NEW YORK, Nov. 29, 2016 /PRNewswire/ -- America's employers
are more cautious with hiring plans than in the past two years,
according to the semi-annual survey from DHI Group, Inc. (NYSE:
DHX), a leading provider of data, insights, and employment
connections for select professional communities. More than half
(56%) of hiring mangers anticipate increased hiring levels in the
first half of 2017; however, this is a six point drop from when
surveyed in June 2016 and a five
point drop from when asked a year ago.
While the survey was conducted spanning the recent U.S. election
and therefore too early for substantive insight related to the
election results, the responses do paint a picture of employers
being less bullish on hiring in 2017. A significant number (68%) of
hiring managers who focus on recruiting technology professionals
anticipate more hiring, however that's a 10 point drop from
November 2015, indicating waning
confidence levels.
As employers appear more cautious with hiring in the year ahead,
positions are taking longer to fill. Nearly half of hiring managers
who recruit across industries state the time to fill open positions
has lengthened compared to last year, the highest since the survey
began. This is slightly more evident among tech-focused hiring
managers who face increased competition as employers across the
country increase their tech needs and skilled talent is becoming
harder to find.
The inability to find qualified professionals remains the
primary reason employers broadly have difficulty filling positions.
The DHI-DFH Mean Vacancy Duration Measure, DHI Group's proprietary
index which leverages JOLTS data from the Bureau of Labor
Statistics, mirrors hiring managers' observations. In September
(latest data available), it took 28.0 working days, up from 27.7
days in August, to fill open positions in the U.S. The record high
(since the data became available in 2001) was 29.5 days in April of
this year.
"Finding the right candidates for the right positions continues
to be a challenge for America's hiring managers as demand for
highly skilled professionals creates tension and competition among
employers," said Michael Durney,
President and CEO of DHI Group, Inc. "To combat the time a position
remains unfilled, recruiters are turning to sourcing and services
which speed efficiency. But, professionals remain ultimately in
control and are asking for more money during the recruiting
process."
Wages on the Rise
A combination of rising competition, shortage of skilled talent
and compensation-savvy professionals adds to the talent tango and
is driving wages higher.
Pay expectations are trending upwards with 59 percent of hiring
managers (both tech and across a variety of industries) noting
salaries for new hires will be higher in 2017. The rise is more
pronounced among hiring managers who recruit a variety of
professionals with 12 percent expecting significantly higher
salaries in the current survey versus eight percent in November 2015, signaling the need for employers
to reassess budgets and ensure compensation and benefit offers are
aligned for a competitive employment market.
That doesn't appear to be happening yet as a majority (55%) of
recruiters across industries say they can't fill positions due to
salary guidelines for the position, up three points from the
mid-year survey and eight points from November 2015.
"Companies are missing a big opportunity by not evaluating
salary trends and changing expectations for positions," said Mr.
Durney. "While some employers fail to stay current with rising
salaries, savvy recruiters who keep up with changing market
dynamics come out ahead and land top skilled talent."
The jockeying for new talent is pressuring recruiters to
consider the whole employment package, including benefits outside
salary. Paying for relocation (50%), offering sign-on bonuses (48%)
or providing perks such as free lunches, gym memberships and
unlimited snacks (44%) are some of the tactics hiring managers
leverage to land the best candidates.
Building Up the Bench
Employers are finding a wait and see mentality doesn't work in
this heated recruiting environment. A majority (75%) of hiring
managers who recruit for a variety of professionals say sourcing
passive candidates is more important today than year ago. For tech,
this bumps up to 77 percent.
"It's becoming increasingly important for employers to have a
proactive approach to attracting candidates, one that goes beyond
reacting when a position becomes available and extends to building
a bench of talent and having candidates at the ready, year round,"
said Mr. Durney. "Services such as getTalent and Lengo ease
this pipelining process for employers to ensure candidates are
engaged when a position opens up."
Technology-focused hiring managers anticipate recruiting budgets
to be greater in 2017, compared to those who recruit for a variety
of professionals who expect much of the same next year.
The Year Ahead
Employers in the U.S. overwhelmingly anticipate no impact from
Brexit in 2017 with 77 percent of hiring managers who recruit
across industries saying the United
Kingdom's vote to leave the European Union will have no
influence on hiring decisions. For those recruiters whose hiring
needs are more broad-based, one in five (20%) are unsure of the
impact on hiring plans.
Hiring managers in each category say layoffs are not likely in
the next six months.
About the Survey
From October 31 through November 11, 2016, DHI Group,
Inc. surveyed U.S. companies, government entities and
recruiting firms from every region of the country who hire or
recruit a variety of professionals and technology professionals.
Overall, 618 hiring professionals responded they recruit for a
variety of professionals and 785 for technology professionals. For
the variety responses, 61 percent identified themselves as working
for companies that recruit for their own needs in sectors such as
healthcare, technology, energy, manufacturing, defense, education
and financial services. More than a third (36%) worked at companies
with more than 500 employees.
