation @ Work

sustainability@work 2020 sustainable transformation contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations contents.

3 preface 4 acknowledgements. 5 executive summary sustainable transformation @ work 8 10 18 27 29

• introduction: the paradox of sustainable development
• societal breakdown: the forces of fragmentation
• societal breakthrough: the forces of integration
• conclusion: creating integrated value
• references labor market scan

38 talent assessment tool for sustainable employability social innovation programs 44 52 62 78 employability & skills youth employment diversity and inclusion mobility and migration conclusions and recommendations

81 conclusions and recommendations contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations preface. preface.

The labor market is changing rapidly, almost on a daily basis. This is driven by challenges such as demographic change, globalization, record migration levels, and the need for a more diverse and inclusive working population. As a result, the question of how to develop human capital sustainably is becoming a pressing one. At Randstad, we believe this is not the responsibility of an individual, it is a joint responsibility, as also emphasized by the UN Sustainable Development Goals.

This 2020 edition of Sustainability@Work is the first of a series of reports that focus on the sustainable transformation of the labor market. It is a transformation that many companies and societies are going through, and it is necessary to improve our quality of life and to secure the future of our planet. The challenges are significant, as we are faced with ‘five forces of breakdown’ in society: disruption, disconnection, disparity, destruction, and discontent. But the counterforce of innovation should not to be underestimated, bringing us exciting solutions that are making our workplaces, labor markets, and societies more secure, smart, shared, sustainable, and satisfying.

By placing synergetic values at the core of human relations, we can reap a tremendous values dividend. Synergetic values are values that emphasize collective contribution rather than individual gain, values that favor cooperation for the public good over competition for private benefit, and values whose goal is reciprocity, mutuality, and protection rather than exploitation, exclusion, and extraction. They will help us move closer to the universal goal of sustainable transformation, which is that our living systems – our families, communities and societies, as well as our organizations, cities and ecologies – will not only survive, but thrive long into the future.

To this end, collective effectiveness should be at the heart of everything we do. This will ensure that sustainable development will feel like the only logical choice rather than a sacrifice. The result will be a sustainable, diverse, and inclusive labor market and society for all. Randstad’s commitment to maximizing future employment and contributing to economic growth for society as a whole is reflected in our ultimate goal: ‘By 2030, we will touch the work lives of 500 million people worldwide’.

In this new publication, we provide an overview of local social innovation programs run by our operating companies across the world, focusing on providing that extra stepping stone to the labor market to those who need it most, enhancing skills and increasing employability. Through such initiatives, we give people confidence and empower them to navigate the labor market today, tomorrow and in the future.

• Jacques van den Broek
• CEO & Chairman Randstad N.V.

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations acknowledgements. prof. dr. wayne visser Prof. Dr. Wayne Visser is Professor of Integrated Value at Antwerp Management School (AMS), where he holds the Chair in Sustainable Transformation, supported by Randstad, BASF and the Port of Antwerp. He is also Fellow of the University of Cambridge Institute for Sustainability Leadership and Director of the think-tank and media company, Kaleidoscope Futures.Dr. Visser previously served as Director of Sustainability Services for KPMG and Strategy Analyst for Capgemini in South Africa. His work as a strategy analyst, sustainability advisor, CSR expert, futurist and professional speaker has taken him to 75 countries in the past 30 years. He is the author of 28 books and lives in Antwerp with his wife, Indira. Dr. Visser was assisted in the research and writing of this paper by Sofie Jacobs, a researcher at AMS. contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations executive summary.

Sustainable transformation is a journey that many companies and societies are on – to improve our quality of life and to secure the future of our planet. The challenges are significant – as is evident by the 'five forces of breakdown in society': disruption, disconnection, disparity, destruction, and discontent. But the counterforces of innovation are not to be underestimated, bringing us exciting solutions that are making our workplaces, labor markets and societies more secure, smart, shared, sustainable, and satisfying. Using facts and figures, trends and best practice cases, this paper argues for taking a systems thinking approach – meaning an interconnected, cross-functional perspective – in order to create integrated value, which brings widespread benefits for employees, the economy, and the web of life. By placing synergetic values at the core of human relations – values that emphasize collective contribution rather than individual gain; that favor cooperation for the public good over competition for private benefit; where the goal is reciprocity, mutuality and protection, not exploitation, exclusion and extraction – we can reap a tremendous values dividend. And we will move closer to the universal goal of sustainable transformation, which is that our living systems – our families, communities and societies; our organizations, cities and ecologies – not only survive, but thrive long into the future. contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations part I: sustainable transformation @ work.

• 8 introduction: the paradox of sustainable
• development
• 10 societal breakdown: the forces of fragmentation
• 18 societal breakthrough: the forces of integration
• 27 conclusion: creating integrated value
• 29 references contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations introduction: the paradox of sustainable development.

'Sustainable development' entered our global lexicon in 1987, through the publication of the Brundtland Report of the United Nations, called Our Common Future (WCED, 1987). Today, more than 30 years later, the world is still struggling to address many serious and urgent social and environmental challenges, as the World Economic Forum’s (WEF, 2018) latest Global Risks Report shows (Table 1). table 1: top 10 perceived global risks over the past 5 years (2014-2018) global risks

2014 2015 2016 2017 2018

continue to give a voice to this critical non-profit sector (WSF, 2016). And academia has joined the fray too, through initiatives like the UN Principles for Responsible Management Education (UN PRME), which nearly 700 business schools have signed to date 1 .

Given these laudable efforts by governments, businesses and civil society over the past few decades, we have to ask why so many of these challenges – from climate change and biodiversity loss to income inequality, forced migration and corruption – are still getting worse, not better. A few facts and figures taken from key reports suffice to give an indicative picture of key areas of failure in sustainable development over the past 30 years, despite other areas of progress (Table 2).

Extreme weather events

V

V

V

V

V

Failure of climate change mitigation and adaption

V

V

V

V

V

Weapons of mass destruction

V

V

V

V

Water crises

V

V

V

V

table 2: top five failures after 30 years of sustainable development

V

V

V indicative facts and figures source

V

V

Human influence on the climate system is clear, caused by greenhouse gas levels unprecedented in the last 800,000 years

IPCC (2014) Fifth Assessment Report

Global populations of fish, birds, mammals, amphibians and reptiles declined by 58% between 1970 and 2012

WWF (2016) Living Planet Report (WWF)

Major natural disasters or catastrophes

Data theft or fraud

V

Cyber attacks

V

V

Large-scale involuntary migration

V

Inter-state conflict with regional consequences High structural unemployment or underemployment

V

V

V

V

V

Source: WEF (2018)

The current global response is the 17 Sustainable Development Goals of the United Nations, adopted in 2015 (Sachs, 2015), the successor to the UN Millennium Development Goals (UN, 2015), which saw extreme poverty in developing countries dropping from 47% in 1990 to 14% in 2015. Big business also demonstrated widespread engagement with sustainability, tracked and encouraged by the likes of the World Business Council for Sustainable Development, the UN Global Compact and the Global Reporting Initiative (GRI, UNGC & WBCSD, 2015).

Even civil society appears to have been more active than ever, with Hawken (2007) calling it ‘the largest movement in the world’, comprising more than 2 million non-governmental organizations (NGOs) working on sustainable development. Meetings like the World Social Forum, convened most years since 2001,

The top 1% captured twice as much global WIL (2018) World income growth as the bottom 50% since 1980, Inequality Report causing rising inequality

An unprecedented 65.6 million people around UNHCR (2017) the world have been forced from home, among Statistical Yearbook them 22.5 million refugees

• Around the world nearly 1 in 4 said that they TI (2017) Global
• paid a bribe when accessing public services in Corruption
• the last 12 months
• Barometer

Framing these challenges are 10 major trends that are shaping human populations in general and the labor market in particular: 1. Declining population growth: While the global population has almost tripled since the 1950s and is expected to reach over 9 billion by 2050, by 2022 the average annual growth rate is expected to fall below 1%, down from more than 2% in the late 1960s (World Bank, 2016). 2. Declining working-age population: The working-age population reached a peak of 65.8% of the total population in 2012 and is expected to decline to 62.7% by 2050, with the share of children (under 15) and the aged (65+) rising steadily (World Bank, 2016).

http://www.unprme.org/ contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations introduction: the paradox of sustainable development.

3. Increasing life expectancy: Average life expectancy at birth has risen by more than 25 years over the past 65 years, from 46.8 years in 1950 to 71.7 years in 2015, a trend expected to continue, although at a much lower rate than in the past (World Bank, 2016).
4. Emerging economy urbanization: The urban population in lower-middle-income countries has risen from 29.4% in 1990 to 49.7% in 2013, reducing fertility rates but increasing pressure on infrastructure and demand for jobs (World Bank, 2016).
5. Dependency impacts of migration: 74% of international migrants are working age, thus increasing the dependency ratio (burden on working populations to support the old and young) in sending countries and reducing old-age dependency in receiving countries (World Bank, 2016).
6. Increasing vulnerable employment: Almost 1.4 billion workers were in vulnerable employment in 2017, and an additional 35 million are expected to join them by 2019. In developing countries, vulnerable employment affects three out of four workers (ILO, 2018).
7. Rising costs of stress: More than 40% of all workers face high stress in their jobs, negatively affecting their productivity, health, and family stability. Burnout is on the rise, having an impact on organizational costs (Tottle, 2016).
8. Growing interest in flexibility: Interest in flexible work increased by 42% from 2013 to 2015 in nine of the 12 largest economies in the world. Over half of the top 50 keywords associated with searches for flexible work are related to high-skill jobs (Indeed, 2016).
9. International wage stagnation: From 2011 to 2014, wage growth registered a mere 0.5%, while employers report difficulty filling posts. If people do not find wages compelling enough to accept a job, they may stay in their current role even if a better fit is out there (Indeed, 2016).

Increasing computer skills gap: Among OECD countries, 35% of people aged 16-29 have no computer experience at work, thus placing an extra burden on employers to hire for aptitude and build skills along the way (Indeed, 2016).

In order to deal with the impact of these trends – and the potential sustainable development blind spots – we need to apply systems thinking, which Capra and Luisi (2015) define as ‘thinking in terms of relationships, patterns and context.’ Systems thinking – grounded in the theories of holism (Smuts, 1926), general systems (Von Bertalanffy, 1968), and chaos or complexity (Gleick, 1997) – is intuitively obvious, but practically difficult to apply, although there have been various attempts (e.g., Capra, 1982; Senge, 1990; Visser, 1995; MEA, 2005; Rockström et al. 2009; Raworth, 2017).

Without systems thinking, the result is a failure to see clearly and to act on the interconnectedness of our economic, technological, human, social and ecological systems. Put another way, we are still often treating symptoms and not causes. The dangerous consequence is that we may be moving towards what systems scientist Laszlo (2010) calls a ‘chaos point’ – a critical tipping point beyond which we either evolve to a safer, more sustainable world, or the social, economic, and ecological systems that frame our life become overstressed and break down.

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations societal breakdown: the forces of fragmentation.

My own application of systems thinking to our global challenges, following a 30-year career working on sustainable development, resulted in the Five Forces of Fragmentation Framework (Figure 1), echoing the World Economic Forum’s 2018 motto: creating a shared future in a fractured world. According to my analysis, the most critical areas of systemic breakdown in society are related to discontent, disruption, disconnection, disparity and destruction. Each is described briefly in this section and how it impacts on employees and the labor market. figure 1: global systemic problems: The five forces of fragmentation in society disruption

• • natural/climate disasters
• • industrial accidents
• • market crises discontent
• • lack of purpose
• • work stress
• • unhealthy lifestyles disconnection
• • lack of internet
• • digital divide
• • technology exclusion global systemic problems
• • five forces of fragmentation destruction
• • resource depletion
• • biodiversity loss
• • ecosystem damage disparity
• • income inequality
• • discrimination
• • economic exclusion discontent Discontent derives from unhealthy lifestyles, unsafe workplaces and toxic environments that impair human well-being. It is most often associated with lack of purpose, work stress, poor diets and insufficient exercise. For instance, more than 40% of deaths from non-communicable diseases (which account for 70% of all deaths, an increase since 2000) are premature or preventable, notably from cardiovascular and respiratory diseases, cancers and diabetes (WHO, 2017b). Also, depression and anxiety disorders affect

10% of people and have increased 50% from 1990 to 2013 (WHO and World Bank, 2016).

We can illustrate the impact of discontent on employees and the labor market by highlighting two major trends, namely problems with employee engagement and growing mental health issues, often linked to stress or burnout.

Employee engagement has become an important indicator for HR leaders. Research suggests that 85% of workers globally are not engaged in their work, while in the U.S. only 14% strongly agree that the values of their employer match their own (Buck, 2018). In today’s knowledge economy, where human capital often represents a company’s main asset – and source of competitive advantage – these are concerning numbers for business and translate into significant risks and costs. Studies have found that decreased employee engagement leads to higher absenteeism, more errors, accidents and defects, lower productivity, lower profitability, lower job growth, and 65% lower share price over time (Buck, 2018). One way to compensate for this is through voluntary work. In Europe, around 30% of people participate at least once a month in unpaid voluntary work (up 3% from 2011), while the share of those who do not participate at all has fallen from 58% in 2011 to 54% in 2016. Employees are more likely to volunteer than the unemployed (Eurofound, 2017).

Burnout associated with high levels of stress in the workplace – paradoxically sometimes due to overengagement – is another costly impact associated with discontent. Research by Yale University found that 1 out of 5 employees reported both high engagement and high burnout, and intended to leave their employers (Seppala and Moeller, 2018). Simply put, too high expectations placed on good employees may undermine their ability to perform and their desire to remain with the company. Another source of stress is the increasing incidence of dual career households – a positive trend in terms of creating a more egalitarian society, but also one that raises levels of conflict between work and family responsibilities (Abele and Volmer, 2011). Comparison of work-life balance stress indicators in Europe between 2007 and 2016 shows that work-life balance has deteriorated for all age groups and in particular for young women and women in the midage category (35–49) (Eurofound, 2017). The deterioration mostly took place after 2011.

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations societal breakdown: the forces of fragmentation.

The cost of burnout in the U.S. economy alone is estimated to be between $150 billion and $300 billion (Stahl, 2016), while more than half of Americans are dissatisfied with their work due to a lack of work-life balance – a major factor contributing to the $1,685 annual cost of absenteeism per employee (Ferreira, 2018). This is part of the larger problem of mental health in the workplace. According to the World Health Organisation (WHO, 2017a), globally more than 300 million people suffer from depression, the leading cause of disability, with many of these people also suffering from symptoms of anxiety, which is costing the global economy $1 trillion each year in lost productivity.

There is some evidence to suggest that these trends represent a more fundamental existential crisis in the workplace. This is something I investigated in detail during my doctoral research. One study identified a category of employees in the UK called the TIREDs – which stands for Thirty-something Independent Radical Educated Dropouts (Visser, 2008). The researchers found that 66% all 18-to-35-year-olds were unhappy at work, rising to 83% among 30-to-35-year-olds. One in 15 respondents had already left their organization and 45% were seriously contemplating a career change. The reasons given were that they were feeling worn down by a combination of stress, boredom and ‘aspiration deficit’: the feeling that their work did not have a sense of deeper meaning or purpose that might compensate for the heavy demands placed on them. More recent research suggests that this is not an isolated phenomenon. In fact, around 50% of Americans report a lack of meaning and significance at work, which they believe is more important than feeling happy (Amortegui, 2014).

A final symptomatic area of discontent concerns the impact of lifestyle – and especially consumption patterns and dietary choices – on employee health. For example, research from Oxford University concludes that a failure to increase plant-based diets and reduce meat consumption by 2050 would result in between 5.1 and 8.1 million avoidable deaths and between 79 and 129 million years of life lost. This equates to global mortality of 6% to 10%, notably from coronary heart disease, strokes, cancer and diabetes. Annual economic costs in 2050 could be between $735 billion and $1,067 trillion (2.3% to 3.3% of global GDP) and greenhouse gas emissions would be between 29% and 70% higher if current diets persist (Figure 2) (Springmann et al., 2016).

economic value (USD trillion) figure 2: environmental, social and economic benefits of shifting to plant-based diets

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Key: HGT = health global diets scenario; VGT = vegetarian diets scenario; VGN = vegan diets scenario. Source: Springmann et al., 2016. contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations societal breakdown: the forces of fragmentation. disruption increased from around 200 per year in 1980 to around 700 per year in 2016 (The Economist, 2017).

Disruption refers to any instability that threatens human life, safety and security, and is most often associated with political conflicts, acts of terrorism, demographic changes, industrial accidents and natural disasters. For instance, according to the Global Peace Index, only 10 countries in the world could be classified as conflict-free in 2016 (Institute for Economics and Peace, 2016). And according to Munich Re, natural disasters (climatological, hydrological and meteorological)

Disruption has a significant impact on the labor market generally and on employees specifically, which we can illustrate by shining a spotlight on three areas: forced migration, natural disasters and economic crises.

There are 65 million forcibly displaced persons in the world, including 22.5 million refugees, with the vast majority in developing nations. Countries receiving figure 3: the scale and geography of forced migration and refugees in the world

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65.6 million forcibly displaced people worldwide

22.5 million refugees

• 17.2 million under UNHCR mandate
• 5.3 million palestinian refugees registered by UNRWA

10 million stateless people

189,300 million refugees resettled in 2016 where the world’s displaced people are being hosted

55%

of refugees worldwide came from three countries

16%

17% top hosting countries

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south sudan 1.4 million afghanistan 2.5 million america asia and pasific

28,300 people

syria 5.5 million

791,600

940,800 979,400

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30% middle east and north africa

1.4m

1.5 africa europe a day forced to flee their homes because of conflict and persecution

10,966 staff

UNHCR employs 10,966 staff (as of 30 june 2017) ethiopia uganda islamic republic of iran lebanon pakistan turkey

130 countries

we work in 130 countries (as of 30 june 2017) we are funded almost entirely by voluntary contributions, with 87 per cent from governments and the european union

Source: UNHCR, 2018 contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations societal breakdown: the forces of fragmentation. refugees face major challenges to integrate these forced migrants into their economy and society. However, refugees also represent a significant opportunity for the host country, given the many skills and aptitudes that they bring (UNHCR, 2018).

