Businesses are bolstering efforts to improve the workplace experience, fueled in part by record low unemployment and a spike in business confidence, according to the 2018 Talent Trends Report released by Randstad Sourceright.

The report’s survey included more than 800 C-suite and human capital leaders in 17 countries. It found 51% of employers plan to increase their investments in on-site benefits and innovative technologies this year to improve productivity and retain top talent. This comes as 70% of companies report an optimistic business outlook for 2018, while concerns for talent scarcity continue to remain top of mind, according to the report.

“Beating the competition for talent in 2018 begins in the workplace,” said Randstad Sourceright CEO Rebecca Henderson. “Record low unemployment levels and a growing skills gap are driving employers to focus on improving their overall workplace experience so they can retain top employees and attract potential talent.”

Three-quarters of respondents said they plan to enhance their company’s comprehensive hiring processes over the next 12 months by investing in innovative HR technologies and data analytics platforms.

One out of four companies plan to shift more permanent positions to temporary or freelance talent to address the rising talent shortage, according to the report, with 76% reporting that the right person for any role may be an employee, contractor or contingent worker and could come from anywhere in the world. Human resources is the job family most likely to shift to freelance or temporary, cited by 30% of respondents, followed by procurement/purchasing and operations at 28% and 26% respectively.

The report also found a surprisingly limited number of companies are investing in on-site training programs to prepare their current workforce for in-demand jobs of the future, according to Randstad Sourceright. Only 11% of those surveyed said they plan to provide training or reskilling to existing employees within the next 12 months. With talent acquisition challenges becoming increasingly complex, the report emphasizes that reskilling current workers can be part of a comprehensive strategy for companies to acquire critical resources while boosting employee retention.

“At the end of the day, companies faced with a tight labor market must pursue a multi-pronged hiring strategy that incentivizes top performing employees, while attracting hard-to-find talent,” Henderson said. “By implementing an integrated talent approach, companies can improve their workforce agility, retain top employees and increase their employer value proposition to better manage talent and drive overall business growth.”

The report offered five ways to create an experiential advantage:

1. Get feedback on what’s important. 
2. Ensure a friendly environment.
3. Reinforce the value of workers’ mission.
4. Communicate with talent.
5. Get collaboration throughout the company.