Yesterday, we discussed the psychological response candidates experience when the economy is unstable. As previously mentioned, if prospective candidates are in established job situations during a recession, there is a tendency for them to pull back and act conservatively. This explains why our real estate client is having a difficult time “shaking people loose” from his competitors while the market is in such disarray. 
This will remain the reality of recruiting until the economy starts to recover. As the recovery starts, there will be signs of life that appear in the labor market. Lou Adler offers further insight into this topic in his recent article:
“As hiring 'green shoots' appear, those who are the most fed up with their current jobs (the least satisfied) will begin to pursue other opportunities. As these people leave, companies will fill these empty seats, most likely with others, currently fully employed. Soon these trickles of churn will turn into significant streams of turnover that will be measured in the national labor statistics. This spike in turnover is an early indicator of an economic recovery.”
There are two sides to the market recovery coin: The first side is the advantage that can be gained from the renewed energy people will feel as the recession ends. This sense of hope will result in candidates, once again, willing to consider new opportunities. For some candidates, there is also a sense of throwing off the weight of an organization that has not met their needs beyond stability.
The time to prepare for the upcoming churn is now. Do you have systems in place to engage people who are willing to talk about new opportunities? As a hiring manager, are you holding yourself accountable to completing the tasks that are known to produce results? Are you able to articulate the benefits of being part of your team during a period of recovery?
The flip side of the recovery coin is retention-- the employment churn will run both ways. If there is penned up angst in other organizations that will soon be released, it’s foolish to believe that there is not some penned up dissatisfaction in your own organization.
Now is the time to address these issues as well. Have you spent time talking with your existing team about what frustrates them in their current situation? While you may not be able to currently dedicate a lot of resources to solve some of the problems, do your employees know that you have identified the most important issues and have a plan for resolving these issues once resources start to flow again?
While we all want to take advantage of Maslow’s Principle of Self-Actualization, it can also be the force that causes your existing organization to suffer. Don’t miss the opportunity to prepare for the changes that will be here sooner than you expect.
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