Candidate availability has now been dropping for the past 12 months, which is represented in the labour shortages that UK faces today.
Recruiters are filling a record number of posts, but demand is continuing to rise. Businesses that are meeting their needs, are working cohesively and in collaboration with recruiters to ensure the positioning of roles to be filled is correct to drive the right talent!
Businesses and candidates are feeling increased pressure with inflation, I believe businesses should be investing in training at all levels and that the government should be focussing on working with businesses to address the major skill gaps that currently exist.
February 2022 Recruitment Insights
- Slower rises in permanent placements and temp billings
- Availability of staff falls at a sharper rate, pay pressures intensify
- Vacancy growth accelerates
According to the latest KPMG and REC, UK Report on Jobs survey, “the UK recruitment consultancies registered a further marked increase in hiring activity during February”.
Candidate supply falls at the quickest rate for three months
At Citrus Connect, we have experienced a decline in candidate availability. This combined with robust demand for staff and low supply has led to further upward pressure on earning potentials available for direct sales roles.
Regional and Sector Variations
Data broken down by region showed that permanent staff appointments expanded at slower rates across all four English areas except the North of England. All four monitored English regions noted slower expansions than at the start of the year. (REC)
Historically marked increases in vacancies continued to be seen across both the public and private sectors during February. Growth of demand was strongest for permanent staff in the private sector.
7 Recruitment Trends to Look for in 2022
1. Candidate-driven market
As the applicants begin to hold more power, they can easily negotiate better salaries and benefits from the companies that are desperate to secure the talent. Therefore, we encourage more creative recruitment strategies and employer brand communications.
2. Selective applications
Due to the shift in the market, employers can expect to see a decrease in the applications, as candidates become more selective and considered about the jobs they apply for or are simply overwhelmed by the sheer amount of jobs ads out there. Employers must make their workplace desirable and prioritise the elements that will appeal to their target candidates.
3. Diversity, equity & inclusion is a must-have
According to McKinsey’s Diversity Wins report, companies in the top-quartile for ethnic diversity on executive teams are 33 per cent likely to have bigger profitability. In 2022, Diversity and Inclusion is no longer a ‘nice-have’ – it must be central to the company’s values and business practices.
4. Remote recruitment is here to stay
Regardless of whether the workforce is back in the office or continues to work from home, remote hiring is here to stay. Interviewing virtually not only allows recruiters access to a larger and diverse talent pool with a wider skill set, but it is a time-saving, efficient way of completing the initial parts of the hiring process. With remote work frequently being an option for communications and marketing professionals, embracing streamlined, remote recruitment that is not limited by geography, is a trend that will remain prevalent in 2022.
5. Employer branding is everything
The more information candidates have about the company and its mission, culture and purpose, the more likely they are to have a positive impression and apply for the job. In addition, a strong employer brand can lead to a 28% reduction in staff turnover (VMA Group). You will also be able to take advantage of a greater reach at a lower marketing cost, as nothing is more powerful than word of mouth.
6. Longer notice periods
While three-month notice periods for senior hires have been an industry standard for some time, sales and marketing roles that do not require as much experience are more likely to entail a notice period of at least two months now. As employers are trying to hold on to their best talent, we can anticipate that these trends will continue into 2022 and beyond.
7. Focus on retention
Finally, as the market continues to be driven by the candidates, employee engagement and retention is a great talking point – a point I have been drilling into our client base for more than a decade.
As we head into the second quarter of the year, it is time for employees to rethink their careers and consider their opportunities, as there are more options than ever before. With so many companies competing for the best talent and offering increased salaries, onboarding bonuses and flexible work, retention should be top of the list when devising business growth plans.
I have said it time and time again, candidates value company culture and loyalty rewards over everything else. Businesses must take this into account when trying to attract and retain new employees.
So I leave with you this last thought, do you know why your sales staff are leaving? Do you know your retention rate and is this a consideration in your growth plan?
As Einstein says, you cannot expect new results with old habits, especially in this new world of recruitment. Wishing you a restful weekend.