Recruiting, Talent, Technology

Where Businesses Plan to Focus to Overcome Talent Shortage

Motivated by a shortage of talent, and fueled in part by record low unemployment and a spike in business confidence, companies are bolstering efforts to improve the workplace experience.

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So finds a global survey of more than 800 C-suite and human capital leaders, conducted by talent solutions provider Randstad Sourceright.

Making Improvements

Indeed, 51 percent of employers plan to increase their investments in on-site benefits and innovative technologies this year to improve productivity and retain top talent.
“Beating the competition for talent in 2018 begins in the workplace,” said Rebecca Henderson, CEO of Randstad Sourceright. “Record low unemployment levels and a growing skills gap are driving employers to focus on improving their overall workplace experience so they can retain top employees and attract potential talent.”
Over the next 12 months, three-quarters of respondents say they also plan to enhance their company’s comprehensive hiring processes by investing in innovative HR technologies and data analytics platforms. In fact, more than 76 percent say they expect talent analytics platforms to play a critical role in sourcing, attracting, engaging, and retaining talent this year. Still, employers stress that technology must be coupled with expert insights to deploy a hiring strategy that is personalized and engaging for each potential candidate.
Additionally, one out of four companies plans to shift more permanent positions to temporary or freelance talent to address the rising talent shortage, with 76 percent reporting that the right person for any role may be an employee, contractor or contingent worker and could come from anywhere in the world.
“At the end of the day, companies faced with a tight labor market must pursue a multi-pronged hiring strategy that incentivizes top performing employees, while attracting hard-to-find talent,” said Henderson. “By implementing an integrated talent approach, companies can improve their workforce agility, retain top employees, and increase their employer value proposition to better manage talent and drive overall business growth.”

Missed Opportunity

While the survey suggests companies plan to make a number of changes, it also points to a possible missed opportunity. Surprisingly, a limited number of companies are investing in on-site training programs to prepare their current workforce for in-demand jobs of the future.
Only 11 percent of the human capital leaders surveyed say they plan to provide training or reskilling to existing employees within the next 12 months.

Other Key Findings

The survey also identifies several other talent trends, including:

  • HR technology: Sixty-eight (68) percent of C-suite and human capital leaders believe technology has made recruiting simpler and more effective, while 70 percent say it has helped to make smarter hiring decisions.
  • Business optimism: Seventy (70) percent of employers anticipate their business will grow during the year ahead, up from 64 percent in 2017.
  • Candidate experience: Ninety-two (92) percent of employers believe a positive job candidate experience is critical to attracting and engaging talent. Three-quarters (75 percent) say they plan to improve their candidate experience in the next year.
  • Automation adoption: Eleven (11) percent of companies plan to adopt automation and robotics to a greater extent over the next 12 months.