PeopleScout Jobs Report Analysis—July 2023

U.S. employers added 187,000 jobs in July, slowing down from previous months. The increase is also lower than analysts expected. This shows that the Federal Reserve’s plan to slow growth may be working. The unemployment rate fell slightly to 3.5%. Year-over-year wage growth remained flat at 4.4%.

The Numbers

187,000: U.S. employers added 187,000 jobs in July.

3.5%: The unemployment rate fell to 3.5%.

4.4%: Wages grew 4.4% over the past year.

The Good

The headline number of July’s report, 187,000 jobs added to the economy, is good news because it represents a more sustainable pace of growth, and as MarketWatch reports, could be a sign that the economy is cooling enough to decrease inflation. Nearly half of the jobs created in July were by medical providers and in social programs. The Federal Reserve also dropped its forecast of a recession, and economists say a downturn is not likely in the next year.

The Bad

According to the New York Times, wage growth is still higher than experts would like to see, remaining unchanged from the 4.4% year-over-year growth seen in last month’s report. Federal officials are looking for that number to drop. Recently, Federal Reserve Chair Jerome Powell stated that some Fed officials have been making the case that high wage growth could be a sign that workers are trying to keep up with inflation by negotiating higher pay, so slower wage growth could follow decreased inflation.

The Unknown

The big question is whether the Fed will increase rates again at its next meeting in September. As the Wall Street Journal reports, officials will also be able to consider August’s jobs report numbers and inflation data from July and August during that meeting. July’s jobs report and June’s inflation numbers paint a mixed picture, with slower job growth and consumer inflation down to 3% but high wage growth and flat labor force participation. So, experts will be watching the next reports closely.

The Multigenerational Workforce: Keeping Millennials Motivated

In this article, the third in our Multigenerational Workforce series, we’ll be focusing on millennials in the workplace, including what matters to them and how best to engage them.

By 2025, millennials will make up over half of the workforce, essentially replacing retiring Baby Boomers. They’ve already made a huge impact on the way we work, including leveraging technology to revolutionise productivity. As the older millennials enter their 40s, they’re moving into leadership roles and will have even more influence on how organizations operate into the future. So, how can employers harness the power of millennials to drive their businesses forward?

Who are Millennials?

Millennials, less commonly known as Generation Y, follow Gen X and precede Gen Z. Millennials were born between the early 1980s and the mid-1990s during the rise of personal computers and technology, making them tech-savvy. They’re the first generation to come of age in the new millennium, hence the name millennials. They are also known to be values-driven.

Workers from this generation are bound together through their shared experience of financial challenges, including the 2008 Great Recession, which caused a 19% unemployment rate and massive student loan debt among millennials. As a result, members of this generation are more likely to find themselves underemployed or self-employed.

Perceptions and Misperceptions

This generation have been characterized as lazy and narcissistic, labelled as “Generation Me.” Other common perceptions include being easily bored and hopping from job to job rather than staying with one employer. However, this could be due to the anxiety caused from the global financial crash.

Despite these stereotypes, millennials have been described as self-sufficient, solving their own issues and teaching themselves through the internet rather than relying on others for help. They are also known to be confident, curious and open-minded.

What Matters to Millennials in the Workplace?

Digital & Tech Skills

Having been the first generation to grow up in a digital world, millennials have widespread experience of the development of technology, being both the “pioneers and the guinea pigs”.

This has affected the way that they communicate, with 41% of millennials choosing to communicate electronically instead of face-to-face according to a study by PwC. However, they’re also the last generation to have grown up in a world without the internet in every household.

When considering a job, 59% of millennials claim that technology in the workplace is an important factor. Employers are responding to this by encouraging professional use of social media at work and introducing smartphones as an employee benefit.

Mission and Purpose

Millennials thrive in a workplace that is mission-driven, keeping them motivated and inspired. In our recent report, Inside the Candidate Experience, we found that mission and purpose were the second most important factor for millennials when considering a new job. Those who work for companies with this as a priority feel more accomplished. Millennials want to share their employer’s goals and values in order to feel they are contributing to the world.

