Recruiting talented staff is essential to the success of any business. However, finding and retaining the right people in a difficult labour market can be daunting. As of 2023, New Zealand’s labour market has faced an unprecedented shortage of skilled workers across different industries, further exacerbated by the COVID-19 pandemic. In this article, we will outline some tips and strategies for employers in New Zealand to attract and retain the best talent in a difficult labour market.

According to recent statistics from the Ministry of Business, Innovation and Employment (MBIE), the unemployment rate in New Zealand was at 3.4% in the last quarter of 2022. While this figure may seem low, it masks the fact that many businesses across New Zealand are struggling to find skilled workers to fill critical roles. The industries most affected by this shortage include construction, healthcare, hospitality, and IT.

This shortage of skilled workers can be attributed to several factors, including the country’s aging population, emigration of skilled workers, and a lack of investment in training and development programs.

Employers must be proactive in their recruitment strategies to attract the best talent in a difficult labour market. Here are some tips:

  1. Offer Competitive Salaries and Benefits: One of the most effective ways to attract top talent is to offer competitive salaries and benefits packages. According to a recent survey by Seek, New Zealand employees rated salary and benefits as the most important factor when considering a job offer.
  2. Utilise Social Media: Social media platforms such as LinkedIn, Facebook, and Twitter can be great tools for reaching out to potential candidates. Employers can use these platforms to showcase their company culture, highlight job opportunities, and connect with candidates.
  3. Tap into Employee Referrals: Employee referrals can be a great way to find quality candidates. Current employees can recommend their friends or previous colleagues who they think would be a good fit for the company.
  4. Offer Flexibility: In today’s world, work-life balance has become a top priority for many job seekers. Offering flexible work arrangements, such as remote work options, can effectively attract top talent.

Once you have attracted the best talent, the next step is to retain them. Here are some tips for keeping top talent in a difficult labour market:

  1. Invest in Professional Development: One of the most effective ways to retain top talent is to invest in professional development. Offering training and development opportunities can help employees feel valued and supported and improve their skills and knowledge.
  2. Create a Positive Work Culture: A positive work culture can go a long way in retaining top talent. Employers should strive to create an inclusive, supportive, and engaging work environment.
  3. Offer Competitive Salaries and Benefits: As mentioned earlier, offering competitive salaries and benefits is important for attracting top talent and retaining them.
  4. Recognise and Reward Performance: Recognising and rewarding top performers can help keep them motivated and engaged. Employers can do this by offering bonuses, promotions, or other incentives.

It is also worth noting that recruitment and retention are ongoing processes. Employers should continually evaluate their strategies and adapt to the changing needs of their workforce. This may involve offering new benefits or incentives, providing additional training and development opportunities, or adjusting work arrangements to better suit employees’ needs.

Recruitment in the current labour market can be challenging, but it is not impossible. By being proactive and implementing effective strategies, employers in New Zealand can attract and retain the best talent. This requires a focus on offering competitive salaries and benefits, utilising social media and employee referrals, offering flexibility, investing in professional development, creating a positive workplace culture, and recognising and rewarding top performers. With these strategies in place, employers can build a strong and resilient workforce that can help drive the success of their business.

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