Why You’re Losing Out on Great Job Candidates
Want some sure-fire ways to lose out on the top candidates you need to drive your digital transformation?
Here are some ideas to consider…
Have candidates interview everyone under the sun within your organization
Spend weeks dithering
Have unrealistic expectations about required skills needed
Set salary rates not in line with market dynamics
Have limited flexibility when it comes to remote work
In case you didn’t know, tech talent is in red-hot demand. And they have some new demands themselves.
“The market is so crazy hot that we can’t keep top candidates on the market for long,” said Jayson Spaits, MATRIX Director, Direct Hire Center of Excellence. “A top candidate can quit their job with no job in hand and go out of the country for two weeks, come back and get a job the next day after they return,” he said.
Companies who haven’t updated their ways of thinking from “old school to new school hiring” philosophies are losing out, said Spaits. “Having an internal HR resource do an interview, then the team lead, the manager, and the director — that just doesn’t cut it anymore in this market,” he said. “I have seen candidates get a job from just a single phone interview.”
Data from the MATRIX database supports the trend that candidates are moving fast.
MATRIX job order time-to-fill has shortened over the past year:
Direct hire jobs – 50 days on average in 2020 vs. 28 days in 2021
Contract jobs – 19 days on average in 2020 vs. 15 days in 2021
COVID-19 has contributed significantly to this speed-to-hire trend. Virtual sourcing, recruiting, interviewing, and onboarding technologies have streamlined the process to the point that in-person requirements have almost disappeared from candidate requirements.
And with multiple offers to consider, top candidates are often choosing the companies who offer the big bucks.
According to Marketwatch, ”In 2020, even as the economy contracted at its steepest pace since World War II, technologist salaries in the U.S. increased 3.6%, reaching an average of $97,859, according to our salary survey data. Some specializations grew even more. For instance, cybersecurity analysts saw their salaries jump 16%. That momentum has only accelerated in 2021. Tech job postings surged 28% nationwide in the first quarter of this year, following four months of already solid growth, according to our research. The jobless rate in the sector is just 2.4%, compared with roughly 6% overall.”
If the pandemic didn’t already prove this point, the remote world is expanding. Candidates are expecting remote flexibility to be part of any job offer.
MATRIX Recruiting VP Justin Thomason confirmed that remote work has skyrocketed in client job orders.
“At MATRIX, in the second half of 2020, we saw a remarkable 469% increase in the number of jobs we staff for our clients that allow for remote work over the same time period in 2019. In 2021 so far, more than 75% of all of our client jobs have allowed remote work; however, nearly 50% of these jobs specify the remote option as temporary. There’s no question people are changing jobs and if your organization is not offering fully remote capabilities, you’re missing out on great talent,” said Thomason.
We predict the candidate shortage is likely to continue upward in velocity.
How can you improve your talent acquisition processes in this new normal?
Move fast. Streamline the hiring process to leverage virtual technologies.
Make sure your compensation package is in line with today’s actual salary expectations.
Be flexible with requirements. Almost nobody has all the skillsets needed for today’s niche jobs. Be willing to train up your employees to get those skills.
Value your employees. Today they are not just a cog in the wheel - they are the wheel.
Offer remote work flexibility in some form.
If you would like to speak with someone at MATRIX about these trends and receive advisement, contact us today.