2024 is here! 2023 was a rough year for many companies, job seekers, and especially talent acquisition professionals. However the economy is starting to pick up and it’s looking like it can shape up to be solid year for those looking for new opportunities. Also, this is a time where a lot of companies and internal talent acquisition teams start to strategize for the year ahead. With that in mind, I wanted to share some trends that are top of mind for me.
AI & Recruitment
You can't talk about 2024 without acknowledging the AI elephant in the room. Artificial intelligence and recruitment are like peanut butter and jelly—separate, they're good, but together, they're fantastic. Thanks to ChatGPT and its friends, recruiters are now automating tasks, crafting message templates, and becoming engagement wizards. However, there needs to be a delicate balance between technology and being human. Too much technology can damage the human touch the candidate experience so desperately needs.
Speaking of touch, there's the delicate matter of data concerns, and I expect there to be more regulation surrounding how and when companies are using AI tools in the talent acquisition process. New York City already has Local Law 144, which took effect on January 1, 2023. This law prohibits employers and employment agencies from using an automated employment decision tool (AEDT) unless they ensure a bias audit was done and provide required notices. There’s no doubt in my mind that there will be more cities adopting best practices like this as well as getting more specific with what's allowed and what isn’t with artificial intelligence.
Now, on the flip side, candidates are getting some AI magic too. No more endless resume or cover letter tailoring. Generative AI is here to do the heavy lifting. It can compare salary ranges, putting candidates in the driver's seat during negotiations. It's like having a career genie, minus the lamp.
Early Career Hiring
This is a stretch prediction, but I’m banking on this to come back based on the current state of the economy and how companies are doubling down on retention. To start, entry-level folks are cost-effective especially for budget friendly employers. Many companies are catching on to the value of upskilling and providing opportunities for growth which can also play into employees staying longer. According to a report by NACE, the one-year retention rate is just 36% for hires with no internship experience; that jumps to nearly 70% for interns promoted to full-time hires.
It's important to remember that younger employees have higher expectations of companies, including work-life balance and inclusion. More than ever, I'm seeing a need for empathy, emotional intelligence, and an emphasis on mental health in the workplace. The real question is what companies are willing to make that investment, and a bigger variable is where the business is. Many companies need to scale, and that usually comes with experience and a bigger salary.
Candidate Engagement
I love me a good survey if you couldn’t tell by now, but according to Career Plug, 58% of candidates said "no thanks" because of bad hiring experiences? Yeah, let's not repeat that in 2024. It's all about candidate engagement. Treat candidates like the unique unicorns they are. Personalized communication is the name of the game. Organizations are taking a deep dive into candidates' professional profiles to make them feel valued from the get-go.
Streamlining application processes is the secret sauce. With a 60% drop-off rate due to complex procedures, simplicity is key. Make it easy for candidates, and they'll love you for it. After all, nobody likes a complicated relationship, especially when it's just the beginning.
Data Analytics
Data, data, data, and data one more time. The era of data-centric recruitment is here, reshaping how organizations identify top talent. Tactical metrics like conversion rate, sourcing channel effectiveness, pass-through rates, and others are always going to be top of mind, but I foresee a bigger focus on the relationship to business outcomes. It's all about aligning recruitment efforts with broader business goals. Think of it like a strategic game of chess, where every move has a purpose, and you're not just capturing pawns but winning the whole kingdom.
So, fellow recruiters and job seekers of 2024, buckle up. It's going to be a wild ride, but armed with AI, budget-friendly hires, killer engagement, and a sprinkle of data magic, you're sure to conquer the recruitment realm. Happy hunting!