The end of the year is fast approaching, and as recruiters and HR managers, we ask ourselves the question we all want the definite answer to – What does recruitment hold in 2022? We may not have the power to predict the future, but we have data and trends of the past and present. One noticeable factor we agree will affect the recruitment scene in 2022 is the pandemic that hit us hard in 2020 and most of 2021. And while we see normalcy returning, we know there have been some permanent changes in the workplace. The article will discuss some of the potential changes going into 2022.
Remote Recruiting is Here to Stay
Remote recruiting was already gaining popularity before the pandemic hit. But with the restrictions imposed by countries, remote recruiting became an adaptive strategy for recruiters and hiring managers. With the economy opening, recruiters see it as an effective option to a face-to-face interview. It has also prompted recruiters to adopt and embrace AI technology to make the recruiting process seamless for candidates. What we expect to see in 2022 is for this trend to continue, as remote work also takes root in the workplace.
A Candidate Driven Market
According to the National Bureau of Statistics, there are currently more job openings than people looking for jobs. Two key events we have witnessed during this pandemic were the high number of layoffs and resignations from the American workforce.
These events have caused a massive labor shortage in skilled workers, as many of them are also not actively searching for jobs. Candidates know this and will leverage on this. What this means for next year is companies and recruiters will need to do more to attract high-skill talents. High remuneration and other benefits will probably not be enough as companies will have to ask, “What makes us more attractive to our competitors?”
The last point nicely brings us to the third prediction on the list – company branding. The pandemic taught us to value work and life balance, and many people realized the importance of having a life outside the work environment. Because of this, candidates will be actively looking out for a place that encourages work/life balance, flexible terms, and good company culture when applying for jobs or negotiating terms with their employers.
They scrutinize the firm’s website, review sites, and social media handles. 2022 will see more companies pay attention to their reputation online regarding taking care of their employees. Expect more employee stories on company websites and social handles, employee pictures on social impact activities, and more reviews on sites like Glassdoor.
Reaching for Passive Candidates
The great resignation has seen over 4 million people walk out of the US labor market, including skilled workers. This lack of skilled labor has resulted in recruiters seeking experienced candidates already in employment. Passive candidates are ideal because of their experience and the skill set they already possess. Recruiters are already trying to poach the best from other companies, convincing them to jump ships.
A company with an excellent reputation, mission, culture, and an impressive salary will be what recruiters will offer to passive candidates. Recruiters will use forums, social media, and other unconventional means to candidate source. Expect more ads in 2022 that will appeal to passive candidates and expect recruiters to be proactive when recruiting these skilled candidates.
Investment In Tech
There is an increase in the automation of the recruitment processes. Since there is less time to attend to more candidates and fill vacant roles, recruiters are turning to technology to help automate sourcing, screening, scheduling, and chatting with candidates to increase their efficiency. A Jobvite survey found that a lot of recruiters and hiring firms are using chatbots a lot more to communicate with candidates.
Tools that bring about simplified contact search are also on the rise—making it easier for recruiters to spot talents. The year 2022 will see this trend continue as more recruiters will automate more of their processes to make sure they can recruit the best talents in the market.
Emphasis On keeping quality talent
Companies will look to tie down their best employees. Companies will have to show them they matter by meeting the demands of these employees or going proactive and offering better terms. The direction the labor market is taking sees organizations doing this now and bound to continue into 2022.
Companies Using more external recruiting firms
Hiring managers of companies have their hands preoccupied tying down valued employees. Meaning they will have less time to go after new employees. This trend has seen more organizations hire external recruiters to help with their recruitment process.
Recruiters who lost their jobs during the pandemic are regaining them back because of the high number of roles companies need to fill fast. The implication for external recruiters is they can charge more to do the same jobs, albeit under more pressure. We expect this trend to continue into 2022. And this will continue to affect the mining, retail, and hospitality sectors, which currently have the highest level of unemployment in the US.
Rise of Freelance Contract Staffs
Staff shortage has meant companies have had to turn to short-term contracts or freelance contracts to meet company goals. Fiverr, a popular freelancing website has grown three times its size pre-pandemic.
And there’s more.
PeoplePerHour, another freelance website, had 1.5 million registered as new freelancers on their website since the beginning of March 2020. The new registrations signified an increase of 63%; when compared to the year before.
These numbers show businesses are using freelancers to plug the skill gap they are experiencing. And for most, it’s a win-win situation for the two parties. It’s a comfortable situation where the employer gets the work done, and the freelancer gets paid for doing their job. It’s also easy to let them go if they don’t meet your standard and keep them for a lengthier period if they deliver quality work. In 2022, companies will find the balance between hiring freelancers for their businesses and using their employers.
Most trends that the recruitment industry is experiencing will spill over to 2022. Some may slow down as the pandemic gets under control, people deplete their savings, and normalcy follows. But we cannot predict the future, and we will have to see. Hopefully, recruiters can prepare for what 2022 will have in store for them.