The Employment Market- What It Looks Like At The Moment
The employment market has been through a turbulent few years following the COVID-19 pandemic. Working conditions have changed, employee demands are evolving, and millions of people are leaving their jobs in what’s being called the great resignation.
Given the volatility of the market, it’s crucial that employers and jobseekers stay on top of market trends to avoid any unexpected surprises.
With this in mind, here are three trends in the employment market and the jobs that will be most in demand over the next few years, helping you stay on top of the employment market in 2023.
1) Top Talent Is In High Demand
In 2021 there were more open positions available than candidates, particularly when it came to scouting top talent. This trend carried over to 2022 when hiring became even more difficult for recruiters. Employee demands started to change, with many employees planning to change jobs.
A survey conducted by Robert Half found that an estimated 47% of all employees will be looking for a new job in 2023, which means businesses need to offer additional benefits to attract the individuals they want.
With more job applicants realizing their worth in the job market, this divide between the number of job vacancies compared to applicants is growing, especially amongst younger generations. According to figures from the Office for National Statistics (ONS) roughly 32% of 21 to 24 year olds plan on leaving their current employer, while 27% said they plan to do so in the next six months.
If businesses and recruiters want to not only attract but also retain top talent, they’ll need to offer great working conditions, benefits, and pay. If they fail to meet the demands of job seekers, the number of open positions will only continue to grow.
2) Wages Are Increasing But Employees Aren’t Satisfied
The recent cost-of-living crisis has given employers little choice but to increase wages. The latest ONS figures show that wages in the private sector have increased by around 7.2%, but this number is just 3.9% for public sector employees. Given that the official inflation rate in the UK was 10.528% (with most shops increasing prices by even higher rates), employees have taken a huge pay cut in the past year.
However, simply throwing money at the problem isn’t enough to keep employees satisfied. With mental health issues higher than ever and job satisfaction hitting new lows, employees need more than just money to be satisfied with their jobs.
According to Matt Weston, the Senior Managing Director at UK&I, BeNeLux & UAE at Robert Half, employees want tangible career development opportunities, well-being packages, and workplace flexibility.
3) Remote Work Has Become The New Norm
Throughout the global pandemic, workforces worldwide started working from home. Some had the luxury of a home office, while others worked from their kitchen tables. While many people first thought of this as an inconvenience, it’s changed the way employees work, with many actually enjoying working from home.
According to the Opinions and Lifestyle Survey (OPN), 78% of people who worked from home found they have a better work-life balance, with 52% reporting they can complete work faster due to fewer distractions.
This survey is supported by another conducted by FlexJobs, which found that 58% of employees wanted to work from home permanently after the pandemic, while 39% would prefer a hybrid work environment.
With the demand for hybrid work schedules growing, corporations will need to be flexible to attract top talent. Although this shouldn’t be seen as a negative for employers. With in-office jobs no longer being mandatory, recruiters are no longer reliant on the location of an employee and can therefore recruit from a wider talent pool.
What Jobs Are Most In Demand?
As the global economy changes, the demand for different types of jobs is changing with it. These four jobs are predicted to become some of the most in-demand over the next few years.
As technology becomes more complex by the day, everyday employees are struggling to keep up with security technology. What was once simply avoiding phishing scams has become financial hacks, security breaches, and even cyber warfare for larger corporations. Consequently, the demand for cybersecurity experts has grown exponentially.
According to a survey by Fellowes, around 81% of UK office workers spend between four and nine hours a day at their desks. This sedentary lifestyle is causing problems for people worldwide, who are struggling with their posture. Luckily, there’s a solution: the fitness industry.
In the next few years, the demand for personal trainers, sports coaches, and gym instructors is expected to explode as more people begin to understand the mental and physical benefits of exercise.
A teacher shortage is widely becoming a problem throughout the UK. Official statistics from the House of Commons found that teacher recruitment numbers were 23% below targets across the board. This stat was driven by the demand for secondary school teachers (41% below target) and primary school teachers (7% below target). With the demand growing for teachers annually, schools will soon be required to meet teacher expectations in regard to both pay and workplace benefits; otherwise, many may struggle to offer high-quality teaching facilities.
Chief Happiness Officer
In 2019 the UK dropped to tenth place in the global “workplace happiness” ranking, two points below the global average. Throughout the UK, employee mental health is on the decline, with 67% of UK employees experiencing moderate to high levels of stress, according to a report from Champion Health.
This has resulted in the need for workplace intervention and, in particular, the introduction of Chief Happiness Officers. Also known as a CHO, the job of a Chief Happiness Officer is to monitor the well-being of teams throughout the workplace and work with employees who need extra support.
The Future Of The Employment Market
The growing trend of 2023 is the power of the employee. People, not just in the UK, but worldwide, are realising they have the power to dictate what they want from a job instead of working a job they hate just to pay the bills. This, combined with changing working trends, has created a new work environment in which employees can choose where they work based on the benefits offered.
In the future, businesses will need to offer a strong benefits package, as well as hybrid work options and competitive pay to attract the best candidates. Those who do so, will thrive in the employment market.