Labour shortage: How can you make a difference?
Small, medium and large companies are all affected by the labour shortage that has hit Canada and Quebec in recent years. No sector of activity has been spared from this new reality: construction, services, agriculture and even the hospitality industry are all affected by the shortage of personnel and the difficulty of hiring.
This situation is the result of a combination of factors, including an aging population, massive retirements, the challenges of international or internal migration – some regions are less populated or less attractive to skilled workers – and working conditions and standards, with salaries or benefits considered more or less attractive depending on the profiles sought.
Challenges for companies
For companies of all sizes, the labour shortage is more than just a matter of finding candidates to fill vacant positions. It presents a number of far-reaching challenges that have a direct impact on productivity, profitability and competitiveness.
Labour shortages drive up the cost of recruiting new employees. Companies have to invest more to give their job ads the visibility they need, or use recruitment agencies for more complex profiles. This inevitably lengthens the recruitment process.
Investment in time and training
As recruitment processes lengthen and vacancies go unfilled for months, companies inevitably lose valuable time, which affects the entire organization and its balance.
As a result, when a company does succeed in recruiting new talent, it often has to invest more in training them to fill potential skill gaps. This can be a significant expense.
Positions that remain vacant for an extended period of time can lead to reduced productivity, and existing employees often have to take on additional responsibilities. This unwanted work overload can also lead to a decrease in job satisfaction.
Organizations that struggle to attract and retain talent risk becoming less competitive in the marketplace. Project delays, skills gaps and a workforce unhappy with their workload can seriously damage their image with future candidates and their overall success.
Solutions to Labour Shortages
Faced with labour shortages, employers have a critical role to play in attracting candidates and, more importantly, retaining and motivating talent. To differentiate themselves and remain competitive, companies can implement concrete solutions to address this phenomenon.
This is the first step in the process and therefore the ideal opportunity to score points with candidates and future employees. Providing an optimal, smooth and efficient recruitment experience has a positive impact on the perception of the company in the candidate pool and therefore on its image in general.
This can be achieved by :
- Simplifying the online application process, for example by eliminating lengthy forms
- Significantly reducing the response time for candidates – the market is fast moving and they may already be in another recruitment process with another company.
- Provide transparent communication throughout the process, whether the answer is yes or no to the job offer.
To control recruitment costs and save time, it may also be in a company’s interest to recruit internationally if the required profiles are not available in the local market. To find out if this solution is right for you, read the article Recruitment: Why turn to international recruitment?
In addition to a competitive compensation package, which remains an important element in a candidate’s final decision in the recruitment process, offering benefits can attract the most talented candidates.
Benefits such as insurance, additional time off, a flexible work environment, personal development programs and work-life balance are all highly valued by employees.
Invest in training
Demonstrating a commitment to employees and their personal and professional growth is highly sought after in today’s workforce. Providing employees with ongoing training and development opportunities demonstrates that the company cares about its people.
In addition, investing in training enhances employee skills, promotes employee retention and strengthens the company’s expertise.
Corporate culture is a key element in attracting and retaining employees. A more inclusive working environment and a culture that values fairness and employee wellbeing play an important role in differentiating from the competition in a context of skills shortages.
As compensation is inevitably one of the most important elements in attracting and retaining employees, it is vital to invest in practical solutions. Indeed, payroll outsourcing saves time by reducing the risk of payroll errors, ensures payroll compliance, and also promotes employee satisfaction and retention through a smoother, more accurate and timely payroll process.
See the example of La Cage and 4 key actions to retain restaurant staff.
Labour shortages continue to be a major challenge for businesses across Canada. However, by implementing these solutions, organizations can attract and retain the skilled talent they are looking for. By managing payroll efficiently with customized tools, or by investing directly in working conditions or training, a company demonstrates its reliability and commitment to its employees. This makes them more competitive in a rapidly changing environment.
Want to outsource your employee payroll management? See how our solution can help you.