Employment is one of the keys to refugee integration and is closely related to other areas, such as access to housing, healthcare and childcare, learning the language, enabling family reunification, obtaining a driver’s license, finding supportive networks and navigating the asylum-seeking process itself (UNHCR, 2018). However, employers and human resources departments often lack the knowledge and support needed to deal with all the rules and regulations.

The result is that employers may overestimate the restrictions and obstacles, and simply disregard applications by asylum-seekers, refugees or other beneficiaries of international protection. For small and medium-sized enterprises in particular, which generally do not have their own or fully resourced HR departments, bureaucratic requirements and other obstacles are often perceived as being too complex and time-consuming.

Furthermore, refugees and forced migrants are not always aware of their rights, and this may increase the risk of them being exploited by employers by being given underpaid, insecure, unsafe or demeaning jobs. Negative stereotypes about refugees – such as that they are taking jobs away from locals, or are unreliable or likely to have criminal associations – can also result in hiring discrimination and unfair treatment in the workplace (UNHCR, 2018).

The impact of natural disasters on the labor market can also be dramatic. In 2017, for example, it was reported that the U.S. labor market lost 33,000 jobs during September, which was strongly associated with hurricanes Harvey and Irma (White, 2017). Millions, and sometimes billions, of dollars in damage can occur because of natural disasters. Businesses are torn apart, or destroyed, and operations can come to a halt for unplanned, significant amounts of time (Harrison, 2017).

Climate change also impacts working conditions in more subtle ways. According to data from the National Oceanic and Atmospheric Administration, 2018 is on track to be, globally, the fourth hottest year on record.

Only three other years have been hotter: 2015, 2016 and 2017. This has serious implications for discomfort and productivity in the workplace. In the U.S., for example, more than 15 million people have jobs that require them to be outdoors at some point, and rising temperatures are proving dangerous for them: between 1992 and 2016, excessive heat killed 783 U.S. workers (Irfan, 2018).

Economic crises have a significant impact on the labor market. The economic crisis that began in 2008 was connected to a rapid rise of unemployment and with an especially pronounced increase in the number of longterm unemployed. Of the workers who lost full-time jobs between 2007 and 2009, only about 50% were employed in January 2010 and only about 75% of those were later re-employed in full-time jobs (Nesvisky, 2015). Associated bankruptcies also generate severe stress and anxiety, resulting in maladaptive behavior and inappropriate decision-making at both individual and organizational levels (Wilson, 2016).

disconnection

• Disconnection refers to exclusion from the knowledge
• economy, and is most often associated with poor
• educational opportunities, lack of access to smart
• technologies, and replacement of human labor by
• machine labor, including artificial intelligence. For
• instance, 4 billion people still lack access to the internet,
• and nearly 6 billion people do not have high-speed
• internet (World Bank, 2017). Nearly 2 billion do not use a
• mobile phone, and almost half a billion live outside areas
• with a mobile signal (World Bank, 2017).

The impact of disconnection on the labor market and employees is particularly evident in two areas: the digital divide and automation.

The digital divide refers to the gap between those who have access to smart technology (notably the internet and smartphones) and those who do not. More importantly, it refers to the economic, social and cultural disadvantage this divide has created for the ‘disconnected’. Stated another way, the digital dividend – i.e. the broader development benefits from using digital technologies – is unevenly distributed (World Bank, 2017).

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations societal breakdown: the forces of fragmentation.

This may seem surprising, since the number of internet users more than tripled from 1 billion in 2005 to 3.2 billion at the end of 2015. Yet despite this rapid growth – and the fact that nearly 70% of the bottom fifth of the population in developing countries own a mobile phone – nearly 60% of the world’s people are still offline (World Bank, 2017). Besides tackling access to digital technology (Dolan, 2015), we also have to address gaps in digital literacy, i.e., the ability to master smart technologies (Vie, 2008).

figure 4: digital adoption by people, business and governments around the world

• a. digital adaption by business
• b. digital adaption by people

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Note: The figures show the diffusion of digital technologies across countries as measured by the Digital Adoption Index compiled for this report and described in detail in chapter 5 of the full report. GDP = gross domestic product. Source: World Bank, 2017.

Even with digital access and literacy, new risks are arising, where smart technologies are being used by governments and companies to exploit and control rather than empower. This is why the inventor of the World Wide Web, Sir Tim Berners Lee, established the Web Index, which measures the internet’s contribution to social, economic and political progress in countries across the world. According the Index, 74% of countries lack clear and effective net neutrality rules or show evidence of traffic discrimination and 84% do not have effective laws and practices to protect the privacy of online communications.

The digital divide also manifests as a form of age discrimination. The proportion of young people (ages 15-24) using the internet globally is 71% (and 94% in developed countries), as compared to 48% of the total population (81% in developed countries) (ITU, 2017). As Antonio and Tuffley (2018) observe: ‘As existing services, such as banking and shopping, move increasingly online, the likelihood of excluding certain demographic groups, such as the elderly and those living in rural areas, increases exponentially’ (p. 1).

The impacts of automation are one of the risks of the digitalization of economic activity. As the World Bank (2017) puts it, the world faces ‘increasingly polarized labor markets and rising inequality – in part because technology augments higher skills while replacing routine jobs, forcing many workers to compete for lowpaying jobs’ (p. 3). For example, 47% of all people employed in the U.S. are working in jobs that could be performed by computers and algorithms within the next 10 to 20 years (Arntz et al., 2016).

It is not all bad news: PwC (2018) estimates that artificial intelligence, robotics and other forms of smart automation may add $15 trillion to global GDP by 2030. But there will be winners and losers. Based on an analysis of over 200,000 existing jobs across 29 countries, PwC believes that by the mid-2030s, up to 30% of jobs could be automatable, but we will build up to this in three waves, which they call algorithmic (up to the early 2020s), augmentation (late 2020s) and autonomy (mid-2030s). During the first wave, a relatively low displacement of existing jobs is expected, but this will increase as successive waves build.

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations societal breakdown: the forces of fragmentation. disparity Disparity refers to any inequities that increase social friction or inefficient resource utilization, and is most often associated with income inequality, discrimination and economic exclusion. For instance, from 1960 to today, the absolute gap between the average incomes of people in the richest and poorest countries has grown by 135% (Bolt and Van Zanden, 2014) and average CEOto-worker pay in the U.S. has gone from 20-to-1 in 1965 to around 300-to-1 today, with income shares of the top 1% and top 0.1% of U.S. households doubling from 1979 to 2007 (Mishel and Davis, 2015).

The impacts of disparity on the labor market are concentrated in three areas: skills gaps, workplace discrimination and income inequality.

A recent report by McKinsey shows that future job displacement will mainly be concentrated on low-skilled workers (Bughin et al., 2018), continuing a trend that has intensified in recent years. For example, by 2030 the demand for manual skills are expected to decline by 11% and 16% in the U.S. and E.U. respectively, while leadership and entrepreneurial skills will grow by 26% and 33% respectively in the U.S. and by 22% and 32% in the E.U. As companies compete for this top talent, the salary/wage gap between knowledge workers and manual workers may grow ever wider.

members of minority ethnic groups tend to be promoted less often than members of the dominant ethnic group who hold similar credentials. Furthermore, the impact of this discrimination tends to be exacerbated over time, in what scholars call ‘cumulative social inequality’ through work (Kooij et al., 2018).

One of the most striking pictures of disparity in the workplace is still the global gender gap (Figure 5). In a review of 144 countries, the World Economic Forum (WEF, 2017) shows that there is still a 32% gap between men and women across four categories of gender parity: economic participation and opportunity, educational attainment, health and survival, and political empowerment. For economic participation and opportunity, the gap is even wider (42%). And with pay having increased faster for men over the past 10 years than for women, this gap is widening still further. In fact, unless there is a dramatic change of behavior, it will take 217 years to close the economic gender gap.

Besides these direct impacts of disparity on human capital, inequality is also important because it shapes the society in which the working population is figure 5: proportion of female hires by industry (2007-2017)

60%

Another challenge is that, as job roles become more nuanced and labor markets become more complex, finding the right fit between the skills on offer and the specifications of the jobs is becoming harder. For example, the time it took to fill a vacancy in 2016 was markedly higher than in 2005 (28 days versus 20 days) even though the unemployment rate in both years was comparable (Bughin et al., 2018). These mismatches can result in increased labor costs, lost production due to unfilled vacancies, slower adoption of new technologies and higher unemployment rates.

Despite the growing attention around creating inclusive workplaces (Tolbert and Castilla, 2016), evidence suggests that in many organizations employees continue to be treated differently depending on their education, gender, age, ethnicity, sexuality or religion (Merluzzi and Sterling, 2016). For example, there is ample empirical evidence to show that women tend to earn less than men for doing the same work, while

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2014 nonprofit corporate services legal real estate health care finance media & communications energy & mining education manufacturing public administration software & IT services

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Source: WEF, 2017. contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations societal breakdown: the forces of fragmentation. embedded. A stable, healthy society is conducive to a well-functioning labor market. Conversely, Wilkinson and Pickett (2009) show, based on an exhaustive review of decades of data for countries around the world, that many modern social and environmental problems – such as ill health, lack of community life, violence, drugs, obesity, mental illness, long working hours, or big prison populations – are more likely to occur in a less equal society. destruction Destruction refers to any production and consumption that leads to the decline of resources and disruption of ecosystems, and is most often associated with economic growth, over-consumption, land-use change and industrial pollution. For instance, according to the Living Planet Index, populations of vertebrate species will have declined 67% from 1970 to 2020 if current trends continue (WWF, 2016). And unabated climate change, resulting in 2.5 degrees Celsius warming, will devastate ecosystems, increase poverty and cost the global economy $12 trillion by 2050 (UNDP, 2016).

Destruction is an area of societal breakdown that impacts employees through the deterioration in working conditions associated with climate change and pollution, as well as disrupted labor markets due to highimpact industries being forced to pay for their environmental costs and going into economic decline.

In terms of climate change, extreme weather events such as droughts, heat waves, heavy precipitation and the increased occurrence and intensity of cyclones or hurricanes will cause job losses, forced short-term and long-term migration, deteriorating working conditions and damage to assets and business continuity (ILO, 2017).

One direct effect of the higher number of very hot days associated with climate change, for example, is the ‘slowing down’ of work, which results in lower labor productivity (Kjellstrom et al., 2010). Research in the U.S. over the past 40 years shows that productivity per individual workday declines 1.7% for each 1-degree C (1.8 degrees F) rise in temperature above 15 degrees C (59 degrees F) (Belsie, 2015). A weekday above 30 degrees C (86 degrees F) costs an average of $20 per person in lost income. The agricultural sector is especially hard hit. Of the $14.78 in lost per capita income during a warm day, $11.55 comes from lost farm income.

Air pollution also has an impact on the health and productivity of workers, especially of those working outdoors in an urban or industrial environment, but also of white-collar office workers (Mooney, 2016). To illustrate the scale of impacts, in 2014, the Air Quality Index in Los Angeles exceeded the Environmental Protection Agency standard on 90 days. If all of those days were brought into regulatory compliance, service sector productivity in the county of Los Angeles would have been $374 million larger. Other studies on pollution effects on the agricultural sector in California show worker productivity falling 5.5% for every 10 ppb increase in ozone, a harmful gas associated with car emissions (Zivin and Neidell, 2018). Imagine when these impacts are scaled up to account for all sectors in all cities in all countries.

In fact, the environmental costs of economic activities have been estimated at $4.7 trillion a year (Fellow, 2013), and are projected to rise to $28.6 trillion by 2050 (Trucost, 2010). In 2017, global GDP was around $75 trillion. These externalities – so-called because businesses externalizes the costs, which means they do not pay for them directly, but rather impose them on society – include impacts like air pollution-related health costs, the effects of carbon emissions, the loss of naturebased benefits such as carbon storage by forests, and loss of natural resources. If businesses would take these externalities into account as a cost, none of the highimpact industries (like mining, oil and gas) would be profitable (Hance, 2013).

While companies continue to resist paying for the environmental costs of their activities (Zammit-Lucia, 2014), we can expect they will increasingly be forced to do so through tougher environmental legislation, resulting in the decline of certain industries, bankruptcy of high-impact companies and job losses. The fossil fuel industry is especially at risk, with a third of oil reserves, half of gas reserves and over 80% of current coal reserves needing to remain unused from 2010 to 2050 in order to meet the targets agreed globally under the Paris Climate Agreement. These represent ‘stranded assets’ of around $4 trillion, which will be wiped off the balance sheets of many of the world’s largest companies (Mercure et al., 2018).

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations societal breakdown: the forces of fragmentation. figure 6: the cost of damage to the environment by business sectors utilities $ 420bn

$ 28.2bn basic materials $ 312bn

$ 21.5bn consumer goods $ 281bn

$ 31.2bn

$ 42.6bn

$ 69.6bn

$ 172.3bn

$ 127.2bn

$ 53.2bn

$ 17,6bn

$ 151.1bn

$ 133.4bn

$ 26.4bn

$ 28.6bn

$ 45.4bn

$ 20.5bn

$ 20.8bn consumer services $ 73.7bn industrials $ 201bn

$ 19.6bn

$ 50.6bn

$ 23.1bn oil and gas $ 175bn

$ 43.2bn

$ 100.2bn

$ 34.7bn

$ 104.0bn

$ 38.0bn

$ 40.4bn

$ 19.4bn

$ 19.4bn greenhouse gases water abstraction waste acid rain and smog others coal dust and particles nuclear waste nutrients and organic pollutants Source: Trucost, 2010. contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations societal breakthrough: the forces of integration.

Pinker (2018) reminds us that we often fall into the trap of overstating the risk of our own demise. Besides, he says, ‘there is one measure that will not make the world safer: moaning that we're doomed.’ Fortunately, there is considerable positive momentum behind countering the forces of fragmentation by designing solutions that systemically address each problem area: satisfying solutions that address discontent, secure solutions that reduce disruption, smart solutions that tackle disconnection, shared solutions that reduce disparity, and sustainable solutions that reverse destruction (Figure 7). Many of these counter-trends were anticipated by pioneering systems thinkers decades earlier (e.g. Boulding, 1966; Capra, 1982; Russell, 1991; Henderson, 1997; Harman, 1998; Hawken, Lovins and Lovins, 1999; Meadows, 2008). Each counter-force of integration and its impacts on employees and the labor market is briefly described in the sections below. figure 7: global systemic solutions: the five counterforces of integration in society secure resilience economy • lowering risk • aiding recovery • ensuring continuity smart satisfying wellbeing economy • promoting health • meaning in work

• exponential
• economy
• • connecting people
• & things
• • big data & al global inovative solutions
• • five forces of integratation sustainable circular economy • bio products • zero waste • climate positive shared access economy • promoting equity • inclusive design • sharing platforms satisfying

Satisfying solutions refer to innovation in the well-being economy (Fioramonti, 2017), which is about promoting human health and improving meaning in work, i.e. finding solutions that produce high-quality services that satisfy our human needs, as well as enabling a lifestyle and culture that values quality of life, happiness and other indicators of well-being. According to the Global Wellness Institute, the well-being economy, incorporating solutions like stress-relief practices, life coaching, plant-based diets and treating mental illness, was worth $3.72 trillion in 2015 (GWI, 2016).

To overcome employee disengagement and other wellbeing malfunctions, many employers have already put in place innovative programs for financial wellness, mental health, improved diets, regular exercise, mindfulness, improved sleep, stress management and more (Craig, 2018). As the line between work and nonwork blurs, providing a robust suite of well-being programs focused on physical, mental, financial and spiritual health is becoming a corporate responsibility and a strategy to drive employee productivity, engagement and retention. These actions also impact the economy in a broader way. The corporate wellness market has grown to nearly $8 billion in the U.S. alone and is expected to reach $11.3 billion by 2021 (Deloitte, 2018).

spotlight: lendlease

This multinational construction, property and infrastructure company strives to embed well-being into its culture. Besides having a workplace featuring ‘neighborhood’ tables, working walls, focus points for activities that require concentration, and enclosed pods and breakaway areas that foster collaboration and social interaction, the company has also installed a Wellness Hub. This is a preventative care facility that occupies two floors of its corporate headquarters and has adjoining areas for physical activity and training, as well as a six-meter-high breathing wall with 5,000 plants that remove air pollutants, cool the surrounding space, improve energy efficiency, and reduce air conditioning costs. Other initiatives include three annual well-being days and extensive inclusive health initiatives around diet and exercise (Deloitte, 2018).

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations societal breakthrough: the forces of integration.

Besides such progressive at-work practices, employee well-being also emerges from having a diverse, dynamic and agile career, incorporating lots of developmental experiences, each offering the opportunity to acquire new skills, perspectives and values. Careers today may still follow an upward curve, with periodic progression and promotion, but they will look nothing like the simple staircase path of generations ago. Increasingly, people will look for multiple ‘second curve’ work experiences, in which they reinvent their careers, leaping from one job path to another before it peaks and starts to decline (Handy, 2015). spotlight: at&t America’s largest telecommunications company pays special attention to the personal development of its employees, spending more than $250 million to enable staff to benefit from 32 university partnerships and multiple online educational platforms. This includes upskilling for the Fourth Industrial Revolution, with more than half of AT&T employees having completed 2.7 million online courses related to digital transformation. Employees that are currently retraining are two times more likely to be hired into one of these newer, mission-critical jobs and four times more likely to make a career advancement. As a result, AT&T is seeing substantial numbers of employees changing their roles or activities, and retrained workers are twice as likely to obtain technology and operations management roles than non-retrained workers (Bughin, 2018).

