From the Great Resignation to the Great Hiring Squeeze
It wasn’t too long ago that organizations were scrambling to find and retain top talent. But today, the U.S. is experiencing a tight job market, with a slowdown in hiring, an uptick in the unemployment rate and increased layoffs, resulting in what people are calling “job hugging.”
While leaders and hiring teams can breathe a collective sigh of relief that we have moved past the “Great Resignation,” I see a concerning trend that I recently highlighted in my #ThursdayThoughts.
As the pendulum of power has moved from the job seekers to the job providers, I’m seeing leaders become complacent, employee development curtailed and promotions delayed. Some are assuming they no longer have to worry about gaining or retaining top talent, because everyone is holding tight to their current role. These collective actions communicate to employees, “you’re lucky to have a job.”
After decades of experience, I want to remind everyone that the pendulum is always swinging. To not recognize that is short-sighted.
“When we know better, we do better.”
~ Maya Angelou
The Best Employees Will Leave First
It’s crucial to avoid falling into the trap of the lowest common denominator of leadership, but I see it happening.
When you know better, you should do better. We’ve lived through periods of time before where we’ve seen policy cuts, programs around flexibility dissolved and employee development no longer prioritized – all with a broad brushstroke, where one size fits all
What we already know is that this approach does not produce the greatest teams or help us solve problems. This impacts innovation, productivity and, ultimately, business success.
We can cut corners, get rid a program or a perk we used to use to attract talent. But in the end, it doesn’t get us any further. In fact, it puts us a step behind.
I know that tough decisions are often necessary in a downturned economy, but if you have cut programs for your employees and/or adopted a new one-size-fits-all approach, I suggest you ponder these questions:
- If people are staying (for now), do you think they’re performing at their highest level?
- Do you think they’re aggressively looking for innovative solutions that will lead to the next big breakthrough for your organization?
- Do you think they are watching you cut programs, perks and jobs … and trust you with their career?
- What happens when the market turns around? Who do you think will be the first ones out the door?
- Do you think the job market is too tight to have one of your high performers taken from you?
We know better. So let’s do better.
