If you’ve spent time in the last few years recruiting skilled workers, you know demand for these talents are at record highs. There are a variety of reasons which have contributed to the shortage of labor in the U.S., likely the biggest factor is aging baby boomers retiring out of the workforce in large numbers. As we discussed previously, Pew Research Center estimates every day for the next 17 years, 10,000 baby boomers will reach retirement age. There isn’t enough of the population entering the workforce to replace the number of baby boomers that have left, and continue to leave each day.
According to Harvard Business School “69 percent of HR executives say their inability to attract and retain middle-skills talent frequently affects their firm’s performance.”
In order to successfully recruit and retain skilled workers, companies must recognize that these individuals have the freedom to choose employers based on benefits such as career growth, and incentives. With that being said, how can firms better attract skilled workers with the labor pool tightening every day?
- Improve benefits.
- Increase wages.
- Invest in training and development for existing staff.
- Consider temporary workers.
- Provide incentives for employee referrals.
- Partner with educational institutions to align curriculum with talent needs.