It has been yet another eventful year for recruitment, with companies from every sector fighting to find and retain skilled workers as we emerged from the COVID-19 crisis to face a new string of obstacles. 

Aside from facilitating several operational changes, such as accommodating remote interviews and hybrid work policies, 2022 has also seen some significant shifts in attitudes towards work life. ‘The Great Resignation’ continued to interfere with staff retention, with a June survey finding that 6.5 million UK employees planned to leave their jobs in the next year. Most employees that quit were looking for higher pay and better work-life balance — factors that we expect to continue impacting the 2023 recruitment landscape. 

Recent research revealed that 70% of HR professionals believe the cost-of-living crisis is the most significant challenge for the year ahead, as the risk of not being able to compete for the top talent increases. As a result, next year’s recruitment trend predictions revolve predominantly around ways to mitigate the knock-on effects of inflation. 

So, what are the main factors that will shape recruitment efforts in 2023 — and what can you do as an employer to have the best chance of securing and retaining a skilled workforce? 

 

Benefits and perks will become a need, not a want

Today’s employees look for enticing benefits packages that go beyond basic pay and entitlements. From offering employee development programmes and four-day working weeks to cycle-to-work schemes, complimentary refreshments and retail discounts, these perks will be the defining factor of many job offers in the foreseeable future. 

It is also important to note that many workers still struggle with their well-being in the post-pandemic world, with 37% of people concerned about their mental health and 40% about their physical health. Establishing an employee assistance programme (EAP) that can offer practical advice and resources for any issues your staff may have can help to ensure your existing teams and prospective employees feel supported. 

 

Hybrid working policies will answer calls for greater flexibility

There is now no doubt that hybrid working is here to stay. A massive 87% of UK office workers want to work from home at least some of the time due to the safety benefits for immunocompromised people, promises of better work-life balance and reduced commuting costs — especially considering current inflation rates. 

 In 2023, employers that still enforce compulsory office attendance should consider introducing a more flexible model. Flexibility will be non-negotiable for many candidates in the new year, so it is essential to reconsider more traditional working contracts to meet changing expectations. 

 

Company culture will remain the cornerstone of employee satisfaction

Despite the many benefits of flexible and remote working, these models can have interpersonal drawbacks for workers. As many as two-thirds feel that working from home has negatively impacted their variety of social interactions, with 36% saying this is because they have lost contact with work friends. This isolation adds up, resulting in heightened stress, decreased productivity and poor employee satisfaction. 

To counteract this problem, you must develop a healthy and inclusive company culture upheld by thorough and informative onboarding procedures, regular check-ins and a focus on employee wellness. 

 

A transparent employment contract will help you win over applicants

As candidates’ priorities and expectations change, there is a greater need for transparency throughout the recruitment process — especially regarding salaries. Most UK workers would be more likely to apply for a job if the pay is included in the job listing, especially as the rising cost of living forces more employees to reconsider their financial position.  

Plus, salary transparency can help to eliminate discrepancies between equally qualified candidates of different backgrounds — a vital consideration as diversity and inclusion come under the spotlight, and people become more conscious of gender and ethnicity pay gaps. 

 

‘Power skills’ will become the new ‘soft skills’

Teamwork, communication and an eagerness to learn have proven essential in post-pandemic workplaces, giving rise to the new name for ‘soft skills’: ‘power skills’. This term describes transferrable skills such as creativity, flexibility and emotional intelligence that are at the heart of any successful team. 

Hiring managers will be looking for ‘power skills’ in 2023, as it becomes increasingly valuable to have employees that can adapt to the ever-changing business landscape and ensure operations do not fall short of the mark during the implementation of new procedures. 

 

Social media and online presence will be crucial to appealing to younger candidates

As time goes on, more and more people from Generation Z (those born between the mid-to-late 1990s and early 2010s) enter the workforce. The younger generation makes up one of the largest audiences on social media, so marketing your brand on platforms like LinkedIn and updating your website will be integral to your hiring efforts. 

Your company’s digital presence should reflect its values, goals and successes to avoid deterring this new wave of candidates. Engaging in topical discourse and sharing industry insights on social media can be a great place to start. 

 

Advanced technologies will help mitigate the talent shortage

In 2023, recruitment professionals will continue to embrace artificial intelligence (AI) and data-driven solutions to help streamline candidate selection. For example, using AI-powered software to screen applicants based on variables like grades and personality traits can reduce the time between application and interview, helping you make a good impression on candidates.  

Investing in recruitment technology will be crucial to eliminating costly inefficiencies, allowing HR and recruitment teams to work smarter, not harder. However, establishing and maintaining human connections will remain the key to standing out from the competition and securing the best employees.  

 

If you need assistance preparing for the 2023 recruitment landscape and navigating next year’s recruitment trends, contact us at 01252 718777 or email farnham@howett-thorpe.co.uk to find out how our services can help.