The struggle for finding talent is real, and it’s intensifying. Across the globe, HR leaders are grappling with a critical issue: a severe shortage of skilled labour.
This isn’t just anecdotal. A recent Q4/2023 survey by Randstad and the prestigious German economic institute IFO found that the lack of skilled workers is the single biggest factor shaping HR strategies today.
The numbers are staggering. By 2030, a staggering 85 million jobs worldwide are projected to remain unfilled, representing a whopping $8.5 trillion in lost annual revenue.
However, this isn’t just a problem, it’s an opportunity. Companies that can develop innovative strategies to attract and retain talent will be the ones who thrive in the years to come.
This isn’t just anecdotal. A recent Q4/2023 survey by Randstad and the prestigious German economic institute IFO found that the lack of skilled workers is the single biggest factor shaping HR strategies today.
The numbers are staggering. By 2030, a staggering 85 million jobs worldwide are projected to remain unfilled, representing a whopping $8.5 trillion in lost annual revenue.
However, this isn’t just a problem, it’s an opportunity. Companies that can develop innovative strategies to attract and retain talent will be the ones who thrive in the years to come.
Data source: www.ifo.de
The effect of the intensifying labour shortage can easily be seen by the average vacancy times, meaning the time a position is opened until the contractual start date of the new employee. This average vacancy time in Germany has almost doubled in the last ten years.
Data source: Agentur für Arbeit
The high cost of empty seats: Why you need a global hiring strategy
Not filling open positions quickly is a major financial drain. Take vacancy times, the time it takes to fill a role. In Germany, the average vacancy time has doubled in the past decade. This translates directly to costs. The longer a position sits empty, the more it bleeds your budget.
Let’s look at a typical German tech company with 25 open positions. Imagine 10 of those roles could be filled remotely. With an average salary of €60,000 and a 100-day vacancy time, this company loses a staggering €328,767 just for those 10 remote positions due to slow hiring.
Let’s look at a typical German tech company with 25 open positions. Imagine 10 of those roles could be filled remotely. With an average salary of €60,000 and a 100-day vacancy time, this company loses a staggering €328,767 just for those 10 remote positions due to slow hiring.
The solution: Think global
What if they could fill those positions faster by looking beyond national borders? A global hiring strategy unlocks a vast talent pool. Even a 30% reduction in vacancy time saves them €98,630. Imagine the savings with a 40% or even 50% reduction!
While the exact time saved by hiring globally is uncertain, the potential talent pool is undeniable. Even a conservative 30% improvement translates to significant cost savings.
While the exact time saved by hiring globally is uncertain, the potential talent pool is undeniable. Even a conservative 30% improvement translates to significant cost savings.
To be the best, you need the best
But limiting your talent search to your backyard makes finding top performers difficult. Take blockchain developers, for instance. How much time and effort would it take to find someone exceptional locally?
Now imagine this: you can find that same talent, regardless of location. Your team instantly benefits from a wider range of expertise and perspectives.
Data source: www.dappros.com
The power of a global workforce
A global hiring strategy means embracing remote work, but the rewards are undeniable. You gain access to a talent pool 10-20 times larger than your local market.
Think about your competition. What if they’re already leveraging a global workforce? Take Cardano, a leading German crypto company. They don’t limit themselves to local talent – they hire from 15 countries, without needing a physical presence in each one.
Can you compete with Cardano if you restrict yourself to your local market? The answer is clear. Embrace the possibilities of global hiring, and gain a significant competitive advantage. WorkMotion can help you unlock this potential.
Think about your competition. What if they’re already leveraging a global workforce? Take Cardano, a leading German crypto company. They don’t limit themselves to local talent – they hire from 15 countries, without needing a physical presence in each one.
Can you compete with Cardano if you restrict yourself to your local market? The answer is clear. Embrace the possibilities of global hiring, and gain a significant competitive advantage. WorkMotion can help you unlock this potential.
Optimising costs, expanding your reach: The benefits of global hiring
Hiring internationally offers several advantages beyond talent acquisition. In many core sales markets, companies can find skilled professionals at competitive wage rates compared to their home countries. This can contribute to overall cost optimization strategies.
However, it's crucial to prioritise ethical practices. WorkMotion ensures fair compensation that aligns with local standards and fosters a positive work environment for all employees, regardless of location.
Let’s just look at wage levels inside the European Union:
Data source: Statista
So why hire globally now?
The shortage of talent is getting worse, and open positions are draining your business. Finding the perfect fit can be a struggle within your local market. But what if you could tap into a wider pool while achieving significant cost savings?
WorkMotion helps companies like yours recruit top talent in countries like Spain, Portugal, and Italy. These regions offer exceptional skills and a strong work ethic, often at competitive wage rates compared to your home country. This can lead to payroll reductions of up to 50% for certain positions – all while attracting exceptional talent.
WorkMotion helps companies like yours recruit top talent in countries like Spain, Portugal, and Italy. These regions offer exceptional skills and a strong work ethic, often at competitive wage rates compared to your home country. This can lead to payroll reductions of up to 50% for certain positions – all while attracting exceptional talent.
Global hiring for HR Leaders
This approach aligns perfectly with today’s HR priorities. A recent study found that 83% of Chief HR Officers (CHROs) are prioritising cost optimization. WorkMotion empowers you to achieve both: hire the best and optimise your HR budget.
