2018 WAS A YEAR THAT WON’T BE FORGOTTEN, particularly for U.S. employers. Over 2 million jobs were created, pushing unemployment to a historic low of just 3.7 percent. This jobless rate, last witnessed back in the 1960s, made it difficult for many companies to bring in highly-skilled permanent and contract talent. This hiring dynamic is expected to continue in 2019, making it critical that businesses re-evaluate their methods of finding and retaining top talent in an increasingly candidate-tight labor market.
Here are some employment trends to be mindful of this year:
1 | TRANSFORMATION & CHANGE
The changing nature of the workforce is spurring employers to seek new approaches to their business operations. Expect more prioritization of workforce planning and sourcing of transformational leaders that can innovate, improve company culture and increase productivity.
2 | PREDICTIVE ANALYTICS
While 85 percent of business and HR professionals acknowledged the importance of people data, only 42 percent indicated their organizations are ready to implement it fully. This is expected to change in 2019.
Predictive analytics will be increasingly leveraged by collecting early performance data on new hires and matching it against assessments that are given to candidates. This will enable companies to continually refine the profile of a successful employee and also help managers to create interventions, provide training or move team members around to increase productivity.
3 | TRAINING
Nearly 60 percent of employers said they’ll be prioritizing training in 2019 to improve engagement among current workers and attract applicants. To be successful in this effort, companies will need to be in tune with their employees’ professional desires and provide opportunities to embrace development and growth. It will be essential to create a culture that supports employees in trying new things and taking on new responsibilities.
4 | WORKFORCE AGILITY
22 percent of employers have contingent hires in place. That’s expected to reach 30 percent within the decade.
As organizations focus on bridging the skills gap and accessing skilled, mission-critical talent, they will have a greater reliance on contractors. Workforce agility that includes hiring the right blend of permanent and contract workers will be critical.
5 | BLIND HIRING
To ensure equal opportunity and deter unconscious bias, businesses are increasingly implementing blind hiring mechanisms. Anticipate more of these processes in 2019, that include the removal of data that give away key parts of a candidate’s background: gender, age, race or even alma mater. By stripping away any demographic information, the first wave of screening can be accomplished purely based on abilities and achievements.
The ongoing tight labor market means companies will continue to be challenged with finding and retaining the right employees. It’s essential that employers take note of the latest talent management trends and reflect on how their organizations can take action on these critical developments.