Employees are looking for benefits that employers aren't providing
Sixty-five per cent of workers globally are seriously considering leaving their role — up from 49 per cent in 2020.
And many employers seem to be in the dark about it, according to a report from Hays Canada.
More than three in five (62 per cent) workers cite the lack of career growth opportunities in their current company as their reason to leave. However, only 41 per cent of employers recognize this, and just 36 per cent are providing ongoing training.
Also, 38 per cent of employees are looking for better compensation. And while 40 per cent of employers recognize this, only 23 per cent are offering pay raises.
Fifty per cent of employees think they are underpaid and 18 per cent would consider quitting their job if they don't get a raise by year's end, according to a separate report from Robert Half.
Thirty per cent of workers also want better benefits, but only 19 per cent of employers are recognizing this as a reason for workers to quit, according to Hays.
Instead, 50 per cent of employers are creating open communication between employees and 39 per cent are improving company culture in hopes of retaining talent.
“We’re seeing everything from no raises to unsustainably high levels of spending to get new candidates through the door, and both approaches are problematic,” says Travis O’Rourke, president of Hays Specialist Recruitment Canada. “Paying too little triggers departures but throwing big dollars at staff could lead to layoffs when the market levels out in 2022 or 2023. Employers need to understand what their people are worth and adjust accordingly.”
Changing the recruitment process
Employers are also having trouble filling job positions, finds Hays Canada’s survey of more than 4,200 employers and employees in 33 countries conducted July 22 to Aug. 19, 2021.
A general lack of applicants (50 per cent) is the biggest reason, followed by the skills shortage in their industry (47 per cent) and higher compensation being offered elsewhere (40 per cent), according to employers.
Because of this struggle, 22 per cent of employers already have or are planning to outsource some jobs in the next three years. And 16 per cent of employers plan to nearshore jobs within this same time frame.
Sixty-two per cent of employers have made a change to their recruitment process in an effort to operate more efficiently and effectively.
They have diversified sources for finding talent (35 per cent), streamlined the interview process (24 per cent), created a referral program (21 per cent) and started pipelining talent in advance of hiring needs (19 per cent).
Many smaller employers are boosting their offerings in trying to attract talent amid the ongoing labour shortage, according to another survey by ADP Canada.
High salaries attract top talent because talented employees know what they’re worth, according to Dave Rietsema, CEO of MatcHR, recruiter of tech talent.
“If your company isn’t offering a competitive salary, you won’t be able to attract the top talent that your company wants. There are only so many top employees out there. If your company isn’t willing to offer these stellar candidates what they’re worth, then your competition will,” says Rietsema. “Offering more money can not only attract top talent to your company, but it can also make your current staff more productive and dedicated to their jobs.”