HR Recruitment Trends in 2023

October 6, 2022

15

minutes read

Benjamin Marsili

Benjamin Marsili

Founder & CEO

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If you are here, you want to read about 2023 HR Recruitment Trends… and you know what? You came to the right place !😉

Covid-19 hit the entire world, and the business world has not been spared. As you know, this is something that should not be overlooked as it has changed many things. 

"The Great Resignation" has highlighted a desire for change in the workforce. About 47 million people resigned from their jobs in 2021 in the United States. It has been explained that this large metamorphosis of the labor market is caused by a reconsideration of what Millennials and Generation Z want to do with their career. Maybe some of you are here? 🤚🏻

So here is a quick recap of what the Whire team found out to help you understand what will happen in 2023.

 

Remote work 👩🏼‍💻

85% of the Recruiters believe that remote work will become the new norm. 

Since the start of the pandemic, the workspace has changed drastically, and employees’ needs have been also subject to mutations. Worldwide, during the pandemic, with the different lockdowns, remote work was not an option. It was difficult to adapt but employees have found what works for them. 

2 days of remote work is the new requirement for jobseekers. According to HR professionals, some people, especially in the tech sector, stop interviewing because of job that do not offer work-from-home flexibility. This is a trend more notable in Asia because people don’t like to commute and fear putting their families at risk. Moreover, Generation Z, generally, prefers to work from home. In Europe, the situation is much more different: people are willing to come back to the office. In a certain way, it can be considered a cultural trend, the social environment aspect seems more important in the professional life for Europeans. 

New discussions are emerging between the managers of different departments and HR, about whether or not they should let their employees work from more exotic places. Remote work is here to stay. Thus, the HR community seems to agree on the fact that they should let their employees have the freedom that hybrid work gives them because they don’t want to lose their talents. 

💥As it is difficult to track their efficiency at home, HR tends to trust their teams and has well understood that trade-offs should be proposed to avoid losing talents…  

 

Talent shortage 🎤Where are you? 👀 

The problem is that companies have been struggling a lot lately to find new talents. The pandemic and the aging of the population create a real talent shortage. According to a Harvard Business Review “To Overcome Talent Shortages, Many Companies Are Creating Their Own Recruitment Pipelines”, in November 2021 job openings exceeded 10.5 million, which is 6.7 million more than a decade ago. 

A hunt for Soft Skills 🍦

According to a Harvard University’s research, 85% of job success comes from having well-developed soft skills, and only 15% of hard skills. 

You probably heard about soft skills before. Even if hard skills are still sought after, soft skills became a component that recruiters are actively looking for. 93% of the recruiters are considering soft skills as “essential” or “very important”. And this has been even more accurate since the beginning of the pandemic. Recruiters are looking for candidates who are highly adaptable and autonomous. They are looking for personalities who can prove that change is not an issue. But what can be done to alleviate this shortage, you may ask? 🙋‍♀️Some companies decided to collaborate with colleges and experts to create new training. Besides, they tend to work with LinkedIn to deliver their employee's licenses. But, it’s hard to assess if people are committed or if it has a real impact.

💥Bet all you have on soft skills! 

 

Employer branding 📊

“86% of HR professionals surveyed indicated recruitment is becoming more like marketing."

But what can be done to attract new talents? Companies understand that talents are looking for a strong brand culture. Job seekers want to be sure that the company they are applying to is aligned with their core values and they want to have as many benefits as possible. They are attentive to how the company can enhance the daily life of their employees. They also pay attention to a good work/life balance and if the company values mental health. As you should… dear job seekers!

💁🏼‍♀️Therefore, your future employer knows that they have to impress you if they want to have a talent as precious as you 👑 ! 

Since covid, companies are rethinking the working space: they will shift the week brief on days like Monday or Wednesday instead of Friday. Smaller meeting rooms will be implemented to let people have calls or meet in smaller groups. Then, co-working spaces are more interesting as employees can go to the nearest facility. Companies will do anything they can to please you through social media or their career website. This is called: ✨employer branding✨. 

To maintain a good image, companies use social media channels, candidate relationship management, and pay attention to the candidate experience.

  • Social media has become an important indicator for job seekers as it is the first thing they are checking before applying. Companies use a good mix of social media to look for and recruit candidates. Facebook premium and LinkedIn premium are part of the “must-have” of companies nowadays. 

  • Candidate relationship management 👩🏼‍❤️‍👨🏻 is the art of treating candidates as customers! HR teams use tools to help maintain this good relationship, such as email campaigns. It can also be interesting content that educates future employees such as videos. 

