Everything you need to know about the labor supply gap happening now
Posted by Tamika Figaro on Thu, Jul 15, 2021 @ 04:00 PM

In Engage2Excel’s last Conversation Series, hosted by our VP of Marketing, Melissa Meunier, and President of Recruitment Solutions, Darren Findley, they discussed the challenges employers face when looking for candidates who will fill positions in their organization. During the 30- minute conversation, Darren explained why there is so much difficulty and how employers can overcome certain challenges.

The great resignation phenomenon

Since 2020, the workforce has experienced major shifts that have affected the workforce dynamic. Many companies have had to make adjustments in their organization, resulting in smaller teams. On the other hand, some employees had to resign their position to become caregivers at home.

Following this important employee turnover, employers are noticing hesitation from candidates to come back in the labor market. Spending most of their time at home, candidates are looking for a better work life balance, adding more value to their mental and physical health, personal lives, loved ones and hobbies.

In addition, we are seeing a shift of demographics entering and leaving the workforce. While boomers are leaving for retirement in masses, Gen Z is coming into the workforce, but struggling to fill open positions with the skills required. This is causing another void, which companies are finding problematic to solve.

So, how do you attract employees?

Show you care. Since more and more candidates are becoming aware of their necessity for a well-balanced lifestyle, showing flexibility to adapt to their needs will attract them to work with you. We are experiencing a high demand in candidates wanting to work from the comfort of their homes. This is a great opportunity for companies with corporate positions because it expands their market by reaching diverse geographic areas.

Once you have expanded your reach, you need to keep your candidates interested by simplifying your interviewing process. Make it short, easy to follow and don’t delay your decision process. In many cases, employers take applicants through several tests and interviews to collect enough data to compare them. Since the shift we’ve experienced lately, employers no longer have the luxury to compare - they need to act quickly.

During the conversation, Darren mentions “People are shopping for jobs […] 58% of candidates that will accept your offer will be open to counteroffers given by other organizations.” This is creating a new dynamic in the labor market, turning the tables of negotiation now that candidates are in a position of comparing offers given by employers.

What is the key to retention?

The solution to keeping your new hires is to make them feel they have made the right choice. Managers who are engaged in their employees’ integration are more successful in keeping employees on their team. Training and onboarding are crucial for a good first impression and can determine if an employee will decide to stay or take an offer elsewhere. Make sure you have a solid training program and great mentors to welcome new hires. A work environment that stands out will increase employees’ loyalty and assure retention.

If you are interested in knowing more on the topic, I highly suggest watching the full conversation here.

Topics: recruiting

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