Having heard about 'The Great Resignation', you are probably familiar with warnings of a new talent shortage in the coming months. A recent study showed that 58% of hiring managers struggle to find candidates who possess the skills and experience. Businesses can suffer significant losses.
Even with in-house HR support, many businesses don't always use the proper recruitment methods to attract talent. Likewise, established strategies such as increasing salaries may no longer be effective. The shortage of talent impacts employee morale and makes it more difficult for businesses to meet deadlines and meet client expectations.
HR departments have begun preparing for the inevitable talent shortage. Read on to learn more about how to mitigate the current talent shortage.
1. Review of Salaries, Bonuses and Incentives
As the talent market becomes increasingly competitive, top candidates demand the highest salaries and benefits, while existing employees are more likely to switch jobs for a higher salary. Due to the pandemic, many employers offer attractive packages with tangible benefits to attract candidates. In light of economic conditions and everyday challenges, employers have many opportunities to contribute to a positive work environment.
Consider benefits and non-salary incentives such as signing bonuses, child care assistance, tuition reimbursement, paid time off, sabbaticals, gas cards, and fitness memberships to attract the best candidates.
It is essential to do your research and not assume your business offers the best salaries without checking the current compensation trends. One of the best ways to get the latest information on wages is by talking to a recruiter since they are familiar with salaries and negotiating strategies across various industries and companies.
2. Nurture Internal Talent
Hiring managers strive to get more from existing employees to counteract talent shortages. It is usually more effective to fill vacancies. Current employees are invested in the company and have become part of its culture. They can easily transition into their new roles. A company's broader pool of talent, consisting of current employees, is often untapped. Having access to vital information about your talent pool – their skills, experience, and qualifications – is helpful when it comes to identifying potential candidates.
Assessing your talent pool allows you to identify existing employees who have the potential for upskilling and reskilling. You may not be able to hire every candidate you need within your organisation, but you can recruit more effectively from external sources if you know your internal talent pool.
Leaders must also invest in programs that train employees to advance their careers within the organisation by investing in professional development. To achieve internal mobility, employee retention, and long-term success, organisations should provide upskilling and reskilling opportunities through training, guidance, and mentoring programs.
Sourcing internally is a proven method for retaining employees and preventing skills shortages in the future. Most employees appreciate having the opportunity to develop their skills, which increases their loyalty to the company.
3. Modify Your Hiring Criteria
As employers struggle to find qualified candidates, now is a good time to re-evaluate hiring standards. Enhancing the candidate experience goes beyond making it easier for candidates to apply. It considers everything from how you make your first impression to applying, selecting, and hiring.
Most job seekers say their candidate experience impacts their opinion on a company and interest in working there. A lack of follow-ups tends to be a major complaint. Lack of communication raises red flags, as the interviewing process is cumbersome and time-consuming. So you might consider automating some communications with job applicants.
Instead of focusing on advanced education and specific experience, employers might look for quick to learn and flexible workers. They might be able to find talent faster and easier in that case.
4. Adopt a Flexible Work Schedule
Because of the COVID-19 pandemic, many organisations have adopted remote and flexible working practices. The result is that candidates expect their employers to be more flexible with their schedules and locations.
According to research, only 17% of employees prefer to work from the office every day. Additionally, more than 54% of workers are considering leaving their jobs after the COVID-19 pandemic if they don't have access to flexible working hours. You can increase your chances of attracting talent by introducing more flexibility. By reducing overhead costs, you can access overseas or interstate talent pools.
5. Embrace Your Values and Ethics
In recent years, corporate social responsibility (CSR) programs that encourage companies to be more socially responsible to their employees, stakeholders, environment and the community have gained increasing importance.
Workers have a strong desire to work for companies that share their values and adhere to them. CSR programs may involve volunteer work, corporate donations, conservation projects, equity, diversity, and inclusion initiatives.
Candidate consideration of ESG issues is increasing in job searches, so companies that pay attention to ESG will likely have an edge in the market. Maybe now is the time to adopt some best practices if your company hasn't focused much on ESG. Consider how you communicate your ESG efforts to your staff and the public if your organisation is already striving to improve and experience continuous success.
To demonstrate their commitment to social responsibility, employers with strong CSR programs should promote their initiatives externally via marketing collateral, corporate websites, and social media and post job descriptions.
Survive Talent Shortage Today
Recruitment leaders must identify and address why employees leave in the first place. Identifying and addressing the root causes of employees leaving is essential. Employee turnover affects companies' bottom lines and their workforces and cultures.
Salary is not the only way to attract talent, and you should find new ways to attract talent. Companies with talented, engaged, and dedicated employees are more likely to succeed in the long run.
Buchanan Search is dedicated to bringing forward-thinking companies and motivated graduates together. If you are looking for the best career opportunities or the right entry-level employees for your company, we are here to help. Book a strategy call today to help you with your recruitment process.