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The latest job market figures are out and, as generally expected, they reveal a further fall in unemployment of 125,000. As usual, the underlying statistics have given rise to a political debate but it was a discussion on Radio 5 which caught our attention. Within the discussion it was claimed that in certain areas in London and the Home Counties unemployment has fallen to such an extent that employers are moving towards paying employees at the ‘living wage’ rate as a means of attracting workers.
As the recovery continues and employment rates rise, more and more businesses will be faced with the task of attracting prospective employees in a shrinking job market. But as the immediate pressure to find work eases, workers will increasingly be looking for more than good pay rates to tempt them. Company culture allied to the way in which organisations seek to engage with their employees will increasingly differentiate those organisations which can retain and attract good employees and those which will be scratching round for staff.
Hiring for cultural fit works both ways and in this new social media led world, job seekers will be researching prospective employers online, just as those employers will be researching prospective employees. Accusations of autocratic management styles, poor working conditions or bullying won’t go unnoticed, particularly when dissatisfied employees start to move to other, more engaged, organisations. Businesses which don’t move swiftly to address their culture could well find themselves left behind in a new employee-led employment world.