Mechanical & Electrical

HR & Reward Challenges in M&E

1. Recruitment and retention of key skills

The most significant challenge with the sector is the deepening labour and skills shortage. Demand for key skills from fast-growing (often better-paying) sectors is putting pressure on M&E employers to establish stronger retention strategies, improve career development opportunities and reinforce EVPs.

2. Affordability challenges

Market pressures are creating affordability challenges as employers compete for the skills they need. Employers are having to navigate smaller pay budgets, whilst offering competitive rewards. There is a greater focus on more competitive pay frameworks, benefits and the wider reward package as a result.

3. Mobile, project-based workforces

Engaging and retaining employees can be difficult when employees move between short-term or location-specific projects. From inductions through to day-to-day management, employers have to be more thoughtful in how they engage a moving workforce.

4. Ageing workforce and lack of talent pipeline

M&E employers face a succession planning headache, with an ageing workforce and a need for early-careers development.

5. Limited availability of sector‑specific pay and benefits data

Generic data sources fail to capture the technical nuance of M&E roles – having access to robust market data is vital.