Employment Market Outlook: 2016
In an effort to make wise business decisions regarding the employment landscape for the upcoming year, it is well worth the time to review the overall market trends and predictions. A report from the National Association for Business Economics forecasts more hiring in 2016 and a lower unemployment rate (ultimately hovering around 5%) compared to their forecast a year ago.
Hiring managers cite high quality, skilled talent and talent retention as top priorities. Corporate Cultural Fit is also getting a lot of attention as companies realize compatibility between the skilled candidate and the work environment plays a crucial role in productivity and employee satisfaction.
The number one challenge that employers will likely face when looking to fill positions in 2016, is the ongoing dynamic of the candidate-driven market. The demand for highly skilled workers continues to rise as millions of jobs remain unfilled. So what is feeding this trend?
- Top talent has more options and opportunities available
- Compensation, benefits and relocation assistance are often inadequate
- Expectation: one person can do three jobs
- Companies want the “Perfect” candidate
- Companies don’t show the “Love”- they treat people like they are disposable
- Over 55 workers are being ignored
At the end of the day, hiring the right person remains a top priority. Having a better understanding of what type of candidate is applying for a job in 2016, will help better craft the process. Here are a few tips that employers and hiring managers can follow to help work around the challenges of a candidate-driven market such as:
- Create a more pleasant experience for the candidate. Employers have made the interviewing/ hiring process too complicated. We live in a digital age with the saturation of social media networking and immediate gratification mentality; candidates are seeking a quick, streamlined process from applying for a position to being hired. Otherwise, they have the option to move on.
- Provide advancement opportunities. Compensation will always be an important factor when considering a position, but candidates need to know there is growth potential. Career-pathing maps out a long-term plan for each employee’s incremental progression to new roles within the company.
- Make “Cultural Fit” a priority. Making sure the company’s culture and daily environment gel with a new hire’s personality is very important in creating retention. It should be clearly defined during the interviewing process.
- Work with a professional recruiting firm. Establish a true partnership with a highly skilled agency that is motivated to help you and will make the extra effort to understand your needs.
The number of jobs in the executive, managerial and professional space and potentially the overall labor market, is projected to continue to increase in 2016. Employers will need to embrace the concept of the candidate-driven market and create new strategies to improve employee retention. Companies who have always used internal Human Resources departments to effectively manage talent acquisition, may need to consider working with a third party agency who specializes in following the market trends and adjusting the processes accordingly to better fit the changing employment landscape.
Written By: Angie Barnes, Marketing Coordinator Q Works Group