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Companies are no longer desperate to fill bums on seats, with leaders being a lot more calculated in their hiring decisions.
Over the last year, the workforce has been crippled by talent shortages, affecting most industries; however, according to Jesse Shah, director at nrol, the desperation of recruitment has “slowed down slightly”.
“People are not just hiring anyone and everyone just to fill up seats because talent was so short last year; it’s a bit more calculated,” he said.
“The hiring shortage and the amount of vacancies are still not even close to be of balance yet, so the employer is still on the back foot at the moment, talent still has the upper hand, and I don’t see that changing for the next 18 months.”
With this in mind, those who have something to offer should recognise this and use it to their advantage. With plenty of workplaces scrambling to find top talent, this can be a leverage for candidates who are able to prove themselves.
“If you are top talent … it’s your market for the taking, and I don’t see that changing for some time,” Mr Shah explained.
Especially now that we’re entering the new financial year, organisations may be taking it as an opportunity to adjust processes and figure out what they need to get them through the next year. Candidates can utilise this opportunity to find out what’s on offer and get the things they want out of a role.
“Right now, it’s review season. Salary reviews, bonuses, et cetera, are coming out right now. Candidates have been chasing more balance in life, quality of life, hybrid working, but then we’re in a difficult place here in Australia with the interest rate rises,” said Mr Shah.
“Most candidates, especially the younger ones coming through, are looking to buy their first home; money plays a big part. When we finally started getting to a place where mental health and burnout was becoming a big importance again, and people taking it seriously and doing something about it, with the interest rate hikes, people have put that aside again and now are focusing on a better pay and a better rise, which comes with more stress in the workplace.”
This shift in candidate priorities can make it hard for employers to determine what approach will work best for securing talent.
“It’s a double-edged sword. Here we are as a community and a population trying to cure the mental health and focus on mental health in the workplace and burnout. But by rising cost of living, we’re undoing all the good that we’ve done in the last few years for mental health and burnout. So, it’s a double-edged sword at the moment, unfortunately,” Mr Shah explained.
Candidates may benefit by figuring out what is most important to them before pursuing a position. Figuring out what benefits you’re after and prioritising them over others can help nail a sought-after job that comes with the perks needed.
This may include mental health policy, parental leave, or a large salary. It’s all dependent on personal needs.
Mr Shah continued: “Mental health burnout is a massive part [of] the world right now, and especially people coming through in legal. It starts from law school; they’re under the pump and then trying to vie for those top firms, or they’re always under the pump and pressure.”
“So, as a business, you’ve got to take into account all these things.
“One thing that we’ve seen [a] big [amount of] is parental policies. Top firms are now offering 26-week paid parental leave, which is incredible when you think about where we’ve come from back in the day. So that’s one thing.
“Hybrid working firms have now had to adapt and accept that we’re not going to have people in here five days a week, so we’re going to [see companies] incorporate hybrid working [into their policies].”
The transcript of this podcast episode was slightly edited for publishing purposes. To listen to the full conversation with Jesse Shah, click below:
RELATED TERMS
The practice of actively seeking, locating, and employing people for a certain position or career in a corporation is known as recruitment.
The term "workforce" or "labour force" refers to the group of people who are either employed or unemployed.
Jack Campbell
Jack is the editor at HR Leader.
