The unemployment rate remains under 4%. Jerome Powell, Chairman of the Federal Reserve, commented that labor demand is “very strong”, and that employers are having difficulty filling job openings.
Meanwhile, the Great Resignation continues. The causal factors – pandemic fatigue, economic stimulus, and workers shifting to remote positions – are mostly still present.
What does this mean for employers?
Unfortunately, we can expect continued employee turnover, upward pressure on compensation, difficulty filling positions, and an unrelenting push to allow and support remote workers. I don’t think that any of these problems are going away for the foreseeable future.
Fortunately, there are proactive steps that a business can take to reduce the impact of the current situation. Staff retention should be top of mind, as it is far more costly to replace the people you lose than it is to keep them. Flexibility, engagement, empathy and satisfaction are key topics to consider.
If you are new to the growing PeopleOps movement, I suggest getting to grips with the idea as soon as possible. In a nutshell, PeopleOps is a business function that puts its employees first. It involves understanding the needs and sentiment of the workforce, and running initiatives to improve productivity, support, engagement, and general satisfaction. Even a little goes a long way here – just knowing that the business cares enough to start to do something makes a big difference to your team.
Inevitably, you will encounter some level attrition no matter what you do. Plan for it, and try to gain some recruitment momentum ahead of the curve. In a competitive market for talent, you must have a robust recruitment strategy to be successful. Considering the candidate experience, your Employer Value Proposition (EVP), keeping a flexible mindset and training your interview panels to effectively ‘sell’ the company and the role are essential steps. You can read more about what an EVP can do for you here: How your Employer Value Proposition can boost recruitment results.
If you need help attracting and retaining the right talent for your business in this difficult environment, don’t be afraid of getting some outside help. Click the button below to book a free discovery call with one of our experts, and find out how we can help you reach your goals.