The 2021 JobAdder Global Industry Report – Recruitment and Talent Acquisition helps to shine a light on the key issues currently impacting the recruitment industry.
The 2021 JobAdder Global Industry Report
Between October and December 2021, the Australian market saw a slight downturn in job growth as the COVID-19 Omicron variant spread across the country.
The average number of new jobs created per agency account in Q4 was 62.05, a decrease from the average of 64.71 in Q3 and 65.41 in Q2 2021. In New Zealand, this sentiment was mirrored, with a 14% drop from Q3 to Q4 (50.93 in Q4, 58.91 in Q3 2021).
When compared yearly, there was growth for this metric, with agency users creating an average of 47.99 jobs in Q4 2020, compared to the aforementioned 62.05 in Q4 2021.
This scenario therefore suggests that whereas the Omicron variant did impact the market, the year did result in steady and notable growth in jobs across Australia.
Compared to agency users, Australian in-house users saw less fluctuations and more growth in average jobs in Q4 2021 with 53.08, compared to 51.82 in Q3.
In New Zealand, in-house users dropped slightly to 33.84 in Q4 from 35.27 in Q3 2021.
As the pandemic created a candidate controlled market and prolonged lockdowns resulted in “candidate COVID-19 fatigue”, the average ratio for applications per job for Australian agency users experienced a steady decline, falling from 14.30 in Q3 to 12.76 in Q4.
This was quite a difference from the start of the year at 21.59 in Q1 and 17.20 in Q2.
In New Zealand, the results highlighted how tight the labour market is in the country, with the average ratio dipping from 10.18 in Q3 to 8.46 in Q4 2021.
For Australian in-house users, applications per job were higher than agency users, with 14.77 in Q4 2021, compared to 18.93 in Q3. New Zealand also saw a sink in average applications per job, with 10.38 in Q4 versus 13.82 in Q3 2021.
When it came to sourcing talent for job roles, there was a 50/50 split between proactive sourcing and job postings in Q4 2021 for agency users. For in-house users, the share of applicants coming from proactive channels fell to 12% in the latter end of 2021.
When juxtaposed with Q3 2021, Australian agency users were placing candidates in temp and contract roles at a much quicker rate of 5.90 days to place, compared to 7.5 days.
In New Zealand, these figures were also much loftier at 7.60 days compared to 8 days in Q3.
For permanent placements by agency users in Q4 2021, the Australian market placed an average of 29 days, while New Zealand took 36.10 days. This was contrasted by 29.5 days in Australia and 37.2 days in New Zealand in the third quarter of 2021.
For in-house users, days to place for temp and contract roles were highest in Australia for Q4 2021, sitting at 23.40 (24.4 days in Q3 2021).
New Zealand averaged 18.20 days (21.7 days in Q3 2021). For in-house users filling permanent positions, the average days to place in Australia was 30.60 and 26.70 in New Zealand.
Comments on the JobAdder Global Industry Report
Martin Herbst, the Chief Executive Officer of JobAdder expounded on the insights.
“Despite the slight drops in activity and figures, this report demonstrates that the yearly differences the pandemic has made to the talent acquisition and recruitment sector.”
“This scenario rings especially true when it comes to the continued widespread candidate shortages, changing career priorities plus hybrid and remote work advancements.”
“We hope that these insights will provide Australian and New Zealand-based recruiters and talent acquisition professionals with the tools they need to prepare for 2022 and the challenges that lie ahead, especially while encompassing the Great Resignation.”
“Here at JobAdder, we are committed to supporting and informing the recruitment and talent acquisition space, helping and empowering professionals to work smarter not harder.”
Greg Savage, a recruitment industry expert and advisor to JobAdder also shared his views.
“This JobAdder Global Industry Report offers clues to the approaches agency recruiters should focus on to increase their effectiveness in a highly dynamic hiring environment.”
“Despite the COVID-19 Omicron surge, the long-term trends for job creation are up.”
“Across the globe, hiring is surging, and all recruiters, agency and in-house alike, are dancing to the tune of hard to find, and even harder to pin down, candidates.”
“Applications per job are falling, and the boot is squarely on the foot of the job seeker.”
“Increasingly though, it’s becoming likely that these shortages will not just result from ebbs and flows in COVID-19 infections. They will probably be consistent and long term.”
“Many seniors used COVID-19 as a prompt to retire before they otherwise would have. Others have changed their work style, and it does not include traditional corporate life.”
“Critical flows of global candidates have dried up, particularly in Australia and New Zealand. There is dwindling evidence to suggest they will come back in the numbers they once did.”
“Although agency recruiters might complain about these challenges on occasion, the truth is that this is a golden era for agency recruitment. Never have they been more needed.”
“Never has their value been so compellingly obvious, for those that can deliver quality candidates anyway. The fact that it’s not easy to find great candidates is a unique opportunity for agency recruiters. In simple language, their clients have never needed them more.”
“It highlights how agency recruiters can remain pivotal to the hiring strategies of their clients. Fresh tactics are front and centre to locate, connect with and recruit great candidates.”
“This is going to require innovation, skill and persistence.”
“Faster fill times will add to the value of agency recruiters. There are many ongoing vacant roles in hiring firms globally. Efficient agency practice will alleviate this a great deal.”
JobAdder has successfully helped to place over 307,500 jobs in the 2020/21 financial year and the platform is currently used by more recruiters in ANZ than any other platform.