• ​The number of workers in Romania who want to change jobs is increasing due to inflation.
• The majority (57%) of respondents claim that their salary is only enough for daily expenses.
• Almost a third believe that official diplomas are not relevant to the job.
• More than half believe that AI will have a positive impact on their profession.

In 2023, the number of workers in Romania who want to change jobs within the next 12 months has increased, with 18% of respondents to the current edition of the PwC Hopes & Fears Workforce survey expressing this intention, compared to 16% in 2022. Young people of Generation Z, i.e. workers between the ages of 18 and 26, are likely to change jobs at 28%, followed by 22% of millennials between the ages of 27 and 42.

“Slowing economic growth and inflation have reduced purchasing power to record levels over the past decade, affecting workers’ incomes. While companies have generally made efforts to mitigate the effects of this economic climate by raising wages, the steady rise in prices over the past two years has prompted many workers to consider changing jobs. Therefore, in addition to the impact of numerous crises on the economy, which require the transformation of business models, companies must adjust their policies in the field of personnel management”, said Dinu Bumbeca, managing partner of PwC in Romania.

In this context, the percentage of workers in Romania whose salary is only enough for current expenses has increased this year from 55% to 57%, and 13% say they struggle to pay their bills every month. At the same time, the percentage of workers who want to ask for a raise increased slightly, from 40% in 2022 to 41% this year, while the percentage who want to ask for a raise decreased from 39% to 31%. To supplement their income, 10% of workers in Romania say they have a second job, a percentage point below the overall level of 16%.

As a result, overall job satisfaction continues to decline. 53% of local respondents say they are satisfied, down one percentage point from last year.

“The overall level of job satisfaction has decreased compared to previous years due to many factors. Economic problems, war, health and social uncertainty during the pandemic increased anxiety, exhaustion – burnout and ultimately dissatisfaction. What companies can do to help and engage employees: Put more focus on health with a data-driven approach. Decisions require a lot of analysis, but it is important that more and more organizations are aware of the changes and have a different approach,” says Daniel Angel, Partner, Head of Tax, Legal and Human Resources, PwC Romania.

Companies have outdated recruitment methods, and employees do not understand the urgency of professional development

In a competitive job market, employers are losing valuable talent due to outdated approaches to hiring and development. For example, 37% of Romanian workers surveyed say they have skills that aren’t clearly visible from degrees or previous job titles, and 25% say employers focus too much on history and not enough on skills . Therefore, it is very likely that companies do not recognize the skills that employees possess and that they could use for the benefit of the company.

Moreover, 31% of Romanian workers say that their formal degrees are not relevant to the job, and another 37% indicated that they missed out on opportunities because they did not know the right people to recommend them.

“We have long been talking about the mismatch between existing skills and those needed in the labor market, in the context of digitalization and transformation. Estimates show that new technologies will affect 5 to 10% of jobs in every organization every year. This situation may become even more complex – given the excitement as well as anxiety surrounding artificial intelligence – and will require increasingly complex learning that includes not only technical skills but also human skills such as creativity, communication, critical thinking and problem solving. Human skills cannot be replaced by an algorithm and help people adapt to new contexts and new technologies,” says Oana Munteanu, Human Resources and Organizations Director at PwC Romania.

So while employers predict that in the next five years, workers’ skills will be destroyed and require upskilling, workers think a little differently. Only 37% agree that the skills needed to be successful in the workplace will change significantly in the next five years, and only 42% say they have a clear idea of ​​how the skills needed for their job will change over that span time

The younger generation is more optimistic about the impact of AI on their careers

Survey respondents are mostly optimistic about artificial intelligence and point to its positive impact more often than its negative impact. More than half (57%) of Romanian workers selected at least one positive statement regarding the impact of AI on their careers, such as that it will increase their productivity, enable them to learn new skills or create employment opportunities, while a third (33%) selected although b one negative statement.

The survey also found demographic differences in employee attitudes toward artificial intelligence. Baby boomers (ages 59-68) and Gen Xers (ages 43-58) are much more likely to expect AI to have no impact on their careers, 39% and 29% respectively, compared to 21% of Gen Z and 26% Millennials.

About the PwC Hopes & Fears workforce

The survey, in its second edition in Romania and fourth worldwide, collected responses from almost 54,000 employees from 46 countries and territories, of which more than 500 from Romania

Article supported by PwC Romania