There’s a lot happening in the world right now, and the same can be said for recruiting.
We speak with candidates, hiring managers and executives on a daily basis. A lot of the questions we’re currently fielding are related to the market– “Is the economy growing? Is it stagnant?”, “What companies are hiring? Who’s laying off?”, and “When should we look to hire our next XYZ Marketing Leader? What’s the base salary for that position?”
While it’s important to keep a pulse on the market, there are other new changes and forces affecting recruiting. That means what was true a few months ago is already outdated– that salary survey you bought at the beginning of the year is no longer accurate… the office beer tap is no longer widely enjoyed as most people work from home… an entirely new generation of people is entering the workforce and expected to be supported in a different way… the list goes on.
Recruiting is a continuous evolution. And part of helping our clients future ready their business is looking at the big picture. Here are some of those trends we’re seeing right now:
1. The job market is thriving during economic uncertainty.
What we’re seeing: Despite economic unknowns, the job market continues to experience a remarkable surge– providing ample opportunities for job seekers. May’s jobs report once again crushed expectations, and we’re still seeing significant growth across digital, healthcare retail and software.
Why it matters: While open positions are up, employees are quitting less. In turn, the “great resignation” has given way to the “great stay”– bringing new challenges to employers when it comes to finding great talent. In turn, the job market’s resilience and adaptability have created opportunities for individuals seeking their new dream job.
2. Staying competitive means gearing up for Gen Z.
What we’re seeing: Step aside, Millennials– Gen Z is about to become the most populous generation. According to Deloitte, over 33% of the world’s population considers themselves Gen Zers. But what’s important is that they’ve also become the most diverse generation in the nation’s history.
Why it matters: Gen Z’s increasing presence in the workforce will make and break many industries and businesses. To win the hearts of Gen Zers, companies and employers will need to highlight their efforts to be good global citizens. And actions speak louder than words: Companies must demonstrate their commitment to a broader set of societal challenges– from diversity and inclusion, to climate change and hunger. Yet few companies seem ready to support these initiatives.
3. Remote work has changed, but flexibility is here to stay.
What we’re seeing: Remote work has shifted in a major way over the last several months. Companies and employees alike have a desire to get back into the office in some capacity. This is reflected in our recent recruiting– 93% of the roles we’ve placed in 2023 are hybrid or in-person. The numbers are even higher for companies with under a couple hundred employees. They really crave that in-person, tight knit collaboration. Zoom burnout is real, and in creative environments, brainstorming and ideating just isn’t the same over video.
Why it matters: With the state of work ever changing, the one thing that’s here to stay is flexibility. A recent study from WorldatWork and FlexJobs found 80% of companies now provide employees with flexible work options. Companies that embrace flexibility– showing up for important meetings and discussions over requiring employees to sit at their desks all day, every day– will thrive. And employees that are open to a hybrid work setup will ultimately have more opportunities than those that are unwilling to show up at least part of the time. In fact, HR experts warn that companies without such options are currently losing out on up to 70% of qualified candidates. This makes sense given the win-win benefits of flexible environments- happier employees, reduced disruptions, enhanced productivity, and reduced overhead costs, just to name a few.
Additional insights: Executives have a lot to say about returning to the office. Read more here.
4. Employees are no longer moving for jobs.
What we’re seeing: Employees are much more reluctant to move for a new job than they were before the pandemic. According to a recent survey, only 1.6% of jobseekers relocated for new positions in Q1 2023. This is the lowest percentage ever recorded– with a 3.7% dip from Q4 2022 and 4.6% decrease from Q1 of 2022.
Why it matters: With the rise of remote work, the red hot job market and the high cost of housing, candidates have been less willing to pick up and move their families across the country for a new job. This in conjunction with the “great stay” are likely to create a new wave of recruitment challenges for employers.
Final thoughts.
In the midst of all the ongoing changes and uncertainties, one thing remains constant: the strength of the job market. It’s a dynamic landscape that is constantly evolving, and staying up to date is crucial in attracting and retaining the best talent. The traditional approaches of relying on outdated salary surveys or assuming the same hiring practices no longer suffice. New generations entering the workforce have different expectations and values, placing importance on companies’ efforts towards social and environmental responsibility. To attract and retain the best people, businesses must showcase their commitment to broader societal challenges like sustainability and hunger.
The My Marketing Recruiter team understands that recruiting is an ongoing journey. That’s why we work closely with our clients– asking the right questions and keeping a finger on the pulse of the ever-changing market. Our aim is to help clients future ready their businesses and adapt to the shifting demands in the job market.