Christian Addison, Director
"2023 is arguably one of the most volatile markets I’ve seen in my 24 years in recruitment, with many companies facing significant challenges with their not only candidate attraction, but more importantly their retention.”
With over 1m workers returning to the EU post Brexit and 12% of the workforce in UK manufacturing nearing or already at retirement age by 2027, the skills gap in the UK has continued to widen with the number of unfilled vacancies in the UK not dropping below 900,000 at any point in 2023. With demand massively outstripping supply, candidates have been in pole position and this has certainly seen a shift in their behaviours. This combined with the cost of living crisis has resulted in the most volatile market I have ever seen in my 24 years in recruitment.
One of our core principles is providing added value services to our customers and we regularly provide data to support their recruitment and retention strategies. To help us understand this shift in job seekers behaviours further we surveyed a cross section of the 60,000 engineers in our database for their opinions. The results have certainly made interesting reading and demonstrated a significant change in engineers outlook to work. We hope you find it useful.
89% of those surveyed were in work
Of the 89% that were in work, 51% were looking for a new role
When asked why they were looking to leave the current employer
| 2023 | % change on 2022 |
Salary and benefits | 24% | -8% |
Don’t feel valued | 21% | -11% |
Lack of Progression | 37% | +7% |
Lack of training | 10% | -9% |
Work life balance | 5% | -12% |
Lack stability | 27% | New entry |
When asked about their decision makers for selecting a new role
| 2023 | % change on 2022 |
Salary and benefits | 76% | +3% |
Positive work life balance | 50% | +0% |
Progression | 42% | +1% |
Training | 48% | +8% |
Shifts | 37% | +4% |
Flexible working | 27% | -1% |
When looking for a new role
| 2023 | % change on 2022 |
Upload CV to a job board | 65% | -2% |
Apply to an advert on a job board | 61% | +8% |
Use a search engine | 36% | +2% |
Wait to be approached a recruiter | 28% | -2% |
Apply through a recruiter website | 22% | -8% |
When asked whether the cost of living crisis has affected them?
| 2023 | % change on 2022 |
Have been forced to look for a higher paid role | 39% | -1% |
Already accepted a higher salaried role | 19% | +8% |
Received a pay rise from the current employer | 16% | +3% |
No impact at all | 26% | -10% |
55% of those surveyed have moved jobs in 2023, the length of time in their previous role was?
-12 months | 44% |
1 - 2 years | 20% |
2 - 5 years | 21% |
6 years + | 14% |
If you were not happy in a new role, how long would you wait before moving?
- 6 months | 42% |
-12 months | 31% |
1 - 2 years | 20% |
2 years + | 7% |
Has your mental health affected you at work this year?
| 2023 | % change on 2022 |
Yes | 44% | +6% |
No | 56% | -6% |
What does this mean for employers?
1) Focus on Retention
As we are in a cost of living crisis, there is no surprise that ‘Salary and Benefits’ is showing an increase and is still the number 1 decision maker when choosing a new roles. In addition with so many unfilled vacancies, we had many customers reporting retention issues. As a result, this year we have started to benchmark how long candidates are willing to wait before moving. With an alarming 44% not willing to give a new employer more than 6 months before moving (if they are not happy).
This highlights a message that ATA Recruitment are supporting our clients with on a daily basis – that retention is more than just salary. It’s a case of truly understanding your company culture and workforce, including their motivations and pain points as employees, as well as really focussing on making sure the new starter experience is as positive as possible. Are employers putting as much effort into retaining staff as they are retaining new ones?
2) Reach the passive candidates
2023 has certainly seen the candidate market become more reactive, with increasing numbers preferring to either post their CV on a job board or wait to the approached by a recruiter rather than using the traditional route of applying to adverts. Is this also an indicator that with work like balance increasing in importance candidates don’t want to spend their time trawling through adverts, instead preferring to be approached with opportunities?
3) Make mental health awareness a priority
Unfortunately, 44% of those surveyed highlighted that their mental health has been impacted by their work throughout 2023, which is another increase on the previous year. For employers, there is nothing more critical than the health and wellbeing of their workforce. We encourage all employers reading this report to evaluate what support they have available to their teams, whether it be Mental Health First Aiders, an Employee Assistance Programme, or other initiatives dedicated to health and wellbeing.
Get in touch
If you are interested in the findings of this survey and want to discuss the impact these trends will have on your business, contact Christian Addison, Director of ATA Recruitment on 07787 289 367 or christian.addison@ata-recruitment.co.uk, or complete the form below.
We will also be releasing our annual Salary Survey this year, which will convey data gathered from all the permanent and contract placements we have made throughout 2023. This extensive report, together with the feedback from candidates and their employment plans, ATA Recruitment hold the knowledge and expertise to ensure you're ready to face the continuing concern of staff retention.
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