We live during turbulent times. According to the World Economic Forum, in 2023, the world is facing a set of risks that feel both wholly new and eerily familiar. In a vastly changing economic and social landscape impacted by a global pandemic and an ongoing war in Europe, it’s difficult to navigate the many complexities of the modern business world.
No matter what industry you do business in, this time of uncertainty requires you to step up your game and hire better.
This especially applies to the recruitment industry. The number of employment and recruitment agencies in the US has grown by 2.3% per year on average for the past five years. The growing competition is a sign that staying ahead of the curve is crucial for your company’s success.
This is why it’s important to find out about the latest recruiting tips and tricks for 2023 and analyze recent trends to keep up with the times and optimize your hiring process. In this article, we have compiled some information about hiring trends and tips for recruitment in 2023.
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Recruitment trends for 2023
Much has changed in the past few years. The rapid development of technology and the remote lifestyle that the COVID-19 pandemic introduced to most of us have played a large part in shaping the hiring process in 2023.
Here is a list of the latest recruitment trends to help you understand how to optimize your work and develop a clear and efficient hiring strategy:
1. AI for hiring purposes
AI has been a popular topic for a while now. We’ve all heard about the AI-based ChatGPT, the chatbot that interacts in a conversational way, and Midjourney, the research lab that creates stunning imagery based on text prompts.
Now that we’ve seen some of AI’s impressive capabilities, many of us are wondering what else it can do. How many of our activities can be performed by AI-powered tools? Where do we draw the line?
Many of us rebel against the idea of placing decisions that have a serious impact on people’s lives in the hands of something non-human. But the more we learn about how AI is developed and operates, the more we can address these concerns fairly.
AI is programmed to recognize and predict patterns, and it excels at this. For example, Netflix uses an AI-powered feature to help its users find suitable content. Statistics show that 80% of Netflix subscribers discover new content through the “Netflix match percentage,” which makes suggestions based on users’ preferences.
It’s no surprise that AI is also being used in the recruitment process. Recognizing and analyzing patterns objectively is a vital skill for any hiring manager or recruiter. You can use AI-driven tools to:
- Scan sourcing platforms for potential employees
- Screen candidates
- Write job descriptions that attract the right candidates
- Organize databases
- Improve branding
- Optimize the onboarding process
According to Forbes, there are both benefits and dangers to using AI for recruitment. Some of the pros of implementing AI for hiring are:
- Reduced cost and time for hire. AI can screen huge databases of candidates and filter the most suitable candidates quickly, helping you spend less time and effort on hiring.
- The ability to make unbiased decisions. Automating parts of the hiring process helps you remove human bias from the equation and hire objectively and fairly.
- Improved communication with candidates. Virtual assistants and chatbots can save you a lot of time by keeping all potential employees up to date with any necessary information. Shorter response times improve the candidate experience, which is crucial for any company.
Using AI in hiring also comes with some drawbacks, including the following:
- Accuracy issues. There are certain ways to confuse the algorithm. For example, a candidate may have all the right skills for the job, but the AI tool may still dismiss it if it isn’t formatted in the right way.
- Lack of nuance in judgment. AI is becoming more sophisticated every day, but many subtleties are still only visible only to the human eye.
- Privacy concerns. Any system that collects and processes large amounts of data can present a security vulnerability. As such, AI tools need to be consistently checked and regulated.
2. Skills-based recruitment
Degrees or skills – which are more important? Rapid technological advancement in the past few years has resulted in many tech roles becoming some of the fastest-growing jobs.
Technology-related jobs are in demand now more than ever. A lot of companies have to hire employees who have no degrees simply because there aren’t enough people who have them.
Hiring managers are trying to keep up with the times and searching for ways to objectively evaluate the skills needed for the job objectively. LinkedIn data shows that skill sets for jobs have shifted by around 25% since 2015. This number is expected to double by 2027.
This means that the jobs you’re hiring for are changing beneath your feet, and you have to keep up with this rapid transformation. But how do you determine which skills you should be looking for? And how do you assess them in every candidate?
One way to develop a data-driven hiring strategy is by implementing skills assessments in the recruitment process. Skills assessments are standardized tests that evaluate candidates’ skills and how well they can perform certain tasks. You can use them to test job applicants or your existing workforce.
Skills tests help you see firsthand how your candidates will do on the job and to hire objectively and without bias. Sign up for a free demo with TestGorilla to learn more about how to use skills assessments in your hiring process.
3. Remote work options
Remote work is here to stay across many industries. McKinsey’s American Opportunity Survey reports that 58% of US workers have the chance to do their job remotely at least part-time. Furthermore, when they have the opportunity to do so, 87% of them take it.
This trend is growing in 2023, and there are plenty of reasons why. Remote work gives employees more flexibility and reduces their transportation expenses. At the same time, it’s beneficial for companies because the best person for the job might not be in a convenient location.