  • A candidate’s recruiting journey matters 🌍 ! And yes…the candidate must be treated well, aligned with the same goal of having the best talent possible. They are most likely to check testimonials of previous candidates before enrolling themselves in the applicant experience. It becomes a part of how the brand is perceived and it is as much important as the customer’s journey.

 

💥The goal is to make sure the brand image is consistent and appealing to candidates

Diversity, Equity, and Inclusion (DEI)🌍

In 2019, in the United States, 78% of the workforce was made of white people. 

Companies now focus on acquiring talents from all walks of life. Racism, inequalities, discrimination, and injustices became rapidly a matter of society. Finding talents coming from marginalized communities is complicated to do, as it is hard to assess how diverse a candidate is. Diversity, equity, and inclusion are also real concerns that job seekers have. According to Forbes, 80% of professionals ranked “diversity hiring” as the most important trend in the recruiting industry for 2022. 

Companies with diverse talents see their financial performances better than other companies! Surprising? 🤔Not that much…employees perform better in a company that values diversity because they feel included and esteemed. Productivity rises by 50% and better decisions are taken. It is also a way to attract high-quality talent

Thus, more companies are focused on recruiting professionals dedicated to this matter. Companies find new solutions like :

  • role model campaigns to promote an inclusive language for gender non-binary employees and others. 
  • educative sessions to raise awareness around diversity issues
  • adapting the brand culture to an inclusive experience  
  • ensuring that harassment incidents and discrimination are managed
  • creating digital content about the topic
  • External engagement. 

💥Diversity is a matter of society that every company should take care of to have better financial results but also become important in the employee's well-being. 

Sorry… but computers hire you 👽

78% of recruiting teams that use ATS find that they are easily founding great talent. 

Indeed, recruitment has been automatized a lot throughout these past years. Most hirers in today’s world are using it to charm, educate, and convert you. Softwares are widely used to improve the efficiency and effectiveness of recruitment. ATS (Applicant tracking systems) spot you and recruit you, this tool even goes so far as to schedule appointments with you. This technology assesses behavioral styles, like your ability to adapt and learn quickly. Among these platforms, we can find BambooHR, SmartRecruiters, Workday, Submitabble, Greenhouse, ZommInfo etc.. AI is everywhere: it can be a chat box that is capable of analyzing your reactions or sentiment analysis also exists to improve recruitment. What’s more, AI helps to welcome new employees and to train them.

💥Automatized systems are increasingly used and become an important part of the recruiting process.  As you may understand, jobseekers, your data are judged! It’s not really about your personality or your knowledge. However, if you manage to talk to the computers, you will have the opportunity to dazzle your recruiters in an interview. 🤩 

 

External referrals 🙇‍♂️

“​​Most companies hire 20-40% of their new hires through referrals.”

It has been observed that referrals are also an efficient way to hire new talents. Indeed, referrals can limit the cost per hire and have a greater ROI. Moreover, it has been observed that employees that have been referred stay longer and are doing a better job. Employees are a useful source if they are motivated and already set up in the company. As a matter of fact, they have a good knowledge of the company values and can better envision if one candidate is a great fit for the company or not. They can earn from $1,000 to $5,000 depending on the position of the referral and the company. But others companies will prefer to offer paid time off, a donation to a charity, or paid trip. Not to mention, some companies use outside external referral programs. 25% of companies that are using employee referrals are also using this system of external referral in 2021. This represented only 8% in 2020. Hence, external referrals are a growing trend in the recruitment world. Communities and platforms that are aiding the hiring process will surely make the difference. (Psssssst… that’s what Whire is doing! So if you are interested to hire new talents, go check it out ➡️https://www.whire.net/ ! Don’t hesitate to contact us! 😉 )

💥Referrals are an efficient way to hire new talent with the help of an intermediary of a referrer to help the recruiting team to assess if the candidate will be adequate for the job proposition or not. In return, the three parties find benefits! 

Global employment 🌐

In 1991, 2.28 billion people were employed worldwide, against 3.32 before the pandemic. During the crisis, this number decreases by 0.11 billion.

When it comes to developing new branches or subsidiaries of a business in a new country, a few questions are raised. In order to be competitive with multinational enterprises, hiring people from all over the world is important. However, this mix of people must be relevant to the business. If a company decides to install in a new country, it’s mostly to manage salaries, benefits, and other legal obligations. Some external help can be useful, like platforms that regroup people coming from different countries. 

