THE EMPLOYMENT MARKET IS CONFUSED
Do not be concerned if you are finding that there is a lot of unhinged, conflicting discussion, describing what is happening in the employment market. It is confusing and showing no signs of becoming clear any time soon.
Look at the amount of attention that has been applied to ‘The Great Resignation’ phenomenon which no one can really describe or predict in terms of whether it may come to all, if any markets. Lots is being said, with little understood.
Let us consider what the world has been through during the last two years and how that has meant that there is a need for serious changes to the way that we act and behave. Then, we can pick a few employment market variables and look at how they have been affected.
Let’s begin with a global pandemic which has resulted in close to 250 million people infected and in more than 5 million deaths. Following on from the pandemic is a vaccination regime which varies greatly by country. It has resulted in over 7 billion doses enabling full vaccination of 3 billion+ people, representing 39.5% of the overall population. We have come a long way, with much further to go, not the least of which is the general approach to living and working in a post COVID world.
There are many opportunities and challenges in our new world, and these continue to be the topic of many studies and subsequent articles (which will not be addressed in this article).
In terms of the employment market let’s have a look at the major stakeholders who come into play in the employment process: candidates, employers, government, and recruiters.
Although having the upper hand in the hiring process, candidates are in the most case less competitive than they were. They demand unreasonable flexibility and improved rewards but are basically burnt out. Unemployment is around 4.5% so there is an underlying feeling there are plenty of jobs.
Employers have plenty of vacancies. They don’t realise their existing workforce are likely to leave, they are not prepared to offer greater rewards, and are evaluating how flexible they can be. This is assuming that they can set the rules (which they may not be able to). There is a salary bubble about to burst.
Statutory bodies including governments are becoming more invasive whilst trying to shift risk yet retain control. Within public utilities salary levels are on hold.
Recruiters are working in a new world of technology and AI, spending much more time brokering most employment events. They are finding it hard to meet candidate and employer expectations and working in unsupportive work cultures whilst attempting to adhere to ever increasing government requirements.
This explanation of current players and their challenges emphasises the need for recruiters (or at a minimum, accomplished professionals) to manage the process. This will essentially demonstrate an ability to set expectations at level which enable a smooth, realistic, and successful hiring process to evolve.
The underlying reality with today’s employment market is that there has been real change. The old will not necessarily exist in the new world. If you are confused, that’s understandable. But to work in the future you will need to adapt. If you have been good in the past, you can be that in the future, but you need the right model.
If your expertise is in professional recruitment, consider the Tanner Menzies Licensee model which has been tried and tested during COVID. Our unique model is operating extremely well in the post COVID environment and could provide your career solution. Call Peter Gleeson 0419367569, Ian Stacy 0417478229 or Peter Tanner 0419826637 or visit tannermenzies.net.au to find out more
Written by Peter Gleeson.