The ‘art of war’ for talent escalates amid the Great Resignation
- A so-called ‘war of talent’ is causing difficulty in employee retention among organizations
- According to the study, recruiter roles have increased by more than 40% in the last year, along with a demand for IT professionals with diverse skillsets to adapt and respond to ever-evolving technologies
- According to the Bureau of Labour Statistics, the US unemployment rate hit a 14-month low of 5.8% in May 2021
Despite employees migrating between jobs for months now, the war for talent is still escalating, now slowing down. With a new generation of workers emerging and unprecedented labour market flexibility on the cards, recruiters are facing a need to adapt their roles to appeal to future job seekers.
The explosion of agency recruiters as businesses increasingly become technology-driven and agile. This has led to an increase in the recruitment industry and a surge in jobs within the human resources sector.
According to the Bureau of Labour Statistics, the US unemployment rate hit a 14-month low of 5.8% in May 2021. Companies are hiring quickly as the pandemic wanes in some countries, and the scramble undoubtedly increases the need for recruiters.
Several companies are now investing more than ever into employing the right talent for specific job roles. This can be seen in how businesses use a more comprehensive range of workforce solutions and recruiting agencies to find candidates with niche skills, competencies, and experience.
War of talent is causing difficulty in employee retention
In a recent study, it was found that 73% of companies believe that recruiting and hiring the right people is critical to their success. Employee retention continues to be a huge concern, with 90% of companies stating this as a significant challenge.
In the age of digital transformation, businesses are looking for IT professionals with diverse skillsets that can adapt and respond to ever-evolving technologies. The IT industry is constantly evolving and becoming increasingly complex, as it faces disruption from innovative technologies like cloud, software APIs, DevOps, 5G, and more,
War of talent has increased recruiter roles
According to the study, recruiter roles have increased by more than 40% in the last year, with demand for these niche skill sets. The study highlights that HR remains a back-office function.
And yet, it is increasingly recognised as an essential business partner for talent acquisition and management. This can mean additional costs from training new employees and lost productivity during the transition period between managers.
Digital and artificial intelligence are changing work
As employers look towards the future, digital platforms and artificial intelligence (AI) play an even more significant role in our lives. As technology continues to evolve, one must begin to imagine the possibilities for how this will impact the world of work.
According to PwC’s Workforce of the future: The competing forces shaping 2030, digital platforms and AI already play an essential role in developing all ‘Four Worlds of Work’, matching skills to an employer, capital to investor, and consumer to the supplier.
An MIT paper predicts that AI will continue to drive massive innovation that will fuel many existing industries and could have the potential to create many new sectors for growth, leading to the creation of more jobs.
Reports have shown that 90% of leading businesses already have ongoing investments in AI technologies. More than half of businesses that have implemented some manner of AI-driven technology report experiencing greater productivity.
Flexible working becoming a more in-demand option
Since the pandemic, flexible working has become a more in-demand option for job seekers. What was once an afterthought is now necessary for many workers juggling work, family, and social commitments.
Though it’s been around for decades, remote work is becoming increasingly popular among professionals. The need for flexibility offers employees greater choice around their work hours and location, reflecting a fundamental change in their lives — specifically, in how they spend their working lives.
7 February 2023
6 February 2023