Survey Results
|
Nov-16
|
Jun-16
|
Nov-15
|
Do you anticipate
you or your clients hiring more professionals in the next six
months, as compared to the previous six months?
|
Variety
|
Tech
|
Variety
|
Tech
|
Variety
|
Tech
|
Yes, substantially
more hiring in the first half of 2017
|
19%
|
26%
|
20%
|
19%
|
22%
|
27%
|
Yes, slightly more
hiring in the first half of 2017
|
37%
|
42%
|
42%
|
51%
|
39%
|
51%
|
No
|
44%
|
32%
|
38%
|
31%
|
39%
|
22%
|
|
Nov-16
|
Jun-16
|
Nov-15
|
If you or your
clients have positions to fill, has the time to fill open positions
changed relative to last year?
|
Variety
|
Tech
|
Variety
|
Tech
|
Variety
|
Tech
|
Yes, it has
substantially lengthened
|
13%
|
14%
|
12%
|
15%
|
14%
|
13%
|
Yes, it has slightly
lengthened
|
35%
|
36%
|
32%
|
36%
|
31%
|
36%
|
No
|
32%
|
33%
|
35%
|
31%
|
34%
|
31%
|
Yes, it has slightly
shortened
|
15%
|
15%
|
17%
|
16%
|
17%
|
17%
|
Yes, it has
substantially shortened
|
5%
|
2%
|
4%
|
3%
|
5%
|
3%
|
|
Nov-16
|
Jun-16
|
Nov-15
|
What trend do you
see in salaries for new hires?
|
Variety
|
Tech
|
Variety
|
Tech
|
Variety
|
Tech
|
They are
significantly higher than last year
|
12%
|
10%
|
10%
|
11%
|
8%
|
13%
|
They are slightly
higher than last year
|
47%
|
49%
|
48%
|
45%
|
48%
|
48%
|
They are the same as
last year
|
27%
|
27%
|
30%
|
28%
|
32%
|
26%
|
They are slightly
less than last year
|
7%
|
6%
|
6%
|
9%
|
6%
|
6%
|
They are
significantly less than last year
|
1%
|
1%
|
1%
|
1%
|
1%
|
2%
|
Not applicable,
salaries are set by contract/regulation
|
7%
|
7%
|
5%
|
6%
|
5%
|
5%
|
|
Nov-16
|
Jun-16
|
Nov-15
|
Is sourcing talent
and building a bench of talent more important today than a year
ago?
|
Variety
|
Tech
|
Variety
|
Tech
|
Variety
|
Tech
|
Yes, sourcing talent
is substantially more important today
|
46%
|
49%
|
50%
|
51%
|
49%
|
51%
|
Yes, sourcing talent
is slightly more important today
|
29%
|
28%
|
29%
|
25%
|
25%
|
28%
|
No
|
16%
|
18%
|
15%
|
20%
|
19%
|
16%
|
I don't
know
|
9%
|
6%
|
6%
|
4%
|
7%
|
5%
|
|
Nov-16
|
Jun-16
|
Nov-15
|
Are there
positions available now that you have not been able to fill based
on the salary guidelines for the position?
|
Variety
|
Tech
|
Variety
|
Tech
|
Variety
|
Tech
|
Yes
|
55%
|
61%
|
52%
|
63%
|
47%
|
64%
|
No
|
34%
|
29%
|
36%
|
28%
|
43%
|
30%
|
Not
Applicable
|
12%
|
10%
|
13%
|
9%
|
10%
|
6%
|
|
Nov-16
|
Has the United
Kingdom's vote to leave the European Union, or Brexit, influenced
your hiring decisions for 2017?
|
Variety
|
Tech
|
Yes, substantially
increased hiring plans
|
1%
|
1%
|
Yes, slightly
increased hiring plans
|
1%
|
2%
|
No change
|
77%
|
75%
|
Yes, slightly
decreased hiring plans
|
1%
|
3%
|
Yes, substantially
decreased hiring plans
|
0%
|
0%
|
I'm not
sure.
|
20%
|
20%
|
|
Nov-16
|
What are your
expectations for your or your clients' 2017 recruiting
budget?
|
Variety
|
Tech
|
More than
2016
|
36%
|
47%
|
Less than
2016
|
10%
|
9%
|
About the
Same
|
41%
|
30%
|
I don't
know
|
13%
|
14%
|
About DHI Group, Inc.
DHI Group, Inc. (NYSE: DHX) is a leading provider of data,
insights and connections through our specialized services for
professional communities including technology and security
clearance, financial services, energy, healthcare and hospitality.
Our mission is to empower professionals and organizations to
compete and win through expert insights and relevant employment
connections. Employers and recruiters use our websites and services
to source and hire the most qualified professionals in select and
highly-skilled occupations, while professionals use our websites
and services to find the best employment opportunities in and the
most timely news and information about their respective areas of
expertise. For more than 25 years, we have built our company on
providing employers and recruiters with efficient access to
high-quality, unique professional communities, and offering the
professionals in those communities access to highly-relevant career
opportunities, news, tools and information. Today, we serve
multiple markets located throughout North
America, Europe, the Middle East and the Asia
Pacific region.
Media Contact:
Rachel Ceccarelli
Director, Corporate Communications
212-448-8288
media@dhigroupinc.com
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/employers-turn-more-cautious-on-hiring-in-2017-300369305.html
SOURCE DHI Group, Inc.