By Mike Travis
As I write this post, the November jobs report has just been released. The numbers blew the doors off expectations, and (according to the Wall Street Journal) make 2014 the best year for employment growth since 1999.
The strength of the economy has long been self-evident to anyone who’s paying attention. But these numbers, along with the impressive record of job growth this year, confirm it.
This is great news for employees. But what does it mean for employers? Here are a couple of thoughts.
First, companies that remain stuck in a post-crash mentality need to snap out of it. They’re like people who lived through a famine and continue to hoard food years after the crisis is over. The belt-tightening behaviors that got them through 2009 no longer make sense – we’re in a robust economy, and now is the time to make investments and take prudent risk. Companies that don’t will miss the boat.
Second, candidates have multiple opportunities and job searches are getting shorter. That means employers must act decisively or risk losing the best people to competitors. The few companies that still believe employers are in the driver’s seat are in for a shock.
The pendulum is still swinging, and it continues to move toward employees. I’d be surprised if compensation doesn’t start creeping upwards. Indeed, employees may end up holding most of the cards by the end of 2015.
From my perspective as an executive recruiter, the current state of the market is healthy and balanced. I’d like it to stay here for a while. We’ll see what happens.
Mike Travis has been an executive search consultant for nearly 20 years. His accomplishments have been recognized by BusinessWeek, which selected him for its list of "The World’s Most Influential Headhunters." Mike’s practice focuses on recruiting general management, function heads and board members for medical device and biopharmaceutical companies. He can be can be reached at (978) 878-3232, ext. 112, or by email at firstname.lastname@example.org.