In 2022, the topic of the "talent shortage" dominated news headlines. We went from The Great Resignation to The National Talent Shortage, and businesses were focused on finding good talent. As we begin the new year, let's reflect on the big recruitment themes of 2022 and what we can expect for the year ahead.

Boom-time for candidates:

The market in 2022 was driven by candidates. Generally, salaries increased 7.6%, with some companies reporting increases of up to 20%*. Although this created a wonderful opportunity for candidates on the move, it also resulted in high budget pressure, high turnover within teams, and false economies of wages and inflation. There’s always a flip side! 

Highly competitive recruiting:

To attract talent, businesses and agencies need to raise their game. The result has been clearer job descriptions, innovative benefit structures, and quicker recruitment processes, as well as the ability to think laterally about talent (part-time, returning to work, remote work). These have been some of the positive side-effects of robust competition. 

Flexibility:

Welcome to the post-covid workforce! Never before have we had so many briefs with a “work from anywhere” option listed on the brief. Flexibility has been a contentious issue for many businesses as they find their optimal working arrangements, but we are certainly seeing a greater number of remote working options, and we have been recruiting beyond the traditional Melbourne/Sydney talent pools this year. It’s been a big win for candidates living in regional areas and of course, working parents have also benefited from greater flexibility than ever before. 

No Brits?

We certainly noticed a lack of international talent. Before Covid, there was steady supply of specialist skills (CRM, Digital, Analytics) often covered by international talent coming into the market. Contract roles were often filled with talented backpackers looking for short-term work. Whilst we are starting to see a slight increase in international talent over the last few months, there’s also been a recognition that we can’t rely as heavily as we once did on importing talent. 

It’s been a fascinating recruitment year and one we consider “out-of-the-box”. As we start 2023 we foresee: 

• A softening market due to more international talent hitting our shores (migration intake has been reset from 35,000 anually to 195,000). Unemployment forecast to rise by 1% to 4.5%
  
  
• Some shifts starting to emerge with senior candidates coming back into the market.
  
  
• Increased number of candidates wanting roles with that offer the opportunity to work overseas. 
  
  
• Flexiblity and hybrid work policies refined. A continued focus around how people can integrate work with their lives.

What does all this mean for you?

We feel that there’s still tremendous opportunity for candidates in the market and this should continue into 2023, albeit perhaps not at the frenetic conditions we have seen this year. We encourage you to keep close to the market, understand your worth in the market and think about your next career steps. 

If you want to kick off the next year with a focus on your career, book some time for a Career Chat with us. Take 15 minutes to re-fresh your market understanding, gain a recruiter perspective on your CV or answer any burning career questions! We’d love to hear from you.