First Quarter Roundup: The Labor Market is Still Going Strong

labor market

Spring has finally sprung, and the first quarter of 2019 has come and gone. There was a lot of speculation that the labor market was going to slow down this year. However, the job market is still roaring, and we’ve had 102 consecutive months of job growth. In fact, job gains have averaged 180,000 over the past three months.

Average hourly wages also were much better than expected. Over the last 12 months, the average hourly earnings rose by 3.4 percent, a rate that we have not seen since April 2009. This drastic growth in wages illustrates that employers are still struggling to find qualified workers and that the market is getting even tighter.

If you’re still struggling to attract candidates in this tough market, here’s a few things you can do to improve your chances of finding top talent.

Candidates want a faster process

We cannot stress this enough. Regardless of where you’re located or what industry your organization operates in, you must streamline your hiring process. Identify and eliminate any unnecessary steps in your hiring process. With more job openings than unemployed people in the US, candidates have plenty of options to choose from.

The average hiring process in the US takes about 23.8 days. Take some time to examine your hiring process and see how the average length of your hiring process stacks up with the national average. If you’re dragging your feet or taking too long to contact, interview, or even onboard candidates, you may run the risk of being ghosted. Many candidates will choose whichever offer comes in first, which may even be your competition. Even if they have accepted your job offer, if you’re waiting weeks and weeks for their first day, you run the risk of losing them to another company who will start them immediately. To mitigate this, make your decisions quickly and reduce snags in your process.

Great company culture attracts candidates

Company culture is becoming more important for candidates. Employers need to demonstrate a great company culture to attract and retain great candidates. This is important to note because Millennials will soon be the largest demographic in the workforce. By 2025, Millennials will make up nearly 75 percent of the workforce.

With that being said, Millennials care more about company culture than any other demographic. In fact, on average, Millennials would be willing to take a $7,600 annual pay cut to work at a job with a more desirable culture. This generation wants better work-life balance and employers who are more involved in the community. To ensure you retain your younger employees, make sure you take a good look at your company’s culture; see if there are places where you can make changes to attract this demographic.

Work with a recruiter

If you are struggling to fill your critical positions or retain employees, it may be time to seek out some help. At JSG, we will take the weight off of your shoulders. Our comprehensive screening process thoroughly evaluates the candidate’s technical ability, interpersonal skills, and reliability to ensure each candidate we present to you is a perfect fit.

If you want some help navigating this competitive labor market, reach out to one of our professional recruiters today!