Innovative companies are also rethinking reward schemes. Leading organizations now understand that a personalized, agile, holistic rewards system is essential to attracting, motivating and developing talent. Progressive businesses are creating rewards programs that are delivered more continuously, aligned more closely with individual preferences, and based more fully on an employee’s whole contribution to the team and the organization. These companies understand that effective rewards programs require a personal relationship with each worker. Done correctly, this new approach to rewards can become a huge competitive advantage (Deloitte, 2018). spotlight: patagonia

The outdoor clothing company Patagonia ranks 6 th on the 2018 World’s Most Innovative Companies list and uses a creative compensation and rewards model that seeks to support employees both inside and outside of work. The title of Founder CEO Yvon Chouinard’s (2005) autobiography, Let My People Go Surfing, gives some insight into the culture. This includes 26 three-day weekends per year, a well-being policy that allows employees to do recreational exercise during work hours, and extensive family benefits such as on-site day care to support parenting and breastfeeding. The company encourages employees to treat work as play and regards its own workers as the ultimate customers, which means it places a special emphasis on how it treats and rewards them. For Patagonia, reward is not only about financial incentives or giving time off; it is also about giving employees a sense of purpose or mission in their work. For example, since 1985, Patagonia has pledged 1% of sales to the preservation and restoration of the natural environment. It also has numerous programs to support corporate responsibility and sustainability, like B Lab, Sustainable Apparel Coalition, bluesign®, Fair Factories Clearing House and Worn Wear. When employees proposed that the company give away all of its 2016 Black Friday sales to grassroots environmental organizations, new CEO Rose Marcario approved the plan within 30 minutes via text message. The company raised $10 million and signed up 24,000 new customers as a result (Beer, 2018). Meanwhile, the cumulative effect of all these innovations is that Patagonia has seen its performance and productivity continue to rise.

Supportive government policy obviously also helps. For example, the OECD (2015) has developed a set of policy guidelines for an integrated approach to addressing the impact of mental health problems on health, education, employment and social outcomes. And in Australia, the Queensland Healthier.Happier.Workplaces initiative provides information and resources to help companies to enhance well-being in the workplace (WorkSafe Queensland, 2018).

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations societal breakthrough: the forces of integration. secure Secure solutions refer to innovation in the resilience economy (Buheji, 2018), which is about lowering risk, aiding recovery and ensuring continuity, i.e. finding solutions that help us prepare for and respond to emergencies and catastrophes, allowing us to survive and thrive through periods of breakdown, uncertainty and volatility. This helps us to address problems like the $330 billion in losses ($49 billion uninsured) from worldwide natural catastrophes in 2017, up from $184 billion in 2016 (Munich Re, 2018).

Human capital resilience is a key aspect of making the work environment more secure. This concept is defined as an organization’s ability to respond and adapt rapidly to threats posed to its workforce. Organizations that can build resilience in their employees are more likely to protect their most valuable resources and maintain continuous operations in the event of a crisis (Okuwa et al., 2016). Business continuity is already a wellestablished field, but progressive companies are going beyond technical emergency response and business contingency planning, and are investing in preparing, strengthening and supporting their employees and other stakeholders (emotionally and psychologically as well as physically) for dealing with disasters (IBM, 2018). spotlight: starbucks The world's largest coffee retailer provides a good example of resilience by listening to its employees and customers. Starbucks was hard hit by the global financial crisis of 2008, with profits falling 28% in the first year. To survive, it was forced to close 900 shops and lay off 6,700 employees (Shezray et al., 2014). In order to reinvigorate the company, CEO Howard Schultz launched My Starbucks Idea, inviting employees and customers to give innovative suggestions on how the company could improve everything from its products, services and working conditions to its store ambience and social responsibilities. More than 93,000 ideas were shared by about 1.3 million users on social media, and page views per month rose to 5.5 million. By launching My Starbucks Idea at a time of crisis, the company generated a feeling of solidarity and goodwill among its stakeholders, which helped it ride out the financial storm and emerge more competitive on the other side.

Leading companies not only manage the risks associated with disruption, but also see the opportunities. For example, in response to the forced migration crisis, forward-thinking businesses look for ways to integrate refugees into their workforce, supply chain and surrounding community. To support business, there are numerous online platforms and professional networks dedicated to refugee employment that help to match refugees within countries or across borders (UNHCR, 2018). According to numerous studies, refugees boost national and local economies, bring key skills and diversity, build social capital through community volunteering, and are more likely to start businesses (and less likely to claim social benefits) than incumbent populations (Kartallozi, 2017). For example, in Britain, migrants are nearly twice as likely as locals to start a business, while in the U.S. refugees have developed, expanded or maintained approximately 10,800 small businesses over the past 20 years, with a business survival rate of 88% and a loan repayment rate of nearly 98%, all far higher than the national average.

spotlight: chobani

CEO Hamdi Ulukaya was a Turkish migrant who settled in New York state and in 2007 founded Chobani, a yogurt company that has grown into a $1.5 billion business. When the Syrian refugee crisis began unfolding on the global news channels in 2011, Ulukaya was determined to do something. He reached out to the United Nations Refugee Agency and the International Rescue Committee to find out how business could be part of the solution. Giving refugees work opportunities (and the dignity that comes with it) was a necessary first step, irrespective of the barriers. ‘There are obstacles: language, training, and transportation,’ he says. ‘We figured it out’ (Lagorio-Chafkin, 2018). By 2016, he had 2,000 employees and decided to give them a 10% share in the company. At Chobani today, 30% of employees are immigrants or refugees, with more than 20 languages spoken at their plants. Through the Tent Foundation that Ulukaya established, he has found alliances with companies like Mastercard, Airbnb and Johnson & Johnson. Today, they have some 80 companies that are publicly committed to respond positively and proactively to the plight of refugees.

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations societal breakthrough: the forces of integration.

The Swedish government has been especially quick to adapt Sweden's labor market to welcome refugees. They introduced a Fast Track initiative to speed up the labor market integration of refugees with work experience in occupations with shortages of employees, such as health care professionals and teachers. The program provides a comprehensive integration package, mapping and validating refugee skills, providing occupation bridging programs in their native language, and enrolling them in Swedish language courses (Government of Sweden, 2015).

Other countries are also playing their part. Denmark has introduced a Step Model, which looks at long-term labor market integration beyond the initial hiring phase. The Canadian government has compiled a guide for employers interested in hiring refugees. Germany has introduced an apprenticeship program allowing refugees to receive three years of vocational training, even if their asylum application has been denied. Should they find employment after finishing their training, they have the right to remain in Germany for an additional two years. And finally, Austria held an annual refugee career fair in 2016, with thousands of jobs on offer, which led to hundreds of job interviews and job offers made during the event (UNHCR, 2018). smart Smart solutions refer to innovation in the exponential economy (Carlson and Wilmot, 2006), which is about connecting people and things, using big data and artificial intelligence (AI). In other words, smart solutions use technology to better connect us to each other and allow us to share what we value most, as well as to facilitate more democratic governance by allowing us (as customers or citizens) to give direct, immediate feedback. The increased use of exponential technologies could add $1.36 trillion to total global economic output in 2020, according to a study by Accenture (2015).

The potential for smart technologies – especially online connectivity – to bring societal benefits is huge. For example, according to research by Deloitte (2014), if internet penetration rates in developing countries could be raised to those of developed countries, long-term productivity could be improved by 25% and the resulting economic activity could generate $2.2 trillion in additional GDP, a 72% increase in the GDP growth rate, and more than 140 million new jobs, while decreasing extreme poverty by between 13% and 30% (depending on the region). And this ‘return on connectivity’ is not only economic: internet access could save 2.5 million lives and give 650 million children access to education, besides improving social cohesion, public services and disaster relief.

Besides basic connectivity, the so-called Fourth Industrial Revolution (Schwab, 2016), ‘characterized by a fusion of technologies that is blurring the lines between the physical, digital, and biological spheres’ (Schwab, 2017), is also bringing exciting opportunities for technology to reverse disconnection and make breakthrough societal impacts. For instance, Nokia Bell Labs predicts a massive leap in productivity – estimated for the U.S. to be 30% to 35% from 2028 to 2033 and adding $2.8 trillion to the economy – off the back of the revolutions in digital energy, transport, health, communication and production (Suri, 2018). Besides these areas, digital connectivity is expected to help us to better anticipate and respond to natural disasters, like the US$1 trillion per year of damage expected from flooding by 2050 (David, 2017).

spotlight: digital value to society

The World Economic Forum, in partnership with Accenture, has devised a new metric called Digital Value to Society (DVS) by aggregating the Key Performance Indicators (KPIs) that relate to the impact of digitalization on health and safety, employment, the environment and consumers. In their value-at-stake framework, they identify KPIs for industry (e.g., operating profits, cost savings, value addition, value migration), labor (e.g., net job creation, injuries/ accidents avoided, quality of work), consumer benefits (e.g. time savings, cost savings, affordability, reliability) and society and environment (e.g., health, safety, water consumption, carbon and other emissions). By analyzing the quantified business and societal benefits of 135 digital initiatives across 11 industries, they show the creation of cumulative value to industry between 2016 and 2025 of $12.75 trillion and to society of $15.31 trillion, with the net creation of 1.39 million jobs and net reduction of CO 2 emissions of 28.83 billion tonnes. The breakdown by industry sector is shown in Figure 8. (WEF and Accenture, 2017) contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations societal breakthrough: the forces of integration. figure 8: the potential impact of digital initiatives by industry cumulative value 2016-2025 to society and industry ($ billion) reduction in CO 2 emissions (million tonnes) jobs (000s)

223

-3,294

540

NA

1,546

9,878

2,217

1,360

15,849

3,158

1,280

289

1,100 2

5,439 consumer auto

4,877

3,141

667

2,393 logistics

1,741 electricity telecom

873 aviation

705 405

250

-780 oil & gas

637

945

1,284 3

-57 media

274

1,037

-151

NA mining

106

321

608

-330 chemistry

2

308

60

-670 societal 1 industry 1 Total societal value at stake includes impact on customers, society and the environment; the impact on external industries has not been considered.

2 Excludes the Extending Connectivity digital initiative.

3 Reduction in emissions for oil and gas refers to reduction in CO 2 emissions.

Source: WEF and Accenture, 2017.

Inevitably, some job categories will be at risk of complete redundancy due to automation, but smart technologies will also create a new division of labor, with workers increasingly performing tasks that complement machines (Autor, 2013). Hence, rather than full automation of workplaces or occupations on a large scale – which the experience of Tesla (see Spotlight below) has shown can actually be counterproductive (Hull, 2018) – the labor market will need to adapt to changes in the workplace and employee tasks involved in certain occupations. As long as workers are able to adjust to these new demands, machines need not crowd out workers (Arntz et al., 2016). spotlight: tesla

Tesla’s engineering team worked on a project code named Alien Dreadnought (a sci-fi reference) to heavily automate their Fremont factory, which Musk said in 2016 would result in ‘really, really crazy’ efficiency, describing the plant as ‘the machine that makes the machine.’ By April 2018, struggling to hit production targets, Musk conceded that ‘excessive automation at Tesla was a mistake. To be precise, my mistake. Humans are underrated’ (Hull, 2016). Tesla subsequently added more human labor back into the mix, extending traditional jobs with additional responsibilities. So, for instance, an equipment maintenance supervisor must now also possess robotics and controls engineering skills. Similarly, equipment maintenance technicians must also be able to use a variety of analytics, such as thermography and vibration analysis, to proactively determine when certain maintenance procedures should be performed on machinery before a breakdown occurs (Wilson and Daugherty, 2018).

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations societal breakthrough: the forces of integration.

Governments and business need to work together to help people adjust to these new technologies through retraining and career changes. A culture of adaptability and lifelong learning will be crucial for spreading the benefits of AI and robotics widely through society, particularly with an ageing population where we need people to be able to work for longer. Improved STEM skills (science, technology, engineering and mathematics) will be important in allowing people to take the high technology jobs that will arise out of AI and robotics, but soft skills will also be important in making people adaptable and employable throughout their working lives (PricewaterhouseCoopers, 2018). spotlight: ibm & adidas IBM has started to embrace ‘new-collar workers’. These are individuals with job profiles linking professional and trade work, combining technical skills with a higher educational background. IBM CEO Virginia Rometty says these entirely new jobs will be relevant in fields such as artificial intelligence and cybersecurity. To source this new level of jobs, IBM is partnering with vocational schools to shape curricula and build a pipeline of future new-collar workers (Bughin, 2018). Similarly, Adidas has developed an advanced robotic manufacturing plant called Speedfactory in Ansbach, Brodswinden, and worked with Germ Oechsler Motion to recruit, train and certify planners, engineers, stitchers and technicians in areas like data analytics and AI-based robotic machinery (Oechsler, 2018).

To the extent that new technologies boost productivity, income and wealth, they should also boost tax revenues. There is therefore a growing case for governments to strengthen social safety nets for those less able to adapt to new automation technologies. This could be done by extending existing social security benefits, but also through more innovative solutions, such as providing a universal basic income (UBI). The UBI is a policy proposal which is gaining traction around the world, with trials in Brazil, Canada, China, India, Finland, the Netherlands and the United States (already 48% of Americans support it), and with high-profile advocates like U.S. politician Bernie Sanders, Facebook CEO Mark Zuckerberg, and Tesla CEO Elon Musk, who tweeted that UBI ‘will be necessary over time if AI takes over most human jobs’ (Keegan, 2018; Nova, 2018; PwC, 2018). shared

Shared solutions refer to innovation in the access economy (Eckhardt and Bardhi, 2015), also sometimes referred to as the sharing economy (Botsman and Rogers, 2010), which is about equity, inclusive design and sharing platforms. In other words, shared solutions address issues of inequality and access by being transparent about the distribution of value in society and working to ensure that benefits are fairly shared, and diversity is respected. PwC (2015) estimates the access economy may be worth $335 billion by 2025.

There are three trends in the application of sharing to the labor market. The first is creating more inclusive workplaces, which value diversity that fairly represents gender, ethnicity, age and abilities. In a global survey, PwC (2017) found that 87% of employees believe that diversity and inclusion (D&I) is a stated value or priority area for their organization. Despite this commitment, there is a long way to go, with 42% still seeing the issue of diversity (i.e., being part of an under-represented group) as a barrier to their progress. In organizations where diversity is not seen as a barrier, progressive practices include having a C-suite executive responsible for D&I, training leaders and employees on D&I, and incorporating D&I into their supply chain strategy, recruitment and retention goals, and customer feedback surveys.

spotlight: id@work

ID@Work (Intellectual Disability at Work) is a project of Antwerp Management School (AMS) and HEC Liège, which focuses on integrating people with developmental disabilities into research activities. This is consistent with the purpose-driven mission of AMS (2018), which includes a commitment to societal consciousness leading to sustainability. During the project, the researchers with developmental disabilities were a full part of the research team: they produced surveys, did interviews and helped with recording research results. According to Kregel (1999), integrating people with developmental disabilities in a company delivers positive impacts on productivity and employee morale. As employees, they tend to be reliable, cooperative, loyal and respectful – and on some tasks, even exceed the performance of their otherwise more able workplace peers.

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations societal breakthrough: the forces of integration.

The second trend is creating more inclusive organizational forms, ranging from cross-functional team-based work (Bughin, 2018) and employees as social innovators (Mirvis and Googins, 2018) to employee stock ownership plans (Kurland, 2018). For instance, Google’s team culture is reinforced by the company working hard on creating psychological safety – the ability to take risks without feeling insecure or embarrassed – which results in higher team performance. It also has its G2G (Googler-to-Googler) network of more than 6,000 Google employees who volunteer time to help their peers improve and learn (Vozza, 2018). In addition, Google allows employees to spend up to 20% of their working hours on developing their own innovative ideas, thus adding to their sense of empowerment and meaning at work. spotlight: zappos Zappos, the Las Vegas-based online shoe and apparel retailer, has been experimenting since 2013 with an innovative organizational management approach called holacracy 1 , under the entrepreneurial leadership of CEO Tony Hsieh. The idea of holacracy is to replace hierarchy with self-organizing, self-managed teams that are guided by the organization’s purpose rather than executive direction. Employees take on multiple roles, participating in teams that are organized around a purpose statement. The intention is to make Zappos more adaptable, innovative and resilient, with employees who are empowered to combine what they are good at, what they are passionate about and what adds value to the business (Bughin, 2018). But it is a disruptive model that is not easy to implement, and not always comfortable for employees who are used to structure and clear lines of power and decision making. During the transition at Zappos, 260 employees (18% of the company) opted to leave. Those who stayed, like the former HR director (formal titles are one of the first things to go in a holacracy), find themselves working in a highly dynamic environment. The former HR director is now part of 15 ‘circles’ and has more than 30 roles (Feloni, 2016). The jury is still out on whether holacracy is a workable model, with some critics arguing that it has already failed (Mont, 2018), but it continues to inspire new thinking and practice.

The third trend is the growth in shared models of production and consumption, which are referred to under various umbrella terms, such as the access, collaborative, crowd, freelance, gig, on-demand, peer, platform and sharing economy (Rinne, 2017). We see a proliferation of these new business models in hospitality and dining (e.g., Airbnb, CouchSurfing), automotive and transportation (e.g., Lyft, Uber), retail and consumer goods (e.g., Neighborgoods, Tradesy), media and entertainment (e.g., Spotify, Wix) and services (e.g., Amazon Flex, TaskRabbit). A global survey by PwC (2015) found that 72% of people expected to become a consumer in the sharing economy in the next two years and see major benefits, ranging from making life more affordable (86% agree), convenient and efficient (83%), good for community building (78%) and eco-friendly (76%). This has profound implications for how people will be working in future, with early indications that the sharing economy is widely distributed across age and household income categories.

spotlight: uber

No company illustrates the potential – and the perils – of the access economy better than the ride-sharing service company Uber. Founded in 2009 and without owning any cars itself, by 2017 Uber was employing 16,000 people, supporting over 3 million self-employed drivers, and serving 75 million riders who took 4 billion trips in 65 countries and 600+ cities. In the U.S. alone, the net economic value-add to drivers in 2017 was $5.7 billion annually, with 23% of drivers nationwide having been unemployed prior to driving with Uber (EDR Group, 2017). On the other hand, Uber has been severely criticized for underpaying its drivers and providing no social security (with many below minimum wage levels), sexual harassment, unfair pricing, poor safety, market aggression, covering up a cyber attack and numerous other scandals, all of which led to the demise of founder CEO Travis Kalanick, the loss of Uber’s London license, and most recently the capping of the number of Uber drivers allowed in New York City (Taylor, 2017; Bellafante, 2018). The takeaway lesson is that just because work or assets are shared does not necessarily mean that it is more inclusive or fair. The potential for innovation and empowerment is significant, but so is the scope for abuse.

