It’s no secret that Australian employers across almost all industries are struggling to find and retain staff: vacant jobs are being advertised in record numbers, the unemployment rate is at its lowest in almost 50 years, and 31 percent of Australian workers are looking to move jobs within the next six months.

The competition for talent remains fierce, and employers who try to attract and retain talent using the same traditional methods are unlikely to overcome these challenges. How, then, do organisations navigate these difficult labour market conditions?

One answer may be to look beyond the usual talent pools, and instead identify groups of workers with varied (though no less meaningful) experience, and differing workplace priorities. Here, we look at these non-traditional talent pools where employers can find staff, and how to entice them.

Part time/flexible workers

When the pandemic began in 2020, many employees exited the workforce to take on caregiving roles or duties - whether that was to conduct home schooling or to care for ailing family members. With Australia now operating with only minor restrictions, many will be looking to re-enter the workforce, but will want to do so in a flexible capacity that allows them to maintain a work-life balance.

Remote work can mean many things: where someone works, how they work and when they work. Each of these will have different levels of appeal to candidates. For example, as of May this year, 61 percent of Australian job seekers indicated that the option to work remotely was a big factor in their decision to apply for a role, and said that if remote work wasn’t offered with their current employer, they would likely resign and look for another job.

In a tight candidate market, employers can attract and retain talent by offering flexibility such as part-time options, four-day workweeks, flexible hours, or even expanded benefits packages, such as parental leave.

Candidates from a different industry

For many Hiring Managers, investing in an employee who doesn’t have direct industry experience may feel risky, but in such a tight labour market, organisations should focus on hiring individuals based on their skill sets, rather than industry experience.

According to a global study, out of the people who quit their jobs between 2020 and 2022, 48 percent re-entered the workforce in a different industry. Given that 17 percent still haven’t returned to work, this means that only 35 percent of people took a new job in the same industry they worked in prior to the pandemic.

Of course, hiring from this talent pool will likely require a shift in thinking. But instead of focusing on the industry experience a candidate doesn’t have, focus on how they can grow and develop the required skills while working within your organisation and your industry. This means focusing on transferable skills, their ability to accept feedback, willingness to learn, emotional intelligence and motivation to produce positive outcomes.

This particular talent pool may require investment in internal mentoring, development and training to quickly get them up to scratch. However, with 70 percent of Australian employees prioritising training opportunities over salary when looking for a new job, this could position you as an attractive employer in the market.

While this may be a less straightforward, more daunting interview and recruitment process for Hiring Managers, remember this is something professional recruiters will be well-equipped to assist with.

Are younger or students

The 2021 Australian census found the proportion of Gen Z is quickly approaching Gen X, and that this younger generation will soon surpass Millennials as the most populous generation on earth - making up at least a quarter of the global workforce by 2025. This group will prove to be a useful talent pool for organisations, given Gen Z’s growing reputation for being the most socially conscious, tech-savvy generation.

When aiming to attract such talent, employers will need to consider what entices this generation to organisations and job opportunities. For example, values and purpose play a huge role in the professional choices of younger workers. So much so, that 37 percent of Gen Zs say they’ve rejected a job based on their personal ethics, and are willing to walk away from employment if the company’s values aren’t in line with their personal beliefs.

When targeting this younger generation, it pays to remember some may be in the process of completing their studies, whether that be a university degree or vocational training. Offering flexible work schedules to accommodate classes, along with internal development that offers clear advancement trajectories, will go a long way to attracting and retaining students, particularly the ambitious and education-focused Gen Z. Furthermore, investing heavily in the day-to-day interactions that build a high-quality culture can help create an even more enticing recruitment package.

Are older workers or have had a “career break”

Though it was a larger proportion of the younger generations dropping out of the workforce when the pandemic first began, the lasting story is about Australia’s older workers. Even as the economy reopened and vacancies hit record level, those aged over 50 have continued to drop out of the labour force.

This choice to retire early could be due to several factors. For example, new research indicates that since the pandemic, older generations are less driven by monetary gain, and have thus decided to leave the workforce and find fulfilment in other aspects of their lives. Another factor is they may have been working in sectors that were in decline prior to the pandemic, and so workers considered it unlikely they would get their job back and chose to retire early rather than look for another job or retraining. Whatever the reasons, the message is that this group of older workers have perceived lower returns from continuing to work.

It’s likely that organisations haven’t pursued these experienced workers perhaps as much as they could, and therefore need to consider the kind of work benefits and circumstances that might entice them to re-enter the workforce. The same can be said too for workers who have taken a career “break”.

Having completed traditional careers, it’s likely these individuals will want more than the traditional value proposition to be enticed back into the workforce—including the promise of meaningful work.

In the current market, employers will need to look beyond traditional talent pools to the workers who want flexible, supportive work arrangements. These people are out there - in greater numbers than before - and can be enticed using the right strategies. If you require assistance sourcing and hiring talent, contact Bayside Group today.