Collaboration

The move to a more collaborative working environment has been driven by millennials through the use of technology as it’s become more sophisticated. A collaborative environment allows workers to speak their ideas freely and feel a sense of belonging as part of a team. One way that employers are emphasizing collaboration is through mentorship programs, which have been proven to increase the happiness of workers and their productivity.

How Do You Engage Millennials at Work?

As millennials slowly take over as the majority of the workforce, employers must learn strategies to keep them motivated and feeling valued.

1. Be Open and Transparent

Millennials want openness and transparency from their leaders, ensuring their confidence through factual information that can be validated.

Keep millennials productive by creating clear targets are regular opportunities for feedback and praise. In fact, according to the same PwC study, 51% of this demographic believe that frequent or continuous feedback is a must on the job, making up a huge part of what keeps them motivated and engaged in their work.

2. Embrace Teamwork

To manage a multigenerational workforce, leaders must recognize that each generation may need different methods of management. Among millennials, 74% expressed that they are as happy working alongside other generations as with their own. So, it’s unsurprising to find millennials now managing older workers.

However, 34% of millennials felt that their personal drive could be perceived as intimidating to other generations. Effective programs that encourage interactions between different generations are necessary to overcome these misperceptions. For example, millennials thrive in opportunities such as “reverse mentoring,” in which they are able to learn from and teach skills to older workers.

3. Invest in Employee Development

Millennials look at their work as a means to learn and develop, which may be the greatest differentiator between them and all other generations. Indeed, a whopping 87% of millennials say that growth and development opportunities are important to them in a job, compared to just 69% of non-millennials. Offering opportunities to develop technology skills and interpersonal skills will not only help you retain millennial employees, it will help you ensure this important segment of your workforce is ready to step into leadership roles.

4. Trust Them

While millennials want to be supported through feedback and praise, they also want the freedom to “be their own boss.” Flexibility is important to millennials in the workplace.They’ll happily put in the long hours if they believe their work has a purpose, but those hours may not be during the traditional 9-to-5.

Millennials believe that success should be evaluated through productivity, rather than the number of hours they are seen in an office. If they meet the deadlines you set, don’t be concerned about the hours they clock in and out. Focus on creating a flexible work culture to maximize millennial engagement, allowing employees to have more control over their working hours and location.

5. Lead with Your Values

Millennials are searching for more than “just a job” and want to achieve something worthwhile. Akin to Gen Z, millennials believe that companies and their leadership should be contributing positively to society. Strong corporate ethics will encourage loyalty among millennials.

A report from Deloitte found that 54% of millennials research a brand’s environmental impact and polices before accepting a job offer. To keep up with today’s candidates, it’s vital that organizations have updated employer value propositions (EVP) showcase the companies intentions to address social and environmental concerns.

In our multigenerational workplace, each generation will shape the world of work in their own way, and each will need different things from their working lives. Millennials bring commitment and collaboration to the workplace. In return, they want opportunities to grow and collaborate. Organizations that can effectively empower millennials to provide ethical leadership hold key to keeping them engaged.

Find out our top 10 predictions for what we think the working world will look like in 2030 and the best practices to prepare for the future in our Destination 2030 report.

Future of Work

Destination 2030: 10 Predictions for What’s NEXT in the World of Work

Hospitality & Travel Industry Recruitment is On the Road Again [Infographic]

When the pandemic struck in 2020, the travel and hospitality industry saw some of the biggest impacts worldwide, and the reverberations and recovery are still shaping the industry years later.  

Now, people are traveling again, but while many industries have recovered the jobs lost in 2020, hospitality lags behind. The industry faces a new set of talent challenges, but employers have the opportunity to reshape their talent programs for the world of travel.   

Check out this infographic for insights on this transforming industry.

