The Future of Work: 4 Key Factors That Will Shape the Workplace by 2030

It’s no secret that the labor market has been volatile over the last several years, and talent acquisition teams have experienced a multitude of highs and lows. In our capacity as trusted advisors, PeopleScout analyzed patterns in global workforce trends to help our clients create informed strategies for future-proofing their workforce by examining how these patterns may affect their workforce. While we can’t predict the future of work, we think there are four key factors will shape the world of work over the next decade.

1. Flexibility

Flexibility is here to stay, and it will apply to everything from where and how we work to the roles we do and who we do them for. There will be no hard and fast rules about working hours and shifts in the future.

As life becomes increasingly characterized by change, employees will need to be agile—always ready to reskill. Learning becomes a constant, and we may even find ourselves counting AI robots as our trainers and mentors.

Flexibility and upskilling will manifest differently from generation to generation, so organizations must facilitate working arrangements for different demographics. Over the next decade, the generation gap will widen and then gradually close as Baby Boomers begin to settle down to retirement by blending work and leisure. Millennials and Gen Z will bring their progressive perspectives to work.

10 Predictions for What’s NEXT in the World of Work

DESTINATION 2030

2. Fluidity 

Globalization will enable much more cross-border, cross-company collaboration. Project teams will be established based on all sorts of factors, not just who’s in what department or which location. People will work with talent from all sorts of specialities as they move from project to project.

Technology helps to support our wellbeing as the lines between work and home become more blurred. But with new technologies come new laws, so security and compliance will also be strategically important, especially for organizations working at the cutting-edge of innovation.

3. Focus 

Organizational culture will become more important than ever before as people make career choices based on ethics, values and purpose above things like pay and benefits. More and more employees will choose to work for organizations that have a clear purpose and are committed to working in the most ethical, sustainable and socially responsible ways.

Technology also plays a role here, in helping people focus on the work that matters to them as automation takes over the mundane tasks. However, more AI and machine learning will make some roles redundant and create many others—generating even greater demand for technical, analytical and digital skill sets across sectors.

4. Forward-thinking 

Organizations will continue to compete when it comes to creating innovative new technologies and using those technologies in the most creative ways. But they’ll also be happy to pool some resources to create a better future for everyone. 

Issues like equality and climate change will continue to grow in importance, forcing organizations to find new and better ways of making social and environmental improvements at speed.

Onward, Upward and Who Knows Where

You may feel more prepared for some changes more than others as we approach 2030, but it’s safe to say that there will be plenty of surprises that will require creative thinking in order to stay resilient.

PeopleScout will be on the journey with you to support, challenge and inspire you—no matter what the future holds.

To learn more about how we came to these predictions and see our research findings, check out our Destination 2030 white paper.

PeopleScout Jobs Report Analysis – December 2022

U.S. employers added 223,000 jobs in December, beating analyst expectations. The growth came despite rising interest rates aimed at slowing the job market. The unemployment rate dropped to 3.5%. Year-over-year wage growth fell to 4.6%.

jobs report infographic

The Numbers

223,000: U.S. employers added 223,000 jobs in December.

3.5%: The unemployment rate fell to 3.5 percent.

4.6%: Wages grew 4.6% over the past year.

The Good

December’s jobs report shows evidence the Federal Reserve’s strategy of increasing rates to provide a “soft landing” for the U.S. economy may be working. So, what would look like bad news in almost any other year is actually good news.  

The 223,000 jobs added to the economy is the smallest increase in the past years, as the Wall Street Journal reports, but it is still a healthy pace of job growth. Additionally, year-over-year wage growth slowed to 4.6%. Wage growth has remained stubbornly high over the past two years, and economists feared it could contribute to high inflation. December’s report helped allay some of those concerns.

The Bad

Though December’s job report was generally taken as good news, there are still some signs of unwanted weakness. As MarketWatch reports, layoffs in the technology sector are making an impact in the report. The business and professional services sector, which covers many tech roles, posted a decrease of 6,000 jobs. Additionally, while the labor force participation rate did increase in December, it still remains below prepandemic levels. This continues to contribute to the ongoing labor shortage.

The Unknown

Economists say that the slowing growth in December’s report will likely cause the Federal Reserve to slow the pace of interest rate increases aimed at slowing inflation. As the New York Times reports, the S&P 500 rose 2.3% with the release of the report. Investors have been eager for fewer and smaller interest rate increases. The Federal Reserve meets next on January 31.

