Hiring in the Modern Talent Marketplace
As the U.S. labor market becomes one of the most competitive talent markets in recent history, hiring managers are faced with a greater number of challenges, and as workers become more confident in seeking better employment opportunities, employers of all sizes across multiple industries are struggling to hire qualified candidates.
The U.S. Chamber of Commerce Worker Availability Ratio found that there are currently 0.88 U.S. workers available for each job opening, and more than half of U.S. states (28) have more open jobs than available workers to fill them. Hypothetically, this means that even if every single individual in that state who wants a job – and is available to work – could find a job, there would still be positions left unfilled.
As competition for prospects increases, hiring mangers face pressure to get innovative and deliver qualified candidates who are the ‘right fit’ for their organizations. New data from the U.S. Chamber of Commerce Foundation expands on this dilemma.
The report demonstrates that:
- There has been a lack of skilled talent among the available workforce in recent years. Nearly three-quarters (74%) of respondents agreed.
- Employers and hiring managers are preparing for a world where competencies – not degrees – are the most important factors when filling a job.
- Respondents (78%) acknowledged the need to overhaul their hiring practices to make this shift to focus on competencies.
- Employers are working with higher education to align what is taught in the classroom with the needs of the economy.
“As a nation, we need to move toward a skills-based approach for educating and hiring where the skills taught in the classroom directly align to the skills required for a career,” says Cheryl Oldham, senior vice president of the U.S. Chamber of Commerce Foundation’s Center for Education and Workforce. “This research affirms the strategic need for the Chamber Foundation’s core workforce projects – Talent Pipeline Management, the Job Data Exchange, and the T3 Innovation Network – which are focused on helping businesses address this very hiring challenge.”