Job ads are no longer an indicator of vacancies
Vacancies up, job ads going down
Traditionally analysts would look at how many job advertisements are listed to report vacancies in the work force, but increasingly job measures and vacancies aren’t matching up. New ANZ research has found that whilst vacancies are increasing, job advertisements are going down. What gives?
What Explains This Divergence?
We have all heard the term “It’s not what you know, it’s who you know.” This is becoming increasingly popular in today’s age as companies are finding traditional methods of seeking employees online less and less cost effective due to competition over available skilled workers. In fact, despite the number of jobs advertised online, as many as 80% of jobs are found through recommendations and referrals. In competitive industries such as audio or film it’s almost solely who you know.
Recent employment research suggests that the chance of scoring an interview online is reducing and now sits at around 2%. When you consider that the average job post usually attract over 250 applicants the chance of gaining an interview is very low. By solely applying for jobs online you are missing out on a lot of opportunities, which is why personal networks and networking is so important.
According to ANZ senior economist Catherine Birch the ads-vacancy gap has been widening for a few years. “If employers are paying money on those ads and spending time going through applicants and interviewing them and not getting a suitable applicant then why would they keep doing the same thing?”
As more companies turn to social media sites such as LinkedIn and networking to find skilled workers, it would seem natural that job seekers should be putting more energy into these channels too. Social media sites such as LinkedIn, Facebook groups and good old-fashioned face-to-face contact are excellent ways to build your personal and professional networks
Pros and Cons of Job Boards
In the past, online job boards have been an easy and cost effective way for organisations to look for workers. It's easy, immediate, it's possible for companies to reach a larger audience and it expedites the hiring process. However with the competition for the audiences attention, companies have been moving more toward social media sites such as LinkedIn, Facebook or Twitter to attract candidates for roles advertised. One of the advantages of social media is that it allows jobseekers and recruiters to establish a relationship and get to know each other before deciding on progressing down the recruitment path.
From the job seekers perspective, applying for work online is convenient, there is no need to print out dozens of resumes or even leave your house. It’s accessible, you can search for anything, anywhere; you are no longer bound to looking for work where you live. Being able to network online is also a great way to make connections with potential employers in other cities or even overseas.
Looking for work online can also be a good indicator of what sort of work is out there and what companies are hiring. However, when an employer is comparing 300 resumes it can be almost impossible to stand out. To create a high chance of success in securing a job there are several things you can do. This includes building a network, creating a professional online brand, networking at events or contacting companies directly to see if they are hiring.
There is nothing like face-to-face interaction to make a lasting impression (Learn how to do that here). However, if networking is not your thing, building an online network is just as important and can be a great first step in your job search. If you would like to find out more about securing work through networks then please get in touch with me.