Businesses are also beginning to realize the perks of recruiters working remotely, including lower costs, less time spent on tasks, increased productivity, and more automated processes that reduce human bias.
There are many benefits to offering remote work options, and you can eliminate most risks by clearly listing what skills and experience future employees require and using skills assessments to evaluate them.
4. Training and developing skills to help your employees and company grow
Human resources make up a huge part of every business. “You’re only as good as your team,” former NBA star Dominique Wilkins says. In 2023, this statement is truer than ever.
Focusing on finding growth opportunities for your employees and providing them with the resources to develop their job-related skills will help your business grow with them. Answer the following questions to start building a strategy to make that happen:
- What are your organization’s objectives?
- Which critical roles can help your company meet these objectives?
- What skills are crucial for these roles?
- What level of proficiency do you need for these roles?
- How can you upskill your employees to develop so that they can reach this level?
Investing in mentorship will make your employees’ connection to your organization more authentic and rewarding.
Finding the right people for the job is great, but investing in the human resources that they need is even more rewarding. Developing a personalized training program will help you build a workforce that is specifically attuned to your company’s objectives for growth.
5. Branding matters now more than ever
There are many benefits to building a strong company brand, and making the hiring process more efficient is only one of them.
Sourcing candidates is one of the first steps in the long journey toward finding the right employee for your organization. How does building a strong brand help?
A Glassdoor survey found that 69% of active job seekers are likely to apply for a role if the employer manages its employer brand actively. Passive candidates who are open to opportunities but aren’t currently seeking a new job are more likely to notice your company if it has a well-developed brand. This reduces the time you have to spend actively recruiting people.
Focusing on developing and publicizing your employer brand has many other benefits:
- It helps reduce staff turnover and retain your present employees
- It saves the time and additional costs of defining your organization’s brand individually for every candidate
- It attracts more people who are a good culture add for your business
7. Wage transparency is expanding
As of November 2022, employers in New York City are required to include the salary for a job vacancy in their posting. This marks the beginning of a new era – one in which wage transparency is a core value in the labor market.
Regardless of the laws in your area, workers expect to see wage rates in job postings nowadays. According to Roger Lee, the cofounder of Comprehensive.io, organizations are gradually getting up to speed when it comes to pay transparency. This is still a work in progress, so the quicker you get in line, the more likely you’ll pull ahead of the competition.
The following are some recruitment tips that can help you make the most of wage transparency:
- Consider the types of applicants you want to hire
- Search for unbiased compensation data based on factors such as supply and demand and wage inflation
- Make your job postings efficient by advertising competitive wages
Tips for recruitment in 2023
A 2023 economic analysis on LinkedIn Live found that there are nearly two job openings per unemployed individual. The competition for qualified candidates is growing, and recruiting managers and people in hiring roles are doing their best to attract and retain high-quality employees.
The economic landscape is shifting fast, and it’s crucial to frequently revise your hiring strategy to adapt and make the most of the situation in the labor market. Get acquainted with the following recruitment tips for employers in 2023.
Offer remote working options
The first of our recruitment tips for employers is to offer candidates the option to work remotely.
Controversy has surrounded remote work for a long time. Employers used to believe that it wasn’t sustainable and employees would be less productive when working remotely. Flexible working options were even considered impossible for many jobs, such as medical assistants.
We were able to witness this in action when the COVID-19 pandemic made remote work necessary in multiple fields. Many studies have analyzed the effects of remote work on productivity and employee satisfaction. A survey by Upwork found that 32.2% of hiring managers have seen an increase in remote workers’ overall productivity.
Besides the rise in productivity, there are more benefits to offering remote working options:
The freedom to relocate
Without the requirement to work in-office, employees are free to take the opportunity to travel and embrace their desired lifestyle.
Happy people make for good employees, and living in an area that fits your preferences is a major component of a satisfying life.
More organizations are becoming comfortable with hiring freelancers because remote work has become more common. This led to a shift in the labor market: Workers are becoming more productive and focused because they can work more flexibly, and there is a new pipeline of high-quality talent for employers to explore.
The freedom to relocate
Eliminating the need to commute to work helps many employees save on a range of costs. Transportation and food are just two of the many areas in which staff are able to save time and money by working remotely.
Concentration is vital to work efficiently.
At home, employees can design their environment in a way that enables them to work comfortably. They don’t have to listen to coworkers’ loud conversations, clattering from the desk next to them, or frequent phone calls around the office.
Focus on building a strong employer brand
The most skilled professionals in the talent pool know their worth and don’t jump at every work opportunity. They look for an employer that they can trust and that shares similar values.
If you want to attract top talent, you must learn the importance of building a strong employer brand that will make you recognizable among the competition. This makes your organization more attractive to passive and active candidates and raises your reputation in the labor market.
