Why are job ads rising but applications dropping in 2021?

17 February, 2021

Seek reported a rise in job ads toward the end of 2020. Despite the positive outlook for job opportunities in 2021, there hasn’t been a reported rise in applications.

Why are candidates not applying for these job opportunities? What is the best way to peak their interest in 2021?

Seek compiled a list of key insights, and how they may shape your approach to attracting and retaining talent in 2021. Check them out below.

Job ads rising – up year on year

Whilst the reports only showed a 1% increase year on year at the end of 2020, it is the first rise in job opportunities in two years.

“It was quite a soft market coming into COVID and the increase we saw in November last year is actually the first year-on-year lift we’ve seen in two years.”

Even industries that were hit hardest by the pandemic including retail and hospitality, are seeing growth.

“Job ads in Hospitality & Tourism were up 28% year-on-year in November while in Healthcare & Medical they were up by 9.1%.”

The most encouraging statistic brought forward by Seek was the growth of 34.5% in the Trades and Services market. It indicates that the demand for tradespeople is growing in 2021, particularly inlogistics, manufacturing and fast-moving consumer goods.

Why are candidates holding back?

Despite the lift in job ads in November 2020, there was a decline in applications. This was not expected with unemployment on the rise toward the end of the year.

Reports showed the number of people viewing the ads in 2020 was the same as the previous year however, applications were down by approximately 15%.

It’s believed that potential candidates are feeling overwhelmed at the prospect of changing industries or careers because of Covid-19.

It was reported 34% agree with the statement ‘I was planning to leave my current job but decided to stay because of COVID-19’.

Job security has become a priority for candidates thanks to Covid 19

Many people are cautious about moving roles due to concerns around job security. Even though they may be unhappy in their current role, the security in an unpredictable market is more important to them.

If you are trying to source candidates for an opportunity within your company, it’s best to highlight the multitude of opportunities and growth available to the candidate beyond the role they are applying for. This will help ease any fear of changing companies, knowing they have fall back opportunities.

“You need to be prepared to move people into completely different roles. If your organisation thinks and acts like that, it’s a huge advantage over the competition,” Dean Davidson, Executive General Manager, Recruitment Australia & New Zealand at Hudson.

Candidates will also value transparency. Educate them on the growth of your business and future plans for growth. This will help them to feel confident about their decision in applying for the role.

Make your companies values known to attract the right candidates

It’s no wonder potential candidates are feeling overwhelmed in 2021. The pandemic has altered everyone’s way of living and thinking. People want more than to just show up to work every day. They want to contribute to an organisation that aligns with their values and gives back to the community. 

When you are conducting the recruitment process, consider how your business communicates your value proposition to your potential candidates. Are you making it obvious in your job ad as to what your company stands for?

The key to attracting successful candidate in 2021 is a combination of communicating job security and company values. 

If you are looking to secure talent in 2021 in Perth or Western Australia, contact the team at Silverstone Recruitment.

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