3 February 2023 — The latest US Bureau of Labor Market statistics published on February 3, 2023, demonstrated a huge and unexpected gain for the labor market with 517,000 jobs added in January and 11 million job openings.
Commenting on the latest statistics Nicky Hancock, Managing Director, Americas Region at AMS said: “Despite current predictions that the U.S. is on the cusp of a recession, we remain in one of the tightest labor markets in history. Companies haven’t been able to fill their skills gaps in years, so while some sectors have slowed down, companies are still desperately seeking to acquire certain skill sets.
Tech skills such as AI, cybersecurity and digital marketing are highest in demand. While the technology industry has made layoffs, these workers are finding new opportunities in other sectors such as life sciences, healthcare, hospitality, and travel. The airlines industry, for example, has promised more investment in tech this year to avoid technology failures.
Growth in these industries has yet to slow down, and companies are hungry for digital talent, but they must be prepared to adapt their employer brand proposition in order to attract new, digital talent to their workforce.
A big talent strategy in 2023 will focus on emerging talent. We’ve seen a 30% increase year-over-year in this area with our clients in the Americas. Because the labor market is so tight, companies are laser-focused on interns converting to full-time hires. That means recruiting strategies for students will concentrate on the intern candidate experience; more in-person, intimate events to attract students; and heavy social media engagement campaigns.
This year companies will also be increasing their upskilling and reskilling programs and retention strategies to hold on to the talent they already have. The biggest issue remains workforce participation which has been reducing since 1995. With 11 million job openings and 6m unemployed and a large skills gap within the employed population, organizations must be very intentional about their talent acquisition strategies.”