As of June, more than 9.5 million Americans were unemployed and job hunting. Simultaneously, there have been 9.2 million job openings.
Many people would quickly return to work, but that hasn’t been the case. The question that many hiring managers are asking is whether or not this is cause for concern? While the stats may set off alarm bells, the fact that employers are having difficulty finding enough workers isn’t all that surprising.
Some states are reducing unemployment benefits with the belief that this will make unemployed individuals more willing to return. However, on the employer’s end, is there anything that can be done?
In order to navigate this crisis, we need to understand why it’s happening in the first place. Here are some things every organizations should audit in 2021.
The job’s value is more than just the wage
A big mistake hiring managers make is putting value solely on the salary. Compensation level is certainly a huge factor that has contributed to many jobs staying unfilled. An extensive benefits package isn’t always enough. Beyond facing the repercussions of economic inflation, workers are unsatisfied with the actual growth trajectory of their roles. With many businesses still picking up the pieces from the previous year, many companies are still in “repair mode”. This doesn’t leave a whole lot of growth for the organization and in turn, doesn’t leave a lot of growth for the employees.
Meeting candidate’s expectations with working conditions
Workers want better working conditions. The virus opened the door for many companies to lower working conditions while trying to maintain standard protocol. Tough and difficult choices were made, and as a result, many employees came out of the pandemic feeling used. The peak of the virus has ended, so if the status quo didn’t evolve in the past year, it’s practically guaranteed that people will leave. It’s no surprise that companies that cut down salaries are struggling to bring in additional talent.
Flexible positions attract candidates
Flexibility is the theme of this year. A large percentage of company leaders realized that they didn’t need to be confined to an office to complete their job. With a new wave of remote work, companies that are unable to keep up the pace, are also not going to be able to keep up hiring-wise. It’s much harder for employers to justify an office presence when employees are able to work remotely.
Companies can’t go back to the old ways of doing business. In order to keep up with today’s market, employers will have to adapt to a new world of work.