The job market is softer than it was a year ago. In this climate, where fewer jobs are open and more people are applying to them, we usually see the economy and politics take most of the blame for a downturn in hiring, especially during election years. But there’s another new angle at play in our current situation…a labor and skill shortage. So, while it has traditionally been easier to hire in a softer job market, the talent isn’t necessarily there so jobs can remain unfilled longer—especially in highly skills areas. This leaves businesses in a tough spot. Here are 5 things you can do to get ahead of your competition:
1. Focus on Retention
Losing good people is detrimental because hiring, training, and coaching a new employee almost always costs a company more than it does to retain them. And in a labor and skill shortage, retention is more important than ever because you want to create a pool of experienced people who know your business and can be promoted in the future.
2. Create a Development Program
The best development programs start before there’s an urgent need. Understand what makes employees successful in your organization and identify gaps in skills and experience. Talk with your leadership to determine how you can give your best people the chance to grow their skillset and “lean in” where there is opportunity for them to learn from others. This will help you address the labor/skill shortage issue by creating your own pool of talent with the exact skills you need.
3. Look at Fresh Markets for Hiring (if Possible)
Millennials and Gen-Z make up the majority of the workforce of people ages 18-43, and according to some recent data, these generations are congregating in some very interesting locations. It’s Ann Arbor, Boulder, and Provo, UT for Gen Z, and it’s Cambridge, MA, Santa Clara, CA, Seattle, WA, and Denver for Millennials. If you’re able to hire remotely and you’re targeting these generations, we’d suggest posting your job in one or more of these markets.
4. Use Highly Skilled Talent Wisely
Your most knowledgeable and skilled people shouldn’t be spending their time on heaps of administrative work or on following outdated processes. Apply highly skilled talent in ways that most benefit your organization’s strategic bottom line and internal development goals.
5. Work Smarter, Not Harder
Be prepared to do more with less and look for ways to streamline core business functions by using AI or other industry tools. When you take administrative work off your team’s plate, you create more time for all of the above. If you aren’t sure where to dig in to this one, talk to your people or launch a survey asking for the most broken, time-consuming, or outdated process. This will help you uncover trends and identify what to prioritize.
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