The war for talent is underway: How to attract and retain employees when the battle is on

Julien Gargowitsch, CEO of Nicholson Search & Selection

Two years ago, HR leaders were put into the difficult position of having to make multiple redundancies, implement forced work from home orders and put a stopper in the hiring process, resulting in fewer jobs for more candidates. When offices finally reopened, at least partially, they had employee and workplace safety protocols to get to grips with, all amidst the continued economic turbulence caused by the coronavirus pandemic.

In 2022, we’re looking out at a very different landscape. As a result of lockdown (one, two and three) employees were forced to take stock of their current positions, their circumstances and their desires, inspiring many to hand in their notices in search of better opportunities that are more closely aligned with their personal needs and values. This phenomenon, known as the Great Resignation, has become a global affair, with studies revealing that 40% of employees worldwide were considering handing in their notice in 2021, and this year, in the UK, more than two-thirds (69%) are thinking of resigning.

Now, with a surplus of jobs and not enough candidates to fill them, a war for talent is taking place amongst organisations for the recruitment and, crucially, the retention of skilled employees who have taken time to reconsider their value in the workforce. This, according to HR professionals, is set to be the HR and recruitment industry’s biggest challenge in 2022.

Whilst there’s no silver bullet for the war for talent, there are ways companies and HR leaders can beat the odds ahead of the battle. With the exception of remote and flexible working, the fundamentals haven’t changed, with five things remaining important to candidates: career progression, job satisfaction, job security, location/commute and compensation. When put into current context, these manifest as questions around company culture; how employees are supported, developed and valued and can contribute to a company’s mission to make a difference; and, of course, remote and flexible working arrangements, which have become common and even expected.

With candidates operating in a market where multiple employers are vying to impress them, how can companies set themselves apart from the pack, get their job listings noticed and keep the talent they worked so hard to win? The key lies in placing the employee – prospective or otherwise – at the forefront of the company. Below are some key takeaways to consider, which will help employers ensure they are head and shoulders above the rest.

Prioritise work-life balance

Covid-19 breached the borders of home life, blending the personal with the professional in a way that led to employees working around the clock and, in many cases, burnout. A business is only as good as the sum of its parts, or rather its employees, so it’s vital that continued focus is put on cultivating a healthy work-life balance.

Getting creative with staff benefits can prove key here in both attracting and retaining talent. A number of companies have implemented a four-day week, for example, seeing great success, productivity increases and growing workforces. Nicholson Search & Selection recently took this a step further, introducing a new perk that allows employees to work from anywhere in the world for up to one month. Such initiatives enable colleagues to prioritise their health and well-being, spend time with loved ones and embrace passion projects. All these things lead to better engagement and job satisfaction long term.

For many candidates and current employees, improved work-life balance involves flexible, hybrid or remote working arrangements as a legacy from the pandemic. In fact, 3 in 10 job hunters say they are looking for flexible working in their next job compared to just 17% in 2019. Similarly, for those already working in remote or hybrid conditions, 42% of employees said that if their current company stopped offering remote work options long-term, they would look for a company that does.

Invest in processes from hiring to onboarding

Before all else, employers must ensure that their recruitment and onboarding processes are smooth, sleek and efficient in order to be successful in this war for talent. In this age of remote or hybrid working, many organisations are working to improve their onboarding process where it has proved difficult. With a hybrid model looking to be the shape of the future (41% of employers in the UK anticipate they will have adopted a fully hybrid working model by 2023), noting the limitations of these processes now and investing in their rectification will pay dividends later.

A good onboarding program can increase staff retention by 82%, in addition to boosting productivity, profit and company reputation. Studies of graduates consistently highlight the importance of thorough onboarding and considering turnover for new hires is at its peak within the first 90 days of employment, this process is key. When onboarding programs are neglected, companies experience failure rates of 50% in retaining new talent, according to research, impacting not just the employee but the employer’s bottom line. When done right, your investment in upgrading your processes from hiring to onboarding will result in a satisfied, excited and engaged new employee.

Technology can help streamline these processes, but additionally, ‘soft’ skills will prove increasingly important. When candidates now have a greater understanding of their value, hiring managers will need the right people skills to attract and hold on to staff. Likewise, as the future of work has become more remote and more hybrid, leaders will need to be able to better deal with overwork, burnout, and address ‘weak ties’ amongst teams. And with more openings than ever, the competition is on.

Show commitment to upskilling, reskilling and growth opportunities

Today’s candidates and new hires are expressing huge amounts of interest in growth opportunities, citing it as a key driving factor in their search for a new position. In fact, 80% of individuals seeking new employment post-pandemic say they are concerned with career growth. For this reason, dedicating time and money into upskilling, reskilling and training new and prospective employees – and crucially, communicating that commitment – will prove pivotal in distinguishing companies from their peers.

This doesn’t extend only to the essentials. Reskilling and upskilling non-technical employees in data analytics, chatbots, low/no code tools, machine learning, automation, and software platforms is becoming increasingly popular amongst the world of work. In tandem, leaders will need to ensure these employees have a good understanding of using these technologies as part of their jobs.

Whilst digital and tech skills are highly sought after due to the major shortage in this area, companies should ensure they also invest in training that employees want to, not just have to. In doing so, you link training to career development, the benefits package, and ultimately talent retention. For companies that don’t have a learning and development team, partnering with an Edtech provider will prove useful.

Listen to your employees and empower middle management

The UK loses £70 billion each year in lost productivity from disengaged employees. Organisations must listen to what their people are saying and look for around all the above points and then implement positive change, remembering that the attitude and tone from the top set the ‘feel’ for the rest of the company. Seek feedback from your existing employees’ hiring and onboarding experiences and learn from them.

It’s vital that employers and recruitment professionals are at the forefront of changes and trends in hiring more generally, but also amongst their own teams. Middle management is an often-overlooked section of the workforce, yet they are the people leading and managing teams on a daily basis. Therefore, actively seeking their feedback is crucial as powerful agents of change and goes a way to ensuring an organisation is seen to be one that puts its employees at its core.

Businesses are increasingly recognising the importance of recruitment, not only in terms of numbers but in attracting and retaining top tier talent. With the battle raging on and no discernible end in sight, it’s likely that these efforts will increase – so employers should get ahead now, implementing these strategies to ensure they remain competitive, visible and employee-led.