INDUSTRY TRENDS + INSIGHTS: On sustainable salaries, strategic hiring and preparing for a busy Q4
After months of hiring mayhem, we’re experiencing a welcome shift in the construction sector, allowing companies to slow down and embrace a more thoughtful, strategic approach to recruitment. With a renewed focus on quality, fit and experience, employers are prioritizing their hiring efforts in preparation for a busy fall and winter.
Read on for the latest insights on the job market, hiring strategies and what’s what in the construction + development sector.
Considering a candidate's value add
While there’s been no notable decline in the need and desire to hire (and, in fact, demand is continuing to rise),
companies are approaching recruitment with a different attitude than they were earlier in 2022.
During the height of the labour shortage, employers found themselves willing to compromise on both compensation and experience level in order to get a candidate in the door and on the job. Recently, however, companies are approaching hiring with just a bit less urgency than they were a few months ago, taking the time to weigh their options and to really consider the value a candidate brings to the table before deciding to make an offer.
Without a doubt, quality is top of mind right now.
Productivity under the microscope
Controversial though it may be, an increasing number of companies are making the decision to bring their employees back to the physical workspace. The reason? Productivity.
In addition to implementing return-to-office policies,
employers are taking a closer look at their team’s performance and determining where productivity is lacking – something that may have been overlooked during the peak of the candidate shortage.
Again, it comes down to quality: companies are thinking long-term. They want people on board with a proven track record; individuals who possess the experience and skillset that will be integral in allowing the business to ride out any issues that might come down the track.
A return to more sustainable salaries?
During the first half of the year, with companies so eager to hire and candidates in such high demand,
salaries in the construction sector increased and increased and at some point, it was bound to become unsustainable.
Now that organizations are slowing down a bit and taking a more strategic approach to hiring, we believe this will be the start of a much-needed recalibration; over the coming months,
we’ll see an influx of overpriced talent returning to the market and inflated compensation packages starting to come back down to a more sustainable level.
As this shift occurs, candidates who previously negotiated a salary exceeding their level of skill and experience may feel an increased pressure to perform to the level of their more accomplished counterparts.
In this market, our advice is this: make thoughtful hires; approach salary negotiations with a clear head and a realistic outcome in mind, and, as always,
if you’d like to connect for a conversation about market wage rates, hiring trends or your organization’s recruitment strategy, we’re here to help.
Ash Holmes
Associate Director, Development + Construction Management
aholmes@impactrecruitment.ca