2021 has been a year where things have begun to get back to normal, but the lasting effects of 2020 have changed the hiring market for the foreseeable future. As we come to the end of this year and look to the next, here are our predictions for the new year and look back on what we learned from this year.
- A Year in Review
Remote work and reliance on new technology are just a few of the things that have changed the world of work, and recruiters and organizations have had to adapt and be creative in this complicated hiring market which abruptly became virtual. There is still an ongoing talent shortage, and vaccination status has, like it or not, added to an already difficult hiring landscape. Supply chain disruptions that started in 2020 will continue into 2022, as will Zoom meetings, but there are a few trends that we think will stick around…
- Current Trends
Employer branding is one of the main trends that has come out of 2020/2021. According to a study conducted by LinkedIn, 75% of candidates consider an employer’s brand before applying for a job. This means company culture, and diversity + inclusion initiatives are becoming a priority for organizations in all industries, but especially in Renewable Energy which has struggled with this in the past.
Soft skills have also become even more important in the current hiring landscape. The demand for these skills has jumped by 26% and has much to do with the ongoing talent shortage. Skills such as communication, empathy, and adaptability are important interpersonal skills that help with teamwork and help maintain business relationships, especially when teams are working remotely.
- Emerging Trends
Social recruiting is an emerging trend that has come out of the totally virtual world of 2020. Because 91% of employers were already using a social media platform in some capacity during the hiring process, there has been a natural progression to “social media recruiting.” According to Mindscope, 1 in 10 candidates have used social media to create content in an attempt to attract an employer. Now with this in mind, companies need to incorporate new and non-traditional social platforms to help gain recognition and network more effectively.
- Predictions for Next Year
Leveraging the opportunity for internal mobility and career growth as a retention strategy will be critical for organizations moving forward. The need to retain and promote from within is brought on by the highly competitive, candidate-driven market. It’s getting harder and harder to find top talent, so organizations need to find ways to attract and train candidates that may not have the perfect background and strive to retain existing talent. Once employees are in the door, organizations that offer in-house training, certifications, mentorship, and career growth will have the best employee retention..
Focusing on recruiting Gen Z and Millennials who combined make up about 75% of the workforce, will be a priority for many organizations. To attract this demographic, companies must be prepared to show missions and values that align with that of the younger generations. To really target Gen-Z and young Millenials organizations will have to show them that they not only care about making money but also ensuring the professional and personal development of employees and offering flexibility on work location and other areas.
- Final Thoughts
The labor market will continue to change. Recent reports of “professional unemployment” show it hovering around 2.5%. We currently have a labor shortage of roughly 1 million (meaning there are 1 million more jobs than people participating in the labor market). This number is projected to reach 3 million by 2025. The labor shortage is real and not going away. The organizations that can adapt their recruiting and retention strategies will have the best chance of success.
At Peak Demand, we have years of experience that will help you reduce mis-hires, increase retention, save money, and reduce headaches in the hiring process.
If you would like more information about us or you’d like to ask us a question email us at [email protected] Make sure to check out our other blogs on How The Supply Chain Stole Christmas or Hiring in the 21st Century!