Insight into Recruitment Trends in 2014 | DCR Workforce Blog

Insight into Recruitment Trends in 2014

recruitment trendsTurn whichever way you might; the economy is driving everyone nuts. The economy has taken everyone on a rollercoaster ride. We are all facing uncertainty about the debt negotiations, unpredictable levels of job creation, lack of clarity about the healthcare reform mandate, and let’s not forget the shutdown and its aftermath! Everyone believed consumer and small business confidence went up – but the December jobs report put paid to the optimism. What does all of this mean for recruitment trends in 2014?

We expect to see employers hiring more temporary workers in 2014; surpassing the numbers for 2013. As per a CareerBuilder survey, 42% of employers are planning to hire temporary workers and 43% of them have plans to hire them on a temp-to-perm basis. By contrast, only 24% of employers have plans to hire full-time workers while 13% of them have plans to downsize.

Some other notable recruitment trends include:

  • Falling numbers of 1099 workers or independent contractors (as they are more popularly called) by small businesses. This reduction is directly tied to concerns regarding accelerated government efforts to uncover misclassification. However, this trend could be reversed if the Fair Playing Field Act of 2013-14 helps to simplify the regulatory environment around the hiring of such workers. Right now, the bill is still in committee, and most likely will not be passed in time to significantly impact 2014.
  • With the number of employees looking for a change of jobs being estimated at 27% to 57% by different surveys (even if the truth lay somewhere in between); and 74% of the workforce being open to taking up a temporary job – the talents wars that have been discussed for years are actually underway. It is to be assumed that companies which have taken the trouble to build their employer brand  and social media presence will emerge victorious against all others.
  • Social media and employee referrals will prove to be more useful than other sources of recruiting, helping to connect like-minded employees with the right employers.  When procuring temporary help, companies will continue to struggle with the need to qualify and screen socially sourced talent.
  • Staying connected with alumni and getting them to come back and work again with the same organization is a theme we at DCR have stressed, time and again; and as a trend, it is rapidly gaining momentum.  Especially when using contingent workers, the ability to stay connected with them to get them back on board as and when required will prove to be an extremely powerful tool in any employer’s tool kit.
  • Flexibility in work hours, telecommuting, online remote work at a global level, and other modes of delivery will become even more common than before. Most large companies have established the collaborative tools needed to facilitate a more flexible work environment.   More companies will turn to grooming college graduates to suit their specific needs through training programs, internships and other channels, which familiarize the students with their company and vice versa.  We are also seeing a significant increase in the number of companies applying “temp to perm” models to hiring.  While this approach was used selectively in the past, many companies are now applying it to all new hires. Typically, this takes the form of bringing the candidate onboard as a contractor for a probationary period (typically 3-4 months).  This avoids payment of healthcare and other benefits until the company is convinced of the ongoing value of the worker.

As you examine your staffing and recruiting plans for 2014 and beyond, we would be interested in learning  about your company’s  strategies and practices.


Disclaimer:
The content on this blog is for informational purposes only and cannot be construed as specific legal advice or as a substitute for competent legal advice. They reflect the opinions of DCR Workforce and may not reflect the opinions of any individual attorney. Do contact an attorney for advice specific to your issue or problem.
Lalita is a people/project manager with extensive experience in operations, HCM and training and development across industries like banking, education, business consulting, BPO and information technology. She believes in a dynamic approach to life and learning as change is the only constant.