Unveiling Recruitment Challenges: How Skill Shortage Impacts Business Success

In the final quarter of 2022, most brands anticipate an increase in recruitment levels. However, obstacles remain that hinder the attainment of the same level of success experienced in the first half of the year, according to exclusive data shared with Our Website.

According to IPA Bellwether data, a net balance of 11.6% of companies foresee team growth in the upcoming three months. While expectations remain positive, this figure represents a decrease compared to the 15.1% who anticipated higher levels last quarter.

In the next three months, a higher percentage of brands (16.9%) are anticipating team reductions compared to the previous quarter's percentage of 14.1%. The proportion of brands maintaining their current employment levels has also declined from 56.8% to 54.7%.

However, there is still a significant portion (28.5%) of brands that anticipate an increase in employment, although this percentage has slightly decreased from the previous quarter's 29.2% and the first quarter of 2023's 32.3%.

Surveyed marketers report that the fierce competition for skilled employees is posing challenges for brands in their efforts to attract and retain staff.

Traditionally, recruitment becomes more active in September following a lull during the summer. However, this year has not followed the usual pattern, as stated by Rowan Fisk, a partner at 3Search, a recruitment firm. Fisk mentioned earlier this year that 2023 has been an unusual one, with businesses waiting for a triggering event to initiate hiring.

Businesses are also continuing to reassess their operating costs as the tricky economic climate continues, with redundancies on the table, says the IPA.