YOLO economy, Shecession, job churn, oh my! The current hiring landscape and what it means for rebuilding

May 7th, 2021
HireVue Team

Economies reopening and companies rebuilding isn't a simple on-off switch. Your comeback starts with hiring, but hiring teams are facing what for some is a surprisingly competitive hiring landscape.

Unemployment went from record lows to record highs, and that turbulence has lasting impacts on today's job seekers, and hence hiring teams. Here are a few pandemic-induced hiring challenges and how to address them.

Challenge 1: The YOLO economy is signaling significant job churn

Dubbed the YOLO economy, there is a wave of workers empowered by in-demand skills and more cushioned finances leaving their stable jobs to pursue a more balanced or passionate career. Many "sheltered in place" at their current jobs because leaving felt too risky amid frequent layoffs, but now, 40% of workers globally are considering leaving their jobs.

Hiring teams need to prepare to not only rebuild their workforce, but replace their existing stars as they churn. Casting a wider net with virtual interviews will help you tap diverse candidate pools and find top performers who old processes may have overlooked.

Challenge 2: It's taking more to earn a "Yes"

Many candidates are hesitant to return to work with vaccine rollout still underway. And stimulus checks, enhanced unemployment benefits and a stock market boom have given many workers safety nets.

To win candidates, companies need to achieve a winning risk:reward ratio. Many are thinking outside the benefits box, emphasizing flexibility, increasing compensation, and more to entice candidates to say "yes."

Challenge 3: The "shecession" removed millions of qualified workers.

The "shecession" - the staggering rate at which women have left the workforce due to the pandemic - knocked 2 million potential workers out of the available U.S. talent pool. Women left the workforce in 2020 to be caretakers as their children went to remote learning or loved ones required health assistance, and unless the hiring landscape shifts to meet their needs, they aren't eager to come back.

Talent acquisition teams are uniquely positioned to support women who have been disproportionately impacted by the COVID-19 pandemic by being a catalyst for flexibility and removing barriers that prevent women from finding meaningful work that works with their lifestyle.

Tips to hire quickly in a competitive hiring landscape

No matter the challenge, you need to staff up quickly. And despite new challenges, many of the solutions remain the same:

  • Deliver a great candidate experience
  • Showcase a best-in-class employer brand
  • Create a frictionless hiring process
  • Allow candidates to apply anytime, anywhere
  • Standardize the process for improved fairness

To compete for top talent quickly, read our:

5 tips to hire in days, not weeks.