The ever-increasing number of job seekers expecting employers to turn up on their doorstep, with an offer in hand, means employers are now having to play a different game to get the staff they desire.
Research from global talent solutions company Hudson shows a significant shift in the job seeker mindset, placing pressure on employers to be more proactive when it comes to finding candidates, in the most competitive hiring market since 2008.
According to Hudson’s Talent Insights research of more than 1,500 professionals in New Zealand, 46 percent of employees now consider themselves to be passive job seekers who are open to opportunities, up from 35 percent in the second half of 2016.
This means that almost half of the employees surveyed would consider applying for a great role if it landed in their inbox, or they were tapped on the shoulder by a recruiter.
Meanwhile, the number of employees who describe themselves as active job seekers has dropped significantly from 41 percent to just 22 percent.
Recruitment New Zealand regional general manager, Roman Rogers, says this reflects a change in mindset for job seekers.
“People are redefining what passive means. You’ve got this large pool of talent who are not necessarily actively looking to jump ship, however they are deliberately setting up job alerts and online digital profiles, and meeting with specialist recruiters and then keeping an eye on what’s out there so they don’t miss out on a great opportunity.”
He says that the explosion of recruitment platforms means that a lot of professionals now rely on technology to do the work for them and expect roles to come to them, rather than having to go out and look for them.
Pressure on employers to be more proactive to find the best people
Roman says the shift from active to passive job seeking means employers will need to be more proactive in the way they find and attract the best candidates, rather than relying on reactive job ads.
“Some organisations are struggling to fully leverage the tools available to find the best talent, because the adoption of technology by prospective employees is more advanced than the utilisation of it by hiring managers.”
He says employers need to take a more strategic approach to sourcing talent, which includes:
- Planning ahead for the roles they will need to hire for
- Ensuring they have a clear idea of the capabilities and experience they are looking for
- Building and nurturing relationships with potential employees at the places where they are, both online and in person, such as industry conferences
- Having a strong employment value proposition (EVP).
“Creating an appealing offering that engages potential hires with more than just salary is a must in this market.”
In fact, ‘compensation’ rated seventh in a list of factors that attract potential candidates to a company, according to a 2016 Hudson survey of candidates, coming behind: work environment, work/life balance, a challenging role, advancement opportunity, the chance to make a difference, and flexible work arrangements.
A strong and authentic EVP is even more important considering the biggest hiring challenge identified by employers in the research was finding candidates with the right cultural fit for their team.
“Cultural fit needs to be built into the hiring process from the get-go, so the right people are attracted to your organisation in the first place and are identified early on,” he says.
Competition for talent -strongest since 2008
As job seekers take a more passive approach, competition for the best people is getting tougher, with 93 percent of New Zealand employers planning to increase or maintain headcount in 2017, according to Hudson’s research.
Engaging and retaining staff -a challenge
In this environment, employers need to be vigilant to hold onto their most valued employees, Roman says.
The research showed the top two challenges identified by employers were keeping employees engaged and motivated, and retaining top-performing staff.
“Employers should be having regular one-on-ones to ensure their people are feeling engaged, motivated and valued, as inevitably their best talent is likely to be keeping an eye on the market and may well be approached with an attractive opportunity.”
Roman Rogers – Recruitment New Zealand regional general manager