1 https://www.holacracy.org/ contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations societal breakthrough: the forces of integration.

It is clear that the supportive government policy is key to making sharing and inclusive approaches to the labor market work effectively, ranging from enabling legislation for employee share ownership, social enterprises (Kurland, 2018) and schemes such as universal basic income (Anzilotti, 2018) to support for workers in transition and enabling cross-sector mobility (Bughin, 2018). In Germany, for example, a shift in public employment policy from passive (unemployment compensation) to active (employment agencies becoming job centers that manage and facilitate retraining of the unemployed) has helped to bring down unemployment from 12% in 2005 to 5% in 2017. The Australian Industry and Skills Committee, on the other hand, aims to improve cross-sector worker mobility through recognition of qualifications between occupations. And in New York, the recent regulation of ride-sharing services like Uber (by setting minimum pay rates to ensure drivers can make a living) may be a sign of further regulation of the sharing economy to come.

There is also a growth in alternative legal structures for businesses that prioritize social purpose and employee empowerment, such as co-operatives, benefit corporations (or B corporations), community interest companies, low-profit limited liability companies (3LCs), and social-purpose corporations (Visser, 2015). For example, there are more than 1.2 billion members of 3 million cooperatives in the world, with the top 300 cooperatives generating turnover of $2.1 trillion (International Co-operative Alliance, 2017). There are also over 2,500 Certified B Corporations in over 50 countries, including large companies such as Danone, Patagonia and Natura 2 . This social enterprise movement recently got a new lease of creative life from the idea of zebra companies (inclusive businesses, pursuing both profit and social purpose) that are fixing the social and environmental damage caused by unicorn companies (privately held start-ups valued at over $1 billion) 3 (Brandel et al., 2017).

2 sustainable

Sustainable solutions refer to innovation in the circular economy (Webster, 2017), which is about bio products (biological/organic, bio-based, biodegradable and biomimicry inspired), zero waste design and being climate positive through carbon productivity (Lakha, 2017). In other words, sustainable solutions help us to operate within the limits of the planet by radically changing resource consumption and ecosystem impacts, with a shift to renewable energy and resources, closing the loop on production and moving to a lowcarbon society. Lacy and Rutqvist (2015) estimate the circular economy opportunity to be worth $4.5 trillion by 2030.

Sustainability has a significant impact on employees and the labor market. Most directly, 1.2 billion jobs rely on the effective management and sustainability of a healthy environment, in particular jobs in farming, fishing and forestry that depend on natural processes such as air and water purification, soil renewal and fertilization, pollination, pest control, the moderation of extreme temperatures, and protection against storms, floods and strong winds. These jobs are at risk if the resources and ecosystems on which they depend are not protected and restored.

https://bcorporation.net/ https://www.zebrasunite.com/ contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations societal breakthrough: the forces of integration. spotlight: new energy By the end of 2017, the clean energy sector employed more than 10 million people for the first time (IRENA, 2018). The biggest sector is the solar photovoltaics industry, where the number of jobs grew by almost 9% to 3.4 million, two thirds of them in China. The top five countries, which also include Japan, the U.S., India and Bangladesh, have about 90% of the world’s solar PV employees. Looking ahead, according to Bloomberg NEF’s (2018) New Energy Outlook, $11.5 trillion will be invested globally in new power generation capacity between 2018 and 2050, with $8.4 trillion of that going to wind and solar and a further $1.5 trillion to other zerocarbon technologies such as hydro and nuclear. A further $548 billion will be invested in battery capacity by 2050. Bloomberg estimates that decarbonization of the global energy system is expected to grow the global economy and create up to 28 million jobs in the sector by 2050 (even higher than the current ILO estimate of 24 million jobs).

On the other hand, tackling the challenges of the UN Sustainable Development Goals (SDGs) opens up $12 trillion of market opportunities in the sectors of food and agriculture, cities, energy and materials, and health and well-being (BSDC, 2017). Hence, for example, growth areas like the circular economy, which emphasizes the reuse, recycling, remanufacture and repair of goods, will create around 6 million new employment opportunities (ILO, 2018). It is therefore highly likely that sustainability is good for the labor market in general. spotlight: unilever

CEO Paul Polman often credits Unilever’s Sustainable Living Plan (which serves as the company’s corporate strategic plan for 2020) as the reason why they get more than 1.7 million people applying to work at Unilever every year. Besides all managers receiving sustainability training and having financial incentives linked to the sustainability performance of their brands, the company focuses on making all employees sustainability champions. For example, their Small Actions, Big Difference Fund receives hundreds of ideas from employees every year. In 2015, it invested €16.5 million in 186 of the best energy and emissions reduction projects globally, which are expected to reduce global CO 2 emissions by 4.6% and energy use by 2.3% within one year. It is as a result of these and many other workplace initiatives that 76% of Unilever’s 170,000 employees feel their work enables them to contribute to sustainability, while about half of all new graduate employees cite Unilever’s ethical and sustainability policies as the primary reason for wanting to join. With almost 80% of its employees saying they feel engaged, Unilever sees sustainability as a distinct competitive advantage (Polman and Bhattacharya, 2016).

There is also widespread evidence that more sustainable companies attract and retain more top talent (Whelan and Fink, 2016). Findings include improved morale (55% better according to one study), greater loyalty (38% better), increased productivity (16% more than unsustainable companies) and reduced turnover (by 25−50%). Furthermore, pride is higher and annual quit rates are 3−3.5% lower, saving replacement costs up to 90−200% of an employee’s annual salary for each retained position. This is consistent with research that finds that 21st-century employees are focusing more on mission, purpose and work-life balance. In a survey on sustainable change in Belgium, increased employee engagement and pride was cited as one of the top motivations, effects and benefits of implementing sustainable business (AMS and ING, 2018). contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations conclusion: creating integrated value.

The counterforces described above represent an overall trend of increasing social innovation in the workplace and labor market. While this is still an emerging phenomenon, a recent report by Deloitte (2018) on human capital trends suggests 10 proxy indicators: 1. Opportunities of inclusive growth: 65% of companies surveyed now rate ‘inclusive growth’ as one of their top three goals, eclipsing strategies like ‘growing market share’ or ‘being the category leader’. 2. Humans in the loop: Since only about 6% of the jobs in the world are focused on ‘building machines’, most will need to innovate in the workplace to learn to work with machines collaboratively. 3. Values-driven companies: Customers are 40% more likely to buy from companies whose CEOs took societal positions they felt good about than from those who did not, so values are becoming a strong basis for innovation. 4. Changing workforce composition: There are around 77 million formally identified freelancers in Europe, India and the U.S. In America, more than 40% of workers are now employed in ‘alternative work arrangements’, such as contingent, part-time, or gig work. 5. More well-being programs: The corporate wellness market is around $8 billion in the U.S. alone, projected to reach $11.3 billion by 2021. Two-thirds of organizations say well-being programs are critical to their employment brand and culture. 6. Cross-functional synergies: In 2018, 91% of respondents say that their organizations’ employees spend time on projects outside their functional area, and 35% say that employees do so on a regular basis. 7. Hyper-connected workplace: 70% believe that workers will spend more time on collaboration

• platforms, 67% see growth in ‘work-based social
• media’, and 62% predict an increase in instant
• messaging.

8. 21st-century careers: In the 21st century, careers are

• no longer narrowly defined by jobs and skills but
• through experiences and learning agility. The Global
• Human Capital Trends survey found 72 % indicate that
• career paths at their company are not based on
• organizational hierarchy.

9. The growing power of people data: 69% of

• organizations are building integrated systems to
• analyze worker-related data, and 17% already have
• real-time dashboards to use the numbers in new
• ways.
• 10.Power of social entrepreneurship: About 3.2% of the
• world’s population is starting social ventures (5.75%
• in the U.S.). In social entrepreneurship, women are
• represented more strongly (45%) than in traditional
• workplaces (Global Entrepreneurship Monitor, 2016).

The kinds of innovations discussed in this paper, aligned with the five counterforces of integration, will already go a long way toward addressing the forces of systemic breakdown and creating, rather than destroying, value. However, as already noted, the global sustainability challenges we face are large, complex and urgent. The best way to increase the speed, scale and effectiveness of our response is to look for synergies between the counterforces. In this way, we can create integrated value, which goes beyond previous conceptions of value creation (Table 3).

I first conceived of 'integrated value' – and coined the term – in 2014 (Visser and Kymal, 2015), and have continued to evolve and refine the concept ever since.

table 3: the evolution of value creation value type focus chief exponent

Shareholder value

Financial return to shareholders; ‘the social responsibility of business is to increase its profits’ Friedman (1970)

Stakeholder value

Distribution of benefits to interested and affected parties; groups with a stake in the business Freeman (1984)

Four capitals

Extending capital to include financial, manufactured, human and natural capital

Ekins (1992)

Triple bottom line

Balanced social, environmental and economic performance; people, planet, profit

Elkington (1994)

Blended value

Simultaneously maximizing social and financial returns; impact investing

Emerson (2000)

Bottom of the pyramid Serving inclusive markets at the bottom of the economic pyramid, i.e. low-income markets Prahalad and Hart (2002)

Sustainable value

Combining product stewardship, pollution prevention, clean technology and inclusive strategies

Hart and Milstein (2003)

Five capitals

Extending Ekins’ four capitals model to include a fifth, social capital

Porritt (2007)

Shared value

Finding business opportunities in social problems, through products, value chains and industry clusters

Porter and Kramer (2011)

Integrated value

Creating innovation synergies through solutions that are secure, smart, shared, sustainable Visser (2017a) and satisfying contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations conclusion: creating integrated value.

It builds on the expanded concepts of value summarized in Table 3, and shares some of their aspirations, especially the need to adopt a multi-capital perspective and to find new ways of measuring value. This includes exciting new methodologies that are emerging, such as KPMG’s True Value, PwC’s Total Impact Measurement & Management, B-Lab’s B Impact Assessment, and Puma’s Environmental Profit & Loss (KPMG, 2014).

However, integrated value goes beyond looking at new ways of measuring value. Integrated value is much more focused on how value is being created from innovative solutions that are secure, smart, shared, sustainable and satisfying. Integrated value highlights the importance of synergy (Visser, 2017b), a key systems thinking concept (Ackoff, 1999). Smuts (1926) even claimed that such creativity, which emerges from overlapping fields of distinct wholes (or sub-systems), is one of the driving forces in biological and human evolution.

To illustrate this synergistic approach, WeWork (a company that provides shared work spaces all over the world) has introduced a satisfying+sustainable policy to cut its environmental footprint and improve the health of its workers by removing meat from its menus for kiosks and events, and by no longer reimbursing employees for meat eaten on business trips (Peters, 2018a). Ford meanwhile is increasing truck driver safety with their satisfying+smart SafeCap, which uses embedded sensors and a gyroscope to detect and warn truckers if they are showing signs of fatigue or distraction (Beer, 2017).

There are many more examples of integrated value. Such as the 18-year-old entrepreneur Aaron Westbrook, who founded Form5. He has brought a satisfying +shared+sustainable solution to workplace inclusion by using open-sourced artificial limb designs to 3-D print affordable prosthetics from recycled plastics (Paynter, 2017). Or consider Papa, which is a satisfying+shared +smart app that supports the caring economy by letting the elderly book time with college students to help with errands – or just to keep them company (Peters, 2018b).

The final ingredient for creating sustainable transformation at work is purposeful leadership. Research I have conducted with Cambridge University’s Institute for Sustainability Leadership shows that there are many distinctive characteristics of leaders who are driving positive change in society (Visser and Courtice,

2011). These are leaders who apply systemic, disruptive, inclusive, sustainable and ethical approaches to respond meaningfully to society’s challenges – leaders like Paul Polman, with his ambitious Sustainable Living Plan for Unilever (Walt, 2017), and Hamdi Ulukaya, who has made his company Chobani a champion for the empowerment of refugees (Brunner, 2017).

One of the main tasks of purposeful leaders is to convince people that a sustainable future is indeed a better future, which, until now, we have failed to do. If sustainability is going to succeed, it must be less about sacrifices and more about opportunities; less about constraints and more about abundance. For those of us working for sustainable transformation, therefore, we are challenged to become better storytellers, to cultivate the skill of what Melissen and Moratis (2017) call narrative intelligence in sustainability.

And the new sustainability myth – the meta-narrative that we must weave – can only work if we use the power of our convictions to lead purposefully; if we use inspiring innovations to show what is possible; and if we show how different success can look when we focus on the synergies of creating integrated value. In the process, we will create what I call a values dividend, which is a set of benefits for society, nature and the economy that accrue when our actions are guided by synergetic values.

Synergetic values are values that emphasize collective contribution rather than individual gain; that favor cooperation for the public good over competition for private benefit; where the goal is reciprocity, mutuality and protection, not exploitation, exclusion and extraction. We can think of synergetic values like fairness, compassion and respect, for example, that might manifest as the pursuit of social justice, economic inclusion and environmental sustainability.

By placing these values at the heart of our workplaces and labor markets, we will pass the true test of sustainable transformation, which is that our living systems – our families, communities and societies; our organizations, cities and ecosystems – will not only survive, but thrive long into the future.

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World Bank. (2017). World Development Report 2016: Digital Dividends. Washington, D.C. contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations part II: labor market scan: highlight of a social innovation program.

38 talent assessment tool for sustainable employability contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations talent assessment tool for sustainable employability.

The labor market is changing at a rapid pace, due to several major developments. Demographic changes, technological developments, globalization, and urbanization all play a role, as well as sustainability issues. As a result, we all feel that our industrial and societal context is changing. These developments have consequences for the society in which we live, work, learn, care and relax, and therefore also affect the labor market and our economies, both at a national and international level. The national context is increasingly linked with the international context, technological developments know no boundaries, and human mobility is becoming the norm. In addition, globalization has made the Anglo-Saxon model increasingly popular within organizations.

These very large and sometimes elusive macro developments also have an effect at meso and micro levels, as they affect the way we structure our society and organizations. The current system is clearly failing, and we need to look for dignified and inclusive mesoand micro-level responses to these macro-level developments. The UN’s Sustainable Development Goals (SDGs) offer great guidelines to help us organize the future of our society (and within it the future of our economy and the labor market) in a sustainable, inclusive and dignified way. total redesign Within the triangle of individuals, organizations and institutions, there is an increasing call for answers to global developments. The general tendency is to stop new developments by regulating them back into old social security models. There is something to be said for that, as no one wants to throw away the baby with the bathwater. However, if we think we can stop or downplay developments, we run the risk that, as a country, organization or individual, we start falling behind. What is actually needed is a total redesign.

Not so long ago, there was a strong belief that the world – and therefore also our society, economy and labor market – would always stay the same. Many of us contributed to that world view. As a result, organizations in effect promised employees who started work at the age of 15 that they could stay there until they were 65. Innovations were limited to introducing part-time work and work-life balance solutions. In fact, employees still highly appreciate long-term employment relationships and a good working atmosphere; these are seen as important employment practices. We also see this in our global REBR studies. However, times have changed, and organizations can no longer promise lifelong employment with one employer. As a result of the major developments described above, organizations find themselves in a highly volatile global market. This requires agile working practices and makes it necessary to quickly adapt to change, over and over again. And this includes the way people are employed. Of course, this does not mean that organizations want to be bad employers. On the contrary, they are looking for new employment relationships that provide security without being for eternity, while allowing organizations to remain competitive and agile. At the same time, in this new context, institutions will be responsible for making sure that employers take into account the interests of all stakeholders, working on the basis of more sustainable business models.

• the rise of flexible
• employment relationships

The agility required by organizations (at macro level) has consequences for the individual at micro level. Work and income are becoming flexible, although the rest of an individual’s context is more or less ‘fixed’. Over the past fifty or sixty years, organizations have responded to growing volatility by increasingly setting up flexible employment relationships. They built a ‘flexible shell’, offering both permanent and flexible contracts. In fact, the Netherlands is world champion in part-time work and flexible employment contracts.

This growth in flexible employment relationships has had clear benefits, such as a shock-resistant economy and opportunities for all parties in the triangle: employees, organizations and institutions. It was clearly and transparently ordered and well-regulated. However, the downside of this development is that the benefits are now mainly for the employer, while employees are faced with increasing insecurity.

We now see that the proportion of the labor force working on the basis of flexible employment contracts is becoming too high. This means it is time to consider how we can develop the labor market more sustainably.

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations talent assessment tool for sustainable employability.

In the past, flexible work often proved to be a stepping stone to a permanent job. And thanks to flexible contracts, many unemployed or difficult-to-employ people found their way back to the labor market. temp-to-perm conversion rates country conversion rate

Australia 1

20%

Brazil

12%

Germany 2

28%

Italy 3

17%

Netherlands

47%

Norway

25%

Spain

31%

Switzerland

50%

United States

35%

1 Staffing Industry Analysis (2017), Australia/New Zealand Staffing Company Survey 2016: Temp-to-hire conversion rates, fees and policies, Staffing Industry Analysts. 2 Staffing Company Survey (2016), Temp-to-hire conversion rates, fees and policies, Staffing Analysts. 3 Eichhorst W., Tobsch V. (2013), Has atypical work become typical in Germany? IZA, Discussion Paper No. 7609.

