How the Staffing Business is Benefiting From Recent Hiring Wars
The last few years have brought a sea change in hiring. The availability of skilled talent is at a record low, and demand is at a record high. Needless to say, that means hiring is well and truly on the agenda for a large proportion of businesses and organizations in operation today.
Whilst these staffing shortages are far from ideal, the current ecosystem has brough about a surge in hiring. For one industry in particular, this is a boon indeed. Staffing businesses are benefitting from the recent hiring wars as more and more hiring managers look to staffing professionals for help.
The scarcity of available, professional talent marks an opportunity for staffing professionals. For those looking to start a staffing business of their own, there’s never been a better time. Here at NEXTAFF, we’re helping Franchise Owners capitalize on this major surge in demand for hiring by starting their very own staffing agency business.
The Staffing Wars Explained
You may have heard people talking about ‘staffing wars’ of late. The staffing wars (sometimes referred to as the war for talent) refers to the growing discrepancy between the number of available skilled professionals and the number of positions that need filling.
In other words, more vacancies are opening than talent is available. Needless to say, for hiring managers near and far, this is a big problem indeed. Employers are finding it increasingly difficult to find available professionals and are ‘at war’ with each other for the talent that is out there.
So, what exactly is causing this imbalance? In reality, it’s the culmination of a few factors. Three key contributors to the hiring imbalance are (a) the Baby Boomer exodus, (b) changing working habits amongst Millennials, and (c) the pandemic. Let’s unpack each of these factors in a bit more detail.
The Baby Boomer Exodus
Not that long ago, talent was in abundance. If we look back to the 80s and 90s, hiring was in the reverse situation. Skilled professionals far outnumbered the jobs available. As a result, at the turn of the millennium job creation was high on the agenda.
But as the Baby Boomer workforce ages into retirement, the hiring environment is changing. Senior positions are opening up as the Boomer workforce steps down, leaving hiring managers desperate for Millennial professionals to fill the gaps.
But here’s the thing. The younger generation is not Boomers; neither in number nor mentality. The Boomer generation was a very large generation cohort. Not only is the Millennial population smaller, but they are also rethinking the way in which they want to work.
Changing Working Habits Amongst Millennials
Millennials are a highly talented bunch. But that doesn’t mean they want to pick up exactly where their parents left off. First, most Millennials are still in entry and mid-level positions, and few have the years of experience typically expected to fill the burgeoning number of vacant senior positions.
Second, many Millennials have witnessed the impact of poor work-life balance. They’ve seen their parents agonizing over the daily commute, lamenting hours of office work, interviews, and stress. Needless to say, Millennials don’t want to recreate this for themselves.
More and more, the younger generation is choosing to work in smaller startups, agencies, or as freelancers. And that means as much as hiring managers want them, they’re less likely to jump at the opportunity to contract themselves to a senior leadership position.
The COVID-19 pandemic has left its mark on, well, pretty much everything. And hiring is no exception. The pandemic marked a major turning point in working culture, prompting a wholescale movement towards remote and flexible working models.
Companies all over the world have had to rethink their hiring processes to accommodate national lockdowns, public health, and a more long-term change in employee expectations. Even as the virus ebbs, employees are not necessarily all that keen to return to the status quo.
The future of work is set to change with a focus on hybrid working fueled by rapid digital transformations. Without the limits of geographical boundaries, hiring practices will necessarily change, as will what candidates expect from their employers.
Enter the Staffing Industry
All this change has left hiring managers at a crossroads. But it’s not all bad news. For the staffing industry, this employment revolution is nothing short of an opportunity. With more and more companies facing imminent staffing shortages, demand for professional staffing support is at an all-time high. Companies need to know that they can hire the best talent, quickly.
Enter, the staffing industry. Finding the right people for the job is what we do best. The staffing industry is at the front line of the War for Talent and with demand for our services at an all-time high, there’s never been a better time to start a staffing Franchise. Staffing agencies just like NEXTAFF, bridge the gap between candidates and companies in need of talent.
NEXTAFF: At the Frontline of the Hiring Wars
Here at NEXTAFF, we’re always thrilled to hear from prospective partners and new Franchise Owners. Our staffing franchise is based on one simple premise: companies will always be looking to hire quality people, and people will always be looking for jobs.
In today’s climate, this has never been truer. NEXTAFF is providing a service that is business-critical right now and that will remain evergreen in any economy and business landscape to come. Ready to become a Franchise Owner and start your own franchise agency business? Please visit our franchise website for more information.