Recruiter On-Demand: How Project-Based RPO Can Solve Your Toughest Talent Challenges 

More than two years after the start of the COVID-19 pandemic, employers are still dealing with ripple effects influencing their ability to hire qualified workers. Organizations are still rebuilding their workforces and turnover is high. Talent acquisition teams are spread thin—spending even more time than usual sourcing passive candidates and working with candidates who have multiple job opportunities.  

On top of that, it’s difficult to hire recruiters in the current market. According to LinkedIn, the number of open job postings for recruiters has increased nearly seven times year-over-year. Additionally, uncertainty continues. According to a survey by PwC, CEO optimism is down 20% compared to last year—and this survey was taken before geopolitical conflict and high inflation began to affect consumers and employers.  

These factors have left many employers looking for short-term talent acquisition support that can be set up quickly to respond to changes in the market. Rather than a full recruitment process outsourcing (RPO) solution, many employers are turning to project-based RPO, also called Recruiter On-Demand. In this article, we’ll walk through the different ways a project-RPO partnership can be deployed to address specific challenges within talent acquisition programs.  

What is Recruiter On-Demand? 

labor on demand

Project-based RPO and Recruiter On-Demand are interchangeable terms that represent talent solutions designed to meet the demands that internal resources may be unable to accommodate. Specifically, project-based solutions provide focused support for organizations in all industries during challenging periods of the recruitment cycle, such as peak hiring, hard-to-fill positions, compressed timeframes and more.  

The biggest difference between Recruiter On-Demand solutions and traditional RPO programs is that Recruiter On-Demand is a pay-per-hour model, rather than a pay-per-hire model. It’s a great option for organizations that don’t need or want a full RPO engagement, but still feel that they could benefit from some extra talent acquisition expertise and a small number of extra recruiters (or even just one). 

While these types of programs typically begin with a defined timeline and scope, they also have the ability to expand, extend and evolve as needs arise. There are three major use cases for project-based RPO engagements; below, we’ll cover what they are, how they work and how they fit together. 

Use Case: Top-of-Funnel Sourcing 

The first Recruiter On-Demand model is a top-of-funnel sourcing solution. This model is exactly what it sounds like: Your partner works to fill the top of your recruitment funnel with more candidates. From there, your own internal team takes over reviewing their applications, interviewing candidates and making all of the hiring decisions. 

When Should You Use it? 

This type of solution usually appeals to employers for a few reasons, but the overarching theme is that internal talent acquisition teams don’t have enough time or bandwidth to source enough qualified candidates for open roles. This could be due to a hiring surge, ramp up or expansion. We also see this challenge for employers that have great consumer brands: They often get a lot of applicants, but can struggle to source candidates for specialized roles that aren’t what their brand is known for. This is common when hiring for IT or technology roles at companies that are not in the tech space.  

Likewise, as many organizations work to meet their diversity and inclusion goals, talent leaders can also struggle to find enough candidates from underrepresented backgrounds. The challenge can be further amplified when employers have locations spread across dozens, if not hundreds, of communities. That’s because recruiters and sourcers have to understand all the demographics and nuances of disparate locales.  

How Does it Work? 

At PeopleScout, a top-of-funnel sourcing Recruiter On-Demand engagement proved successful for one of our clients, a national retail sporting goods company. The team at this company was experiencing two challenges: They needed to fill a few specialized IT roles and they were struggling to source candidates from underrepresented backgrounds at their different locations. They also needed many candidates for their manager and assistant manager roles.  

In this situation, the retailer needed five sourcers: one person supporting their hard-to-fill IT roles, and the other four working to source for their high-volume area of retail and distribution roles. They had also identified several Midwestern states where they wanted to focus their diversity efforts and bring in more candidates from underrepresented backgrounds. To help them reach their goals, we created a detailed sourcing strategy. We also worked with local chambers of commerce and community-based organizations, in addition to leveraging social media platforms. By the end, the sporting goods store was able to meet its hiring and diversity goals, and the benefits even continued for weeks after the engagement ended.    

Use Case: Source/Screen/Submit 

Meanwhile, for employers that need slightly more support, there’s the next level of project-based RPO support: source/screen/submit. This type of engagement starts out the same as a top-of-funnel sourcing partnership; recruiters and sourcers support an internal talent acquisition team for a period of time, sourcing candidates to apply to open roles. However, rather than handing those lists of candidates off to internal teams, the recruiters take the next step of prescreening the candidates to ensure that they are both qualified and interested in the role before submitting prequalified candidates to hiring managers.  

When Should You Use It? 

We’ve seen a significant increase in the number of employers looking for this type of support. By taking on the front end of the recruitment process, these recruiters and sourcers give more time back to internal teams. This means that they have more time to interview candidates, put together competitive job offers and onboard new hires. 

