The good news is that most of these initiatives cost little to no money to implement and to do well . And all of our clients are well-prepared for the task at hand , and of course we ’ re here to help them along the way . All it takes is a mindset shift . All it takes is dedication and commitment to do one and only one thing : to value employees for the valuable asset that they are . •
AGENCY RECRUITING and familial needs , and
• JP Morgan Chase reports that there are 1 million fewer legal immigrant and non-native born workers than before COVID
These eight million workers represent approximately 5 % of the overall workforce , a sizeable and noticeable number to be sure .
An Aging Workforce – Let ’ s face it , just like you and me , the United States is getting older . According to recent U . S . Census Bureau data , the nation ’ s median age is pushing 40 years old , and we ’ re aging faster than at any other time in our history . On average , 10,000 baby boomers turn 65 each and every day and by 2031 , the number of people age 65 and over will number an estimated 75 million , almost double what it was just 15 years ago . As these workers age and retire , the number of Generation Z and following Alpha workers are not sizeable enough to replace exiting baby boomers .
Lower Birth Rate – The current U . S . birth rate is among the lowest it has ever been historically and projected to decrease over the rest of the century . We ’ re simply not giving birth to enough future workers to replace the workers that currently are and will retire . Unlike their older counterparts , Millennials are putting off marriage and childbirth until later in life and are having fewer children than at any time in our history .
Decreased Immigration & Refugee Resettlement – So if we ’ re not giving birth to enough future workers , the strategy used historically and by other industrialized nations facing a similar aging workforce and low birthrate is to increase immigration . However , the U . S . has done the opposite . Between the years of 2013 and 2018 , the annual net immigration stood at just under 1 million workers per year . Since COVID , immigration has largely dried up , with only 241,000 workers joining the workforce in 2021 .
Employment Projections – According to the U . S . Bureau of Labor Statistics , from 2021 to 2031 , the U . S . economy is projected to add 8.3 million jobs .
But we ’ re already 8 million workers short . And this shortage is anticipated to persist for the foreseeable future . And because of this , the unemployment rate is stuck below 4.2 %, what economists say is full employment .
See what I mean ? It ’ s kind of scary . It ’ s definitely something business leaders should be staying up at night thinking about . Or at least having some conversations with their best and brightest internal and external advisors discussing . Yet , I don ’ t see this happening . I get the sense that business owners are mistakenly believing that there is a pool of workers waiting on the sidelines for something magical to happen to convince them to rejoin the workforce . But they don ’ t exist . Everyone is working . This is just the new normal .
If this comes as a surprise to you , you ’ re not alone . And it ’ s not too late . What ’ s required is simply a mindset shift . And most business leaders that we work with have all of the tools to get ahead of the game : they are investing in retention and employee engagement initiatives , they are looking for technology and outsourced / offshore labor alternatives , they are upskilling their existing workers and they are investing in soft-skill training for their managers and supervisors who are the front-line defense for employee turnover and attrition .
The good news is that most of these initiatives cost little to no money to implement and to do well . And all of our clients are well-prepared for the task at hand , and of course we ’ re here to help them along the way . All it takes is a mindset shift . All it takes is dedication and commitment to do one and only one thing : to value employees for the valuable asset that they are . •
Claudia St . John is a keynote speaker , author , and the Founder and CEO of The Workplace Advisors , a leading HR consulting , recruiting , and training firm specializing in the insurance industry . This article is reprinted from Big I Hires Resources .
MARCH / APRIL 2024
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