Through the job market volatility that has defined the hiring market for the past three years, the travel and hospitality industry saw some of the biggest impacts worldwide, and the reverberations and recovery are still shaping the industry years later. Now, people are traveling again, but while many industries have regained the jobs lost in 2020, hospitality lags behind.  

 

Travelers are finally ready to hit the skies, seas and roads for both personal and business travel. 

 

After several years of staying close to home, pent up demand has the travel industry booming. Global travel revenue is expected to triple 2020 levels by 2027. Full recovery of business travel to 2019 spend volumes appears likely by late 2024 or early 2025.i 

 

Travel is more meaningful than it used to be, leading to increased traveler expectations and more challenges for hospitality staff. 

 

46% of people say travel is now more important to them than it was before the pandemic.ii  

43% of people are upping their travel budget in 2023.iii 

91% of hospitality workers said they have dealt with customers who believed they inherently deserved privileges or special treatment, and 70% have wanted to leave the industry as a result.iv 

 However, hospitality staffing has not caught up to the renewed demand.  

 

In the U.S. alone, nearly 2 million hospitality jobs remain unfilled, even as hiring slows in other industries.v 

In September 2022, 87% of hoteliers reported staffing shortages.vi 

In the UK, hospitality job openings are still 74% higher than they were in January and February of 2020.vii 

 

One big reason for that? Millions of hospitality workers fled the industry during the pandemic and recovery. 

 

15.6% of people left their hospitality jobs in March 2020.viii 

8.3% of hospitality staff left the sector between August and September 2022.ix 

 

 

Do you need help hiring hospitality workers? Learn about how you can attract the next generation of workers, build more diverse teams and plan for the future in The Recruitment Handbook for Hospitality and Travel. 

  

[Download your copy now!] 

For more hospitality insights, download our ebook, The Recruitment Handbook for Travel and Hospitality.

Navigating the Transition to Green Energy: Recruitment Trends for Energy and Utility Employers [Infographic]

The energy and utilities industry is in the process of a massive transition as providers move to green and renewable energy sources and adjust to changing energy use patterns across the globe. In the U.S., the Inflation Reduction Act passed in 2022, which increased the incentives for energy-transition-related investments and core renewables. In EMEA, Russia’s invasion of Ukraine in 2022 has spurred a faster transition to renewables, according to the UK Climate Envoy.

This growth has left a massive talent gap, especially in an industry with an aging workforce. Talent acquisition leaders in the energy and utilities sector need to understand the forces shaping the recruitment landscape to remain competitive.

CHECK OUT THIS INFOGRAPHIC FOR INSIGHTS TO HELP YOU NAVIGATE THIS GREENING INDUSTRY.

PeopleScout Jobs Report Analysis—June 2023

U.S. employers added 209,000 jobs in June, lower than analysts expected. This shows that the Federal Reserve’s plan to slow growth may be working. The unemployment rate fell slightly to 3.6%. Year-over-year wage growth rose to 4.4%.

jobs report infographic

The Numbers

209,000: U.S. employers added 209,000 jobs in June.

3.6%: The unemployment rate fell to 3.6%.

4.4%: Wages rose 4.4% over the past year.

The Good

June’s job gains are the smallest in two-and-a-half years, and economists say that’s good news. As MarketWatch reports, the Federal Reserve has been raising rates in the hopes of slowing job growth to decrease inflation. The latest report is a step in the right direction. Experts say that the 209,000 number “threads the needle between too strong and too weak” and marks a sustainable pace for growth, going as far as saying “if we’re going to have a soft landing, this is what it looks like.”

The Bad

However, there are areas of concern in the report. As the New York Times reports, year-over-year wage growth jumped again to 4.4% when analysts had expected a drop to 4.2%. Additionally, the month-over-month increase hit 0.4%. The Federal Reserve is also looking for wage growth to slow in order to hit their inflation goal of 2%, but it has remained stubbornly high.