In the future, however, there may no longer be a permanent job for the vast majority of the workforce. Today’s labor market has a polarizing effect on the form of our employment contracts and on income security for individuals. The situation that has arisen therefore requires the design of a new social protection scheme, allowing all stakeholders to be fit for the future while at the same time empowering them to take on this responsibility. An important pillar of this design will be the ability of individuals to shape and navigate their own careers, while being less dependent on an employer and without losing out on social security. a new model In a world in which agile organizations need to organize their workforce in a flexible way, it is high time that we design a sustainable and inclusive labor market for employees that is flexible, yet not insecure. Designing such a new model will be the joint responsibility of all stakeholders: individuals (represented by trade unions and through employee participation), organizations (including shareholders), and institutions (at both central and decentralized level). In addition, the main focus of players in the employment industry should no longer be just on fulfilling clients’ needs; they will also need to become true ‘career partners’ for candidates.

In designing a new reciprocity model, employers and employees should be aware that the best social protection is provided by sufficient work, income, learning and personal development. For individuals, it is of vital importance that they know if and how they can secure their own prosperity and well-being.

preparing for the unknown

• We live longer and healthier lives. But how can we
• prepare for the unknown in a world that is changing
• beyond recognition? In her book The 100-Year Life,
• Lynda Gratton points out that, as individuals, we will
• need to answer four important questions:

1. How long and to what extent will I be productive

• doing what?

2. Am I working on maintaining my vitality?
3. Have I developed a sustainable professional network?
4. Have I organized my ability to change, including my

• savings, etc.?

We are entering a period of renewed emancipation for employees. In this new age, security and social security should no longer be linked to an individual’s type of employment contract. A new social protection model should support individuals in navigating the labor market throughout their working lives, irrespective of the nature and duration of their contract.

In addition, employees should be offered tools that will help them to work on their own employability, both when they are in work and when they are in between jobs or looking for new challenges. These tools should be available for all and at every level. Technology and smart data will make it possible to provide individuals with personal and tailored advice. In this system, each individual will have the right to learn and develop their talent, competences and capabilities. Through regular career and talent assessment, individuals will gain insight into their value for the labor market.

Currently, the average employee does not proactively keep their knowledge and competences up to date, and they do not know if their skills are still in line with what the labor market is looking for. Indeed, outplacement contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations talent assessment tool for sustainable employability. and reintegration programs are increasingly faced with such cases. The longer people are on welfare, the more disconnected they become from the labor market, inhibiting their return. In this context, everyone is looking for their added value on the labor market. And this includes people returning to work after a long absence and those who have become unemployed after a long, one-sided career.

There are several reasons for this relative naivety. As we live in a welfare state, we are used to there being a safety net for everything. Although most of us acknowledge that lifetime employment is under pressure, we still feel this does not apply to ourselves. As a result, when our jobs are on the line, we believe that the government and our employer are responsible for helping us out. Employment legislation is entirely geared towards longterm employment relationships, putting huge responsibilities on the employer. And our social security system is completely based on the ‘sustainability principle’, which requires jobs to be sustainable. In other words, people need permanent contracts or, at least, temporary contracts for no less than a year. Trade unions have called for ‘real jobs’ and ‘suitable work’. Of course, everyone is in favor of real, decent work. But we need to move away from the idea that only permanent contracts lead to real and decent jobs. Thousands of people are making a substantial and relevant contribution to our economy on the basis of different types of contract. Most employers want to be good employers. But being a good employer is not defined by offering permanent contracts only. Employers and organizations organize their adaptability in a global context on a local level. They way they organize jobs is part of the equation. It goes without saying that we need to redefine ‘real work’, bearing in mind decent employment relationships, preventing discrimination and, above all, safeguarding everyone’s right to work. In addition, we need to realize that, due to demographic changes and the rising statutory retirement age, on average, we will work longer than ever before. Whereas in 1976 employees on average retired at the age of 64.6, by 2016, this had gone up to 65.7 (source: Center for Retirement Research at Boston College). Despite this fact, employers still tend to avoid hiring people over 45.

Obviously, a shift in mindset is called for. However, this will not be helped by introducing regulations that favor an already outdated model. A more preferable option would be to join forces and work towards a system that will be acceptable to all parties in the triangle: individuals, organizations and institutions. What we need is a system in which organizations can offer decent employment relationships and career planning options; a system in which institutions can help shape the change; and a system in which individuals can feel confident about their work and income. Crucially, in our society and economy, individuals will need to be ‘certain’ of a place in the labor market and, in the event of involuntary unemployment, they should be certain of having an income. This ‘new security’ is not based on the principle that the state and your employer provide for you, but on a healthy relationship between all three players. The new system should make it possible for anyone to take care of themselves, but if they are having trouble, they will be helped. This includes solidarity with certain groups in our society, especially those who are now often unable to take part in the labor market, our ‘untapped potential’. In the new system, everyone counts, and everyone should be given a chance to use their talents, competences and capabilities.

A regular career assessment, as we mentioned above, will also be part of this system. It will help individuals to invest in their labor market value. If we can set this up for each individual, with real ownership at an individual level, we will have a more mature way of promoting personal development and linking this to continuously changing demands in the labor market. Old jobs are disappearing and new jobs are emerging. Fifteen years ago, no one had heard of jobs such as Big Data Analyst, 3D engineer, robotics engineer, social media advisor, and so on. Futurist Thomas Frey even believes that 60% of the best jobs in the next ten years have not yet been invented. So how do we prepare for jobs that do not yet exist and that will require completely new skill sets? That is why it will be essential for individuals to regularly assess their qualities and competencies and find out which new ones they will need to develop to remain employable. That does not always have to be in the form of formal learning. Working in another department may already be very effective, or taking a trip to another organization, or a training course. What matters most is that the insights gained through a regular career assessment provide the individual with a sense of control and empowerment. In the modern reciprocal employment relationship, these insights can then be converted into agreements about training, internships, new roles, etc. The individual is in control. It is all about self-awareness, control, and empowerment. This contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations talent assessment tool for sustainable employability. requires a new way of thinking on the part of governments, institutions, and society as a whole. We need to be prepared to think about innovative regulations and redefine the notion of ‘decent work’, which should not automatically mean a permanent contract, but also, for example, support in shaping or changing an individual’s career. Life-long learning and development should take center stage, rather than formal education and training. After all, most people acquire their skills ‘on the job’. career assessment tool It is time to realize we are moving away from lifelong employment with a single employer to a lifetime of experiences gained through diverse work assignments at different employers throughout a career.

In this new reality, we will see a shift to a social security system that requires individuals to take care of themselves as far as possible. Researcher Jessie Koen recently researched the phenomenon of such proactive career behavior. She found that most people quickly learn to take on a more proactive attitude when it comes to their own career. However, to enable individuals to work on their sustainable employability and create their own career, they will need an effective tool, combined with smart data.

Randstad’s labor market scan is just such a tool. It provides a snapshot of an individual’s skills, competences, and capabilities at a certain moment in time. It allows them to repeatedly review which skills and competences they already possess, as well as the areas they will need to develop further in order to remain employable. They can then act on this by gaining relevant experience through training or a new assignment. The tool can help them through all stages of their career path. contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations part III: social innovation programs.

• 44 employability & skills
• 52 youth employment
• 62 diversity and inclusion
• 78 mobility and migration contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations employability & skills.

Employability is about remaining attractive for the labor market, doing work that matters – for yourself, your employer and society. People who are sustainably employable do work that suits them, feel connected with it, and find it easy to work together and network. They have no trouble with changes in their work and in the labor market, and they adapt easily. They can also make a successful switch to another job, either within their own organization or, if necessary, outside their own organization.

The current economic and political tendency is to raise the retirement age, which means people will have to work longer. A policy of keeping people at work longer can only be successful if their employability is maintained in a sustainable way throughout their career. We are seeing a clear shift from lifetime employment towards lifetime employability.

A big influencer for employability in the future will be the ability to learn new and different skills. Technology is already devouring manufacturing jobs in the West and, increasingly, in Asia. And machine learning is beginning to threaten traditional middle-class and professional jobs. Randstad is helping people to adapt to such emerging labor market challenges and needs. routine, repeatable jobs are disappearing Research carried out for Randstad by the University of Leuven, Belgium, underlines these changes. Our Flexibility@work 2016 report 'Future of Work in a Digital Age' concluded that work in OECD countries is increasingly becoming either low-tech and low-paying, or high-tech and high-paying. This highlights another trend: polarization. Under pressure from robotization, automation, and outsourcing, semi-skilled and skilled medium-paid jobs, such as those of machine operators and assemblers, are disappearing. And it is not just midmarket blue-collar jobs that are being squeezed; so too are 'safe' white-collar jobs in finance, legal and other professions.

The key differentiator is increasingly not whether a job is manual or professional, but whether it is routine and repeatable, i.e., machine-learnable. The upshot is that future employability will increasingly rest on having one of two skill sets. On the one hand, there will always be demand for STEM skills (science, technology, engineering and mathematics), as well as the 10 most important soft skills identified by the World Economic Forum (i.e., complex problem-solving, critical thinking, creativity, people management, teamwork, emotional intelligence, judgement and decision-making, service orientation, negotiation, and cognitive flexibility). On the other hand, we will see more lower-skilled jobs requiring non-routine service skills that cannot be automated. In fact, the number of jobs requiring these skill sets are growing rapidly because of a multiplier effect: one higher-skilled job, in either manufacturing tech or services, typically creates between 2.5 and 4.4 lower-skilled service jobs. The most obvious jobs of this type are in areas such as takeaway meals, cleaning, hairdressing and health clubs. But health care and many other professional personal services also fall into this category, because they too cannot be automated.

new technologies will boost employment yet change its nature too

The growth in automation is set to have a positive net effect on the number of jobs available, as shown by the latest edition of Randstad’s Flexibility@Work report. The introduction of new technology will increase total employment numbers by around 0.5% annually, allaying popular fears that automation will replace workers.

However, nearly half of the types of jobs available will change, with traditional employment structures being supplemented by more flexible and adaptable models, with more diversity in compensation and working time arrangements as well as in types of contracts. This will help people who cannot fit into traditional working patterns to enter the workforce and provide them with decent and sustainable work.

The changing nature of jobs will ultimately lead to the emergence of three new work types: ‘frontier work’, ‘wealth work’ and ‘last-mile work’. Frontier work concerns jobs in new technological fields, wealth work concerns jobs created thanks to increased productivity, and last-mile work concerns jobs that cannot yet be automated. Shifts in knowledge, education and training contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations employability & skills. mean that the most suitably skilled employees are often not found where jobs are located. Studies estimate that by 2020 there may be a global shortage of 38−40 million highly skilled workers. The lack of relevant skills is already creating problems even at entry-level positions. In a recent study, 40% of employers noted lack of skills as the main reason for entry-level vacancies, and 60% stated that new graduates were not adequately prepared for current work. This has spurred a ‘war for talent’, in which businesses are competing to attract highly skilled workers through a combination of benefits, engaging work, career support and innovation.

The OECD estimates that 65% of the children currently at nursery school will end up doing a job that does not yet exist. These new jobs will require new and different skills. While the rising demand for hard STEM skills and basic digital skills is well known, there is also ample evidence of a rise in the demand for soft social skills. Crucially, we will need to prepare our educational systems for these 21st-century jobs. In addition, we will need to create seamless public-private partnerships – connecting the world of work with that of education – enabling lifelong learning opportunities to support workers in their careers and to help them transition securely to new jobs.

Educational systems are partially responsible for the lack of capable and skilled workers. Many countries have educational systems that are poorly equipped to adapt to the changing world of work, whether due to inaction in policy-making, a lack of funding, a lack of coordination with the private sector, or other factors. This resonates strongly with businesses, with 78% of executives indicating that updating the school and educational curriculum to match the economy’s need would provide them with the skilled employees they need. Businesses themselves are interested in playing an active role in skills development. 72% of businesses would welcome change to make it easier for them to play a more active role in developing skills by influencing educational systems. Businesses in North America (39%) and Europe (36%) feel especially strongly about helping to shape the educational system. In addition, lifelong learning and development programs are key to building and maintaining a functional talent pool. Efforts to increase the skills of current and potential employees have been part of business plans for years, but are likely to need revisiting in terms of scale and consistency for workers at all skill levels. 70% recognize the positive effect of providing training and development to support lifelong learning and career transitioning.

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations employability & skills. social programs on employability & skills at randstad country title program description

Argentina

'Start your Toyota began a global campaign called 'Start your impossible'. Randstad impossible' by Toyota Argentina's project supports this campaign. Toyota placed 100 random young adult high-school drop-outs (18−24) in 5 vocational training centers in different locations near Toyota (20 people in each) to give them the chance to start their impossible and finish secondary school in a 14-month period. Two months of this process are meant to be spent as an internship at different companies. These kids receive a pension (= min. wage) to make sure they only concentrate on their studies and attend school from 8 to 5 on working days.

Argentina

Barrio 31

Randstad Argentina is currently running a program in the shantytown of Barrio 31 , located in the center of Buenos Aires. Randstad has been interviewing potential candidates from this neighborhood since late July 2018, getting to know them and also providing tips and training to help them find a job. The candidates were selected on the grounds of having previously undergone three training modules with the City Government's Public Employment Service. So far, considerable talent has been found among the 142 candidates, and a match was found for 34 positions. Randstad Argentina will continue this project in 2020, as it has proven to be a great success case for social inclusion.

Australia

Shaping Young Futures

Randstad was approached by The Smith Family to help support their Cadetship to Career program. The program supports disadvantaged youth to gain work experience in large corporate companies. The students of The Smith Family have to apply for the role and interview. Randstad created a résumé writing and interview technique workshop that supports the program delivered by our recruitment consultants .

Belgium enVie

Randstad Group is a founding partner (with three other Belgian companies) of the social Belgian startup ‘enVie’. This startup has two main objectives: (1) to find a solution for food waste and (2) to promote the socioprofessional reintegration of people with limited access to the labor market. The workers are employed on a fixed-term contract for one year, including training (both practical for machinery and theoretical on résumé writing, personal presentation, etc.). They produce delicious soups using vegetables that are refused by stores because of their shape or excessive volumes. Randstad Group plays a crucial role in the selection and coaching of these workers.

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations employability & skills. country title program description

Belgium

Learn4Job

Randstad Belgium and Tempo-Team Belgium have developed a policy for training programs offered to employees and flex workers. Besides the standard internal training program, we select high-quality programs given by external providers to help our workers become quickly efficient at work (e.g., sales skills, security and transport training). Since the end of 2017, Belgium’s Randstad Academy has been training motivated candidates for specific vacancies that are difficult to fill. With this win-win proposition, candidates can develop relevant skills and clients can fill the gaps in their teams. In addition, our Learn4Job program offers job-seekers an opportunity to take part in a training program to acquire specific skills needed for one of our job offers (e.g., a heavy goods vehicle license). Sometimes, we observe a gap between supply and demand. For example, Tempo-Team Belgium had trouble finding aircraft refueling specialists. This job is highly specialized, requiring very specific skills for which no training was available. Tempo-Team Belgium therefore set up a training program for this job in association with clients and Belgian social institutions. Now, for the past four years, in association with our partner Liège Airport, we have been giving job-seekers an opportunity to undergo special training to become an aircraft refueling specialist. Candidates who complete the course receive a diploma and are subsequently employed by the airport.

Canada

ChallengeU

In 2018, Randstad Canada began a pilot project with an organization called ChallengeU. In collaboration with the government of Quebec’s secondary school boards, ChallengeU offers a full range of services aimed at increasing the success rates of individuals working to attain their high school equivalency. Randstad has partnered with ChallengeU to offer students the added incentive of a direct connection to Randstad recruiters who are willing and able to help them find employment once they have met the requirements of having a high school diploma. While in its early days, the program has already proven to be an excellent leads generator, as well as a motivator for students to successfully complete their exams.

Canada

Randstad Canada Charitable Foundation

Randstad Foundation is a non-profit organization. Our mission is to make work meaningful and accessible to people in our communities. We do this by focusing on three strategic outcome areas: workforce integration (enhancing access to the Canadian job market for marginalized and immigrant populations), skill building (helping people reach their full potential) and early education (exciting youth about the opportunities in the future world of work, particularly STEM). The efforts of the Foundation are supported mostly through employee-led fundraising initiatives, the majority of which is collected through the Annual Randstad Charity Auction. There is also a Direct Contribution Fund (established in 2019) from Randstad Canada.

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations employability & skills. country title program description

Chile

Hogar de Cristo

Randstad Chile has an agreement with Fundación Emplea, of the Hogar de Cristo, whose mission is to support the employability of adults who find themselves in a situation of poverty and social exclusion. In this context, Randstad Chile gets access to candidates for administrative, sales, technical and operative jobs, using this institution as another source of recruitment, which allows us to support people who urgently need a stable source of income.

Germany

Learning on the Job

Randstad Germany offers an array of initiatives to help people find the right job. For example, the Learning on the Job program includes a qualification program, offering candidates new perspectives for career advancement and longer-term employment. Since its start in 2006, more than 9,000 people have received a reference certificate. At the end of 2018, more than 400 had passed their exams and received a certificate.

Italy

GOAL (Gruppi di Orientamento al Lavoro) - career and vocational guidance courses

Randstad Italy creates employability skills through courses for 20 people per session. The trainers are external consultants with expertise in the world of work, psychology and HR.

Italy

Dote Unica Lombardia

Dote Unica Lavoro di Regione Lombardia is a regional program in Lombardy designed to encourage the integration and reintegration into the world of work of people who live in Lombardy. It involves different kinds of people: young unemployed people (younger than 30), unemployed workers, and employees of companies in economic difficulties. The program offers different kinds of support to these people, depending on their specific needs. Only bodies accredited to the Lombardy region, which includes Randstad, are allowed to provide services (e.g., training, certification of competences, skills assesment, etc.). In 2018, Randstad Italy found jobs for 1,517 people out of 2,891 participants (a success rate of 52%).

Luxembourg

Public Private Partnership

Randstad Luxembourg continues its cooperation with the local ‘Agence pour le développement de l’emploi’ in order to help the government to reduce the number of job seekers. This program allows us to have direct contact with job seekers and to get to know their profiles. We also play an active role in the training funds for our business federation through our presence on the board of the 'FSI’ (Fonds de Formation du Secteur Intérimaire).

