Hiring outlook returns to war for talent : Hudson Report
2 in 3 Australians mull a new job in 2016
SYDNEY, January 19, 2016 – Hiring intentions among Australian employers have today hit a four-year high, with new data from Hudson showing a job market in flux in 2016, as 62% of employees mull the idea of a new job.
The revamped Hudson Report: Forward Focus 2016, which now tracks the hiring intentions of 3,793 employers and the attitudes of 4,198 employees, reveals a renewed level of confidence among employers: 1 in 3 (32%) plan to increase headcount in the first half of 2016.
“While the economy is facing challenges, these results demonstrate a sense of optimism among organisations. This aligns with the trends we are seeing in our business. Employers who have been taking a ‘wait and see’ approach to hiring are finally feeling confident enough to make a move,” said Dean Davidson, Executive General Manager, Hudson Australia & New Zealand.
The industry sectors with the highest proportion of employers planning to increase their headcount are IT (46% of which are planning to increase headcount), Professional Services (45%) and Retail (36%). The top three professions that will be most in demand are Legal (51% of Legal employers will be hiring), Human Resources (37%) and Financial Services (36%).
“Some of this hiring will be the result of pent-up demand, as many organisations have tried to make do with less for as long as possible. While the main reason companies are adding headcount is to grow (50%), almost a third (30%) are addressing an increased workload,” Mr Davidson said.
The report also shows the jobs market evening out across the regions.
“As the mining boom dials down, the demand for talent has equalised across the country. The ACT, Queensland and Victoria jostle for top spot in terms of adding headcount.”
Aussie workers on the move
The Hudson Report findings suggest employers will need to step up retention efforts in 2016, to avoid their top talent being lured away. The survey of job seekers found that more than 1 in 4 (26%) will be actively seeking a new job, with another 36% identifying as ‘passive’ job seekers – those keeping an eye out or waiting to be headhunted.
Mr Davidson said talent mobility will be a defining feature of the 2016 job market.
“We are calling it a liquid market. Consumer and business confidence is trending upwards, organisations are ready to hire and employees who have been holding on will be emboldened to move. And not only are they willing to move jobs, but also industries and even countries.”
The survey found 86% of employees would move industry for the right role and 44% would move country. The cohorts most willing to pack up and head overseas were Gen Y (52% of whom would move) and male (51% of men would move versus 37% of women).
In this fluid environment, attraction and retention will be more difficult.
“The war for talent never went away – it’s just been in a temporary ceasefire. It looks as though 2016 will be the year it heats up again, so retaining talent will need to be a priority for employers. Similarly, finding and securing key talent may not be easy and organisations need to focus on building a talent pipeline,” Mr Davidson said.
What professionals want
The Hudson Report reveals the key factors prompting employees to seek out greener pastures, as well as what’s on their wish list.
The Push Factor: Why professionals would leave their current role
The Pull Factor: What professionals most want in a new role
Unsurprisingly, salary tops the list for ‘pull’ factors – what professionals want in a new role – followed closely by work/life balance.
However, dissatisfaction with a job is not driven primarily by money: boredom and a lack of career progression top the list of employee gripes or ‘push’ factors.
“Boredom is the enemy of retention. Our attention spans are shorter than ever so it’s important to keep providing employees with stretch assignments or lateral job moves. It’s also crucial to show them a clear path for career progression. Salary matters, but plenty of other factors feed into the decision process around whether to stay or go,” Mr Davidson said.
He adds the key to a successful talent strategy is connecting with employees on an individual and workforce basis.
“The Hudson Report shines a light on the minds of employees and what it reveals is a diversity of wants, needs and expectations. Your hiring and talent strategy needs to reflect the diversity of the workforce, across genders, ages and industries. But you don’t need to guess it all – ask your people what they want. Use surveys, manager feedback and social media to take the pulse of your organisation,” Mr Davidson said.
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Background on Hudson Report: Forward Focus 2016
For the last decade, the Hudson Report has tracked ‘intentions to hire’ as a status check on the Australia economy and its hiring landscape. But demand for talent is one thing, supply is another and the picture isn’t quite complete without a line of sight into the people being hired. As a result, the Hudson Report has now been expanded to include core data on job seekers and their career plans. The objective: to provide employers with key insights that help them attract and retain the best people in today’s talent market.
Hudson is a global talent solutions company with expertise in leadership and specialized recruitment, recruitment process outsourcing, talent management and contracting solutions. We help our clients and candidates succeed by leveraging our expertise, deep industry and market knowledge, and proprietary assessment tools and techniques. Through relationships with millions of specialized professionals in 22 countries, we bring an unparalleled ability to match talent with opportunities by assessing, recruiting, developing and engaging the best and brightest people for our clients. We combine broad geographic presence, world-class talent solutions and a tailored, consultative approach to help businesses and professionals achieve higher performance and outstanding results. More information is available at Hudson.com.
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Issue date: 2016 Jan 19