The recent wave of layoffs at major tech companies such as Meta, Twitter, and Amazon may have some HR leaders thinking that the power dynamic in the labor market is shifting in their favor, but experts suggest that this is not necessarily the case. While these layoffs will undoubtedly reshape hiring dynamics in the tech sector, the broader economy is still seeing a tight talent market, with more job openings than unemployed individuals. As a result, candidates are still in the driver’s seat when it comes to recruitment, forcing employers to focus on making their roles more attractive and meeting candidate demands.
To stand out in this candidate-driven market, HR teams must understand their data as well as their candidates. Analyzing cost-per-click advertising, cost-per-applicant advertising, and apply rates can help companies tailor their recruitment efforts to specific sectors and target candidates most effectively. Passive candidates are most likely to be reached through word-of-mouth and professional networks, while those actively searching are more likely to come to a company website or use search engines.
In addition to tailoring their recruitment efforts, companies should also focus on conveying the benefits of working for their specific organization, including bonuses and work-life balance, and emphasizing inclusive values and a business agenda that delivers to all stakeholders. With over 80% of UK employers planning to increase pay, companies must also stay competitive in terms of compensation.
Overall, the tight talent market means that CHROs must focus on candidate demands and tailor their recruitment efforts accordingly, while also understanding their data and partnering with the right technology partners and vendors to make the most of their recruitment budget.
