The IT hiring market is changing rapidly, and companies need to adapt in order to find the best talent. In this blog post, we will take a look at some of the most important IT hiring stats and trends for 2023. We will discuss the challenges that companies are facing when it comes to IT recruitment, and we will also take a closer look at how different types of developers are being hired. Finally, we will explore some of the strategies that companies are using to find top talent in today's market.
The IT job market in 2023
The market is competitive and companies have to work hard to access the right talent. For 63% of recruitment specialists, talent shortage is the biggest challenge they face. More than 3 in 4 hiring managers admit that they find it difficult to attract suitable candidates, especially since the best talent only stays on the market for around 10 days. Additionally, more than 90% of employers are struggling to fill the skills gap.
Attracting and retaining talent
Another challenge that companies face is attracting and retaining top talent. Candidates are highly discerning. Some 75% of them would not sign a contract with a company that has a bad reputation, while a strong brand can attract 50% more qualified talent. A solid reputation does give businesses a competitive edge. Moreover, two thirds of talent acquisition teams have experience with job candidates changing their minds after they have signed an offer letter.
There has also been a widespread increase in salary negotiations. In fact, in the tech industry, 39% of companies see increasing salaries as a top initiative. Ads that offer information about salaries see 75% more clicks. People accept job offers for the following reasons, in this order: satisfying compensation, opportunities for professional development, and work-life balance. Almost a third of job seekers want a work environment in which they will feel cared for.
Mistakes when hiring tech talent
Because bad hires usually cost about 1/3 of that person's annual salary, it is crucial to avoid them. Additionally, a person that does not fit within a team can have a huge negative impact on morale. Almost all recruiters who are unhappy with their hires say these new employees usually lack soft skills.
The IT recruitment process
The effectiveness of a company's recruiting process is determined by its ability to attract the right talent. Almost 60% of candidates quit overly complex online job applications. Meanwhile, an optimized recruitment process can lead to a 60% shorter hiring cycle, which is 36 days on average. This is, in most cases, too long. More than half of all job seekers expect no more than a two weeks' wait between the first interview and an offer.
Onboarding remotely without loss of quality remains a challenge, with only some 12% of companies onboarding efficiently. Which is a fantastic area for improvement, as businesses with a good onboarding process see a 50% improvement in employee retention. Automation seems to be an important tool for the onboarding process. Video interviewing is a great way for an IT recruiter to reach more qualified candidates without a loss of quality in candidate screening. HR technology can allow hiring teams to find candidates more quickly, optimize the interview process, boost their company's employer branding, increase the reach of job postings, and more.
Tools and strategies for hiring managers
To ensure they are successful in the IT hiring process, companies must also make sure they have the right tools and hiring strategy in place. For example, companies can use automated recruiting systems to streamline their recruitment process. Additionally, employers should consider investing in data-driven approaches such as predictive analytics to identify talented candidates before their competition does. Finally, employers should use recruitment software to track their progress and make sure they are staying up-to-date on the latest trends.
However, simpler tools remain important: email remains the most used and effective communication channel between recruiters and candidates, and 43% of recruiters have used texting. Referrals from team members are still a crucial source of new hires. Most talent teams find sourcing to be a more effective source of finding top candidates than inbound traffic.
This is not necessarily a sign that new hiring technologies are not useful. They may not be adopted widely enough to make a difference. For example, most talent teams believe sourcing automation would increase their productivity.
Candidate experience in the hiring process
It is incredibly important to provide a satisfying experience to candidates, including those who are not ultimately hired. People who received constructive feedback at the end of a recruitment process are 400% more likely to consider applying at the company again in the future. Additionally, 80% of those who had a bad recruitment experience are happy to spread this information.
Top HR technologies
The most popular HR technologies used by recruiters are applicant tracking systems, video interviewing software, recruitment chatbots, automated screening tools, and digital onboarding. These tools allow recruiters to streamline their hiring process and better engage with potential hires.
IT talent acquisition in 2023
Ultimately, IT recruitment is an ever-changing landscape. Companies must stay ahead of the curve in order to attract and retain top talent in 2023. This means having the right tools and strategies in place, such as automated recruitment systems and predictive analytics. Additionally, employers should prioritize a positive candidate experience to keep top talent interested in their organization for years to come.