We’ve come round to that time of year again, where we think about how far we’ve come in 2023, savour the Christmas holiday period and look forward to what we might expect in the coming new year. 2023 was certainly very eventful, both inside and outside the work arena and many ideas and technologies surfaced this year that will have a big impact going forwards.
So here we are with our top five predictions for 2024:
1. Embracing AI and automation:
Artificial intelligence and automation have been seeping into the recruitment and hiring process for a while now. However, 2023 saw huge leaps forwards in these technologies and they will become integral to the recruitment process in 2024. AI-powered tools already assist in sourcing candidates, screening resumes, and even conducting initial interviews. This year, LinkedIn released a new AI search tool integrated into the platform and many eagerly anticipate the release of Google’s Gemini. These technologiesstreamline the hiring process and also allow recruiters to focus on more strategic tasks. But they also help job seekers really refine their CV and assist in writing and presenting.
On top of this, AI combined with big data means that data analytics will play a increasingly significant role in recruitment. Organisations will leverage data to make informed decisions about where best to source candidates, which recruitment channels are most effective, and how to improve the candidate journey.
And beyond recruitment, companies will need to prepare their workforce for the changes AI advancements will bring. This includes upskilling employees and redefining roles to work alongside AI technologies.
2. The Rise of Pay Transparency:
Pay transparency is becoming increasingly important for job seekers. In 2024, organisations that are open about their salary ranges and compensation packages will have a competitive edge in attracting candidates. Pay transparency has become an increasingly important part of HR legislation to combat the gender pay gap, with new laws and policies being introduced in Canada, Chile, France, Germany, Iceland, Lithuania, the UK, and the US. The European Union (EU), is in the process of enacting similar measures. Combined with future legislation that is likely diminish the important of candidates’ salary histories, these measures will see a large shift in the way candidates are assessed across all industries. Pay transparency builds trust and can significantly improve the candidate experience, but it’s also likely to see an increase in job assessment exercises, rather than a pure reliance on CVs and interviews.
3. Diversity, Equity, and Inclusion (DE&I) continues to evolve
DEI initiatives will continue to be a priority for companies. In 2024, we'll see a greater emphasis on creating inclusive job descriptions, removing bias from the recruitment process, and ensuring a diverse candidate pool. This will not only be a moral imperative but also a business one, as diverse teams have been shown to be moreinnovative and productive, while the Gen Z workforce has be shown to be deeply invested in a diverse and inclusive future.
DE&I will also make extensive use of data and AI to improve the application process, increase the significance of off-boarding employees and for improving staff retention.
4. Proactive Candidate Engagement
Engaging with passive candidates will become a standard practice, not just for executive roles but across all levels. Building relationships with potential candidates before a role becomes available will be key to quick and effective hiring – what many call the pipelining model. This will see both companies and recruitment firms improving their networking with the candidate market in general and improving communications channels across online and social platforms to keep the community updated. In the case of companies, this will also necessitate an improvement to their EVP offerings.
5. Employer Branding & Value Proposition (EVP)
A strong employer brand will be crucial in 2024. Companies will invest more in their employer brand to differentiate themselves in a crowded market. This will include showcasing company culture, career development opportunities, and employee testimonials to a greater extent, embracing more immersive content around what a typical day looks like, and what an employee can expect to experience. There will also be an emphasis on what the company stands for, it’s mission and values and also an idea about its place in the world.
Again, these is an important attraction points for the Gen Z market, but also across the broad as we all become more mindful about how our jobs contribute to the wider world. And if firms are to create and maintain a pipeline of engaged potential employees, they’ll need to differentiate themselves from the other firms vying for the attention of those same people and keep them updated with everything great happening in the company.
The recruitment industry in 2024 will be characterised by technological advancements, a focus on DEI, pay transparency and an active effort by firms to create and curate engaged candidate audiences. It will certainly be a year of challenges, new learnings for everyone, but also greater transparency, better information and ample opportunities for self-improvement.
On behalf of everyone here at Ellwood Consulting, we wish you a joyous Christmas holiday and a very Happy New Year, and we look forward to navigating 2024 with you.