The Unknown

The big question heading into July is how the report will influence the Fed at their next meetings later this month and in September. As the Wall Street Journal reports, officials have indicated that they are likely to increase interest rates to a 22-year high at the July 25-26 meeting after pausing increases in June. While the job growth points to a move in the right direction, wage growth indicates that the economy is still strong.

The Tech and Digital Workforce: Decoding the Demand for Skills of the Future [Infographic]

The tech and digital workforce is dynamic and continues to evolve at an astonishing rate. Recent advancements in AI and automation as well as the evolution of the metaverse are birthing the need for new skills. These advancements aren’t just affecting job roles; they’re reshaping entire industries and economies, propelling us into a future that many organizations aren’t prepared for.  

Talent acquisition leaders across sectors are at the forefront of this revolution, facing the challenges and seizing the opportunities that come with it. Whether grappling with the rise of remote work, the ethical considerations of AI or how to develop the skills needed to thrive in the digital economy of tomorrow, organizations must keep their finger on the pulse of tech and digital skills to stay competitive.

CHECK OUT THIS INFOGRAPHIC FOR INSIGHT TO HELP YOU NAVIGATE THE EVER-CHANGING TECH & DIGITAL TALENT MARKET.

For more tech and digital talent insights, download our Recruitment Handbook for Tech & Digital Talent

The Recruitment Handbook for Energy & Utilities

The Recruitment Handbook for Energy & Utilities

The energy and utilities industry is undergoing a massive transition as providers move to green and renewable energy sources and adjust to changing energy use patterns across the globe.

This means the sector is facing a unique set of talent challenges. In many areas of the globe, energy job growth is outpacing the rest of the economy. At the same time, the workforce is aging, creating a massive talent gap. In fact, according to McKinsey, the massive growth in solar and wind projects expected by 2030 will make it almost impossible to staff these projects with qualified development and construction employees as well as operations and maintenance workers.

Now, talent leaders need to think big—not just to attract more and younger workers, but to reskill workers in the shrinking fossil fuels industry and plan for the future.

In this handbook, you’ll learn:

  • Global trends driving the need for energy and utilities talent
  • Strategies for overcoming challenges in your energy and utilities hiring programs
  • How partnering with an RPO provider can help

The Recruitment Handbook for Travel and Hospitality

The Recruitment Handbook for Travel and Hospitality

5 Strategies for Recruiting the Best Travel and Hospitality Talent Now and into the Future

Through the job market volatility that has defined the hiring market for the past three years, the travel and hospitality industry saw some of the biggest impacts worldwide, and the reverberations and recovery are still shaping the industry years later.

While many industries have recovered the jobs lost in 2020, hospitality lags behind. While people are traveling again, the industry faces a new set of talent challenges, from a talent exodus to shifting traveler expectations. Now, employers have the opportunity to reshape their talent programs for the world of travel.

In this handbook, you’ll learn:

  • Global trends driving the need for travel and hospitality talent
  • Strategies for overcoming challenges in your travel and hospitality hiring programs
  • How partnering with an RPO provider can help

ESG and Life Science Recruitment: Why ESG Initiatives Will Make Your Competition Green With Envy  

A plethora of social, economic and environmental impacts are contributing to the emerging global “polycrisis.” Beyond the pandemic, the future impacts of climate change, biodiversity loss, pollution and overexertion of natural resources will affect global health in the long term. This will impact the work of life science organizations as climate change is increasingly linked to diseases like cancer, diabetes and heart disease. Plus, the life science industry is among the largest carbon emitters, with biotech and pharma as the leading contributors. It’s no surprise that life science companies are focusing on Environmental, Social and Governance (ESG) initiatives. For talent acquisition leaders, this poses unique challenges and opportunities when it comes to life science recruitment. 

In this article, we review the industry’s impacts on the environment, how those impacts affect life science recruitment, and how a green EVP and employer brand can be leveraged as a critical differentiator in your ability to attract talent.  

