MILL VALLEY, Calif. (February 23, 2015) – Seven years after the Great Recession of 2008 created a buyers’ market in talent, the pendulum is now swinging the other way. Newly released results from the Glassdoor Recruiting Outlook Survey conducted online by Harris Poll among 515 hiring decision makers reveals talent shortage is the No. 1 hiring challenge today. According to the Bureau of Labor Statistics, eight million Americans are looking for jobs, but Glassdoor survey reveals that nearly half (48 percent) of the participating hiring decision-makers say they don’t see enough qualified candidates for open positions – and a quarter (26 percent) see the situation getting harder in the next 12 months as the U.S. economy picks up.
Top Recruiting Challenges:
• 48 percent – Do not see enough qualified candidates for open positions
• 29 percent – Do not see enough candidates when filling a position
• 24 percent – Not actively using social media to recruit talented candidates
• 20 percent – Inability to track factors that influence candidates to apply
• 17 percent – Inability of company’s recruiting/hiring systems to allow candidates to apply from a mobile device
Passive Candidate Sourcing Has Become Less Effective
More than half (52 percent) of hiring decision makers surveyed said so-called “passive recruiting” – where candidates are contacted by recruiters versus candidates who apply directly via a company’s career website – has been less effective in attracting highly qualified candidates over the past year. That’s even more true at large (69 percent) and midsize (70 percent) companies.
Of hiring decision makers who think passive recruiting is less effective:
o 51 percent indicate candidates have grown wary of emails from networking sites and respond at a much lower rate
o 47 percent indicate candidates respond to recruiter emails at a much lower rate
o 44 percent indicate candidates respond to recruiter phone calls at much lower rate
Other notable findings from the 2015 Glassdoor Recruiting Outlook Survey of hiring decision-makers:
• Employee attrition is a notable concern as 36 percent of all surveyed hiring managers believe voluntary employee exits will increase during 2015. More than half (56 percent) of the hiring decision-makers in mid-size companies expect the rate of voluntary departures to increase this year.
• Nearly a third (32 percent) of hiring decision makers say their company’s approach to advertising jobs is among the most outdated elements of their company’s recruitment process and needs a major upgrade.
• The top 5 reasons hiring managers think candidates apply for jobs include: salary and compensation (51 percent), type of work (50 percent), company reputation and brand (36 percent), location and length of commute (27 percent), and career advancement opportunity (25 percent).
Applications via Mobile Expected to Rise
Forty-four percent of hiring decision makers surveyed report they receive zero job applications via mobile devices, while on average hiring managers say 16 percent of job candidates apply through mobile devices. In 12-24 months, hiring decision makers expect an average of 26 percent of job applicants will come through mobile devices. This is higher among mid-size (37 percent) and large (34 percent) companies.
Glassdoor Commentary: “As the economy has improved there has been a shift of power from employer to job seeker and the Glassdoor Recruiting Outlook Report highlights a clear a talent gap,” said Steve Roop, General Manager of Glassdoor for Employers. “The old methods of recruitment and job search just aren’t working well enough. Potential candidates are researching opportunities through new, interactive channels, and hiring decision-makers are planning to invest more in these channels to attract more qualified candidates.”
The Glassdoor® 2015 Recruiting Outlook Report was conducted online within the United States by Harris Poll on behalf of Glassdoor between October 27 and November 4, 2014, among 515 U.S. HR and business managers with primary authority for hiring. Mid-size businesses are defined as companies with 500-3,500 employees. This online survey is not based on a probability sample, and therefore no estimate of theoretical sampling error can be calculated. For complete survey methodology, including weighting variables, please contact firstname.lastname@example.org.
Glassdoor, the most transparent jobs and career marketplace, is changing how people search for jobs and how companies recruit top talent. Glassdoor combines free and anonymous company reviews, ratings and salary content with job listings to help job seekers find the best jobs quickly and address critical questions that arise during the search, application, interview and negotiation phases of employment. For employers, Glassdoor offers recruiting and employer branding solutions to help attract high-quality candidates at a fraction of the cost of other channels. With more than 27 million members and content from more than 190 countries, the Glassdoor app for iOS and Android is one of the world’s most popular. The company launched in 2008, and has raised approximately $160 million from Google Capital, Tiger Global, Benchmark, Battery Ventures, Sutter Hill Ventures, DAG Ventures, Dragoneer Investment Group and others. For further information, please go to glassdoor.com.
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