3 Major Recruiting Trends of 2023

As businesses of all sizes embrace 2023 and the uncertainty that it brings, it's critical to examine global HR trends from talent leaders, HR decision-makers, and recruiters to determine how to prioritize recruiting investments this year.

Here are the top three recruiting trends we expect to see in 2023.

2023 has arrived, bringing with it a slew of new recruitment trends that will undoubtedly shape the recruitment and staffing market. To stay ahead of the curve, you should shift the gears of your recruitment business in accordance with these HR trends for 2023.

‍

Three major recruiting trends to focus on in 2023

1. Employer Branding

As the current generation of job seekers demands more from the companies with which they interact, brand positioning has become an essential component of your recruitment strategy. 

Indeed, 57% of job seekers believe that an employer's brand is important when looking for a new job. Many factors can help your employer's brand and reputation in the marketplace. 

Corporate sustainability, culture, and DEI (diversity, equity, and inclusion) are three areas of focus that are more than just business trends. According to surveys, 70% of job seekers want to work for a company that values diversity, and 41% would decline a job if the company's sustainability values did not align with their own. 

These factors, if fully implemented, cared for, and invested in, can improve your brand's authenticity and reputation among prospective candidates. To ensure the long-term viability of your branding strategy, first ensure that your internal sustainability, culture, and DEI programs are well-managed.

If you have a well-known brand, you won't have to spend as much money on recruiting. Potential candidates will naturally find you and apply for your positions. You can use your budget to improve your branding or product development and stay ahead of your competitors. 

Furthermore, your recruiting efforts are reduced because you are not spending as much time looking for candidates; instead, candidates find you. Statistics show that candidates are willing to accept lower pay if they work for a company with positive reviews and a well-known brand.

2. Data-Driven Recruiting 

Traditional recruiting relied on luck and intuition more than data, which took time to collect and analyze. Recruiters and hiring managers could only hope that their methods were effective. However, with a plethora of software and analytics tools on the market, anyone can now create a data-driven recruiting process.

Data-driven recruiting is the use of tangible facts and statistics to inform hiring decisions, from candidate selection to hiring plans. Data-driven recruiting teams are more likely to be efficient, cut costs, and improve hiring.

Using data in your hiring process improves the quality of your hiring. Data-driven recruiting can also help you with:

Budget Allocation

Track sources of hiring to determine which recruiting channels bring in the most qualified candidates.

Improve Your Productivity and Efficiency

Track how many emails your hiring team members exchange with candidates to see if there are any stages where you can reduce your time-to-hire.

Discover Any Hiring Issues

Examine your application form conversion rates to see if you need to change your questions or redesign your page. The same is true for diversity: examine candidate demographics to see if you are unintentionally discriminating against protected groups.

Benchmarked and Forecast

Recruiting yield ratios can show you how many applicants you typically need to make one hire. If there aren't enough applications, consider sourcing or re-advertising the position.

Make More Objective (And Legally Sound) Hiring Decisions

Selecting the best candidate based on assessment scores and structured interview results is not just an effective hiring strategy it can save you from future litigation.

Make a case for better recruiting processes

If you know that your company should invest in a referral program, you can present data demonstrating the effectiveness of this method to back up your case.

3. Freelance & Fractional Professionals

Traditional hiring practices have recently been called into question as a result of a labor shortage caused by the booming economy. However, there are other factors at work. Many would-be full-time employees have chosen to become freelancers or fractional professionals (willing to work in fractional shifts instead of full-time), capitalizing on the growing "gig" economy. 

According to a recent Kelly US Free Agent Research study, approximately one-third of the global workforce is foregoing traditional employment in favor of the flexibility and freedom provided by free agency, freelancing, or gig work.

Workers are increasingly seeing freelancing as a way to make their work lives work for them - an opportunity to organize their work around their lives rather than the other way around. 

As a business owner or leader, it's a good idea to try to attract and hire these freelancers who are passionate about providing quality service as an alternative to full or part-time employees.

According to the Kelly study, gig workers account for 31% of the global workforce, and there are 50 million freelancers in the United States alone, accounting for 33% of the workforce. 

The benefit of freelancers is that they run their own businesses, so they rely on repeat work and repeat customers. To keep the relationship, they strive to deliver their best work every time.

Final Word

Recruiting trends are changing throughout the world. Covid followed by the recession has greatly changed the supply and demand of employees in the marketplace. With this change, new recruitment trends for 2023 are emerging in the field of HR specifically when it comes to recruiting.

Three major trends that you really need to look out for are Employer Branding, Data-Driven Recruiting, and Freelance & Fractional Professionals. If your company is geared toward these three trends they have a high probability to hire the right people at the right time for the right position.

We hope this article has been of help to you. Keep watching this space for more in-depth articles focused on recruitment that will offer you insights and help you up your hiring game!