Due to the global pandemic most of the industries are facing recruitment challenges. Companies are running out of business, resources and finance. With a global pandemic at hand, many companies, especially small and medium-sized organizations, have no choice but to let go as many employees as they can.
Many of the hospitality, tourism and travel and transport sectors face the brunt of the pandemic and are forced to lay off employees. Other sectors facing this problem are restaurants, bars, cinemas and theaters, and logistics/manufacturing
Small and medium-sized enterprises that can keep up with the resources they have for a few months are not firing their current employees, but have frozen their hiring cycles until there is more clarity about the situation.
2. Bulk Hiring
There are also many sectors that are experiencing an increase in workforce demand, such as retail, e-commerce, supermarkets, sanitation workers, commercial software, remote meetings, and online learning.
Giants like Amazon and Walmart are hiring in bulk to keep up with the sudden rise in demand around the world.
Top healthcare companies like UnitedHealth Group and McKesson Corp have seen a 40% hike in demand for employees.
3. Onboarding new employees
Another major recruitment challenge that the organizations around us can find themselves struggling with is the addition of new members. These people are the ones who are caught between layoffs and new jobs. They have been offered a job and have to start working soon. Recruiters were unprepared for the current crisis and therefore have limited resources for remote onboarding of new employees.
Having video calls and online material to prepare new employees for work, maintaining certain time slots during the day to ensure they are onboarded correctly, addressing their doubts, and ensuring regular and trouble-free onboarding are some of the additional tasks that HR teams have been loaded with.
4. Low application rate
Priorities are changing, both for people and companies. Many people are out of work, and many are afraid to apply for new ones. People are afraid of the current situation and how it might develop in the future. Therefore, they are afraid to make important decisions, such as a change of work, before they know anything for sure.
Companies are more inclined to ensure that their current employees have everything they need to run smoothly from home. That’s extremely important. But in the process, they have minimized efforts to attract new talent at a time when people have also slowed down their job search.
5. Cost reduction
This has been the first instinctive step taken by companies. Hiring freeze is not enough. Unfortunately, manual hiring ends up exhausting most of the budget allocated for hiring, so reducing costs here does not seem unlikely. But this becomes a point of trouble for the recruiter.
The overall recruitment process is likely to witness a 60-65 percent drop, interviews will be delayed especially in the service sectors due to the lower amount of resources. Along with that, it is considered that the hiring of leaders will freeze over the next six – eight months.
In addition, all B-school student internships are being delayed or canceled. These are some of the challenges companies are facing right now.
6. Need for a remote recruitment process
As COVID-19 cases continue to increase, there is no clarity about when it will end and when we might resume our routine forms of work.
Conducting interviews and assessments will be a big obstacle. What recruiters have been doing face-to-face all these years, they’re going to have to do online. Human resources that were concerned about remote hiring are now forced to use remote hiring tools to conduct online interviews and onboarding.
Solution to tackle recruitment challenges
Remote hiring is about to become the new norm. If you haven’t moved your hiring process online yet, now is the time to do so. Remote hiring is not only useful now, but is a much-needed update in recruitment.
Eminence Technosystem is a remote recruitment agency giving your business access to a quality talent pool, administrative relief for your HR staff and easy payroll management. Learn about our staffing services here.