Word Association: Candidate’s Market

“It’s a candidate’s market.”  That is what everyone keeps saying, but what does that mean exactly?

A quick Google search and you’ll discover that “as opposed to an Employer Driven Market, a Candidate Driven Market refers to a job market where candidates—not companies—have the upper hand. In this market, jobs are abundant, and top-tier candidates are often scarce” per CSS ProSearch. In May 2022, the unemployment rate was 3.6% for the 3^rd month in a row, down from nearly 15% just two years ago during the onset of the COVID pandemic.

Translation? Well for employers, it means you’ve likely lost hair and sleep. You’ve been forced to be flexible, creative, and compete for top talent while being mindful that your current employees may be updating their resumes and LinkedIn profiles. Recruiters like me are flooding their inboxes with opportunities offering better compensation, additional PTO, the ability to work remote, etc. It’s also highly likely that you’ve had job applicants blow off your HR staff when scheduling interviews and/or preparing offers to candidates you’d like to hire. It’s not ideal, and I don’t envy your position as everyone’s personal time is becoming increasingly more important.

But… if you’re a job seeker right now, this might feel a little like you’ve arrived at the Final Round of your favorite game show (assuming people still watch those) or you’re an all-star level athlete arriving at free agency for the first time. In any event, you’ve got options! You can be more selective with which opportunities you choose to entertain. You can tell hiring personnel that you only wish to work remote even though all their other employees work onsite. You can ask for the compensation you feel you deserve after not getting a raise the last two years due to COVID affecting everyone’s bottom line. The list is endless.

Now if you happen to work for a staffing or recruitment firm, then you may find yourself throwing your hands in the air often as the liaison between both employers looking for top tier talent and candidates seeking out greener pastures. Using our sports analogy from earlier, I imagine this is what being an Agent feels like! As a representative of the candidate, you’re looking to get them everything they’re seeking. And similarly, as a representative for client partners, you’re looking to assist them in finding the right candidate that checks all their boxes.  Because this is a candidate’s market, what I’ve found works is coaching, consulting, and advising the employer:

• Do you have flexibility with your desired schedule? Most candidates are seeking remote roles—something that they got used to during COVID.
• Do you have flexibility with your compensation range? Most qualified candidates are already earning 10-20% more than the salaries pre-COVID.
• Have you considered revisiting your benefit offerings in an effort to be more competitive? Perhaps additional PTO? Tuition or certification reimbursement? Flexible spending accounts or 401(k) matching? Health and wellness services or discounts?
• Based on the job description, which of these skills are “must haves” versus “like to haves” and are you willing to coach up a candidate that may be very strong in most areas but perhaps inexperienced in another particular area?

Communication. That’s the answer. All around.

To the job seekers, communicate your expectations clearly. It’s competitive out there. We assume that all of your irons aren’t in one fire, so please do not be afraid to let us know that you are interviewing or applying elsewhere. If you take another offer or are no longer interested in a particular position, please let us know. We don’t want to assume why we have not heard from you. Direct communication will help us share your side and will help for your reputation to remain intact.

To the employers, it’s time to think outside of the box. Schedule a brainstorming session with your HR team to generate new ideas on how you can make your company and environment more desirable. This is not just for prospective employees but also for retaining your current staff. If you don’t have a retention plan in place, you should probably get on that right away. The pool of out of work candidates is about the size of that first kiddie pool you put in the backyard from Walmart for $19.99. The people you really want to hire are already working somewhere else, so let’s come up with some strategy to attract and retain them. Culture, diversity and inclusion, and work-life balance are no longer cliché. These things matter more than ever. Also, be sure to know and describe your company mission statement and values.

Waiting 4-5 days to interview a candidate that has either applied directly to you or was submitted through a 3^rd party is not likely to yield desired results. Same goes for delaying offers. Candidates have options at their fingertips – they’re not likely to sit around waiting a week. Bill Stauffer, Managing Partner of Flatiron Search Partners agrees:

“While there are no perfect solutions for the myriad of factors that drive a candidate’s decision, the most common denominator in success for us has been speed: Speed to evaluate, sell, reference and offer a role. Candidates are not prepared to wade through months of arduous interviews and projects while they’re constantly being approached with other opportunities.”

Times are changing for all of us and the new normal is being redefined as we speak. The job seekers have the leverage right now. Let’s adjust, strategize, and prioritize. I am confident that with increased communication, compassion, and accountability, we all WIN!! 😉

 

Dave May

Technical Recruiter, TEWS Company