The Global Talent Shortage: Causes & Solutions

While the Great Resignation may not be headline news anymore, workers across the world are still quitting their jobs in droves. The trend, which began as a result of the pandemic, saw millions of people resign from their jobs after a significant shift in perspective on labour, well-being and work/life balance. And it’s still going strong. 

A new campaign by the World Economic Forum has investigated the snowballing trend of the Great Resignation and rebranded it “The Great Renegotiation”, on account that workers still retain a good deal of autonomy when it comes to their decision-making around work. Employees are no longer staying put in jobs they don’t like. The global workforce has itchy feet, and companies would do well to listen to why that is. 

Research by the US Bureau of Labor Statistics shows that two of the main industries affected by resigning workers are retail and hospitality, with healthcare not far behind—all sectors where people frequently complain of poor treatment and low pay.   

But it’s not just these industries that are affected by resigning workers. According to Manpower Group’s global survey, there’s a 75% increase in global talent shortage in 2022, with 3 in 4 employers reporting that it’s difficult to find the talent they need. 

Poor working conditions, bad leadership, limited freedom to work remotely and general burnout are all good reasons for people to ditch their careers in the hope of greener pastures elsewhere.   

So, what’s the solution? 

While there are a myriad of economic factors at play, it would be wrong to see the Great Resignation as a problem that is completely out of our hands. Yes, for many companies - as shown by major layoffs at all the major tech giants - costs are a big issue in 2023. But employee wellbeing must still be at the helm of decision-making and brand ethos, no matter what is happening to your bottom line. Transparency, kindness, inclusion and equality are all free. And they matter.   

Similarly, we must begin to think outside of the box when it comes to navigating changing attitudes and economic uncertainties. For example, outsourcing is a key way to lessen costs while still allowing the people you work with to have remote work freedom and decent working conditions. 

Before turning to layoffs or overwork, ask yourself whether you have exhausted all avenues that might benefit both you and your teams. And, if you do opt for the former option, don’t be surprised if your employees begin to drop like flies! 

As an Employer of Record, we at Remotify believe that people are at the heart of any company’s success. If you’re worried about the attitudes of your workers, or just want to ensure you’re continuing to be a great place to work, get in touch with our team to see how we can save you money and streamline your business while keeping your workforce happy.