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The recruitment industry went through considerable transformations in 2023, driven by demographic shifts, tech industry layoffs, and rapid technological advancements, which forced organisations to adapt speedily. For HR and talent acquisition teams, it was a challenging time to find, attract, and retain suitable candidates, especially amidst talent shortages, sliding salaries, high inflation, and decreasing HR budgets.
As we are about to step into 2024, let’s take a quick look into the top seven key recruitment trends that are going to shape the market in the forthcoming year.
7 Key Recruitment Trends
1. AI and Automation
Recruiters will continue to rely on AI and automation to make hiring a much more data-centric process and handle a lot of time-consuming and labour-intensive tasks quickly and seamlessly. From sifting through and managing large volumes of resumes to sourcing candidates (with improved candidate matching), speeding up their emailing and copywriting efforts, and conducting AI-based video interviews, modern technology will help save precious time and money while giving good results.
For instance, recruiters are likely to depend more on AI and automation to evaluate a candidate’s speech patterns, word choices, and facial expressions during a virtual interview to get important insights into the person’s skills and suitability for a given role. This will help them in their final hiring decision.
2. Prioritise Employee Well-being
Employee well-being never used to be a priority for many organisations but it all changed in the post-pandemic world. 2023 saw employers increasingly focusing on supporting employee well-being and the trend will continue in the coming years for organisations that want to survive and thrive in the highly competitive marketplace.
Employee well-being is a worthy investment because employees today are no longer satisfied with a good pay packet. They rightfully demand a supportive work environment and comprehensive benefits packages, with a holistic approach to their health and overall well-being remaining a priority. For employers, wellness benefits are a crucial tool in attracting and retaining talent, in addition to keeping them motivated enough to give their best.
3. Emphasis on DE&I
As more Gen Z’ers will enter the labour market (and could make up a quarter of all employees in 2024), DE&I will be a priority in recruitment. This generation (together with the Millennials) strongly believes that organisations should increasingly invest more in diversity and inclusion efforts to make the workplace fair and inclusive for everyone.
Since these new entrants to the workforce are willing to take a stand for matters related to DE&I, 2024 will see more recruiters and employers becoming mindful of this change and adapting their processes (bias elimination in hiring, for instance) where needed.
4. Unbiased Hiring
As employers focus more on DE&I, they will make efforts to reduce bias in recruitment to find and attract top talent that reflects society’s diversity. Thus, in 2024, it will be more crucial for recruiters to decide how they will look at and screen CVs.
Unlike traditional hiring criteria of the past, a shift toward more objective hiring will be noticed where skills will be prioritised. The goal of this skills-focused approach in recruitment will be to identify and foster the unique talents the candidates bring to the table.
5. Pay Transparency
The gender pay gap has been talked about a lot in the past, which has driven pay transparency efforts in several parts of the world. The trend is anticipated to continue into 2024 and beyond. While some OECD countries (like Finland, Denmark, Norway, France, Ireland, the United Kingdom, Iceland, Israel, Sweden, and Canada, to name a few) have already implemented private sector pay reporting requirements at the national level, others are yet to follow suit.
Initiatives like the Pay Transparency Directive by the European Parliament, which was adopted on April 24, 2023, have given traction to the discussion on pay transparency. This directive requires EU companies to share salary information and take action if their company’s gender pay gap is more than 5%. Additionally, companies will have to share salary information (starting salary or a pay range for the particular position) either in the job advertisement or prior to the job interview.
6. Recruiters to Work as Strategic Partners
Recruiters will no longer be handling just sourcing and placement of talent. Instead, they will take up the role of business leaders and work as strategic partners with an in-depth understanding of the broader business landscape. In 2024, recruiters will be expected to be well-versed in competitive positioning, data analytics (to predict talent trends), market dynamics, workforce planning, and industry-specific challenges to help their clients find, hire, and retain top talent.
Instead of limiting their role to just filling vacant positions, recruiters in the forthcoming year will play a decisive role in shaping the workforce by proactively identifying the roles and skills that will help drive business growth in an ever-changing market.
7. Boost Employee Experience
Employee experience is made of small but important interactions. It’s similar to a journey where multiple interactions with the manager, colleagues, and the company create the entire experience. When these interactions are good and memorable, they trigger good emotions, motivate the employees, and help them work optimally, which helps the organisation benefit from their excellent productivity.
This means understanding employee experiences and focusing on making them better constitute a win-win for both employees and employers, which is why recruiters will be focusing more on getting it right in the upcoming year.
Finding and getting the best talent into the fold is no longer about just waiting for job seekers to come knocking on your doors. Rather, it’s about acting proactively and taking the necessary steps to make your organisation attractive enough for the crème de la crème to want to work for you. By staying on top of these recruitment trends, you can position your organisation favourably to grab the attention of those potential talents that you want to get on board.
In case you need help finding and hiring the right talent, you can always trust us at InHunt World!