As companies prepare for another year of attracting, hiring and retaining employees, there are a few developments and trends in the HR and TA industry they should keep an eye out for, says Neil Costa, CEO of HireClix.
The world of work has changed significantly since 2020. Many organizations have adjusted their business strategy and approach, which has resulted in a change to their people strategy. More importantly, employees’ values have evolved. The “great reshuffling” taught us that employees are willing to move jobs for more balance, greater flexibility and growth opportunities. Many workers are no longer willing to stay with organizations if their needs and values are not aligned.
Sourcing the right talent continues to be a huge challenge for companies in the current labor market and will continue into 2023. And with the complex business environment of low unemployment rates amidst fear of layoffs and hiring freezes, Human Resource (HR) and Talent Acquisition (TA) leaders are getting mixed signals.
As companies prepare for another year of attracting, hiring, and retaining employees, there are a few developments and trends in the HR and TA industry they should keep an eye out for, including a focus on internal mobility opportunities, a consumer-like experience from career sites to attract employees, and creating and showcasing an authentic brand.
Prioritization of Internal Mobility
Companies will focus on providing more opportunities to internal employees by being more transparent about job openings and the internal hiring process. This is necessary to improve retention and provide the career growth employees crave. Recent data from the LinkedIn Global Talent Trends Reportshows that companies that excel at increasing opportunities for internal mobility have better retention, as employees who make an internal move are more likely to stay at their organization than those who stay in the same role. It is often easier for an employee to find an opportunity outside their current organization than inside. Executives will realize that internal mobility processes that are not employee-friendly significantly impact their turnover. Companies should eliminate the “hidden job market” and post all open roles for employees to view and self-nominate. Hidden job markets perpetuate diversity, equity, and inclusion issues as they send the message that you must be “in” with the right leaders to find your next opportunity.
Return of Hiring Events and Job Fairs
Due to the distance created between workers worldwide at the peak of the pandemic, we anticipate everyone will want more face time when it comes to making one of the biggest decisions in life: getting a new job. We believe that both employers and candidates will want the in-person time to get to know and understand each other’s values. Employers will be able to screen employees for productivity ability, something that is crucial as they continue to offer flexibility and remote work accommodations. Job seekers will want to meet with their future employers in person as the demographics are shifting to a younger workforce that values a company’s mission, culture, and authenticity more than its predecessors.
Revamp of Career Sites
The current employment market is dynamic, and creating an engaging candidate experience will be critical as job seekers expect more from big brands. The Fortune 500 job sites will need an extremely fresh user experience and operate more like retail consumer sites such as Netflix and Amazon, and we expect about 50% of these companies to do so. This means light and easy interfaces with smooth interactions. Finding a job used to be more of a transaction, but since changing jobs is a top life event outside of growing a family and buying a home, candidates will expect more from employers. Applicant rates are declining because of dismal candidate experiences and the tighter labor market, so organizations that move with speed and creativity will establish a competitive advantage when hiring.
Increased Employer Branding Budget
Over the past two years, we learned that candidates are more selective about where and whom they work with—culture and values matter. Most employers invest little in employer branding but focus their dollars on directly driving applicants to jobs. With the evolving nature of the workforce and the challenging labor market, it will be critical for companies to create positive brand impressions across all media and marketing channels so job seekers associate a positive experience with the brand and take action to apply for a job. We will also see some organizations refresh their employer brands to address the new world of work and showcase how employers are adjusting to the needs of employees – offering in-person, remote, and hybrid opportunities. Candidates will be attracted to those companies that can be more thoughtful and make a connection using smarter strategies to get their brand in front of them earlier in their job search by authentically representing them through consumer advertising channels.
Hiring Freight Train
The looming recession will continue hiring needs in the healthcare, transportation, and retail industries. As older generations retire from the workforce and expect to travel more, dine out more, and need more healthcare services, the natural dip in the population of the younger generations will have plenty of opportunities in those industries to find great jobs. The main street storefronts and the logistics behind getting products to their destinations will generate countless jobs, even in a tight economy. Hiring opportunities remain strong within what I call the “Main Street Workforce,” as several sectors have only just recovered from the pandemic, leaving more flexibility to keep recruiting and avoid mass layoffs. It is also much easier to switch jobs within sectors on the main street because many skills are transferable. For those who may have left their job due to family obligations, COVID-19, etc., it’s easier to return to the workforce via the main street.
As companies plan, budget, and prepare for 2023, these are some potential key trends to consider in their recruiting and talent acquisition efforts. Take the time to invest in your company’s career site, refresh your creatives and build brand assets to attract the right talent. Take advantage of renewed opportunities to connect with professionals and prospective employees at in-person hiring events. Highlight alternative career paths like internal mobility and the main street workforce. Overall, continue to pivot and adapt to the changing wants and needs of the workforce – or risk losing out on attracting some of the top talents in your industry.