Are you a Unicorn?
And can you find the Needle in the ‘now massive’ Haystack?
The employment and recruitment landscape in the UK has undergone significant changes, with policy shifts that are affecting both businesses and job seekers, including new regulations such as the increase in the National Living Wage (NLW), higher Employers’ National Insurance (NI) contributions, and the removal of probationary period buffers, that are reshaping the hiring process, which let’s face it was already broken!
For businesses, these changes bring higher costs and risks associated with recruitment. For job seekers, the competition has become even tougher – read on to find out how these changes are impacting the employment ecosystem and what job seekers can do to stand out.
The New Challenges for Employers
Increased Financial Burdens
The rise in the NLW and Employers’ NI contributions directly increases the cost of hiring staff, and for small and medium-sized enterprises (SMEs), which form the backbone of the UK economy, these costs can be particularly challenging and coupled with inflationary pressures, businesses are now forced to allocate a larger portion of their budgets to employee wages and benefits.
Removal of the Probationary Period Buffer
Traditionally, the probationary period provided a safety net for employers to assess a new hire’s suitability for the role without a long-term commitment. The removal of this buffer heightens the risk for businesses, as they are now obligated to offer greater employment protections from day one, which unfortunately has led many companies to hesitate before extending job offers, intensifying the recruitment bottleneck.
Decreased Flexibility
These changes have reduced the incentive for businesses to take on new hires, which for start-ups and growing companies, where agility is key, the increased rigidity in hiring processes could stifle expansion plans and innovation.
Who Bears the Brunt?
Ultimately, the increased costs and risks are felt throughout the chain on both sides, employers now face tighter margins, which could result in hiring freezes, reduced training opportunities, or even redundancies. On the other hand, job seekers experience heightened competition as employers become more selective and demand greater returns on their recruitment investments.
What Does This Mean for Job Seekers?
In this more challenging environment, job seekers need to position themselves as indispensable, the bar for employability has been raised, and candidates who can demonstrate unique value are more likely to succeed. Employers are searching for the proverbial unicorn: individuals who not only meet the job requirements but also bring innovation, adaptability, and the ability to make an immediate impact, ones that reduce the risk!
Becoming the Unicorn: Tips for Job Seekers
Upskill and Reskill
Investing in professional development is essential; with businesses looking for candidates who can hit the ground running, acquiring in-demand skills can make a significant difference.
Showcase Value-Driven Attributes
Highlight your ability to contribute to the organisation’s success, whether through measurable achievements in previous roles or demonstrable problem-solving skills, employers need to be confident that you’re worth the investment.
Be Adaptable and Tech-Savvy
Flexibility and technological proficiency are highly valued traits, so demonstrate your ability to thrive in changing environments and your aptitude for learning and using new tools or platforms.
Network Strategically
Many opportunities aren’t advertised publicly, and a lot more recruitment is carried out within a network, so building a professional network can provide access to roles through referrals, which inherently builds trust between you and potential employers.
Tailor Your Applications
Generic applications are no longer enough and haven’t been for a while, but it is more imperative than ever that each CV and cover letter should be tailored to the specific role, emphasising how your skills align with the company’s needs.
Demonstrate Cultural Fit
Beyond skills, employers want to know you’ll integrate seamlessly into their teams, so research the company’s culture and values and incorporate these elements into your application and interview responses
Finding a Buffer for Businesses
Employers are under immense pressure, so they will be looking for ways to mitigate the risks and costs of recruitment and staffing levels; they may look to invest in Apprenticeships and Internships, as these can provide a more cost-effective way of nurturing talent while offering financial incentives for employers; the use of AI and technology in automating parts of the recruitment process may well increase, such as candidate screening or onboarding; AI-driven tools can help identify the best-fit candidates, reducing the risk of a poor hire; they may well prioritise Retention Over Recruitment, retaining current employees through improved engagement, career development opportunities, and benefits can reduce the need for new hires, keeping recruitment costs manageable; and of course, they may choose to explore Outsourcing Options for roles that are costly or high-risk to fill, outsourcing to contractors or freelancers can provide flexibility without a long-term commitment.
So, How Can the Bridge Between Employers and Job Seekers be Narrowed?
The current UK employment landscape is challenging for both businesses and job seekers and for employers, the increased costs and risks necessitate a more strategic approach to recruitment and retention, whereas for job seekers, the competition has intensified, requiring a proactive and value-driven approach to stand out.
Success in this environment hinges on adaptability; businesses must rethink their hiring strategies, while job seekers need to double down on their efforts to become the kind of candidates who justify the investment. While the haystack may be larger and the needle harder to find, the unicorns who can navigate this landscape effectively will still find success.
If you would like to find out more about us or simply want to chat through any concerns you have with the current job market, or even find out how we can help you be a Unicorn, then book a non-obligatory call with me, Claire – the link to my calendar is here Schedule a call with me.
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