The statistics for talent are not as promising as those for the job market and readiness of employers to employ. They show a blunt contrast that demonstrates a steady drop in the number of talented candidates available for employment. As world economies grow, the need for young talented employees to regenerate the talent in the job market grows as well. Most industries and organizations are managed by people who are closer to their retirement ages, and it foretells a point shortly in the near future where their retirement results in a lack of the required workforce needed to run the company. With the population of the world taking a slant towards the older generations, a significant economic gap is left for talent since most of the older generation of workers are in charge, mainly owed to their long-tenured work experience.
Younger generations who are starting businesses as soon as they can is a trend that may have something to do with decreasing talent pools all over the world. Despite the validity of starting up a business, many employers find themselves lacking skills the younger generations could have offered their businesses. Challenges in staff retention also occur due to this move towards entrepreneurship as experienced employees move to start their own businesses. About 543,000 new businesses get started each month, according to Yahoo.
Many modern organizations based on these statistics have made talent pools one of their top priorities when projecting their company’s future growth. These talent pools are databases that contain prospective job candidates that are needed both currently and in the future. This can include referred sourced, applied, and candidates that were a close second for a previous position but did not receive an offer. With the number of unemployed candidates steadily decreasing, the number of people who are part of the available talent pool for any organization is also declining. This decrease in talent pools indicates that organizations have fewer options when looking for fresh talent to revitalize their organization.
Thinning talent pools also means that some skillsets will continue to become difficult for employers to find either due to their high demand or due to people’s lack of qualifications in the required fields. Experienced employees and those employees with an educational background specific to the employer will also be increasingly difficult for employers to recruit and increases the risk of an employer eventually making a diluted workforce that is more invested in the number of workers rather than the quality of employee.
Increases in higher education of the workforce give the optimism of slowly but surely refilling the talent pool and making it a more diverse organization for employers. An equilibrium must be maintained, which makes sure that a source for new employees is always available while minimizing unemployment.
Many countries have taken to outsourcing their workforce because there are larger talent pools available outside the United States, and many organizations have realized the benefits of using employees in other countries. When appropriately tapped, it can affect the budget differently, and workers in other countries are characteristically a lot less expensive for similar services. Also, overseas employees potentially offer a wide variety of skill sets that may not be as readily obtainable in the United States. This added accessibility of qualified workers combined with cost benefits has brought the outsourcing conversation to the forefront of many organizations.