Having a well-developed employer brand will passively aid you throughout the entire hiring process. It will attract high-quality applicants, making the screening process easier and less costly. Additionally, it will improve retention rates by enabling you to hire candidates who are a better fit for your business.
To build a recognizable brand, focus on:
- Being public and transparent about your company’s values
- Expanding branding well beyond your logo and slogan
- Collaborating with your marketing team
- Personalizing your brand by showing what employees say about working at your organization
- Working with brand ambassadors who are aligned with your organization’s mission
Invest in expanding your online presence
Next in our list of recruiting tips and tricks is to expand your presence online.
The 2020 pandemic sped up the process of moving everything online. We have learned to count on technology for many aspects of our lives. Undoubtedly, the internet has made life a lot easier. You can pay your bills with a click, buy nearly anything online, and have a therapy session from the comfort of your own room.
People spend a lot of their time on their devices, and recruiters are finding out that this is the best way to reach and attract the best talent.
Use LinkedIn and other social media platforms
Social media has become increasingly important in business and society as a whole. Companies use it to advertise their products and brands, receive direct feedback from their customers, and recruit new talent. It’s an easily accessible way to reach diverse and untapped talent pools.
It also gives you a great opportunity to use your employees’ professional connections to recruit talented workers. Many professionals use LinkedIn and other social media platforms to connect with others in their field and find employment opportunities.
That’s why it’s imperative to make the most of your social media outlets. Link up with your employees there, talk about your outcomes and expectations, and keep people posted about any news related to your business. Personalize your page to appeal to the right talent.
Be accessible on mobile
Many candidates use their smartphones to seek and bookmark job opportunities. Ensure that your site is optimized for mobile so job seekers can apply for your open roles on their phones. The easier and more time efficient your application process is, the more likely candidates will complete it.
Embrace digital trends
Millennials and Gen Z now dominate the workforce. These generations have grown up using technology and social media, and they are a huge part of their lifestyle. In 2023, we’ve seen digital trends influencing people and making history. You can take advantage of this to find qualified professionals for your line of work.
Build a holistic strategy for direct candidate sourcing
Using a combination of strategies – building your brand, advertising on social media, looking for qualified candidates on online platforms, and developing your website’s SEO – can help you source candidates directly and reduce your hiring costs.
Implement data-driven recruitment
Among the most important recruiting tips for hiring managers is to embrace data-driven hiring processes.
Data-driven recruitment is a great way to scale up your hiring process. Using reliable information to hire suitable candidates is efficient and saves time. Unstructured processes and guesswork are a lot less reliable than a data-based approach. You can use new HR technologies to help accumulate and mine useful data.
Use skills assessments for objective and unbiased evaluation
One of the top tips for recruitment in 2023 is to use skills assessments. Skills assessments enable you to evaluate your applicants’ skills fairly and without human bias. They can reveal the candidate’s proficiency in not only critical skills such as coding or selling but also soft skills like problem-solving and communication.
Skills tests such as the Culture Add test can also help you identify candidates who would suit your organization’s culture.
Instead of using resumes and structured interviews, filter your candidates in a data-based and efficient manner.
Set a clear job target
With remote work on the rise, this is one of the critical tips for recruitment to follow in 2023. The more specifically you define your target, the more everyone involved will know what they have to achieve to reach your company’s goals.
Don’t say, “We want to increase productivity.” Instead, say, “We want to increase productivity by 9% and to do that, you will use our new benchmark system.” Be realistic in your goals. Build a target structure in which the lower-level targets actively support the higher ones.
Build efficient retention strategies
The last of our recruitment tips for employers is to remember that effective recruitment doesn’t involve just finding new talent. It’s also about retaining the talent you already have in your organization. This is especially true for remote employees.
Employer branding and employee retention strategies usually work hand in hand. You can focus on developing them to keep your best employees on board.
Hire better in 2023 with the right tools at hand
Being aware of the current economic landscape, hiring trends, and recruiting tips and tricks can help you optimize your hiring process. Keep your eyes open for social shifts that can give you an opportunity to hire better.
There are no recruiting tips for hiring managers that can guarantee a 100% success rate, but skills assessments, data-driven recruitment, and company brand strategies can help you find and retain the most suitable candidates for your business.
Sign up for TestGorilla today to streamline recruitment and make the right hiring choices.
- Zahidi, Saadia. (January 14, 2023). “World Economic Forum, Global Risks 2023: The turbulent twenties, when risks collide”. World Economic Forum. Retrieved February 28, 2023. https://www.weforum.org/agenda/2023/01/davos-2023-global-risks-report-how-to-solve-the-world-s-biggest-crises/
“Employment & Recruiting Agencies in the US – Number of Businesses 2005–2029”. IBISWorld. Retrieved March 5, 2023. https://www.ibisworld.com/industry-statistics/number-of-businesses/employment-recruiting-agencies-united-states/