Netherlands

Stichting Lezen & Schrijven

Randstad Netherlands works together with a foundation dedicated to reducing illiteracy and improving people's reading and writing skills. Candidates working at a client company of Randstad Netherlands can follow training programs that help them to improve their literacy skills. This will give them a better chance on the labor market.

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations employability & skills. country title program description

Netherlands

Enactus

Enactus is an international collaboration between students, higher education and business in 36 countries. A total of approximately 500 students become members of Enactus every year. In the Netherlands, Randstad Groep Nederland is one of the premium partners. The aim of this partnership is to enable students to develop into enterprising and responsible leaders. Together, they take action to improve the standard of living of people who need it and to create a more sustainable world. As a partner, we use our expertise to help various Enactus student teams set up workshops and training courses. With these projects, students develop the talents and leadership skills they need for their future careers. The National Competition has been taking place since 2008 at the head office of Randstad, and Chris Heutink (CEO of Randstad Groep Nederland) is responsible for the day-to-day management of Enactus. In addition, eight members of the Executive Board of Randstad Groep Nederland are involved as mentors in Enactus.

Netherlands

Erkenning Verworven Randstad Netherlands helps candidates obain an Accreditation of Prior Learning Competenties certificate, which states their skills and qualifications.

Netherlands

Baanbrekend

Baanbrekend is a public-private partnership, co-created by Randstad Netherlands, Tempo-Team Netherlands, and Dutch municipalities. Integrated teams make a joint effort to match candidates with employers. Each party contributes its core competencies: the municipality provides extra support to better equip candidates for work, while Randstad and Tempo-Team take care of marketing and jobs. The primary purpose of Baanbrekend is to help social security recipients find a job. (In the Netherlands, social security payments are the responsibility of municipalities).

Netherlands

Activeerkracht

Tempo-Team Netherlands 'Activeerkracht' program is a local partnership with several municipalities (e.g., The Hague). It focuses on reducing the number of unemployed job seekers and helping them to find work.

Portugal

In 2017, Randstad Portugal started an experimental path with a new approach to sustainability initiatives: social innovation and social economy. With regard to social innovation, an official government agency invited Randstad Portugal to be its partner in a new project sponsored by the European Union. With regard to social economy, a project has been developed that involves reintegrating people who have essentially been excluded from the job market. They work at the premises of Randstad Portugal as part of a specific project (archiving and digitalizing documents), through which we have been training, requalifying and preparing them for full professional autonomy. The project has had fourteen full-time workers until now, and because it has proven such a huge success, we are now developing it to the next stage: most of these workers have now been placed with clients of Randstad either permanently or as temp workers; a very small number are still with us, wrapping up their project and getting ready for their next placement.

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations employability & skills. country title program description

United States Hire Hope

• The Randstad US Hire Hope program provides 22 weeks of career-readiness
• training, paid apprenticeship and job placement services to women in the
• community who are survivors of homelessness, exploitation and human trafficking.
• Currently based in Atlanta, Georgia, Hire Hope is executed by leveraging
• community-based partners and through the dedication of Randstad’s own
• employee volunteers. Since its inception in 2014, more than 100 women graduate
• from Hire Hope each year. In 2018, Hire Hope received the American Staffing
• Association Care Award, along with two other awards. The Chief Diversity &
• Inclusion Officer is the executive sponsor of the program and ensures continuous
• evolution by engaging various client corporate partners to help graduates thrive
• upon graduation.

Switzerland

As a leading recruitment agency in Switzerland, we want to share our knowledge. Therefore we make a 'Tour de Suisse' with an attractive stand where CV/Social Media Checks are made, and visitors can get styled and get a make-up fresh-up for a professional CV photo.

You at Work contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations employability & skills. contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations youth employment. reducing youth unemployment One of the problems to emerge from the 2008 financial crisis has been stubbornly high youth unemployment. There are several reasons for this. When recession hits, young people are often the first to be fired, and employers shy away from hiring them. In addition, there is a growing mismatch between skills and needs, which can leave companies struggling to find the right talent. the long tail of youth unemployment The upshot is that, according to the International Labor Organization (ILO), the lack of employment opportunities for youth (i.e., those under 25 years of age) presents a major global challenge. The global youth unemployment rate now stands at 13%, three times higher than the adult rate of 4.3%. The challenge is particularly acute in Northern Africa, where almost 30% of young people in the labor market are without a job. structural problems Youth unemployment creates all kinds of long-term, structural problems. As well as leading to migration and a brain drain, it places a heavy burden on taxpayers in countries with a social safety net, while reducing current and future growth. And there’s more bad news for young people who start out unemployed: even when they eventually do find work, they earn less (up to 20% less) than their peers who succeeded in getting a job quickly. They are also more likely to become unemployed again in the future. This earnings disparity can last for up to 20 years, and the next generation often suffers too. For all these reasons, reducing youth unemployment is crucial – not just for young people, but also for employers, who need the right skills in the right numbers, and ultimately for society. stepping into the gap

Although this insight is widely shared, acting on it can be hard. Employers are in no position to reinvent the labor market, and their options to help reduce youth unemployment are limited. Governments, meanwhile, could invest in long-term education and introduce short-term stimuli. Neither employers nor government can make the immediate, here-and-now connection between work and unemployed youth that is needed to prevent long-term damage to careers and economies. However, as a global specialist in temporary and permanent staffing and HR, Randstad is in a unique position to make that connection.

youth employment initiatives

Our involvement in tackling youth unemployment began in 2013, when Randstad Netherlands, together with the Dutch government, created a program to fight youth unemployment by raising awareness of the problem, while at the same time doing something concrete to reduce it. Since then, we have implemented many youth employment initiatives around the world. These mainly focus on preparing youth for work through special programs that help identify young people’s untapped potential and providing them with the rights skills.

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Global

Global Apprenticeships Network

Randstad Global participates in the Global Apprenticeships Network (GAN), whose aim is to address the urgent issue of youth unemployment and the need for businesses to ensure skills for the future. The Network has been developed jointly by the International Organisation of Employers (IOE) and the Business and Industry Advisory Committee to the OECD (BIAC), with the support of the International Labour Organization (ILO). National networks have been set up to promote apprenticeships, traineeships, internships and work readiness programs in countries such as Turkey, Spain, Argentina, Mexico, and France.

Argentina

Collaboration with Fundación Pesar

Fundación Pesar and Fundación Forge specialize in educational programs for people in this age group. We have been able to place many of them with our clients. We also organize interview training sessions.

Argentina

Collbaration with Fundación Forge

Fundación Pesar and Fundación Forge specialize in educational programs for people in this age group. We have been able to place many of them with our clients. We also organize interview training sessions.

Argentina

‘Start your impossible'

• In partnership with Toyota. Toyota began this project for 100 young adults
• without a diploma to give them a chance to finish high school, as a diploma
• enables people in Argentina to get better-quality jobs, giving them access to
• formal employment. The project involves a 14-month course, of which two
• months are spent on internships at different companies, close to the five
• education centers (20 students each). The education program, which is
• facilitated by the Ministry of Education, includes a monthly benefit (equivalent to
• the minimum salary) paid by Toyota, ensuring that these students only focus on
• studying and attending school. Toyota called in the help of Randstad to recruit
• and find people from the target group. We held 300 interviews and got 50
• people accepted. At a later stage, we helped find the companies for the
• internships.

Argentina

My First Job

• This corporate volunteering program enables Randstad employees to train
• vulnerable groups, giving them tips, do’s and don’ts, and other important
• information on how to build their résumé, deal with interviews, and where to look
• for jobs.

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Australia

Shaping Young Futures program

6-week mentoring program with our recruitment consultants supporting young disadvantaged youth (18-24) to get them job-ready. At the end of the program, the participants take part in a networking event with our clients to help them create a professional network. In order to support these young job seekers, the Randstad Shaping Young Futures Program is based on four key pillars: • Coaching and mentoring programs; • Preparation and development of career awareness and job-seeking skills with the aid of the Make It Happen toolkit and networking skills training; • Employer partnership programs with real job outcomes. • Networking, coaching and matchmaking events with clients and consultants.

Belgium

RiseSmart Employability

In Belgium, RiseSmart Employability, part of Randstad Group, works on specific projects in partnership with Belgian social institutions to give training, coaching and support to young people. For example, those who leave school without a qualification and other underqualified young people are given guidance to help them find a suitable job.

Belgium

Randstad Young Talents

In 2012, Randstad Belgium established a partnership with Leuven University. The division responsible for this partnership is Randstad Young Talents. The aim of the partnership is to broaden employment opportunities for students with degrees in Economics and Business Studies, helping them find interesting alternatives to banks and consultancy firms, which tend to dominate when it comes to campus recruitment. Individual coaching sessions form part of the program. This partnership has been very successful and has now been extended to two universities and 16 different faculties. Last year, we counseled 1,000 individual students and 2,000 in workshops. Since 2012, we created 100 relevant jobs related to students’ university course, as well as 500 first jobs for graduates. Randstad Young Talents is the only player in the market fully dedicated to this target group. It is also the first (and so far the only one) in the market to create additional jobs for specific graduates.

China

CampusTalk

Labor market seminars.

China

Workplace Laboratory

One-day university campus training course on pre-vocational education, organized by Randstad. By encouraging students to present themselves in a simulated scenario, Randstad experts will provide relevant advice to help them prepare for entering the workplace.

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France

CREO

The CREO association supports project leaders and entrepreneurs, particularly in the framework of its ‘Talent Revealer’ competition. Since 2008, this competition has showcased promising entrepreneurial projects and promoted talents from areas affected by labor market discrimination in the Paris region. It is also an opportunity for entrepreneurs to train with CREO experts or partner companies, develop their projects, and extend their network thanks to professional meetings held throughout the competition. To celebrate its 10th anniversary, the ‘Talent Revealer’ program changed its format in 2018 and became the ‘RDT, Business & Mentoring School’. This new formula aims to support entrepreneurs to become future leaders. They receive privileged access to a unique, longer and multi-site training course, and participate in networking through mentoring and the involvement of partners. Unlike previous years, when the CREO course was the prize to be won in the contest, in 2018, the entrepreneurs immediately followed a training course to prepare them for the contest. The Randstad Institute has been working together with CREO since 2012. It offers Randstad employees the chance to join the adventure by participating in training workshops or by sponsoring a participant. This allows them to discover promising entrepreneurs, and it allows entrepreneurs to find a sponsor among Randstad’s employees, who use their personal and professional skills to guide and supervise these young entrepreneurs.

Germany

Du bist ein Talent

The school sponsorship 'You are a Talent!' strengthens students' competences in career choice and training place search. Accompanied by Randstad colleagues, the young people get fit for a career entry. Target group: young adults and students, mostly from a difficult social background.

Germany

Joblinge

Joblinge is a very successful project in Germany, developed by the Eberhard von Kuehnheim Foundation (BMW) and Boston Consulting Group in 2009 to fight youth unemployment. It is a collaboration between the public job center and partner companies, and includes a special 6-month coaching program for every participant. The project has a success rate of 70%. Randstad Germany supports the Joblinge project by providing training, mentors, pro bono consulting, and the annual funding of a partnership.

Greece

Giving back to society

In cooperation with The Tipping Point, we mentor, empower, inspire and provide useful career information to schools all over Greece.

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Italy

Family & Friends

A project dedicated to Randstad employees’ relatives and friends that aims to offer career and vocational guidance services. In the summertime, students from the friends and family network of our colleagues can experience an internship at Randstad HQ for a month. Moreover, last summer a special career guidance course was organized for the non-student target group (older unemployed people) in the network of Randstad colleagues. The course was followed by individual interviews supervised by the Career Management Team.

Italy

ITS - Technologies Talent In June 2016, Randstad Italy founded the ITS Technologies Talent Factory Factory Foundation Foundation, with the overarching objective of training young people in technological and other useful work skills. In Italy, there are two million NEETs, young people who are not in education, employment or training. The ITS is one way of reducing youth unemployment and provides young people with training in technological and digital skills (programming software, IoT, Cyber Security). The first course on software programming was given in October 2016, followed by two new courses in October 2017, one about the Internet of Things and the other about web and application development for mobile devices. In July 2018, the ITS TTF Foundation concluded a pilot edition on programming and development with Open Source technologies with its first twenty graduates, 85% of whom have already been placed with companies in the IT sector. In October 2018, the ITS TTF Foundation started two new training courses, one on smart manufacturing technologies, the other on the programming and development of applications with cloud technologies, designed in collaboration with Microsoft.

Italy

The Bridge

This program supports 20 young disabled students to get in touch with companies after selection and vocational guidance training interviews.

Italy

Deploy your Talents

In collaboration with the Sodalitas Foundation, Randstad Italy participates in Deploy your Talents, a European project that aims to create more awareness of the growing need for STEM competencies, while simultaneously reducing the gender prejudices that characterize this sector. The target group is secondary school students aged 16 to 18. In 2018, we supported 3 companies and 150 students.

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Italy

Responsible Societies

This quarterly initiative aims to inspire students to adopt the values of Corporate and Individual Social Responsibility in partnership with Sodalitas, Ciessevi and various NGOs/non-profit organizations. The project, which started in 2016, has so far met 450 students, of which 200 in 2018.

Italy

Student Traineeships

Reducing the gap between school life and professional life.

Italy

Youth@Work

Randstad Italy has a specific department dedicated to activities for young people called Youth@Work. Its goal is to reduce the gap between education and the job market and help young people in their school/career transition.

Italy

Scopri Talenti

Through 'Scopri Talenti', Randstad Italy enables graduates to get a better understanding of the world of work and provides opportunities for interviews with important companies. This helps them develop their strengths and be aware of their weaknesses.

Italy

Garanzia Giovani

Garanzia Giovani (Youth Guarantee) is the plan created by the European Union to tackle youth unemployment. It is dedicated to young NEET (people not engaged in an occupational activity, school or training program) between the ages of 15 and 29. The program has scheduled orientation activities for the young unemployed, in order to facilitate their entry or re-entry into the labor market with an employment contract or through an extracurricular training experience. It includes financial incentives for companies who participate in the program.

Italy

Training for the future

Randstad Italy provides 'training for the future' sessions to companies and sport champions.

Italy

Professioni Digitali

CSR initiative set up by Accenture Italy in 2013. Randstad’s contribution focuses on pre-selecting participants and helping them improve their employability. The main goal is to increase the employability of young graduates (mainly with an Arts degree) by redirecting their skills to digital marketing professions that are in high demand. This enables them to quickly enter the job market. Participants follow 120 hours of classroom lessons given by top management of mainly Italian IT companies, followed by 60 hours of project work (of which more than 20 hours are devoted to e-learning). So far, 579 students have been supported. 80% of these graduates found an internship within six months of the end of the course.

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Italy

GOAL

Started in 2012, GOAL (groups that focus on job orientation) offers 3-to-5-day courses in various Italian cities, aimed at young people looking for a job. Topics include career counseling, training for the job market, and job seeking. In 2018, approx. 200 courses were given (about 4,000 people trained).

Italy

Traineeships for secondary-school students

In the school year 2017/2018, more than 1,000 traineeships were created. About 90% were organized at our HQ (194) and branches (750). The remaining 10% were organized at our clients. Each traineeship had an average duration of 80 hours.

Italy

Business Analyst Cup

Since the end of 2017, the Finance Department has been running the ‘Business Analyst Cup’ for universities: in a one-day-contest, about 30 students are challenged with various tests in the morning; the best performers solve a business case in the afternoon, and the solutions are presented in elevator pitches, in front of their fellow students, professors and companies invited by Randstad and the university. The day ends with a networking session. In 2018, the Business Analyst Cup was held in collaboration with the prestigious Università Cattolica, Milan.

Italy

Family & Friends

The Family & Friends project, run by the HR Department, focuses on students and their employability skills. This project particularly targets students or unemployed youth who are relatives or friends of Randstad employees. In the summer, these young people can undertake an internship at Randstad HQ for a month. In 2018, we invited 13 boys and girls to our headquarters for a 3-day orientation program on the world of work, meetings with headquarters managers, an online orientation test, and a selection interview. A further target group for this project is unemployed people over 30. In 2018, we invited four people for a 1-day orientation course.

Italy

Enactus

Enactus is an international non-profit organization we have sponsored since 2016. It is dedicated to inspiring students to improve the world through entrepreneurial action. The main project partners are Caritro and KPMG, together with other important companies and other stakeholders such as universities and our internal HR Department for Employer Branding. In 2018, Enactus Italy reached some 100 students from 8 universities.

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Italy

LABOrientificio

Vocational Education Training sessions given at 120 strategic secondary schools. In the school year 2018/2019, more than 16,000 students and more than 30 companies were involved.

Italy

Un giorno da fico

Through this project, Randstad Italy inspired students on food innovation as a key factor for sustainability. The project was a 3-step activity: (1) presentation at the school; (2) project work on food innovation with a school competition; (3) plenary award session for winning schools. The winning schools received GOAL courses as prizes.

Italy

Samsung Innovation Camp partnership

Randstad Italy is partner of the Samsung Innovation Camp, a project that aims to train university students to be ready to join the contemporary job market, with particular reference to digital skills. The project, started in the academic year 2017/2018, is now in its second edition and consists of three steps: online training, university training, and project work. Randstad is involved in all three steps. 2018 was a ‘bridge year’ from the first academic year 2017/2018 (covering three universities with over 4,000 students) to the second one (2018/2019: so far 13 universities with an estimation of over 20,000 students).

Netherlands Champs on Stage

Champs on Stage is a partnership between Randstad Netherlands, McKinsey, and the American Chamber of Commerce, supported by the Dutch Ministry of Education, Culture and Science. Its main objective is to reduce the number of high-school dropouts – an essential element in fighting youth unemployment. Through Champs on Stage initiatives and internships, students are introduced to a wide range of career options and learn about the personal skills they will need in the labor market. As a result, students are better able to make the right choices in higher education, and to complete their studies successfully.

