When it's not about the money, money, money….!

In the wise words of Jessie J, it’s not about the money, money, money… .

Finding and securing quality job seekers is increasingly difficult for employers. Recent data from SEEK, showed that more jobs were advertised in April 2021 than ever before (breaking the record previously set in March 2021), with a whopping 264% increase in advertisements year on year. This strong demand is sharply contrasted by the limited supply of job seekers in the market, According to SEEK, candidate availability has reduced by 52% compared to the same time in 2020.

In short, there are lots of opportunities available, and not many job seekers to fill them. Top quality candidates are spoilt for choice, and it is a fierce competition for employers to secure the talent they want ( and need).

HOWEVER….this increased demand and diminishing supply is not pushing wages up. Wage growth remains at a measly 1.5%, and government forecasts are that this will rise to only 2.5% by 2024 (a number that many pundits think is ambitious), despite unemployment levels predicted to drop to just 4.5%. To give some context, the last time the unemployment rate was that low (Circa 2008), wages were growing at a similar percentage (i.e. around 4%). Economists are more qualified to speculate as to the reasons for such sluggish wage growth, but one thing is clear; throwing lots of money around is not something businesses are willing, or able to do, to secure the talent they want.

So, with such a competitive recruitment landscape, and widespread reluctance to offer big salary increases, how do organisations differentiate themselves, and make their employment opportunity the most attractive of the many options their preferred candidate may be considering? Put simply, they need to have a compelling employee value proposition. Of course, each individual will have a slightly different list of priorities when deciding which organisation to join, but the following feature prominently amongst most job seekers I speak to:

Purpose & values

Now more than ever, job seekers are looking for organisations that have purpose and values that align to their own. Organisations that can articulate their purpose and demonstrate their values ‘in action’ are likely to attract and retain the best talent.

Meaningful work

The opportunity to be involved in meaningful work and have the ability to make a difference beyond a purely financial return is increasingly high on the list of job seeker priorities. ‘Work’ and ‘life’ are no longer viewed as mutually exclusive, and employees want to be involved in work that makes a difference beyond the bottom line.

Security

There is still a nervousness amongst some job seekers; many of whom faced job losses or hours reduced during the pandemic. Job seekers want to know the organisation is stable and secure, especially so if they are leaving the security of a long term permanent job.

Genuine Flexibility

This means that flexible work practices are embraced in practice, and the organisation is focused on outcomes over hours. Trust underpins everything.

Learning & Growth

This doesn’t necessarily need to be via a vertical career progression, but organisations that give employees opportunities to learn and develop new skills, even when in the same role, will fare better when competing for top talent.

As humans we all want to find our tribe. Creating a strong team culture, that embeds a sense of belonging and camaraderie is key to attracting and retaining the best talent.
Whilst money is of course still a factor for job seekers when considering their next career move, it is not always THE deciding factor. With wages expected to remain steady, at least for the foreseeable future, organisations that can convey a compelling employee value proposition are likely to win in the competition for talent, often.