War for talent: Staff on the move

19/11/09: 'War for talent: Staff on the move' - We’re moving out of the global financial crisis (GFC), and we’re back to saving the planet. But, the next fight is already on our hands – and it’s the war for talent.

After having the upper hand for the last 18 months, with staff too frightened to make waves, employers are now faced with a work force ready to move.

Some reckon the GFC had an upside for certain businesses.

There is nothing like uniting in the face of crisis, doing more with less, soldiering on, sieving the business of all things surplus and all that good stuff.

For the first time in a decade, we saw the power pendulum swing back towards the employer as skills shortages softened and employees became thankful they had a job.

But is that about to change? From what I read, the critical month to watch will be February.

Pre-GFC, employees could ask for the salary they wanted, they received multiple job offers, resign with little loyalty and work wherever they pleased.

But in 2009, 42 per cent of employees who started a new job took a pay cut compared with just 28 per cent in 2008.

The picture changed and times got tougher for those looking for work – online recruitment ads fell by 50 percent.

After a re-calibration over the past 18 months are we now swinging back to an employee upper hand? And how will that affect us as business owners?

And in consideration of that, although unemployment figures are rising amongst the young, the dollar is strong meaning consumer spending power is rising – so will business pick up to exacerbate the issue?

A joint Australian and British survey released a few months ago by the Chartered Institute of Personnel and Development reveals that more than one-third of employees want to change their careers once the global economic crisis is over.

HELLO!? That is about now according to business reports - so is it happening sooner than anyone predicted?

This was backed up alarmingly, by the principal of an American think tank, the Human Capital Institute, who told a Melbourne HR conference last week that 80 percent of employees are ready to resign once the employment market picks up.

Price Waterhouse Coopers are also claiming the war for talent is about to increase in volume.

And is this happening sooner than predicted? What are you experiencing personally?

Is it true that those of us who continued to focus on investment in and employee engagement, while staving off the global financial crisis, are emerging as clear leaders in the war for talent?

Personally, my team and I have worked like Trojans this year – all hands on, not much time for ‘time out’ - united as a team, kept the communication open and probably achieved our best results ever with little investment in each other, other than honest, continual communication.

For a period, we haven’t been focused on external training or looking at the ‘nice to have’s. But I am already planning the catch up kick off in early February complete with external presenters and educators.

So how do you feel? Are you at a competitive advantage by investing in your people or did the GFC change all that for you personally?

Are you recruiting now? Do your staff have itchy feet? Have you checked in?

And how about Robert Oliver's comments from the Oliver Group, “If people want staff for the new year they'll be starting to recruit now, traditionally job seekers return to the market in large numbers in the new year, but the smart candidates will be looking now.”

Whatever your skills strategy is for the next 12 months, be aware that Australia faces a potential skills shortfall equivalent to 1.4 million workers by 2025 - unless the workforce participation rate increases, according to new research that recommends raising the retirement age and boosting skilled migration.

So think of strategies that include mature workers, part time workers and disadvantaged groups participating in the workforce.

And a handy hint for us business owners, remember to use your networks to help find the right person as well as the usual routes to recruiting new skills

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