As Labour Market Slows Companies Look At Alternative Ways To Attract Talent
As the ONS releases its latest labour market update, we look at the challenges facing businesses searching for new talent and what they can do in response.
Job vacancies remain higher than unemployment
A small drop in vacancies and in overall employment are signs that the post-pandemic bounce has reached its end. But vacancies remain higher than unemployment, which is at historic lows. This means it is still a good time for those looking for work but challenging if you’re looking for new talent in your business.
The big economic issue remains the capacity of our jobs market. With inactivity still high amongst those seeking work, the number of workers we have is restricted, meaning that it is still difficult for firms to hire. To overcome these difficulties companies, need to work on their approach to attracting more candidates, looking at a wide range of issues from flexible hours to staff facilities. The Government also needs a plan to help if it’s hoping to boost growth. The latest CBI report is urging more action on childcare and a pragmatic approach to immigration to help meet the needs of the UK’s jobs market and skills shortage. Radical reform on how to improve skills, moving on from the struggling Apprenticeship Levy, is also an area that needs more work.
Could temping help bridge the gap
Shortages mean that firms are feeling pressure to raise wages, which is also driven by rising inflation for households. This only increases the need for businesses to manage their overall pay bills in ways that allow for higher pay that firms can afford. We’re seeing firms looking towards using more temporary work as a tool to try new ideas, resolve shortages or meet unexpected demand at a time like this. Temping gives employees flexibility over when and where they work. Temping opportunities may also tempt those that left the job market after Covid back into work on at least a short-term basis to help ends meet with rising household bills over the winter.
Temporary workers make a huge contribution to our economy and may be an alternative for employers to consider filling gaps in their work force. Employing temporary workers is also a good way to assess exactly what resource and skills you need in your future team. Many recruiters persuade good temporary worker to stay with them on a permanent basis, using the time as an extended interview.
Appointments personnel work with a large pool of temporary workers, to assess if this is a good solution for you get in touch with the team on 01782 338787.