This solution can be helpful for employers for a number of reasons, but the most common is that they need to hire for a large number of roles at the same time. This could be because they’re in expansion mode or rebuilding their team after the challenges of the last few years. Or, maybe they have a seasonal hiring surge as they gear up for a busy season, and it doesn’t make sense to have a large internal team when they only need the extra help for a few weeks or months at a time. We see this type of need frequently with retail clients gearing up for the holidays; educational organizations adding staff for the school year; and healthcare companies preparing for open enrollment.   

We also see a need for this solution when employers have a lot of branches or locations spread across a large geographic area—especially if hiring decisions are made at the local level and not at the corporate office. Similarly, we often see that local, branch-level teams don’t have the manpower to source and screen large numbers of applicants.  

How Does it Work? 

In practice, this type of solution can have a major influence. For instance, we have a client that provides early childhood education for children six months to 12 years of age; at one point, they had more than 900 openings across the country. Simultaneously, they were dealing with the Great Rehire, classrooms were reopening and they were working on an acquisition. Their final hiring decisions were also made by the school at a local level. Clearly, this was more than the small internal team could manage.  

When we partnered with this organization, our engagement started with two recruiters on a 16-week project. Those recruiters conducted the sourcing and prescreening of a minimum of 25 candidates per recruiter per week. Then, they sent prequalified candidates to the assigned school, where the hiring managers conducted in-person interviews, job offers and onboarding.   

Now, 10 months later, the project is still going strong. Because of the success of the initial team, the PeopleScout team has grown to six recruiters and, so far, they’ve phone screened nearly 3,000 candidates and submitted nearly 2,000.    

Use Case: Full-Cycle On-Demand Recruitment

Full-cycle project RPO partnerships are the most involved and most closely resemble traditional RPO partnerships. Think of them as “RPO light.” 

In a full-cycle partnership, recruiters support an employer’s internal team for the entire process—from intake to offer. There’s also even more space for a consultative partnership as the support extends throughout the entire process—not just bits and pieces. This means that there’s a greater opportunity to learn from the experiences and best practices that your partner has gleaned from years of working with employers across industries in all types of talent markets. Yet, despite the increased support, these types of full-cycle partnerships still retain all of the Recruiter On-Demand benefits—including the billing structure, shorter defined timeline to secure labor on-demand labor and more. 

When Should You Use It? 

This type of partnership typically works well for employers that are struggling to keep up with their hiring load. This could be due to attrition or a hiring surge and can cover every part of the process—from applicant management to interview scheduling to offer. 

We also see it work well for employers that want the best practices and experience of an RPO provider, but don’t have the need for a traditional, large, long-term engagement. In this case, these often start out as short-term projects, but end up being long-term partnerships.   

How Does it Work? 

At PeopleScout, we currently support a client that hires licensed clinical social workers. Because they provide virtual therapy and counseling sessions, their internal team was struggling to keep up with the increased demand caused by the pandemic. 

Once again, this Recruiter On-Demand project started small, with a 13-week planned engagement with two recruiters who handled everything form sourcing candidates to initial screenings and setting up interviews. The project also involved sourcing candidates from across the entire U.S. Finally, our team also handled offer letter execution and management.   

Now, 19 months later, the recruiting team has grown to 14, and we’ve hired more than 1,000 licensed social workers. We’ve also extended our services to support the client’s hiring needs in their call center and IT department.  

A Growing Partnership to Provide Labor With On-Demand Recruitment

Project-based RPO engagements have built-in flexibility, which makes it easy for them to shift in scope. In this way, a partnership can start out focusing solely on top-of-funnel sourcing and then later expand when needs change to cover more of the hiring process. A project RPO partnership can even migrate to a traditional RPO partnership.  

To learn more about project-based RPO engagements, view our webinar

Specialized Staff Recruitment at a Not-for-Profit Healthcare System

A not-for-profit healthcare system serving New England engaged PeopleScout to support sourcing nursing candidates. The client’s facility has the only level III NICU and level I trauma center in the region, which created a need for specialized nursing staff.

Solution Highlights 

  • Contract renewed
  • Unfilled positions sourced within six weeks
  • Dedication and a quality partnership

Scope & Scale 

  • The client’s HR team had difficulty sourcing candidates who met the minimum education and experience requirements.
  • The client needed outside support to recruit staff for two additional facilities.
  • In-scope skills and positions included labor and delivery nurses, surgical nurses and emergency nurses.

Solution

PeopleScout deployed an on-demand recruiting solution with a virtual recruiter working offsite to source and recruit nursing talent.

PeopleScout supported the client’s internal team and is completely dedicated to sourcing and hiring specialized nursing talent.