Life Science’s Impacts on the Environment 

The average carbon footprint of one life scientist ranges from an estimate of four to 15 tons of CO2 per year. This doesn’t even include the use of consumables, chemicals, production resources, equipment, transportation, energy, and construction and building maintenance materials. There’s no denying that the entire industry’s workforce footprint is quite significant. 

Moreover, pharmaceutical production is highly water-intense, and waste is poorly managed with only nine out of 118 pharmaceuticals removing their waste sustainably during the treatment process. Approximately 4,000 active pharmaceutical ingredients (APIs) are administered worldwide in prescription and over-the-counter medication as well as therapeutic and veterinary drugs. Residues from these drugs are released into the environment, contaminating the soil, rivers and lakes. With drug waste polluting the environment, the Global Leaders Group has created a call to action for all countries to improve measures for the management and disposal of antimicrobial-containing waste, declaring it as a “major threat to public health.” 

Four out of the top five (80%) global risks forecasted for the next decade are related to global health and climate change. The opportunities created by the industry to improve their environmental impact through ESG initiatives are huge.  

(Source: World Economic Forum, The Global Risks Report 2023) 

Gen Z and Millennials Care About ESG Initiatives

By 2029, Gen Z and millennials will account for 72% of the world’s workforce. This workforce has placed greater importance on ESG issues than previous generations. Considering the industry’s impact on the environment and the global force of this growing talent, millennials and Gen Z will keep the life science industry on its toes. To stay on top, it’s crucial that life science recruitment teams and hiring managers understand what this workforce wants, what they value and how these components contribute to their employment decisions. 

Around the world, young scientists are demanding that “climate justice” be at the top of the global agenda, with environmentalists stressing the need for organizations to radically reduce their carbon emissions. They are tired of politics influencing scientific decisions, slow global engagement and action, and “poor public communication concerning the state of our understanding of climate change.” 

As this talent seeks purpose in their careers, they prefer to work for employers that have set actionable ESG initiatives towards improving their sustainability efforts. Organizations with ESG practices and policies show top talent that they are purpose-driven and progressive, which is a top consideration for this younger STEM-based workforce when applying and working for your company.  

According to a study by Swytch, nearly 70% of Gen Z and millennial respondents say that a strong sustainability plan would affect their decision to stay with a company long term. About 30% of respondents report that they have left a company due to its lack of a corporate sustainability agenda with over 11% doing so more than once. Additionally, a 2023 report by KPMG UK showed that ESG initiatives are influencing employment decisions for almost 50% of UK employees, with millennials and younger workers driving the growing trend of “climate quitting” in search of more environmentally friendly jobs. 

Employers must understand that candidate attraction is more than high salaries and fancy titles. This workforce wants leaders to fearlessly and publicly take a stance on their ESG initiatives and to make it a part of the workplace culture. Failure to do so will make it difficult to attain top talent, further adding to current life science recruitment challenges due to workforce shortages and widening skills gaps. 

Intertwining Your ESG Initiatives into Your EVP and Employer Brand Strategy

With no time to waste, life science organizations need to invest in a “green” employer value proposition (EVP) and employer brand strategy.  

“Today’s labor market wants to join companies that make a difference in a real way.”

Cynthia Burkhardt, Global Head of Talent Acquisition, Kimberly-Clark 

With Gen Z and millennials viewing social and environmental responsibilities as a key differentiator when considering where to work, it’s no surprise that an employer’s ESG initiatives have become a crucial component of the life science recruitment process. Whether your organization is already incorporating sustainable practices into your operations and mitigating risks to climate change or planning to do so, this is the opportunity to showcase that. Here are steps you can take that will appeal to your current and future workforce: 

1. Define Your ESG Voice 

Sustainability buzzwords are not enough, and top talent isn’t buying it. In fact, the European Commission’s National & Consumer Protection survey found that more than 42% of online corporate “green” claims were exaggerated, false or misleading. With “greenwashing” or “green-laundering” on the rise, employers need to establish ways to gain the trust of Gen Z and millennials. Your voice must showcase your purpose and intent. For example, using keywords like “zero discharge” and “risk mitigation,” rather than vague and misleading terminology such as “eco-friendly” or “sustainable,” will have candidates viewing you as more honest and authentic than the competition. 

