The rapid economic recovery in Australia is a welcome relief from what many were predicting to be a protracted period of hardship after the pandemic. Job advertisements are at record levels, unemployment is continuing to fall after failing to peak at predicted (high) levels. If you are currently looking for your next role, it’s about as good as it gets! There are new opportunities everywhere.
However, if you are an employer looking to recruit, you may be experiencing something commonly known as the “War for Talent”.
The War for Talent describes a situation where the number of job vacancies outstrips the immediate supply of candidates willing to take the roles. What ensues is a bidding war: employers compete hard to win over prospective candidates, and prospective candidates may find they receive offers from multiple employers, some with a very significant salary premium compared to the normal market.
Recruiting becomes hard, with people moving quickly to secure lucrative offers.
What are the lessons for employers wanting to win the War for Talent?
Firstly, make sure your offers are meeting the market. Salary is important, but in time this will diminish relative to things like flexibility and other conditions. It is vital your employee value proposition is attractive in all areas. How will you package it up?
Secondly, move quickly. When business is booming, things like recruitment can play second fiddle to other emerging matters. If you prioritise these matters, you will lose the War. While you are dealing with the business of the day or rescheduling second round interviews due to a conflict with another internal meeting, one of your competitors has just counter-offered your best candidate. Back to square one.
And for candidates?
Beware the greener grass. Yes it’s true, the War may present you with exciting new offers – perhaps you will finally score that lucrative promotion with your current employer (who suddenly has realised how much they value you, just when you were about to leave). Or, you might get a larger offer with a new and exciting brand. There’s no doubt, it is definitely a good time for negotiating a pay rise, so think about the whole offer and satisfy yourself that your employer (current or prospective), is the real deal. Culture, promotion pathways, learning and development, access to mentors, evidence of people living the company values – these are all important things that will matter long after the shine of the new salary has worn off.
It’s an exciting time for the job market. Open Door is proud to work with many exciting companies who want to elevate the voice of women in leadership. Let’s make it work for everyone.Back to posts
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