Why We're Currently in a Candidate-Driven Market

If there is one phrase that we have been hearing a lot this year in conversations with other professionals in the recruitment industry, it’s this: candidate-driven market. This concept shapes the way that do both day-to-day operations and long-term planning for finding the right candidates to fill the right jobs.

It’s an idea that determines how we advertise positions, communicate with potential candidates, and take people through the hiring process. But it’s not a phrase that many people outside of our immediate industry are familiar with, so we aren’t surprised when companies that need employees don’t realize how important this concept is.

What is a candidate-driven market?

A candidate-driven market is one in which there are more job openings than there are qualified candidates for those positions. It affects companies who are hiring by creating an environment where job candidates have a lot more power in the job search, application, and interview processes.

This isn’t a bad thing, of course. In an ideal situation, job seekers should be able to choose a position that will meet their needs and ensure that they are satisfied on several different levels: work-life balance, rate of pay, interpersonal relationships, opportunities for advancement, etc.

However, the challenge for employers is that it can be difficult to communicate to the right potential workers that they have those things to offer. And sometimes, employers don’t know how to act quickly enough to capture the attention of candidates who would be a great match for both parties.

When college students in the class of 2018 graduated, they were entering the best job market in a decade.

Why are we in this candidate-driven market?

The short answer is that when unemployment goes down, candidates end up having more options, in part because there are fewer job seekers. In the United States, the unemployment rate has been trending downward for the past 8 years, and some companies have done better than others at adopting good strategies for existing in a candidate-driven economy.

Unfortunately, other companies are still operating as they did in the years after the 2008 recession,when they could expect to have countless highly qualified applicants clamoring for any position they needed to fill.

That era of recruiting is over. Today, employers and recruiters need to be persuasive, decisive, and fast if they are going to appeal to job seekers.

What’s influencing the candidate-driven market?

In addition to national economic reasons for a developing candidate-driven market, there are also noteworthy industry-specific influences. Monster.com says that according to their research, these are the industries where companies are having to work the hardest to fill positions:

1. High-skilled medical, such as nurses, doctors and specialists

2. Scientists and mathematicians

3. Skilled trades, such as electricians, carpenters, machinists, mechanics, welders and plumbers

4. Engineering and architecture

5. IT computer specialists, such as IT analysts, software developers and programmers and database administrators

6. Executives

7. High-skilled technicians, such as health, telecommunications and environmental technicians

8. Transportation, such as drivers

9. Construction and extraction workers in mining

10. Community and social service workers, such as counselors, therapists and social workers

Operating in a candidate-driven market can be challenging, but it’s not impossible to find good workers. It just takes a shift in understanding what the role of the recruiter and potential employer should be in getting the right person into the job.

Get the Candidates You Need

We work with many companies that haven’t made the changes they need to make in order to stay competitive. Now more than ever, these organizations are tasked with appealing to job applicants who are accustomed to having many opportunities and a lot of room for preference.

When a job seeker has the chance to choose the perfect job for them, the recruiter’s job is to show that potential employee why the company they are representing is that perfect match. At SelectOne, we’re well-versed in the strategies required to attract top talent. Download our free offer, Attracting Talent in the Candidate-Driven Economy. Have questions?  Let’s talk!