Today you may be reading about the latest job market report released by the Bureau of Labor Statistics. Unemployment rose to 3.8% from 3.5% in July, and the job market added 187,000 jobs in the month of August, lower than predicted. The Federal Reserve is closely watching the labor market for signs that it is starting to slow, which would indicate that higher interest rates are having the desired effect of cooling the economy.
So what does this mean for talent acquisition professionals?
The cooling job market means that there will be fewer open positions and greater competition for talent. This will make it more difficult for talent acquisition professionals to find qualified candidates for their open positions.
What can TA professionals expect?
More competition. Now is the time for TA professionals to be more creative and strategic in their recruiting efforts.
A potential strain on hiring budgets. It’s time to reach deep into the pocket books (or pockets). Candidates are in a position where they may negotiate top dollar for their salaries. Employers may need to offer higher, more competitive salaries or benefits, which could strain the company’s budgets and make it more difficult for TA’s to find the best value for their company during their recruitment process.
Longer hiring cycles: It may take longer to fill open positions in a cooling job market. It may be an opportunity to try new strategies, and to consider all technologies and solutions to accelerate the hiring process.
A shift in focus. Employers may shift their priorities away from hiring and redirect their efforts towards other areas, such as trying out new employee retention strategies.
How can TA professionals still be successful?
- It’s okay to take the time to find the best candidates for your open positions by focusing on quality over quantity. In fact, making the wrong hire can cost your business more money and time.
- Lean on data and analytics for decision making. There are many tools to do this.
- Leverage your network. Openly discuss the challenges you are experiencing. You never know when or where there could be an introduction or access to a new opportunity. Join a new community to expand your network (such as RMC’s on LinkedIn.)
- Reflect upon how you can put the candidate experience at the focus of every search. Do things the right way: get back to your candidates, follow-up, thank them. If budgets cannot prevail, extending kindness can go a long way.
We at RMC aim to bring awareness to these challenges in the ever-changing jobs landscape. We are dedicated to helping you to advance your recruitment strategies by being a resource you can trust and depend on.
Please reach out to us directly, any time. [email protected]