If you’re still thinking retention is simply about ‘more pay’ or ‘office versus home’, you’re missing the bigger shift. Our recent Workmonitor Pulse research reveals something far more fundamental: employees are still willing to negotiate — but on their terms. The workforce is increasingly selective about what they will trade and what they won’t.
We surveyed 5,250 workers across seven major economies, including Australia. Here’s what they told us, and more importantly, what it means for you.
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1. employability is the new currency of loyalty
The retention conversation is no longer just about remote working vs onsite. The big shift? Employees want assurance they’ll remain relevant.
- Worldwide, 67% of workers say they would choose increased employability (the ability to stay relevant, skilled and secure) over the option to work remotely.
- In Australia, that figure rises to 71%.
- A majority (59%) say employability matters more than having an “exciting/inspiring” role.
- 52% globally say they would prefer skilling/training opportunities over remote working.
What this means for employers: Think of employability Australia as the new entry-ticket for talent engagement. If you want flexibility and loyalty, you need to offer career insurance — ongoing skilling opportunities, manager-led development and pathways that aren’t just about next month’s role, but next year’s relevance.
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2. stress has become a dealbreaker
It’s tempting to assume pay is king — but that assumption is increasingly flawed.
- Globally, 60% of employees say they would rather move to a less stressful job than chase more pay.
- 40% have already accepted a lower-paid role in exchange for less job stress.
- These preferences cut across generations and job-types — so this isn’t just millennials being “picky”.
What this means for employers: Stress isn’t a “nice to have” to tackle later. It’s a retention risk. If your leadership isn’t already having the conversation about workload, pace, role clarity and support—now is the time. Because burnout and isn’t just a wellbeing issue — it’s a flight-risk indicator.
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3. flexibility isn’t dead — but time beats place
Where you work is less of the issue when it comes to retention. When and how much agency an employee has over time matters more.
- Globally, 59% say they’d rather have autonomy over when they work than a higher salary.
- And 56% say they prefer control over their hours rather than control over their work location.
- Remember: workplace flexibility means many things. Control over time is now the currency.
What this means for employers: Stop asking your people “Will you come into the office?” and start asking “How can we let you shape your working hours and commitments?” An employee’s output and outcomes matter more than their physical presence.
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4. want people back in the office full-time? there’s a cost.
If you’re considering brining workers back to the office full-time, the trade-off your employees expect is clearly rising.
- If mandated to return full-time to the office, talent expect: • 65% greater schedule or time autonomy • 64% higher pay • 61% more annual leave
- At the same time, among fully remote workers: • 74% would require more flexible hours if they returned to the office. • 75% expect a higher salary. • And 66% more leave days.
- Considering a mandated return-to-office without adequate compensation? • 38% globally say they would consider quitting if asked to come back to the office full-time.
What this means for employers: You cannot just flip the “office full time” switch and expect loyalty to remain unchanged. You need to make it worth their commute. Articulate the value of being in-person and compensate accordingly (understanding salary inflation) or you risk losing people. It’s about connection, purpose, energy — not presenteeism.
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5. long-term retention: it’s far more than a pay-rise
Employee retention isn’t won by one big move — it’s built on an ecosystem of fairness, development and values.
- 74% of respondents say receiving annual salary increases that keep pace with inflation is critical to their staying.
- 68% cite strong manager support for their career development as essential.
- 67% say shared organisational values help them stay.
What this means for employers: Retention is personal. One-size perks don’t cut it. Your people want to know you see them, support their development and share the same “why”. Make sure managers are equipped for career conversations. Make sure your values are real. Make sure raises keep pace with reality. Employees aren’t looking for “jobs” anymore — they’re choosing partnerships and purpose. If your EVP doesn’t reflect reality, they’ll trade you in.
so what should employers do right now?
Here’s a working equation for retention for the year ahead:
- Employability gets talent in.
- Stress reduction keeps them steady.
- Time autonomy builds trust.
- Fair value exchange builds loyalty.
Here are some practical steps for business leaders:
- Flip the retention narrative: Present learning and career development as a core part of your value-exchange, not a nice-to-have. Link training and workforce skills development to real career pathways.
- Re-frame flexibility: Instead of “where you work”, ask “how we can give you time autonomy”. That’s where the sharpest return sits.
- Treat stress reduction as a business strategy not an employee wellness initiative. The ROI on mental load reduction is retention.
- If onsite is required: Communicate why, involve talent in the discussion, and map out the “what’s in it for you” concretely (time autonomy, pay, leave). Don’t “mandate”. Motivate.
- Equip your managers: Coach them. They’re your retention frontline. Give them conversation frameworks, data and coaching to talk career, not just tasks and KPIs.
In my view, this isn’t about chasing the next shiny perk. It’s about a fair and transparent value-exchange between organisation and talent — aligned to today’s market realities. The organisations that win will be those that listen closely, adapt thoughtfully and lead with longer-term vision.
Leaders who balance these trade-offs and lead with adaptability will be best placed to earn trust, strengthen engagement and build a resilient, productive workforce. As leaders, the question is no longer “What do we offer?” It’s “What do we offer in return?”