The labor market, driven primarily by COVID-19 and unemployment stimulus, has not recovered to pre-pandemic employment levels and has changed materially over the past year with demand for new employees far outweighing the existing supply of job seekers, which has created immediate challenges for hourly employers across the country.
With the shift towards a “job seekers market”, the typical applicant flow dynamics and assumptions have changed as competition for a smaller pool of job seekers has increased, which has impacted job board algorithms, employer expectations for volume of applicant flow, and the cost to acquire a new hire.
Ultimately, hiring is tough! We will help you troubleshoot, find areas of opportunity, and learn how to get more candidates in a challenging labor market.
In reviewing this information and framework, the employer and recruiter should consider the requirements of the recruiting technology in order to drive the maximum potential applicant volume.
- The recruiting platform creates reach for the employer to publicize job positions to as many job seekers as possible
- The employer must create and offer compelling employment that can attract job seekers in a low supply and competitive labor market
Considerations When Analyzing Applicant Flow
Elements within an Employer’s control
- Has the employer updated its perspective, expectations, and approach to recruiting to reflect current labor market dynamics?
- Is compensation, benefits, perks, bonuses, etc., competitive for a position and geography?
- Are job postings written clearly & concisely with emphasis on key benefits of the position and working for the employer?
- Does the employer have strong brand awareness? If not, how does it drive awareness to its positions?
- Are strong recruiting processes used throughout the organization to ensure the best results are achieved?
- Is the employer using a simple mobile-first application process to increase completion?
Job Seekers & External Factors
- Is this a competitive position to fill within the industry, brand, and/or location?
- What is the labor supply for a given geography?
- Where do job seekers typically look for job postings for a given position, industry, and market?
- What is the impact of COVID, expanded governmental assistance, etc., on the local labor market?
- What are the competitive dynamics in the local labor market by position and geography?
Recommendations When Analyzing Applicant Flow
Hiring is like winning new customers. Competition is fierce. Therefore, employers must out-engage job seekers against the competition as quickly as possible because the best employees are hired first!
An Employer’s Influence on Recruiting
- Evaluate financial compensation and benefits relative to the market to attract and retain employees, consider tax benefits from WOTC as offsets to compensation increases.
- Write job descriptions like an advertisement. Promote the reasons current employees stay and include non-traditional benefits, like flexible work hours, promotion from within, a fun working environment, and food discounts.
- Engage quickly. Employers are 90%+ more efficient when they review and engage with applicants within 24 hours. Efficient Hire’s mobile-first tool makes this easy for hiring managers.
- Engage the way job seekers want to be engaged. Mobile-first capabilities for applying and communicating drives quicker hiring.
- Review the key hiring metrics under Employer Statistics regularly to assess performance. Look at trends on a biweekly basis to hold stakeholders accountable.
- Evaluate, adjust, and be willing to adapt sourcing expectations and strategy to reflect current labor market dynamics.
Job Seekers & External Factors
It is a job seeker’s market. Therefore, employers must understand their competition and job seeker’s options when advertising their positions!
- Make it easier for job seekers to apply to jobs using a simplified application to reduce friction in completion and minimize job seeker abandonment. Consider Efficient Hire’s Smart Chat Apply – create an easy and intuitive way for candidates to apply for your jobs!
- Assess the competitive positions and table stakes to attract job seekers in local markets (e.g., compensation, benefits, perks, flexibility), review existing postings, and adjust as appropriate.
- Ensure all local market forums used by job seekers are being leveraged to advertise positions.
- Reset applicant flow expectations based on competitive landscape/position demand and available labor supply for position types in local markets.
- Consider employment benefits that can offset the impact of COVID and governmental assistance.
Evaluate your Hiring Incentives and Offline Marketing Materials & Strategies, put a plan in place, then; implement, rinse, repeat! It’s tough out there, especially for hospitality and restaurants! And stay tuned! We’ll be publishing more great examples for what has worked well for our customers and other creative ways to optimize your recruiting process. If you’re looking for more help getting candidates in a challenging labor market, get in touch with our sales team today!