That’s the simple message found in survey results released by Manpower Group this week.
In its 10th annual Talent Shortage Survey, the Milwaukee-based Manpower surveyed 41,748 employers in 42 countries and territories, “to explore the extent of talent shortages within the global labor market, which job categories are particularly hard to fill and why, the impact of talent shortages on businesses, and how employers are responding to the challenges raised by the lack of available talent in specific job categories,” according to a press release announcing the survey findings.
Globally, the percentage of employers reporting trouble in filling job vacancies continued to rise, climbing from 36 percent last year to 38 percent in 2015. The shortage is most severe for organizations in Japan, where 83 percent of hiring managers said they encounter difficulty in finding the necessary talent, while 68 percent of employers in Peru and 65 percent of respondents in Hong Kong said the same.
The prognosis here in the States, however, seems somewhat better, with 32 percent of U.S. employers saying they struggle to fill positions due to talent shortages, compared to 40 percent who reported as much in 2014.
That’s not to say that closing the talent gap isn’t still a concern here at home, of course.
Indeed, 43 percent of respondents said talent shortages are taking a toll on their organizations’ ability to meet client needs, with 32 percent saying they’ve experienced increased employee turnover, and the same percentage reporting higher compensation costs and lower employee engagement. Forty-eight percent of the U.S. employers surveyed acknowledged that talent shortages have a “medium to high impact” on business in a broader sense.
More interesting, though, is the percentage of employers seemingly taking no action to blunt that impact. That number remains relatively small, but is going up.
According to the Manpower survey, 20 percent of U.S. employers are still not pursuing strategies to overcome talent shortages in 2015—a 7 percent increase from 2014.
What remains consistent this year is the trouble American companies face in filling skilled trade vacancies. For the sixth consecutive year, “skilled trade workers” topped the list of U.S. jobs most in demand, with drivers, teachers, sales representatives and administrative professionals rounding out the top five.
“Talent shortages are real and are not going away,” said Kip Wright, senior vice president of Manpower North America, in the aforementioned press release. “Despite impacts to competitiveness and productivity, our research shows fewer employers are trying to solve the problem through better talent strategies.”
These companies fail to address the issue at their own risk, added Wright.
“As the struggle to find the right talent continues, and candidates with in-demand skills get the upper hand, employers will be under pressure to position themselves as ‘talent destinations’ to attract the best workers that will drive their business forward.”