PeopleScout developed a close relationship with the client’s hiring managers to better understand the needs and culture of the client to source candidates that closely align with the organization’s values and expectations.

PeopleScout monitored the regional labor market to identify recruiting opportunities at competitors or facilities closing operations or laying-off staff.

PeopleScout posted on job boards and updated content regularly on niche healthcare sites, social media and medical association sites to source both active and passive candidates.

To attract talent in a competitive labor market, PeopleScout positioned the client’s employer value proposition to better align with candidate expectations for career growth, sign-on bonuses and educational assistance.

Results

Contract Renewed
As a result of the success of the program, the client renewed its initial 13-week contract with PeopleScout twice.

Unfilled Positions Sourced Within Six Weeks
In the first six weeks of the initial engagement, PeopleScout sourced and hired nurses for eight positions that had been previously unfilled for a year.

Dedication and a Quality Partnership
The client’s HR team valued the quality of the dedicated recruiter, and the relationship continued to improve with each engagement.

A Dynamic Recruiting Solution to Support Growth and Improve Candidate Experience

A healthcare revenue and payment cycle management company needed an RPO partner to support the rapid growth that occurred when it acquired a healthcare IT business. Healthcare IT is a niche field with a limited number of candidates and many hard-to-fill positions. To meet its new workforce demands, the client engaged PeopleScout to implement a full-cycle RPO program for both exempt and non-exempt hiring. In addition, they partnered with PeopleScout to provide additional support to their internal talent acquisition teams in areas where hiring volume increased through our Recruiter On-Demand (ROD) solution. 

Situation

The client requires a scalable RPO solution that is flexible enough to navigate hiring spikes throughout the year and to access talent in the niche healthcare IT field. PeopleScout’s RPO program spans high-level technology roles as well as HR, finance, marketing, sales, legal, customer service and sourcing for executive-level candidates. Due to COVID-19, the client also required a new digital interviewing platform to create a consistent experience for candidates as they move through the hiring process.

Solution

SOLUTION HIGHLIGHTS
  • Full-Cycle, Exempt and Non-Exempt Hiring  
  • 3,000+ Annual Hires 
  • Recruitment of Hard-to-Fill Roles 
  • Dedicated Veteran Hiring Resources  
  • Tech-Enhanced Candidate Experience Powered by Affinix™ 
SOURCING FOR LEADERSHIP ROLES

The client leverages PeopleScout’s experience and expertise to source executive-level candidates to fill key leadership roles. 

SOURCING FOR NICHE ROLES

PeopleScout’s expert recruiters work with the client to identify qualified candidates in the competitive healthcare technology talent landscape. 

EMPLOYER BRANDING

PeopleScout’s RPO teams consult with the client to craft precise employer branding messaging and a social media strategy to attract talent for hard-to-fill open positions.   

ATS IMPLEMENTATION

PeopleScout assisted the client in the implementation of a single ATS platform to decrease redundancy and recruiting errors and create a pipeline of better-quality candidates. 

IMPROVED CANDIDATE EXPERIENCE 

PeopleScout implemented Affinix digital interviewing technology to ensure a consistent experience for candidates as they move through the hiring process.  

EMBEDDED RECRUITMENT SUPPORT

PeopleScout recruiters are embedded within the client’s organization and work with their internal teams to navigate sourcing, screening and hiring challenges to improve talent acquisition outcomes for all positions in scope. 

DIVERSITY & VETERAN HIRING

To support the client’s commitment to diversity and veteran recruiting, PeopleScout has a specialized focus and dedicated resources in this area. 

IMPROVED METRICS

PeopleScout’s RPO team provides the client’s leadership with full transparency by monitoring and reporting on metrics important to them including time-to-fill, candidate quality and the speed of the recruiting program.

Results

INSIGHTS & EXPERTISE

The client values the input and insights provided by PeopleScout’s experienced RPO team and their ability to quickly source and hire candidates for hard-to-fill positions. 

ACQUISITION SUPPORT  

The client has successfully navigated the challenges presented by its acquisition of the previous client’s healthcare IT business with the support of PeopleScout talent acquisition professionals. 

EXPANDED TALENT POOL

PeopleScout’s RPO solution has expanded the client’s talent pool and now sources veteran and diverse candidates more efficiently. 

IMPROVED PERFORMANCE

PeopleScout has improved the client’s recruitment performance by merging people, process and technology to enhance the experience with the recruitment process for candidates, recruiters and hiring managers. Average days to offer accept dropped from 62 days to 37 days for exempt positions, and from 40 days to 22 days for non-exempt, below the client’s target goal of 50 and 40, respectively.