2022 was a difficult year for HR leaders, who had to navigate higher employee turnover, historically high rates of employee burnout, and still-evolving approaches to remote and hybrid work. Industry experts are forecasting that in 2023, many of these trends will still impact hiring.
“In 2023, organizations will continue to face significant challenges: a competitive talent landscape, an exhausted workforce, and pressure to control costs amid a looming economic downturn,” wrote Harvard Business Review.
The job market currently favors job seekers, meaning businesses will need to be strategic to attract talent, retain existing employees, and keep recruiting costs low. With these factors in mind, here are three major trends we’re likely to see from employers and employees throughout 2023.
“Quiet hiring” focuses on developing internal talent
“Quiet quitting” was the buzzword of 2022; “quiet hiring” is 2023’s answer to this trend. Quiet quitting essentially described the idea that burned-out employees do the bare minimum that their role requires. Rather than quit outright, they go through the motions every day but refuse to go above and beyond for their employer.
Quiet hiring is a term coined by the analysts at Gartner to describe a strategy for mitigating the loss of skills and capabilities resulting from quiet quitting. HR leaders that practice quiet hiring focus on internal talent mobility to address the organization’s priorities without adding headcount. It may mean offering upskilling opportunities, mentoring, and other support for existing employees. It could also include bringing in gig workers to flexibly meet commitments as needed.
Essentially, quiet hiring is simply a buzzword for internal recruitment—which is a proven way to weather a tough hiring market. “Not only is it more cost-effective than hiring externally, but you'll reduce employee turnover by offering upward mobility,” wrote HubSpot. “Candidates well-versed in your product, systems, and processes may already be sitting on ideas to innovate and improve your business.”
The job market currently favors job seekers, meaning businesses will need to be strategic to attract talent, retain existing employees, and keep recruiting costs low.
Diversity and inclusion remain a top priority for employers
Improving diversity and inclusion has been a stated goal for many employers since 2020. That hasn’t changed—in fact, nearly 20% of recruiters said it’s a higher priority in 2023.
However, organizations are expanding their understanding of what diversity truly means. Recruiters will expand their talent pipelines to include so-called “nontraditional” candidates: people with nonlinear career paths who are often left out of traditional sourcing methods.
“To fill critical roles in 2023, organizations will need to become more comfortable assessing candidates solely on the skills needed to perform in the role, rather than their credentials and prior experience,” reported Harvard Business Review. “Organizations will do this by removing formal education and experience requirements from job postings and instead reaching out directly to internal or external candidates from nontraditional backgrounds who may not have access to certain professional opportunities, or even be aware of them.”
Implementing skill assessments and removing biased language from job descriptions can be a good way to approach hiring based on merit, rather than background.
Employer branding is getting more advanced
Businesses are recognizing the power of employer branding not just for hiring, but for selling. Data shows that your customer experience is directly impacted by your employee experience. And your employee experience is what determines your employer brand.
It’s not enough to create a few LinkedIn posts from your company page and hope for the best. Employer branding has a real impact on how candidates (and customers) perceive your business. “They'll look at your company values and goals when they visit your website or landing page. Suppose your brand lacks an ethical or people-oriented motivator. In that case, it won't appeal to the newer wave of job seekers—especially those driven by social responsibility,” wrote HubSpot.
Employer branding should get the same level of attention as your other marketing efforts, if not more. Invest in creating an employee experience that makes your team want to share more on social media, write great reviews on Glassdoor, and share your open roles with potential new hires. Set up a formal employee advocacy program to incentivize your team to talk about their work, and highlight their stories regularly on your company social media pages.
This story was originally written by Sean Ludwig.
CO— aims to bring you inspiration from leading respected experts. However, before making any business decision, you should consult a professional who can advise you based on your individual situation.
CO—is committed to helping you start, run and grow your small business. Learn more about the benefits of small business membership in the U.S. Chamber of Commerce, here.
