In 2021, many of the industries that were shuttered due to the pandemic came roaring back with a vengeance. When the recovery turned into real growth, many industries saw rapid hiring trends and quickly became short-staffed. To make matters more tricky for businesses, the uptick in demand was also met with an opposing force: the “Great Resignation.”
A record of nearly 11 million jobs were vacant at the end of July 2021. In some age groups, resignations saw a rise of 20% year-over-year. As companies struggle to get a handle on the hiring situation and continue to find and retain top talent, several key lessons have emerged. The recruiting professionals at Pinnacle share what we can learn, and how we can adapt.
1. Employees Have Power
Gone are the days of the company holding all the cards. Indeed, in the past two years especially, there has been a major paradigm shift in the way the employee-employer relationship is perceived.
There used to be an unspoken norm in the finance and accounting industries that one should work hard for the firm, represent the firm well, and so on. After all, it is the firm that pays everyone’s bills, right? Well, that perception has changed. Especially among millennials, workers have begun to see this dynamic for what it truly is: a mutually beneficial, contractual relationship. The firm is not sending employees a paycheck out of benevolence, but because those employees have traded their time, energy, and expertise for that paycheck.
In recent months, employees have started to lean into that truth to a larger degree than America has ever seen before. Employees are using the leverage they have as qualified workers to demand more comprehensive benefits and compensation packages. And the odds are only growing in their favor – due to the plethora of open positions, top-tier talent now has their pick of jobs. If there is one thing to take away from the Great Resignation, it is to respect the leverage employees now have.
2. Compensation Is Just One Component
As the job market continues to evolve on a practically daily basis, we continue to learn more about what candidates are really seeking. One key takeaway from these observable hiring trends is that employees care about more than simply compensation. Company culture has taken a much more meaningful place in the minds of employees, with negative work relationships often being cited as a reason for departure.
In the digital economy, remote work opportunities and flexible schedules are also prioritized by younger workers, in many cases above total compensation. As firms look to expand their teams in 2022, they should keep in mind that incentives such as solid health coverage, PTO, and flexibility can make all the difference.
3. Firms Cannot Hire the Same Way
The job market is simply different than just a few years ago. As a business leader, if you try to hire the same way you always have, you will be met with lackluster results. Taking the step to work with a qualified recruitment firm that has a finger on the pulse of current hiring trends and candidate sourcing methods can drastically change the outcome of your hiring efforts.
By working with the right search partner, you can leverage the collective network of professionals who have been placing top industry candidates in key roles for years. Reach out to a qualified recruiter today to learn how to navigate the current market.
Pinnacle – Your Dedicated Search Partner
At Pinnacle, we have spent the past 10 years becoming specialists on the hiring market to help make your search for the right candidate easier and more effective. We have placed top finance and accounting applicants in roles where they can make an immediate impact. Our professionals promise to prioritize your needs during the hiring process. We focus on sourcing only the best leads that represent a well-tailored cultural fit for our clients. Let our recruiters simplify the process and help you strive towards your business goals. To learn more, please contact us at 412-343-6300 or visit our website today.