“Sustainability plays a big role for me. An employer that is supposedly committed to it, but hardly knows what to do with the topic behind the scenes, has no future for me.”

Gen Z respondent from Austria 

2. Communicate Your Mission 

Build your internal and external employer brand messaging around the organization’s ESG initiatives such as corporate sustainability efforts and climate change initiatives. Keep in mind that the internal launch of an EVP and employer branding platform plays a critical part in laying the foundation for the success of the external launch. Bring your EVP to life through transparency and stakeholder alignment. Your employer brand message must be aspirational, future-focused and agile enough to sustain any changes that may come.  

3. Weave ESG Initiatives into Your Life Science Recruitment Marketing Materials 

Incorporate your ESG-centric mission and values into your career site and explain how those objectives are part of the organization’s DNA. On social media and other attraction channels, feature content that is relevant to topics like green training and development, environmental advocacy, waste minimization and corporate reduction of CO2 emissions to attract a wider variety of STEM-related talent. 

4. Showcase Your Investment and Metrics 

Remember that acting on your ESG initiatives is more than providing donations or partaking in “volunteer hours” that gain you a gold star. Let candidates know how much landfill waste you’ve reduced through your recycling program or that you’ve reduced your carbon footprint by 10%. Organizations that actively monitor their social and environmental impacts yield greater candidate attraction and positive impacts to their triple bottom line.  

5. Highlight Employee and Leadership Involvement 

Leverage your employees’ passions, concerns and ideas as a compelling way to address the organization’s initiatives. You can take the output from this to generate recruitment marketing materials, such as employee testimonials, quotes and even videos of leadership involvement or team building initiatives. For candidates, this effort exemplifies a company culture that genuinely wants to make an impact.  

6. Green Up the Candidate Experience 

Alignment of values is top priority for today’s candidates. However, it can be difficult for them to determine if a potential employer’s ethics align with theirs. To improve candidate experience, incorporate ESG initiatives into your job descriptions. For example, call attention to how the role will help achieve sustainability initiatives and feature any employee green benefits like locally sourced perks or green travel packages.  

Most importantly, make sure your recruiters and hiring team are aware of your green values. According to HRD Australia, often times the hiring team is not well-informed on what the company is doing in these areas. A life science recruitment team that is aligned with the organization’s ESG initiatives will ensure smooth communication and a good first impression with potential candidates. 

Can You Keep Up? 

With Gen Z and millennials shaping the future of work, employers cannot afford to trail behind the curve when it comes to ESG. Additionally, as early-career candidates and graduates are a top source for talent in the life science industry, organizations that do not have visible and measurable ESG metrics risk alienating this top talent. Focus on incorporating your ESG initiatives into your organization’s EVP, tweak your employer brand messaging to reflect what your workforce wants.

The Recruitment Handbook for Pharmaceuticals & Life Science

The Recruitment Handbook for Pharmaceuticals & Life Science

From increased adoption of technology in scientific research to the growing demand for innovation in pharmaceuticals and medical diagnostics, the global life science industry is changing rapidly, requiring recruitment teams to be agile to meet demand.  

With 87% of life science executives indicating that they’re experiencing skill gaps and expect to experience more within a few years, life science organizations must invest in better talent acquisition strategies to future-proof their workforce. 

In this ebook, we explore leading industry developments that are transforming the life science workforce: 

  • How demand for tech talent is reshaping the industry 
  • How innovation in medical research and patient care are creating skills gaps 
  • How the global push for sustainability and climate change initiatives is impacting the workforce 

Plus, learn how an RPO partner can help your life science organization rethink and remodel current recruitment strategies to overcome talent acquisition challenges.