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June 21, 2023
The field of recruitment and onboarding has changed rapidly over the past few years. In 2020 and 2021, companies across every industry cut their workforce, transitioned to remote work and froze hiring. In 2022, those hiring freezes began to thaw, but remote recruitment and virtual onboarding persisted. This year, many companies have called workers back to the office and started shifting towards in-person operations. But is this trend likely to persist?
It’s difficult to predict how recruiting will evolve over the coming years. But several significant trends are emerging. AI is revolutionizing every stage of recruiting. Nearly every major company now prioritizes diversity, equity and inclusion efforts throughout the hiring process. And many companies are taking their job openings to social media — partnering with influencers and everyday users alike.
In 2023, as many as 45% of companies are expected to use AI-powered recruitment and onboarding tools to accelerate their hiring process and reduce costs. AI-powered tools like ChatGPT can be used to create job descriptions, post job listings, sort applications and even conduct initial screenings. And, when used correctly, these tools can help recruiting professionals find the top candidates in a pool of hundreds — based on desired skills, values and potential.
Considering these tedious recruiting tasks are ones traditionally conducted by a full team of HR professionals, companies that use AI-powered automation in hiring have the potential to reduce their team’s workload — and even trim their labor costs. That’s why AI-powered hiring is one of the biggest trends we’re watching in 2023 and beyond.
What started out as a necessity in 2020, when the pandemic shifted work to home, is now the new normal for companies across the country — virtual and video interview processes, remote recruitment and virtual onboarding.
Remote interviewing, even for in-office positions, saves both companies and their candidates considerable time, without significantly compromising the quality of their hiring decisions. Remote interviewing also enables companies to engage in collaborative hiring, where multiple leaders can join the interview and engage in a group conversation.
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Multiple studies have shown that an increase in DEI-related efforts translates to stronger employee performance, wider margins, greater productivity and higher profits. But the benefits of DEI initiatives aren’t just monetary. According to a Harvard Business Review report, even a small 0.1-point increase in a company’s DEI rating translated to as much as 13% higher change power — the ability to adapt, evolve and navigate market shifts. In uncertain economic times, that change power can be the competitive advantage companies need to survive and succeed.
In 2023 and beyond, expect companies to increase their DEI efforts throughout every stage of the acquisition process, from job postings to onboarding.
Companies looking to stand out in today’s tight labor market — and especially those that want to appeal to a younger labor pool, Gen Z — are increasingly using social media to reach potential candidates.
On platforms like TikTok, companies are turning to influencers to promote open roles and new opportunities. These influencers have a significantly larger reach than the companies they partner with, and they can help communicate the value of working at that company in a way followers relate to.
In addition to working with influencers, some companies are using their own social media presence, or their employees’, to find new talent. Recruiters who have an engaged local following can be particularly effective acquisition drivers simply by showing what it’s like to work at the company. Offering followers a behind-the-scenes glimpse of your company can generate new interest and translate to valuable applications.
The fifth major trend shaping recruitment in 2023 and beyond is the quality of candidates employers are seeking. Many companies are becoming increasingly selective about the potential hires they interview, and choose to interview more candidates for a single open role.
This trend towards more selective recruiting has lengthened the acquisition process at these companies. Each extra step, interview and hiring decision can add days or weeks to the recruiting timeline — leaving positions vacant for months. But it can also lead to higher-quality workers in critical roles.
In an increasingly tight labor market, replacing underperforming talent is difficult and expensive. That makes each individual hiring decision more important than ever. As we move into 2024, expect employers to work even harder to make sure that every new hire has not just the right skills, but aligned values and a commitment to the company’s mission.
If your company isn’t already building automation into your hiring process, leveraging remote recruiting and virtual onboarding, or seeking top talent for every vacant role, it may be time to consider outsourcing these essential tasks.
The individuals you recruit today are the leaders who will build your company tomorrow. That’s why future-focused companies turn to expert HR, recruiting and payroll professionals to automate their processes, streamline their onboarding and bring the best talent to their teams.
This material has been prepared for informational purposes only. Escalon and its affiliates are not providing tax, legal or accounting advice in this article. If you would like to engage with Escalon, please contact us here.
As a professional copywriter in the finance and B2B space, Grace Townsley offers small business leaders big insights—one precisely chosen word at a time. Let's connect!
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