Learn about how supply and demand is impacting the job seeker market
One of the biggest topics of discussion currently other than the talent shortage is salary inflation. Currently, there are some roles where salaries have increased by 200%, this is not most areas, but many have gone up by an average of 20-30%. Here at Reimagine Talent we want to shed some more light on the situation for candidates.
Why is this occurring?
In short, it's a supply and demand issue, currently there is not enough talent to fill many roles being advertised today. This coupled with ‘the great resignation' has driven a huge shift/shortage in the market. There are some areas that have more of a shortage than others but almost all businesses are finding it challenging to find candidates for roles. This climate has forced companies to increase salaries to attract (or retain) their talent.
How long will the market be like this?
Good question, it is unclear, but this said the feudal budget has just been released and the unemployment is predicted to peak at 3.75% in September the lowest in 50 years. They have also predicted an average 5% increase in salaries across the board (although this does seem very conservative)
Is it specific roles or industries?
Some industries are affected more than others, for instance Hospitality has been hit hard, I have seen reports of kitchen hands asking for $50 per hour. But overall, most industries have been affected to some degree. A list of roles that are in highest demand are here.
So, what does this mean for you?
As an employee, are you hearing about wage increases and wondering should I find another role to take advantage of the market, or should I ask my employer for a salary review? It's tough especially if you are in a job, you love or you are really looked after by your employer. However, if you are ready to transition into a new role, it is certainly great timing. If you are here are some tips:
Do your research - Make sure you do some research regarding the average increase in salary in your role or sector. When asking for more money you need to be reasonable.
Make sure you are not just thinking about money - It is easier to get distracted by a large increase in salary and not look at the other qualities of a role. The culture/company and team should still be your number one focus.
Think about what is important to you other than money - other than salary what would be important to you? Is a four day per week role of value for example. It might be a better approach to focus on aspects rather than just a salary increases.
Act with integrity - Even though you might be receiving many approaches and have not experienced this before, ensure you are still polite and be respectful of the potential employer/internal recruiter/HR or agency recruiter. The market will not always be this way so it is important to take the approach you would in a ‘normal’ market.
Where to from here:
There are a few things you can do to explore that market:
Change your profile to “Open to work” on LinkedIn (make sure you fill out what you are looking for).
Speak to trusted recruiters, such as Reimagine Talent, you have had contact with or who are cyclists in your area.
Keep an eye on the Job Boards for your dream role (set up alerts).
Sign up for vacancy alerts at companies you would love to work for.