Employment report reveals 2024 forecasts & anxieties
People2people Recruitment, a recruitment and HR solutions firm in Australia, New Zealand, and the UK, has just released its twelfth annual employment and salary report. Over 1,000 employers and 2,500 job seekers took part in the exercise, collectively conveying the outlook of more than 10 million individuals. Also, over 10,000 employees cast light on numerous workplace issues affecting their professional lives.
Key predictions for 2024 illustrate a range of business outlooks with 9% of organisations forecasting rapid growth and a greater percentage, 54%, expecting steady growth. Interestingly, 22% envisage stabilisation in their industry, 11% are pursuing recovery from previous setbacks and 4% are bracing for a potential slump in the year to come. Recruitment priorities also display a spectrum of focuses: 45% will concentrate on replacing roles due to ongoing turnover, and 52% give precedence to organisational growth. A further 15% intend to hire seasonal staff, 24% anticipate no recruitment at all, and 4% foresee redundancies.
The report also explores the repercussions of the cost-of-living crisis which has led more than one-third of workers to save their annual leave in light of rising costs and potential job losses. Over 70% have delayed their job search due to global economic uncertainties. Additionally, a substantial 80% have adjusted their lifestyles to cope with the crisis, 40% of which have instigated dramatic changes. A significant 64% of respondents have voiced heightened financial worries compared to 2023.
In terms of income, 40% of job seekers are satisfied with their salary, while 22% feel it does not match market rates and 51% deem it disproportionate to their performance. Employee and job seekers' requests for 2024 are evidently defined with 48% pursuing a pay rise, 43% wanting more flexibility, 37% aiming for additional employee benefits, and 16% seeking increased bonuses. These figures emphasise the importance of wage levels, work-life balance, and benefits for both attracting and retaining talent.
Employees' expectations for a full-time return to the office in 2024 show mixed salary increase anticipations. Up to 12% expect a significant pay rise of over 20% if they are asked to return full-time, 37% foresee a moderate increase of 10-20%, 32% anticipate a modest 5-10% raise, and 19% predict a minimal increase of 0-5%.
Erin Devlin, people2people Recruitments VIC Managing Director, reflects on these changing trends, stating, "In 2024, under the cost-of-living crisis and given the current labour market uncertainty, job seekers favour career opportunities over everything else in job advertisements. In 2022 and early 2023, due to the many skill shortages, job seekers increased their salary and benefit expectations. Now that the power has shifted in employers' favour, job seekers' focus has moved towards long-term opportunities."
