An increased opportunity for internal mobility and career development remain key components for employee retention and attraction, said business and employment-oriented platform LinkedIn.
In its Global Talent Trends Report, LinkedIn said that giving in to these demands, while also factoring skill-based recruitment and employees’ working preferences (whether remote or hybrid) could give companies an advantage over their competitors.
Additionally, the latest data also shows that despite the challenging economic environment, workers and job-seekers retain pandemic-era priorities — such as flexibility, balance, and upskilling.
Employers must meet workers’ needs while ensuring company culture remains strong and bottom lines intact.
However, a perceived lack of employee growth opportunities and skill use threatens businesses, as employees are 10 times more likely to be job-hunting if they feel their skills are not being put to good use.
Bracing for an economic downturn
In eight countries included in LinkedIn’s Workforce Confidence Index, the confidence of workers and job applicants in their ability to improve their financial situation decreased or remained low.
LinkedIn Principal Economist Guy Berger said that this is an effect of the uncertain economic environment.
Berger suggested that employers should help their workers by “doing more with less.” Providing low-cost, high-value benefits may be more appreciated. Reassuring your employees that they are being heard could also boost their morale in the workplace.
LinkedIn VP of Global Talent Acquisition Jennifer Shappley said that candidates these days are looking for companies that will value their whole selves and provide support in achieving work-life balance.
As employers and talent leaders, you need to be prepared to speak to candidates about what your organization values the most and how you show support to employees.
Shappley stated that doing this is not just a hiring strategy. It is also key to ensuring that the best talent would not look for new opportunities outside the company
The global economy is cooling
However, LinkedIn also reiterated that the global economy is cooling, giving way to layoffs, inflation, and low confidence on the part of workers and job-seekers.
LinkedIn Chief Economist Karin Kimbrough said that the power employees hold over their employers — such as demanding more flexibility and higher salary — “is likely to start leveling out in the coming months.”
In a sample of 14 countries, the report revealed that the hiring rate decreased in all of them over the past year. India takes the lead, slipping 18% year-on-year.
As organizations brace for an economic downturn, they are changing how they run and grow their businesses to focus more on having the right people with the right skills in the right roles. This skills-first mindset will help businesses better navigate turbulent times.
Kimbrough advised employers to continue understanding “the skills your employees have, and the skills your company needs. That understanding will help you weather economic highs and lows, and labor-market volatility.”