Most industries in 2024 continue to cite talent shortages as a critical business challenge. According to a report from May 2024, the U.S. Chamber of Commerce states “workforce participation remains below pre-pandemic levels. We are missing 1.7 million Americans from the workforce compared to February of 2020.”  These numbers from the last 4 years imply there’s a good chance we’re still years away from closing this significant labor gap.

To stay competitive in this labor market, business leaders are staying vigilant in their recruiting efforts, and reviewing their employee benefits packages ensure they stand out as a desirable place to work. Building a rigorous plan to attract and retain top talent can feel daunting. Learning the latest tools, resources and strategies available can help hone your high-level recruiting strategies.

Let’s explore six recruiting trends to consider for companies looking to attract top talent in 2024.

1. Artificial Intelligence (AI) and Machine Learning (ML)

With the explosive growth of AI and ML industry pervading multiple business sectors, it’s not surprising that organizations are using them as part of their recruiting tool stack. AI can deliver compelling outcomes when combined with existing recruitment technologies like chatbots and natural language processing (NLP).

In addition, the growing adoption of generative AI technologies like ChatGPT in hiring circles allows businesses to add capabilities like interview question generation to their recruiting software.

ML can help make recruitment software more effective by learning from users’ activity and predicting candidate success by analyzing historical data. This can assist hiring managers to make more informed hiring decisions.

2. Positive Candidate Experiences

While technology certainly has its place in modern recruitment, it’s important to remember that job seekers want to be treated well by hiring teams and technology.

Job seekers will gravitate towards career sites that are easy to use and allow them to quickly set up a profile, search jobs, and apply for open roles. In 2024, more organizations are revamping their career sites to provide a faster and easier application experience and allow them to solicit feedback from candidates.

Another critical aspect is ensuring a positive, personalized candidate experience after someone completes their application, including prompt interview scheduling and follow-ups.

3. Greater Emphasis on Soft Skills

Traditionally, when an organization needed to fill an open role, managers would work with the recruitment team to craft a job description, which was heavily focused on required qualifications and technical skills.

In the past, this approach helped companies hire people who could hit the ground running and deliver quickly. However, labor shortages mean it’s increasingly difficult to find people with the latest and greatest technical skills.

As a result, many companies are placing a greater emphasis on softer behavioral skills in the hiring process.

Skills-based models allow organizations to create a database of desired soft skills specific to their organization, so recruitment teams can better predict who will perform well in their new role.

For example, it allows companies to start identifying individuals who can problem-solve, communicate well, and have the desire and potential to learn new skills.

4. Strong Employer Branding

Employer branding has been a prominent recruitment trend in recent years, and continues to act as a key differentiator for organizations in a hyper-competitive job market.

For many job seekers, potential employers must align with their personal values and offer a fulfilling work experience. Online employer review platforms make it easier than ever for candidates to learn about an organization’s culture and working conditions.

Building, sustaining, and regularly communicating a solid employer brand can improve an organization’s ability to attract top talent, reduce staff turnover, and boost employee engagement. In 2024, many companies are building their employer brand through strategies like employee testimonials and establishing a vibrant and engaging social media presence.

5. Focus on Diversity, Equity, and Inclusion (DEI)

Strong corporate performance has been linked to more diverse voices and teams. As a result, more companies are actively building diversity at all levels in their organization, from the C-suite to entry-level and front-line workers.

As part of this effort, companies are acknowledging the impact of women in the workplace, especially at senior levels. Multiple research studies have shown that having more women in the C-suite and other executive roles results in significantly greater financial performance and improved company reputation.

6. Competitive Salary and Meaningful Benefits

Given the increased cost of living, salary and employee benefits play a significant role in impressing job seekers in 2024. 

Be sure to compare your company’s salary and benefits to your industry standard. If your budget doesn’t allow you to offer the best salaries, focus on increasing value elsewhere, such as work-life balance, mental health support, inclusive work culture, and financial wellbeing programs such as on-demand pay.

On-demand pay, also known as Earned Wage Access (EWA)¹, gives workers greater flexibility with their earned wages. Employees can collect their wages as they earn them rather than waiting for the traditional weekly or monthly payday. This helps them pay bills on time, manage their monthly household expenses more effectively, and reduce dependence on high-interest credit cards or payday loans.

Adapt Your Recruitment Strategy to Fit the Current Market

The days when organizations enjoyed a free-flowing labor supply are long gone, which makes effective recruitment more important than ever.

Understanding evolving recruitment trends and implementing the strategies shared in this article will help you adapt your recruitment strategy to fit the current market and attract the talent you need.

Since introducing EWA in 2012, Payactiv has continued to bring financial security, dignity, and savings to American workers. In addition to EWA, Payactiv’s business solutions include Payactiv Visa^® Payroll Card*, off-cycle payments, cashless tip disbursements, financial wellness benefits, and a desk-less employee communication platform, including shift coordination.

Explore how Payactiv is positively impacting the lives of millions of workers every day.

¹ Earned Wage Access requires employer participation. Employees can only access a portion of the wages they have earned to date.

*Central Bank of Kansas City does not administer, nor is liable for earned wage access. The Payactiv Visa Payroll Card is issued by Central Bank of Kansas City, Member FDIC, pursuant to a license from Visa U.S.A. Inc. Certain fees, terms, and conditions are associated with the approval, maintenance, and use of the Card. You should consult your Cardholder Agreement and the Fee Schedule at payactiv.com/card411. If you have questions regarding the Card or such fees, terms, and conditions, you can contact us toll free at 1-877-747-5862, 24 hours a day, 7 days a week.

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