Effects of COVID 19 on the Global Recruitment and Job Market

dmt.m.bilal
dmt.m.bilal June 15, 2022
Updated 2022/06/16 at 4:18 AM

The entire business world has had to surrender to the deadly effects of COVID 19. With the rapidly growing transnationalization, our problems have also become transnational. In today’s world, the spread of infectious diseases is a global threat. The whole recruiting scenario is undergoing a paradigm shift. Working from home and limited hiring has impacted global recruitment. Click here to see Recruitment Agency in Lahore.

When we talk about globalization, it is not only about trade, exchange of goods or travel, but also about the worldwide spread of diseases such as tuberculosis, malaria, different types of flu, etc. For example, the outbreak of BSE or the “mad cow disease”. ” in Europe can be seen as an example of how business and trade can contribute to the spread of deadly diseases.

Unemployment rate before COVID-19

Expanding your resources, as a business, is what the globalized world has taught us so far. However, the current scenario in times of a pandemic hinders the creation of a more efficient global market. Recently, ILO Director-General Guy Ryder said that in early 2020, before COVID-19 spread, the global unemployment rate was already around 190 million. This roughly tells what the post-COVID market would look like. It’s going to be a crush, with few companies rising stronger than ever before.

Below are some reasons that will give you insight into what current global recruitment looks like and what shape it will take in the post-COVID world.

Global unemployment

Overall, the recruiting industry seems to be in serious trouble. Take an example of ZipRecruiter which has laid off about 50% of its employees in times of this pandemic. With the rapid increase in unemployment, people have started applying for tons of jobs every day all over the world. According to a survey conducted by ZipRecruiter, almost every job seeker is quite motivated to find one ASAP

Candor continues to update us all with their comprehensive data on hires, hire freezes or layoff rates in nearly 1,700+ companies in global hiring. Check out the attached photo below and to read in detail look at the source listed next to it.

Slope in exchange rates

The global coronavirus outbreak will be revolutionary and one of the many sectors it has disrupted is foreign exchange. Every part of the market and economy will be affected by COVID-19. For a better understanding, read the three categories:

Demand shock

Supply shock

Financial shock

COVID-19 obviously resulted in an appreciation of the US dollar and depreciation of other currencies. But as of now, exchange rates continue to fluctuate and the ill effects of dollar dominance could be a hurdle in the global recruiting industry. The recruitment of new staff from distant regions will be done digitally and this will have a global impact on the job package for the candidate. Over the past two weeks, the US dollar has strengthened by 5.3% against the euro, 5.9% against the Swiss franc, 7.7% against the Japanese yen and a whopping 13.9% against the British pound.

Regional impact on the labor market

According to Stephen Walt, a professor of international relations at Harvard University, COVID-19 will reshape the fabric of the world, making it less free, less open, and less prosperous. This pandemic appears to be a catalyst that could accelerate the process of progressing nationalist policies

There are many tells us roughly how much this pandemic will limit activity and interactions between states, including trade and business. In terms of market, hiring and job opportunities, the effects of Covid 19 on global recruitment are , but the business world has adapted quickly and new opportunities have risen rapidly.

People may want to participate in jobs all over the world, send their resumes, apply to global recruitment agencies, but their state and region can be a barrier. The post-pandemic world will force people to seize opportunities within their borders instead of looking for foreign options. Likewise, this will be a huge challenge for global recruitment agencies as they mainly target foreign talent and attract it by taking advantage of lower labor costs in different regions. Overall, the post-COVID-19 scenario of recruitment will witness a decline from labor to efficiency.

Talking about the vulnerabilities of different demographics scattered around the world in different countries. In the US, for example, minorities, Asians, blacks, BAME workers and their jobs are at risk. All over the world, states will fire the “outsiders” and fill those posts with their own people and first citizens. This is a practice that will continue to be observed after the end of this pandemic.

The regional impact poses a threat to the recruitment and labor market. For the first time ever, regional productivity differentials and various socioeconomic factors across regions will alter hiring dynamics by limiting options for everyone.

Limited recruiting activity

Not very technical, but another aspect that will limit recruitment activity globally is the hesitant and fearful world. With the rise in inflation, the imbalance in the whole market system, the rise in exchange rates, etc., people will be reluctant to get out of their bubble and experiment with new opportunities. WaveTrackR’s statistically shows us a decrease in the number of applications going to each industry.

This doesn’t mean people don’t need jobs, but they are hesitant to explore all the new options and want to stick with their old jobs just to be safe (Job Security). In addition, employers have canceled in-person recruitment. Recruitment has largely been digitized. This challenge has also changed the recruitment process.

How can a recruitment agency help you hire during COVID 19?

In these abnormal times, recruitment agencies are gradually adapting to the reformed idea of ​​the labor market. They have started to review their strategies, look for day-to-day activities, engage with customers and introduce stability to the overall scheme.

Teleport Manpower Consultant has also developed new SOPs to facilitate recruitment during the Corona pandemic for a successful online job placement. We conduct online screening and digital interviews to find the best candidate for employers.

Likewise, as the situation continues to evolve, we have also adapted. Businesses everywhere were aware of remote working. But it seems that this is becoming a common practice in the labor market. And in that regard, recruitment agencies help you make the transition from an office environment to remote working. In times like these, when the market is in crisis. It is the recruitment agency’s responsibility to focus on reassuring the workforce, adding value, providing support and guidance, etc.

Tips for candidates and employers

When a crisis hits the world, the results in hindsight are never pleasant. From making colossal changes in the arrangement of many things that run the world, it also upsets the world balance.

We know that a global health pandemic is a good reason for both employers and candidates to hesitate. But it still can’t stop the hiring process. So better be prepared for it. The agencies are probably looking for candidates online. They use recruiting software, online job boards, or social media to voice their concerns.

Global recruitment and recruitment during COVID 19

Digital recruiting has already taken over. This is where the candidate can get a head start. He/she should work best on his communication skills and IQ level to win the position offered. (s) he will get a head start because the interview will be conducted via computers. There will be no physical meeting between the employer and the candidate.

However, this arrangement can present a difficult time for employers. As it becomes difficult to choose the most suitable candidate who is miles away, but if we look at it from the bright side. It gives them an opportunity to consider recruiting on a global level. We don’t know when this virus will leave the world. But once it does, employers and businesses will have very little time to hire the best fit to compete.

Share this Article
Leave a comment

Leave a Reply

Your email address will not be published.