Talent availability, salaries and benefits have emerged as a major challenge for employers this year, reveals the latest edition of CIEL Works . It is a survey conducted by CIEL HR Services. The findings stated that 62 per cent of companies said that they will be using artificial intelligence (AI) to automate repetitive tasks at recruiting, while 59 per cent of companies are making the workplace relevant for millennials, who are a rising constituent of the workforce. CIEL Works gives business leaders insights about the talent landscape, which will help them deal with the challenges in hiring top talent and driving organisational growth.
CIEL surveyed 135 executives across industry sectors to understand their perspectives of the Indian talent market. The survey learnt about candidate behaviours such as what they negotiate while taking an offer, the push factors for which they look for an opportunity outside their employer organisation and so on.
Other key findings
- One size doesn’t fit all: Channelising recruiting efforts on the level of role to be filled:
1. Company website is effective for entry to mid-level roles.
2. LinkedIn has increased its significance as a channel for roles across the spectrum.
3. Job portals like company website are good for entry to mid-level roles.
4. Employee referrals are effective across all levels, but most effectively used for hiring junior roles.
5. Facebook has emerged strongly this year for hiring freshers at salaries vis-à-vis last year.
Recruitment firms as a channel are agnostic to segments of hiring.
- High salary expectations while taking up a new job:
1. 30 per cent of senior candidates expect salary hikes north of 30 per cent while taking up a new job.
2. 50 per cent of the candidates in the mid-level roles expect a salary hike of 20-30 per cent, a trend similar to last year.
3. This is more pronounced at senior levels (20-30 per cent raise expected vis-à-vis 20-40 per cent last year) while for the mid level roles, most people expect a raise of 10-30 per cent. Most entry level executives expect 10-20 per cent hike, which is normal.
- While discussing a job offer with a potential hire, focus varies based on the level of role hired
1. Entry level: Candidates are most concerned about salaries. Work location and designation are the other two significant factors while negotiating a new job offer. This points to the fact that we have millennials in this group having an optimistic outlook of the job market.
2. Mid-level: Candidates in mid-level roles are concerned about salaries, designation and variable pay. Clearly, they are seeking growth and corresponding financial rewards.
3. Senior level: For senior level roles, candidates are interested in a number of factors: salaries, benefits, variable pay, designation and job role. So, all the five aspects needs to be focussed while negotiating an offer with a potential candidate for a senior role.
- Deep dive reveals horses for courses
1. Most crucial factors to discuss while filling a senior-level role are: Financial health of the company, job title, long-term vision, employer brand reputation and work culture.
2. For a mid-level Role, important factors are: Work culture, compensation and benefits, career development and job security.
3. Important factors for entry-level roles are : Compensation and benefits(61%), work culture, work location and career development. Similar to last year the least important for them is vision and leadership.
4. Compensation and benefits are the factors that are significant for all roles like last year. This year ‘company culture’ is the new emerging factor that has significance across all levels.
Top push factors
- Entry level:
1. Entry-level professionals see many opportunities before them and are optimistic. They aspire to maximise their earnings. Like the previous year’s survey, salaries continue to be the dominant attraction.
2. Long work hours has emerged as a significant push factor in the study. This reflects a change in outlook towards work life. The change is being led by an increasing population of millennials in the workforce who want to deploy energies and time on their areas of interest other than what they do for a living.
3. Third factor is their manager. This was the second significant factor in the last year’s survey. They are aware of the inter-personal relationships and the importance of collaboration. Given their confidence in the job market, they are open to external opportunities if they are not inspired to work with their boss.
- Mid-level:
1. Top factors like career progression, manager and compensation and benefits have shown similar significance in a mid-level professional’s career. These trends akin to our last year’s survey.
2. Career progression comes as the most important factor because people in the mid-level of an organisation are most concerned about the relevance of their career and earning potential in the future. Their priority in favour of this factor over salaries shows, they are thinking for the long-term.
- Senior level:
1. Professionals in senior level roles are most concerned about the company performance which is similar to last year. They expect the company track record and performance to be in the positive direction so that they can contribute in furthering the journey.
2. Secondly, they expect a match between their personal beliefs and the company’s values.
- Talent market trends:
1. Clear trends are visible that AI will be used to find best-matching candidates from online databases.
2. Secondly, use of social networks to build employer brand and attract candidates to job posts is seen as a clear trend.
3. Organisations could work with their recruitment teams (outsourced or in-house) to drive their digital strategy to build employer brand and deploy the best practices to draw top talent towards them.