Talent & Market Insights
4 Job Market Trends Impacting Recruitment
December 29, 2022
Over the last three years, the job market has experienced unprecedented disruptions and volatility. As the global economy continues to stagnate and job markets around the world tighten, modern recruiters face numerous obstacles to finding the right candidates and developing a proactive pipeline strategy.
At the same time, many employees are reevaluating their priorities, work habits, and current positions, with only 14% finding their jobs fulfilling, according to PwC. From shifting work arrangements and flexibility to compensation packages and company culture, these evolving employee demands are reshaping the way we work and, thus, the way recruiters attract and retain talent.
To help you stay ahead of the latest job market challenges, here are the top four trends and innovations happening in the current hiring landscape.
1. Tech Layoffs Still Spell Trouble for Recruiters
With experts warning of a global recession in 2023, many business leaders are being forced to rethink and restructure their workforces. Even massive tech giants like Meta, Twitter, Amazon, and more have been in the news for laying off thousands of employees. While it might seem like these furloughs will add more fuel to the tech talent pool, it seems like many employees are burned out.
A recent TechCrunch article interviewed numerous tech workers who all had one thing in common: multiple lay-offs in the last few years. As a result, tech workers have become far more cautious about accepting new positions, favoring companies that offer stability and security over fancy benefit packages or new and exciting startups.
2. Remote Working is on the Rise
In the early days of the pandemic, work-from-home models became the default for nearly every industry. Eventually, this became a preference for many people seeking a better work-life balance, and now, almost three years later, remote and hybrid working arrangements are here to stay. According to a McKinsey survey, nearly 35% of respondents are able to work from home full-time.
As candidates come to expect more flexibility in where and when they work, companies will have to adapt and accommodate these demands to maintain their workforces. While not every position can or should be fully remote, offering hybrid and work-from-home options can be an excellent way to boost recruitment and retention. Plus, full-time remote positions have the added benefit of expanding your geographic search area and, therefore, your talent pool.
3. Diversity Adds Value to Your Team
Another dramatic change impacting recruitment in the last few years has been the massive surge in awareness around social justice issues, particularly regarding diversity, equity, and inclusion (DEI). Employees want to feel represented by their company leaders, and employers want the diverse perspectives, strengths, and values that come with different lived experiences. That’s why 71% of HR professionals say their companies are creating and committing to plans that improve DEI metrics, Paychex reports.
There’s no question that DEI is a vitally important aspect of recruitment, from both an ethical and strategic standpoint. However, these initiatives are meant for HR, not PR — that means candidates are looking for actions rather than words. To truly have an impact and gain candidates’ trust, you must clearly outline your DEI plans and demonstrate real progress toward your goals.
4. Automating Tasks With Artificial Intelligence
The final trend making big waves in the job market is artificial intelligence (AI) or, more specifically, the automation capabilities AI brings. While this technology is in the early stages of development, recruiters are already using innovative tools to streamline and automate much of the recruitment process. For instance, some companies use AI for sourcing and matching talent, resume screening, and candidate engagement.
By automating these previously manual processes, AI can be a great advantage to recruiters, streamlining their workflows while identifying the best candidates for any position. However, it’s important to note that human bias and rigid frameworks can influence the behavior of AI systems. This can result in missed opportunities from candidates that fell through the cracks.
Elevate Your Recruitment Process With Envision
Are you looking to create an effective talent acquisition strategy that can survive today’s hiring climate? Envision has the full-lifecycle recruitment solutions you need to adapt to any challenge. Our flexible services accommodate your current processes, developing a proactive talent pipeline that fully aligns with your business.
Want to learn more? Contact the Envision team today to elevate your recruitment process.