💥To be competitive it’s an asset to have an international and diverse team, but it’s not an easy task! So external platform of referrals could lend a hand in finding interesting talents. 

Screening process 📺

According to the Gartner 2019 Artificial Intelligence Survey, 17 % of companies used AI tools in 2019, and 30% claim that they will use them by 2022. 

It’s no doubt that AI tools are an efficient screening process. According to their vendors, AI could be able to create a shortlist of 5 to 6 talents among a hundred applicants. However, it’s not an exact science for now since some applicant knows how the platforms work and they know which specific keywords they should use to have a good ranking.

💥AI had never been more present in the recruitment journey than nowadays. However, it stays a growing technology that needs some improvements.  

The constant change in the recruiter environment 👩

As it has been mentioned previously, recruitment is evolving a bit more every day, that’s the reason why the recruiter should be able to keep track of all these changes. New skills have been developed from this rough time on the digital side but on the human side also. HR plays an important role in listening to and understanding candidates/employees' needs to facilitate their development

Sources :

https://en.wikipedia.org/wiki/Great_Resignation

https://hbr.org/2022/03/the-great-resignation-didnt-start-with-the-pandemic#:~:text=In%202021%2C%20according%20to%20the,being%20called%20the%20Great%20Resignation.

https://culture-rh.com/tendances-recrutement-2022/

https://financesonline.com/recruitment-trends/

https://recruitment.com/future/future-of-recruiting

https://www.forbes.com/sites/jackkelly/2022/02/24/recruiting-trends-for-2022-include-a-focus-on-diversity-employee-branding-data-and-the-candidate-experience/?sh=428d25fbdb4b

https://www.pageuppeople.com/resource/key-recruitment-trends-for-2022/

https://www.techtarget.com/searchhrsoftware/definition/talent-pool

https://hbr.org/sponsored/2022/02/to-overcome-talent-shortages-many-companies-are-creating-their-own-recruitment-pipelines

https://kinsta.com/blog/linkedin-statistics/#:~:text=With%20more%20than%2058%20million,of%20recruiters%20regularly%20use%20LinkedIn.

https://findstack.com/remote-work-statistics/

https://www.nationalsoftskills.org/the-soft-skills-disconnect/#:~:text=Research%20conducted%20by%20Harvard%20University,and%20knowledge%20(hard%20skills).

https://www.glassdoor.com/employers/blog/most-important-employer-branding-statistics/#:~:text=86%25%20of%20employees%20and%20job,company%20with%20a%20bad%20reputation

https://bestcompaniesaz.com/workplace-diversity-trends/

https://blog.vantagecircle.com/diversity-and-inclusion-trends/

https://www.statista.com/statistics/1258612/global-employment-figures/

https://www.forbes.com/sites/gradsoflife/2022/03/31/3-ways-companies-can-advance-diversity-equity--inclusion-beyond-their-own-four-walls/?sh=2c68c0ff3721

https://www.talentlyft.com/en/resources/what-is-candidate-relationship-management-crm

https://www.g2.com/articles/recruitment-statistics

https://www.techtarget.com/searchhrsoftware/feature/7-tips-to-boost-employee-referrals

https://www.rd.com/list/soft-skills/

https://f.hubspotusercontent00.net/hubfs/552700/2020%20Referral%20Programs%20Benchmark%20Report.pdf

https://blog.coursera.org/soft-skills-stats-need-know/

https://blog.trello.com/hubfs/Managers%20Here%20Are%20The%207%20Stages%20Of%20Growing%20A%20Successful%20Remote%20Team.gif

https://c.tenor.com/mXOUgDv_f8UAAAAC/lazy-lazy-employee.gif

https://c.tenor.com/V4v05r5WG_MAAAAC/bradley-cooper-you-have-poor-social-skills.gif

https://thumbs.gfycat.com/InconsequentialBreakableFinnishspitz-size_restricted.gif

https://25.media.tumblr.com/dcc0427049caa630a6cecf097255e70c/tumblr_mkg5iiffA01s6gylgo1_500.gif

https://i.pinimg.com/originals/f9/e7/5f/f9e75fdc6ed1649cd8c1fed3340c5baf.gif

https://1951043.fs1.hubspotusercontent-na1.net/hub/1951043/hubfs/Disabilities_Final.gif?width=436&height=255&name=Disabilities_Final.gif

https://i.pinimg.com/originals/2f/53/84/2f5384c5615e7a26052cc1879d4d9ce7.gif

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