The unemployment rate is defined as the percentage of workers who are not currently employed and are actively looking for a job. As this rate lowers, job-hunters enjoy the advantage of a buyer’s market. But what does this mean for employers?
Generally speaking, competition to hire is intense. Restaurants can’t find delivery drivers because they can make more money in ridesharing; livestock processing facilities can’t reach full capacity because of the strong competition for skilled labor; retailers can’t find staff to fill seasonal or part-time jobs because full-time positions are readily available. Additionally, high turnover has steadily increased as baby boomers retire and current employees take advantage of better opportunities.
To retain qualified staff, employers have had to become more creative in their offerings. In retail for example, some organizations are offering work from home flexibility (customer service via online/video chat) or extra hours to existing employees rather than seasonal hires. Other initiatives have included the addition of “Employee Experience” management positions to help ensure employees stay engaged, motivated, and loyal.
Employers have also had to become more innovative in recruiting new employees—millennials in particular. Studies indicate millennials are looking for a career package that includes career mobility, diversity of responsibilities, a work/life balance and a culture that values social responsibility. These same requirements play sharply into holding on to employees since the best retention strategy is often a strong recruiting strategy. With that in mind, following are a few key points that make up a strong recruiting/retention strategy.
Culture and Policies
More and more, individuals want to work for a company that mirrors their values and needs. Providing health insurance, competitive compensation and a retirement-savings plan is essential in recruiting employees but other soft incentives such as flextime or time off to volunteer show potential employees the company is committed to accommodating their work/life balance.
Also, real-time feedback, rather than an annual review, keeps employees in the know about their professional development. Many organizations now “partner” their employees with mentors so they can not only benefit from ongoing communication, but as employees retire or move on, they are passing down knowledge rather than simply taking it with them. It’s a win-win for everyone.
Recruit from Within
It’s said sideways is the new up in today’s employment landscape. Mobility opportunities that allow employees to move across different departments or even change their career path appeal to all generations. This helps employees stay engaged, grow their skills, and with talent management planning, helps the organization build future leaders while retaining company culture.
Training and Development
Both new and existing employees benefit from ongoing education and tools that help them thrive in the organization and grow professional skill sets. When this is combined with mobility opportunities, the stage is set for an enhanced experience that can integrate employees more fully into the company, improve teamwork and increase productivity.
HR has a pivotal role in recruiting and retaining employees, and their tasks can be made easier with the help of the right technology. New technology in the form of applicant tracking software (ATS) helps to streamline the recruiting process and provide richer insights into the candidates. Additionally, millennials are far more apt to use technology for job searches, so an organization that relies on paper-based applications and on-boarding would be seen as outdated and may be scratched from their list.
Recruiting and retaining top employees is vitally important to any business. Organizations with a solid strategy are more likely to succeed in matching the best people to the right jobs – and in keeping them on board.
This blog published with edited content from the original article: https://unicornhro.com/blog/how-low-unemployment-rates-affect-recruiting-retaining-employment-strategies/