Netherlands Alliance4Youth

Through the Alliance4Youth, Randstad Netherlands strives to decrease the distance to the labor market for vocational students by organizing two large events during which volunteers train more than 500 students in job interviews and networking.

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Netherlands Oranjefonds

Tempo-Team helps with the Oranje Fonds' Youth Opportunities program. The purpose of this program is to help young people obtain a starting qualification, even if they have dropped out of school. Some twenty Tempo-Team employees help with this, for example by giving job application training or organizing weekly coaching sessions.

Poland

This is a series of labor market workshops dedicated to primary schools. The aim of the workshops is to activate and engage students through exercises and discussions to think about their future, career plans and employers' expectations. The workshops also help students to identify their talents and focus on honing the skills that will be useful in their professional life. During the meetings, students also learn about the basic mechanisms of the labor market and how important it is to gain experience while still at school.

Discovering Myself, Discovering Work program contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations youth employment. contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations diversity and inclusion.

Awareness of the business case for diversity and inclusion is on the rise. While social justice is typically the initial impetus behind these efforts, companies have increasingly begun to regard diversity and inclusion as a source of competitive advantage, and specifically as a key enabler of growth. Yet progress on diversification initiatives has been slow. And companies are still uncertain about how they can most effectively use diversity and inclusion to support their growth and value-creation goals. Most leaders now believe that having a diverse and inclusive culture is critical to performance. It is the question of how to achieve that goal that they struggle with. positive effect of diversity on financial performance The 2018 McKinsey report 'Delivering through Diversity' found that diversity, and particularly gender diversity, has a positive effect on both profitability and value creation. “A positive correlation was found between gender diversity on executive teams and both our measures of financial performance: top-quartile companies on executive-level gender diversity worldwide had a 21 percent likelihood of outperforming their fourth-quartile industry peers on EBIT margin, and they also had a 27 percent likelihood of outperforming fourth-quartile peers on longer-term value creation, as measured using an economic-profit (PE) margin.” The report also found a positive correlation between ethnic diversity and financial performance.

According to the McKinsey report, the positive effect of diversity on financial performance generally holds true across geographies, though with some variations in certain regions. “Australian companies lead the way when it comes to the women’s share of executive roles (21 percent). The share in the United States is 19 percent and in the United Kingdom is 15 percent. The same holds true for board positions, with Australian companies at 30 percent, US companies at 26 percent, and UK companies at 22 percent – and for women at the whole company level. The disparity among these countries is interesting, given that women’s participation in the workforce is similar in all three and given that they dominate among top performers, representing 47 percent of the data set but more than 70 percent of the top-quartile companies.”

The Deloitte 2017 Human Capital Trends Review states that although awareness around diversity and inclusion is growing, businesses are facing a reality gap, and progress is too slow. In addition, the business perspective on diversity and inclusion is now touching a broad range of topics: business and human rights, talent engagement, fairness, etc. The topic of unconscious bias is becoming increasingly important in this regard.

Diversity and inclusion as a topic has moved on from just being seen as a reporting objective. It is now becoming a CEO-level priority and considered important throughout the organization. What is more, diversity is no longer just defined by gender, race, and demographic difference. Today, diversity covers a much broader range, including people on the autism spectrum and other cognitive differences.

As Randstad, we see it as part of our job to drive greater diversity and inclusion in the interests of our clients and candidates. We aim to include more women, minorities, young people, over-50s, disabled people and the longterm unemployed in the workforce. We do this through advocacy and awareness-building, training, and creating more and better-quality jobs. We provide a lowrisk way for companies to create jobs that they might otherwise try to cover internally. As a major employer, we help people to transition from the informal to the formal economy, where they enjoy better pay and conditions, including access to social security, training and employment rights. And by helping underrepresented groups to participate in the labor market, we boost diversity as well as inclusion, contributing to a future-proof and sustainable labor market.

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Argentina

• Gender Equality &
• Women Empowerment

Since 2015, we have improved the labor opportunities for women in Argentina by empowering them through internal and external activities, including training.

Argentina

Diversity & Inclusion program

Randstad Argentina promotes and facilitates labor inclusion of groups in disadvantage such as people with disabilities, young people at social risk, sexual minorities.

Argentina

PILA/ALIP (Accelerated Randstad Argentina developed a training program to improve the employability Labor Inclusion Program) of people living in a slum in the west of our province of Buenos Aires. This program has been set up in alliance with Accenture and Santander Río Bank.

Argentina

Empowerment program for business women

Randstad Argentina financed an Empowerment Program for business women. Twenty female entrepreneurs in the city of Rosario were given technological tools to help them improve their businesses.

Australia

Get Skilled Access partnership

Randstad Australia has partnered with Get Skilled Access, a training and consulting company set up to help organizations learn how to break down the barriers and stigmas to disability employment. As part of Randstad Australia’s Diversity and Inclusion Circle events, Dylan Alcott held workshops for over 450 of Randstad clients in Melbourne, Brisbane, and Sydney. To celebrate the partnership, we recently held the Perfect Match Tennis Day, where Australia’s leading CEOs and MDs came to play tennis with the Get Skilled Access and Randstad team. Randstad Australia consultants are currently receiving training from Get Skilled Access.

Australia

Disability Recruitment

In Australia we raise awareness of people with a disability and their employability through recruitment specialized in disabilities and the labor market.

Australia

• Aboriginal and Torres
• Strait Islander
• recruitment and
• awareness

Another program created by Randstad Australia aims to raise awareness of people who identify as an Aboriginal and Torres Strait Islander and their employability.

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Australia

Puffling strategic alliance Randstad and the Australian job-pairing startup Puffling have formed a strategic alliance, underpinned by the shared goal of using innovative technologies to create a more inclusive workforce for Australian businesses. Puffling is a jobpairing platform, helping candidates find the perfect job share partner, and interview for roles together. Founded in December 2016, the Australian startup is connecting mums – and anyone else – looking for flexible part-time careers. Puffling and Randstad Australia are working together to offer flexible and parttime solutions to our consultants returning to work after parental leave or extended leave.

Australia

WithYouWithMe

Randstad Australia is partnering with WithYouWithMe to help veterans transition into the right industry with the right company. Randstad has joined WithYouWithMe as a Pathway Partner, meaning that transitioning veterans who register as a mentee will have the opportunity to be developed and join a pathway for this organization. This will ensure that those who are successful for this pathway will develop the skills needed to succeed. Those in the incubation program will also be assigned a mentor to help them through the process and dedicated training program. At the conclusion of the program, individuals may be selected for a role with Randstad. Randstad Australia currently has 25 exmilitary professionals in the role of consultants. One of these was recently promoted to branch manager.

Australia

Shaping Young Futures

The Shaping Young Futures program initiated by Randstad Australia comprises a 6-week mentoring program with our recruitment consultants supporting young refugees (18-24) to get them job ready. At the end of the program, the participants take part in a networking event with our clients to help them create a professional network.

Australia

Diversity Council

Randstad employees are part of two councils. One focused on internal projects encouraging an inclusive and belonging culture, and one focused on external projects to support clients and candidates .

Australia

Sageco

Sageco (a RiseSmart company owned by Randstad) was launched in 2004 with a strong focus on working and supporting mature-age workers. Over the years, Sageco has supported more than 400 clients in developing strategies and solutions, and more than 35,000 mature-age workers have experienced Sageco’s Envisage program. Sageco’s biggest project was the Australian Federal Government Corporate Champions program, which was funded by the Government to work with 101 large employers between 2013 and 2016.

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Belgium

Management training on diversity

Randstad Belgium has created a management training program on diversity and equality. It includes the use of ‘mystery clients’, which involves a third party testing consultants’ responses to discriminatory requests.

Belgium

Equal Treatment Coach

In line with their diversity charter, Tempo-Team Belgium and Randstad Belgium have an Equal Treatment coach to help their consultants deal with discriminatory job descriptions or politically inappropriate client requests for potential candidates. All consultants receive sensitivity training. Tempo-Team and Randstad Belgium also organize awareness campaigns directed at customers, encouraging them to assess candidates based only on skills and not on background. They also seek to increase awareness of diversity and equal treatment through other channels, such as by publishing articles or videos on their intranets. There is a helpline as well as an intranet section dedicated to issues of discrimination and equal treatment. These measures help both Randstad and its clients to learn to look beyond personal characteristics (e.g., age, sex, skin color, physical appearance, and so on), none of which have any bearing on the competencies required for the job.

Belgium

RiseSmart

RiseSmart Employability is working on several projects for workers of 45 and older to help them find their way in the labor market. These people get advice, coaching and support from our RiseSmart colleagues, as well as in our Randstad branches, to help them find a new job after years of unemployment.

Belgium

National program to guide untapped talents

Randstad Group participates in a national project, developed by various organizations from the private, public and social sectors who have joined forces to guide untapped talents to the right employment solutions. A digital platform has been created to put together employment solutions such as mentoring, training, and assessment, as well as a portal with job opportunities.

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Brazil

Yunus Social Business

In cooperation with Yunus Social Business, Randstad Brazil creates social projects to promote diversity and inclusion in companies. Yunus operates around the globe, supporting social causes through partnerships with private businesses. In Brazil, it has created social businesses involved in home construction for poor residents and reforestation. Its latest venture is aimed at helping workers with disabilities and companies in need of their talents. The talent pool developed by Yunus includes job seekers who are qualified under the Inclusion of People with Disabilities Act, so candidate lists compiled by Randstad Sourceright meet government mandates. This enables the company to ensure it is operating within the guidelines without needing to further screen applicants for eligibility. Through its Talent Radar technology, Randstad Sourceright now tracks the progress of the company’s regulatory fulfillment. It is also providing employer branding support to ensure its brand messaging appeals to all workers, including those with disabilities. Although started as a small pilot project, the partnership demonstrates how a socially conscious employer working with a likeminded venture fund and HR solution provider can help solve Brazil’s differently abled work dilemma one hire at a time.

Canada

Women Transforming the Workplace

With the introduction of our Human Forward brand promise, we saw an opportunity to revamp our Women Shaping Business program to reflect the technological, social, and cultural realities that are currently transforming the world of work. Now renamed women transforming the workplace, the program addresses key issues related to the future of work for women. Now renamed ‘Women Transforming the Workplace’, the program consists of a nationwide survey, a podcast series featuring inspiring women, and solution-focused think tank sessions. Through all these activities, we dive into the challenges and opportunities for women to reinvent and transform the workplace from their own unique, collaborative, and resourceful perspective.

Canada

Partnership with CNIB

In 2018, the committee was proud to partner with the Canadian National Institute for the Blind (CNIB) for a learning series for Randstad employees that took place in our two largest hubs, Toronto and Montreal. The objective of the partnership was to provide employees with a greater understanding of the needs and challenges that the visually impaired face in the job market, and how to better assist our staff to communicate with them and find placements for them.

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Canada

RISE

The RISE program is run by the RISE committee as a way for employees to have a voice in the diversity and inclusion movement within Randstad. The goal of the program is to foster a diverse, inclusive, safe and empowered place to work for all groups. Through initiatives and events, such as the 2018 Pride Month activities, the committee shares knowledge and cross-cultural understanding within the Randstad community.

Chile

Enabling disabled workers to contribute to the labor market

Randstad Chile contributes to generating equal opportunities in the labor market by integrating people with disabilities and by supporting companies in finding the best candidates to implement or support inclusive social responsibility programs. Randstad Chile’s initiatives aim to make workers feel useful and capable of making a real contribution, while enabling companies to have a wellfunctioning inclusion program that has a positive effect on productivity, absenteeism and the work environment. Through offering temporary services and outsourcing, Randstad Chile supports companies in complying with the country’s Labor Inclusion Law, which requires companies with more than 200 workers to ensure that at least 1% of their workforce consists of people with a disability. Randstad Chile has set up a comprehensive program in which companies, candidates and other partners work closely together. Activities include awareness talks, support with job interviews, advice on the process of incorporation and guidance of workers, combined with reports and progress meetings.

France

CREO

The CREO association and Randstad France offer support programs for young entrepreneurs from disadvantaged neighborhoods preventing them from social exclusion and poverty.

France

Partnership with Prof Express Platform

Randstad France renewed its partnership with the Prof Express Platform, which enables employees’ children to benefit from educational support provided by teachers of Mathematics, French and English, Philosophy, Physics, Chemistry, Science of Life and Earth (SVT), History, and Geography. Thanks to this platform, middle- and high-school students receive support by email or phone from teachers in a virtual classroom, from Monday to Thursday between 5pm and 8pm. The students have free and unlimited access to high-quality educational content. They can reread lesson cards, learn and practice key concepts, and prepare for tests.

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France

Le Refuge

Through Le Refuge, Randstad France creates awareness for the LGBT community and fights against LGBT discrimination experienced by young people.

France

Ce qui compte vraiment

• 'What really matters to you?' This question is an invitation to reflect on what drives
• us and moves us forward in life. Together with 'Ce qui compte vraiment',
• Randstad France organizes conferences for young people to answer this
• question.

France

Entourage

Entourage's and Randstad France's joint mission is to create social bonds between residents and homeless people, bringing together a community of local residents committed to making their neighborhood more human. The Entourage association is working on a project aimed at improving access to employment of homeless people through the mobilization of the general public and solidarity recruiters. The idea is to generate employment opportunities for homeless people by encouraging people to open their professional networks, and by encouraging recruiters to give a chance to those who have the desire and the motivation to work. The project includes the development of a tech platform where people can leave résumés.

France

SNC

Together with SNC (Solidarités Nouvelles face au Chômage), Randstad France aims to fight against unemployment and mechanisms of social exclusion, in particular through the organized voluntary mobilization of citizens. They support job seekers by organizing solidarity activities; they encourage citizens' actions against unemployment; they participate in the debate on employment, unemployment and exclusion; and they support the expression and representation of job seekers.

France

Belleville Citoyenne

Belleville Citoyenne defends public education and culture as well as the multiplication of areas of autonomy. In 2018-2019, the Blank Project, developed by the Belleville Citoyenne association, offered a free, intensive and certified web development training for young people with little or no education mainly from the popular districts of Grand Belleville and the north-east of Paris.

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France

Smile

Randstad France created a simple and educational e-learning program allowing people and organizations to better accommodate people with disabilities. For Randstad, it ensures optimal accessibility of our services and thus promotes the professional integration of people with disabilities.

France

Randstad Institute and OFRE (Observatory for Religion in the Workplace); study on ‘business, work and religion’

Randstad Institute in France and OFRE conduct a joint research on business, work and religion. The 2018 results confirm the trend started in previous years: religion is becoming commonplace in business. 65% of respondents observe religious facts in their workplace, the same percentage as in 2017. Nevertheless, conflicting cases remain very much in the minority. More than 90% of the situations in which religion plays a role in the employment relationship pose no organizational problem. Conflicts arise only in 9.5% of cases, slightly more than in 2017 (7.5%). Interestingly, religion is much less controversial than companyrelated issues or politics. Managers feel that they are not more concerned about religion than about other subjects. However, 29% of managers believe it makes their role more difficult. Finally, although religion is a personal practice and does not impact people’s work, it is widely accepted. For almost 6 out of 10 people, there is no need to ask permission to pray during a break. On the other hand, more than 90% of respondents indicate that they are not allowed to refuse to perform certain tasks or work with certain people for religious reasons.

France

Mission Handicap

Mission Handicap within Randstad France promotes and coordinates activities in four areas: the retention of colleagues with disabilities (through training and adaptation of the work environment); recruitment and mobility; providing training and promoting awareness among employees; and the development of Randstad France’s relationship with the ‘protected sector’ (i.e., companies whose main aim is to employ disabled people).

France

Disability Mission

Through its ‘Disability Mission’, Randstad France enables people with hearing loss (deaf or hard of hearing) to communicate easily with them by telephone. From mid-December 2018, anyone with hearing loss will be able to contact any of our branches in France at any time. Candidates can access a dedicated website, which will get them in touch with the brand and agency of their choice. They can seek the help of an interpreter who will make the link (by telephone) between the agency and the candidate. The candidate can communicate with the interpreter either by chat or in sign language via video conference.

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France

IGS, Social Management Institute

For the 5th consecutive year, Randstad France and IGS, Social Management Institute, have been running a one-year diploma course for disabled people. They are trained to become an HR consultant, spending three weeks in an agency environment, combined with one week of training every month. At the end of the year, the participants receive a certificate and will be able to start work at one of our branches for Randstad, Expectra or Appel Médical, if the opportunity presents itself.

Germany

Joblinge

Randstad Germany's Joblinge program aims to provide real job opportunities and sustainable integration into the labor market and society. Through tailor-made qualification, voluntary mentoring and support during the training, the initiative helps participants to be successful.

Germany

Genderdax

Genderdax is a gender & diversity project designed by business and academic partners in which Randstad Germany participates. In addition to a comprehensive information platform, concrete practice-relevant topics are dealt with at Genderdax conferences and workshops, and current developments are highlighted via the Genderdax Infoletter. Target groups are women in specialist and management positions as well as junior employees and women returning to work. For the operational practice and this target group, Genderdax offers a comprehensive overview of employment opportunities and development opportunities at selected large companies, small and medium-sized companies, and research centers in Germany.

Germany

Religions booklet

The religions booklet created by Randstad Germany aims to be open to all kinds of religions and should help our employees to understand the life circumstances of their colleagues.

Germany

Charta der Vielfalt

European Diversity Charters promote diversity as a key to peace, social cohesion and economic success. Randstad Germany is a signatory of the Charta der Vielfalt in Germany. The diversity of modern society, influenced by globalization and demographic change, is shaping economic life in Germany. We can only be commercially successful if we recognize and use the existing diversity. This relates to diversity in our own workforce and the diverse needs of our customers and business partners.

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India

POWER

India has one of the lowest gender parity scores in the world. Married women traditionally leave their job once they have children. Randstad India is committed to empowering women to grow and flourish in their careers. Recognizing the need for change, RADAR, the offshore services division of Randstad Technologies, launched POWER, which stands for Programs on Women Empowerment @Randstad. POWER was first announced on International Women’s Day on March 8 at an event in Hyderabad, India. Randstad leaders from around the world were invited to attend the launch of POWER. The team has begun implementing weekly programs designed to inspire women at Randstad to grow in their careers, and offer their families other perspectives. The participants also benefit by bonding with like-minded, highly motivated women, and are encouraged to share their stories and dilemmas.

