If I had a crystal ball that would be an easy question to answer, wouldn’t it! Here are my thoughts as we pick up pace into 2023.
Economists predict that the global economy is heading towards a recession in 2023.
In the UK, inflation has been rising for some months, fuelled by a combination of factors, including Brexit, the Covid-19 pandemic, and the Russia-Ukraine conflict. This could affect the number of available job vacancies and could also increase the continued talent shortage. However, the UK had a record number of job vacancies in the last few months of 2022, so it is unlikely that these will decrease too rapidly.
The difficulty in finding candidates to move jobs won't get any easier any time soon.
Towards the end of 2022, I was continually asked if the New Year would bring an influx of people into the recruitment market - NO was my answer! My experience is that if people want to move, they will move jobs whatever time of the year it is. The cost-of-living crisis has caused a lot of people to put their job hunt on hold as they are suddenly nervous of moving to a new company and put their own financial stability and security to the top of their agenda.
Agility will be the key to hiring, surviving, and thriving.
Despite the numerous challenges out there, people are fluid and learning how to deal with rapidly changing situations is vital to surviving and, beyond that, thriving.
Flexibility is key, as is the need to move quickly.
The old saying “you snooze, you lose” couldn’t have been more true for the last 18 months in recruitment. The pace of employer recruitment processes and decision making won’t slow down, those that are able to be flexible at all stages of the process and into employment will have a higher success rate than those that can’t or won’t adapt.
Hybrid working is here to stay.
It's not going away. Hybrid working has become and will remain a key motivator for people to move or stay put. Not everyone can offer it, but where it’s become the norm, expect it to stay as an expectation for current employees and job seekers. There’s a cost element here too with employees and job seekers weighing up the costs associated with WFH and working in an office, such as car parking and travel.
Positive candidate experience, stand out from the crowd.
It is expected that there will be an increased focus on the candidate experience during the whole job recruitment process. Employers cannot afford to take ages to respond and not responding at all sends a strong negative message that will undoubtedly be shared throughout social networks. To attract the best talent, employers will need to focus on the recruitment experience and highlight to potential candidates why it is their job should be considered.
Happiness is key for employee retention.
We can also link positive candidate experience to general job engagement. It is essential that employers keep employees engaged to increase employee retention. In 2022, one of the main reasons for employees leaving a job was unhappiness in the role, highlighting the importance of creating a good job culture. If employees experience a positive culture, they are less likely to look for outside job opportunities. There is an increased focus on well-being, and it is essential that employers consider this when they are recruiting
Retirees re-entering the workforce.
Due to the increasing costs of living, many retirees are being forced to re-enter the workforce to top up their funds. Often, they are taking part in low-skilled and part-time jobs. This influx of new skilled workers could help to fill some of the jobs which employers have been struggling to fill and could help to decrease the ongoing talent shortage.
Pay.
Half of UK workers realistically expect a pay increase of more than 10% in 2023 according to a recent report by CV Library. We are seeing a wave of strike action in various public sectors across the UK as people demand more money to cover their costs.
Benefits are becoming more important.
People of my age (53 +) will be looking at pension contributions, but also a lot of people will be looking at basics like holiday entitlements as they strive for a better work/life balance.
So that's my take on what I think. There may be points that I have missed, so please do feel free to message me with your comments [email protected].
We are living in an incredibly volatile time, where we must expect change rather than fear it.
I'm more than happy to chat to anyone looking to recruit and doesn't know where to start, or wants some help with salary benchmarking, writing compelling job ads and interviewing advice.