Organisations face hiring challenges as employee’s market remains
Amid recession fears, workers are still set to have the upper hand in the job market as demographic changes make it harder for employers to hire and retain staff, according to a global study by Glassdoor and Indeed.
The joint report, which studied employment trends across Australia, Japan, China, the U.S., Canada, France, the U.K., Germany, found that an ageing population and reduced immigration have led to a smaller pool of workers overall, which will cause hiring in certain industries to remain challenging in the years to come, reported Bloomberg.
Fears of a potential upcoming recession may temporarily curb businesses’ hiring in the short term, but long-term effects are likely to skew market power toward jobseekers, the report noted.
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“In a moment like this, with so many headlines about layoffs, it perhaps feels a little bit weird to talk about long-term hiring challenges. But the reality is, it is precisely in moments like this when it’s easy to lose the trees for the forest,” said Aaron Terrazas, chief economist at Glassdoor.
“It’s easy to conflate the near-term cyclical with long-term structural challenges in the labour market”, he explained.