Italy

Parents@Work

Parents@Work is an initiative of Randstad Italy which aims to facilitate women’s return back to work after maternity leave. It includes Baby Randstad, Welcomeback Mum, flexible working hours, and 'Bimbi in ufficio'.

Italy

Java junior developer J2SE/JEE course for disabled people

The Java course created by Randstad Italy enabled unemployed and disabled people to improve their competence in IT and to increase their chances of finding a job.

Italy

HOpportunities

Randstad Italy’s HOpportunities (HO) team focuses on the provision and management of staff with disabilities. HO is involved in several initiatives and events linked to the world of disability. Specifically, in August 2018, HO entered into an important partnership with the Italian Cystic Fibrosis Alloy (L.I.F.C.) to increase the chances of finding a job for these patients.

Italy

GEEIS (Gender Equality European & International Standard)

Randstad Italy promotes professional equality between women and men as accredited by GEEIS. It is our objective to contribute to gender equality at work in our country by contributing to United Nations Sustainable Development Goals.

Japan

Training to encourage employment of the disabled

Training program that aims to create sufficient work opportunities for our candidates with disabilities. Randstad Japan provided consulting for companies and people with disabilities to create a workplace where people with disabilities can work and contribute. We collaborated with an external consultant and organized a seminar in 2018.

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Japan

Challenged Support Division

Randstad Japan has a Challenged Support Division, which aims to hire disabled people for its own organization, as well as introducing them to clients. The biggest challenge they face is establishing a stable structure that not only provides a good environment for disabled people, but also keeps them employed in Japan’s rapidly changing economy.

Netherlands Diversity Charter & Diversity Board

Randstad Netherlands has voluntarily signed the Diversity Charter. This commits Randstad Netherlands to promote a diverse workforce and an inclusive organizational culture.

Netherlands Randstad Participatie

In the Netherlands the 'Participatiewet' is a law that obliges Dutch companies to hire a certain percentage of disabled people. Randstad Netherlands supports companies with this task. Randstad developed a service to help companies to prepare and find suitable disabled candidates.

Netherlands VU research on cultural diversity

Together with VU Amsterdam, Randstad Netherlands is involved in a four-year research initiative called Meer Kleur aan de Top (More Colour at the Top). The research gives insight into the value of cultural diversity for our organization and aims to determine the factors and interventions that may stimulate diversity.

Netherlands Work4Women

In the Netherlands, Tempo-Team and the Dutch women’s magazine Margriet have joined forces with Work4Women, a job placement agency that focuses on women over thirty who combine family life and paid work. Work4Women offers guidance and support to women in search of a suitable job, drawing on Tempo-Team’s knowledge of the job market and Margriet’s understanding of the target group. The magazine keeps its target readership up to date on opportunities in the job market. Work4Women has been slowly shifting its focus to a broader diversity perspective. Together with other employers, it organizes roughly four Power Meetings on this subject.

Portugal

Randstad Portugal has established a strong partnership with the official entity that, at government level, supports the reintegration of homeless citizens into the job market. The project has been running an in-house project for thirty months now for 14 workers who find themselves in such a situation. The program has proven so successful that it is now being offered to customers interested in such solutions.

Reintegrating homeless citizens into the job market contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations diversity and inclusion. country title program description

Portugal

Partnership with APAV/ ONinho

Randstad Portugal has partnerships with NGOs to support candidates who are more difficult to employ. For example, Randstad works with APAV, an association that protects victims of violence or crimes who need to be moved geographically or who need to find a job to be able to support themselves and become financially independent from their aggressors. Together with ONinho, Randstad Portugal helps former prostitutes to enter the regular labor market.

Portugal

• Partnership with
• Associação Salvador

Randstad Portugal supports Associação Salvador, a Portuguese NGO that helps people with disabilities. The organization is currently focusing on helping people with low mobility to find work. Randstad Portugal is helping with the NGO’s campaign to explain the benefits for companies, and regularly organizes workshops to help people improve their CVs, social profiles, and interview skills.

Portugal

Member of iGen

Randstad Portugal is part of the iGen forum, a group of companies that, together with the government, develop strategic actions focused on gender equality. Randstad Portugal’s plan for next year is to hold a survey on workforce ambition to find out whether there is a gender-related gap between people’s professional dream and their achievements.

Portugal

ASAS

Randstad Portugal has set up a formal Corporate Social Responsibility Committee called ASAS (Wings). ASAS holds bi-monthly formal meetings and has an annual plan to help and support all situations identified and approved as worthy of help.

Spain

Randstad Foundation

Randstad Foundation is a non-profit organization. Over the past 15 years, we have been working on the equality of job opportunities for disadvantaged people, improving their employability and preparing them to face the hard task of finding a job. In these 15 years, we have created a social ecosystem of diversity and inclusion, bringing together 1,500 companies, 550 NGOs, and 37,000 people, improving these people's employability and finding jobs for 13,000 vulnerable people.

Spain

Volunteer program

Randstad Spain's volunteer program is one of the most social awareness channels, thanks to direct contact between employees and unemployed people with a disability. We participate through both professional and non-professional volunteering.

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Spain

People with special needs program

Randstad Spain advises and provides training to the unemployed, people with special needs, and university students with a disability (in collaboration with UOC University and UNIR University). This includes offering English classes to people with a disability.

Spain

Randstad Foundation Award

In collaboration with the Spanish Ministry of Health, Social Affairs & Equality, Randstad Foundation Spain organized its annual Randstad Foundation Award event for the twelfth time. The Award recognizes companies, the media, and other institutions for their commitment and positive contributions to CSR and the employability of people with special needs.

Sweden

Easier ways to work and skills

One of the annual highlights in Randstad Sweden’s sustainability program portfolio in 2018 was that the pilot project called ‘Easier Ways to Work and Skills’ (Antenn) for newly arrived migrants was granted new funds for 2018 until 2020. Both the pilot and the new project ‘Real jobs’ is co-financed (70%) by Tillväxtverket, the Swedish Agency for Economic and Regional Growth. The initiative is sponsored by Mikael Damberg, the Swedish Minister for Enterprise and Innovation. Antenn offers a training program to newly arrived immigrants. During the first project phase (from May to December 2017), Antenn coached 108 candidates from the target group and found a real job for them. We worked proactively on equality and 43% of the candidates in the project were female migrants. The new program that will run until 2020 aims to meet over 1,000 newcomers and place at least 210 of them into jobs and integrate them into the Swedish labor market. We give our clients access to a broad palette of skilled candidates. Given the present shortage of skills, the competences that the newcomers bring to the Swedish labor market are certainly very welcome.

Sweden

Work4Integration

Work4Integration – Europe. In 2018, we applied for and were granted project funding from the Asylum, Migration and Integration Fund (AMIF) of the European Commission. The program aims to promote the early and effective integration into the labor market of third-country nationals (TCNs), by creating effective transnational partnerships with all actors concerned. The project will be realized in Italy, Sweden, and Belgium and will pursue three objectives: (1) to promote an effective process of integrating TCNs into the labor market; (2) to engage employers and other key actors in the labor market integration of TCNs; and (3) to create a multi-stakeholder win-win strategy for the effective labor integration of TCNs in Europe. The eight project partners are Soleterre Italy, Randstad Italy, Sodalitas, punto. sud, FADV, RiseSmart Belgium, Vlaamse Dienst voor Arbeidsbemiddeling en Beroepsopleiding, and Antenn Consulting.

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Sweden

Universellt Utformad Arbetsplatsa (UUA)

Together with a wide range of other stakeholders, Randstad Sweden participates in Universellt Utformad Arbetsplatsa (UUA), a project supported by the European Social Fund (ESF). The objective of UUA is to contribute to the development of universally designed workplaces, where diversity is highly valued. In order for workplaces to become universal, new ways of thinking and doing are required. The fact that we do not have more workplaces that are inclusive and supportive is largely due to a lack of awareness, attitudes and beliefs about groups outside the labor market, but also due to a lack of knowledge of the potential of universally designed workplaces and the added value that can be created for both businesses and individuals. In 2018, the project produced methods and models for training and skills enhancement within four fields: physical work environment, social work environment, the design and leadership of the work organization, and skills provision and recruitment processes. Activities included training aimed at municipalities and other organizations within the welfare sector. At the same time, the project is an initial step in putting the concept of universally designed workplaces on the map. This involves creating awareness, both within workplaces and in society at large, of what this involves and why it is so important. The second step in 2019 will be to focus on employers in the business sector.

Switzerland

Member of Advance Randstad Switzerland is a member of Advance Women in Swiss Business. Women in Swiss Business Compared to other countries, Switzerland ranks surprisingly low in terms of the presence of women in leading positions.

UK

Student Support

Randstad UK is a leading provider of support to students with disabilities, health conditions or an additional learning need. Randstad provides a range of support to help ensure that they receive a richer educational and pastoral experience at college or university.

UK

CPE

Randstad UK supports the Lighthouse Charity, which provides a 24/7 hotline for people who work in the construction industry to provide assistance with mental health and well-being.

UK

CPE's Gold Membership of Supply Chain Sustainability School

Randstad UK Construction Property & Engineering (CPE) is a Gold Member of the Supply Chain Sustainability School, a body formed by 44 contractors from across the UK to share best practices in the field. Randstad is working with the school as the only recruiter to be taking an active role in promoting sustainability across the workforce.

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USA

Business Resource Groups

Randstad US has created business resource groups that are focused internally on our own diversity and inclusion culture, with special focus on women, veterans, LGBTQ, disabled, millennials.

USA

Chief Diversity Officer

In 2018, Randstad US appointed a Chief Diversity & Inclusion Officer and launched an internal website to provide employees access to diversity and inclusion information, events and resources. Randstad US was invited to the United Nations to pledge support of equal pay for equal value at the Equal Pay International Coalition luncheon. In 2018, Randstad US implemented an Executive Diversity Council (EDC), which consists of senior leaders across the organization working to make diversity and inclusion central to Randstad’s competitive advantage.

USA

Wounded Warrior Project Randstad US and RiseSmart are in a partnership with the Wounded Warrior Project organization on a program to place disabled veterans. In the US, 480,000 servicemen and women have been physically injured in recent military conflicts. Additionally, more than 400,000 veterans are living with invisible wounds, ranging from depression to post-traumatic stress disorder, while 320,000 are experiencing debilitating brain trauma. The program helps to offer support by providing career readiness coaching and positioning these men and women for employment opportunities.

USA

Hire Hope

Randstad US provides career-readiness training and job placement services to underserved and at-risk women. Executed in partnership with the Women's Academy, an organization focused on helping women develop the skills necessary to live independently and increase career-related competences.

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations diversity and inclusion. contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations mobility and migration.

Significant talent challenges are looming globally by 2020 and beyond. In the Northern hemisphere, the expected talent gaps will be caused mainly by demographic shifts – notably, the retirement of baby boomers. For example, in the United States, Germany, Canada, and the United Kingdom, immigration and expected birth rates will be unable to balance the workforce losses caused by aging populations. Over the next decade, Western Europe’s talent supply will steadily decrease, leading to almost empty talent pipelines by 2020. It will become increasingly difficult for employers to find, attract, and retain scarce talent. complex challenges Around the globe, some 247 million people are living (and in large part working) in a country other than that of their birth. Sometimes described as the unfinished business of globalization, labor migration issues raise complex and sensitive political, human rights, economic, and social concerns, as well as an array of legal and regulatory challenges. Migration accordingly occupies a prominent place on both national and multilateral policy agendas, and in public discourse and debate. the role of high-tech

Europe has much more rigid immigration policies. As a result, Europe attracts fewer high-skilled workers than not only the United States, but also Canada and Australia. In the European Union, only 3% of scientists come from non-EU countries, whereas in the United States, 16% of scientists come from abroad.

location mismatch

In the current global labor market, a global shortage of STEM skills is not the real problem for the world economy, but the location mismatch between employers and employees is. Talented people cannot move to where the jobs are. Several US and European firms have therefore moved their R&D operations to countries such as China and India over the last two decades, reducing the number of STEM jobs in the US and Europe.

Randstad has contributed to the labor migration debate through its ‘People to Jobs, Jobs to People’ research (2017). Commissioned by Randstad, the IZA Institute for the Study of Labor in Bonn studied the determinants of worker migration, highlighting expected changes in labor supply of targeted migration flows and offering a comprehensive discussion of firms’ (re)location choices to investigate the potential of job flows in response to skill shortages.

In the US and Europe, investment in STEM disciplines (science, technology, engineering, and mathematics) is increasingly seen as a means to boost innovation and economic growth. The tech-intensive sectors create high-tech STEM jobs, generating additional demand. These companies tend to concentrate in high-tech hubs where highly paid workers employed in STEM occupations are likely to spend their income on local non-routine services. Research shows that with the creation of one high-tech job, between 2.5 and 4.4 additional jobs are created outside tech-intensive sectors in these high-tech regions. This shows that, contrary to common belief, boosting high-tech employment helps rather than hurts the lower end of the labor market.

The importance of science education is recognized on both sides of the Atlantic, but the debate gets particularly heated when it intersects with immigration. Although in a similar position to the United States, contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations mobility and migration. social programs on mobility and migration at randstad country title program description

Australia

Shaping Young Futures

Through Randstad Australia's 6-week mentoring program 'Shaping Young Futures', our recruitment consultants support young refugees (18-24) to get them job-ready. At the end of the program, the participants take part in a networking event with our clients to help them create a professional network.

Belgium

Integration of refugees

Randstad Belgium helps refugees between 18 and 25 to support their professional integration. ‘RiseSmart Employability’ has supervised 104 young refugees during 6 months, providing job orientation intakes and individual action plans.

Germany

Network of Mentors

Randstad Germany has installed a network of mentors for integration on site. The number of employees from asylum countries working at Randstad has increased tenfold in the last three years. In 2018, Randstad Germany employed 2,500 people from countries with a high proportion of refugees. In 2015, this number was 250.

Italy

Randstad without Borders

Randstad Italy contributes to the professional integration of foreign residents by offering career guidance, training and job opportunities.

Netherlands Partnership with COA

In cooperation with COA (the Dutch central agency for the reception of asylum seekers), Randstad Netherlands ran a pilot to help 95 refugees (or former refugees) with a Dutch residence/work permit to find a regular job on the Dutch labor market. Each participant was assisted by a Randstad advisor to find a job that best suits their work experience, education, training, and motivation. The pilot was very successful, and 61% of the participants found a job in the Netherlands. The pilot has now been expanded, and currently there are three units in the Netherlands that are mediating on behalf of asylum seekers who already have a work permit.

Spain

Contribution to Public Administration Center

Randstad Foundation in Spain has contributed to the Public Administration Center, helping immigrants in their development, training them for employment, and supporting them in their job search process.

Sweden

Easier Ways to Work and Skills

Through this project, Randstad and Antenn in Sweden have developed methods to assess and highlight individuals' abilities to handle work in a way that includes more people in the labor market, matching them to jobs available. We work cross-sectoral, with all the design and innovation of new working models being based on an ongoing dialogue with minority-driven networks.

contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations conclusions and recommendations.

81 conclusions and recommendations contents. sustainable transformation @ work labor market scan In a world that is shifting from lifetime employment with the same employer to a lifetime of experiences through different work assignments, the question of how individuals can remain employable and attractive for the labor market becomes relevant. Driven by trends and developments such as globalization, AI, robotization, new technologies, aging, and migration, the labor market is becoming a challenging place to navigate for people.

While individuals aspire to a better work-life balance, companies want to stay competitive and need to adapt to an increasingly volatile and complex environment. These new realities require a new way of systemic thinking. The Future of Work can no longer depend on old models with regard to social protection and pension schemes, labor law regulations, portable and transferable rights, and tax regimes. Social innovation will be necessary to build a sustainable and inclusive labor market, which will improve people’s lives by providing better access to work, better work conditions, and enhanced employability, while strengthening employers’ performance at the same time.

The 17 UN Sustainable Development Goals as adopted by the UN in 2015 provide a blueprint for peace and prosperity for people and the planet, now and in the future. The world of work is at the heart of this prosperity. Achieving the UN goals with regard to the labor market of the future requires effective collaboration. Together, we will need to take a radically different and innovative approach, which will nonetheless feel as the only natural and logical way forward, ultimately resulting in a sustainable and inclusive labor market for all. recommendations for governments (1) empower talent to navigate the changing world of work:

• • Ensure that school curricula reflect the changing world of work and invest in skills of the future
• • Encourage a ‘life-long learning’ mindset that reflects the new work reality in which change is the only constant social innovation programs conclusions and recommendations

(2) drive new systemic thinking, with a focus on re-designing the current model

• • Promote and encourage social innovation by adapting social protection schemes to the new world of work
• • Enhance active labor market policies to provide individuals in the untapped talent pool with a stepping stone to the labor market recommendations for individuals

(1) take charge of your own career path by continuous investment in training and skills enhancement to stay relevant

• • Assess, on a regular basis, your knowledge, skills and competences to benchmark your employability and labor market attractiveness
• • Take on ‘life-long learning’ mindset to keep up to date with 21st-century skills and knowledge

(2) build a professional network

• • Make sure you get to know people who can help you take the next step in your career
• • Invest in an online CV and career overview recommendations for employers

(1) drive change and innovation in the world of work:

• • Embrace AI and technology to remain competitive and attractive for talent in a volatile and quickly changing environment
• • Contribute to a sustainable and inclusive labor market by going from a one-size-fits-all model to a tailor-made labor relationship, taking into account the individual’s preferences

(2) build bridges between education and the world of work:

• • Improve engagement and interaction with educational institutes by creating partnerships
• • Foster talent by offering them meaningful work experiences, supporting their professional and personal development contents. sustainable transformation @ work labor market scan social innovation programs conclusions and recommendations