Talent News Round-Up: Salary Transparency, White-Collar Woes, and Diverse Recruitment
Staying updated on the latest workforce trends is crucial for TA leaders and HR professionals. This week, we delve into three significant developments shaping the talent landscape and get SocialTalent CEO, Johnny Campbell’s first-hand takes on these pieces.
- Our first article is from Fast Company and deals with the always sensitive topic of salary transparency. In this example, we see how a bold move from one company has seen overwhelmingingly positive results.
- Next, we explore a data-heavy piece from Recruitonomics that digs into how the US labor market is differing across blue and white collar work.
- And finally, an MSN news article looks at the impact the recent anti-woke movement seems to be having on employment and hiring.
Join us as we explore these pivotal insights and their implications for the future of work.
1. We Show Prospective Hires Everyone’s Salary. Here’s Why
Source: Fast Company
Work Program Architects (WPA) adopted a bold transparency policy, sharing financial information, including salaries, with both prospective hires and current employees. This approach has led to significant benefits like a 79% employee retention rate, increased diversity, and a culture of belonging. WPA’s quarterly “Raises and Bonuses” committees ensure fair compensation, while fostering financial literacy among staff. By empowering employees with ownership and transparency, WPA has created a more equitable, motivated, and financially sustainable workplace that others can emulate.
Johnny Campbell’s take on this:
“Wow, what a way to start a fight amongst recruiting and HR people! Just throw in the bomb of “should we disclose everyone’s salaries?”, sit back and watch people fight to the death to defend their position. So should we all go fully transparent like WPA? Well, it’s complicated. This company only has 21 employees according to LinkedIn so would it scale to 21,000 employees? And what about people’s right to privacy? Have a read and share your thoughts in the comments. This is a meaty issue and one deserving of your time and consideration!“
2. White-Collar Gloom, Blue-Collar Bloom
Source: Recruitonomics
The U.S. labor market is seeing a divergence: a slowdown in white-collar hiring, dubbed a “white-collar recession,” alongside sustained demand for blue-collar roles. While tech, consulting, and marketing positions are declining, blue-collar workers in sectors like hospitality and construction are benefiting from higher wages and job stability. Gray-collar jobs show mixed trends, with healthcare positions booming but administrative roles slowing. As AI continues to evolve, its impact will reshape white-collar jobs, while blue-collar roles remain resilient.
Johnny Campbell’s take on this:
“I do love the data that Appcast publishes through their Recruitonomics website as, don’t forget, they process more than half of all jobs posted in the US! This data is great but if you take a step back, countries like India are booming right now! Hiring demand is growing like crazy and recruiters are having to fight for talent. Also, a lot of the hiring decline in the US is due to record low attrition rates likely caused by uncertainty with the upcoming US election! If you love your data, you’ll love this data!“
3. Most Employers Ditch Diverse Recruitment Amid ‘Anti-Woke’ Backlash
Source: MSN
Amid an “anti-woke” backlash, over 55% of UK employers have stopped promoting diversity in job advertisements, up from 47.9% in 2022. A Recruitment & Employment Confederation (REC) survey reveals a significant drop in the use of inclusive language in postings. The trend is fueled by political criticism that diversity initiatives hurt business performance. However, REC warns that reducing diverse recruitment could harm productivity and discourage minority candidates. While some companies retreat, others, like the BBC, continue investing in diversity efforts despite financial pressures.
Johnny Campbell’s take on this:
“This sh!t makes me mad, really mad! Unfortunately it is probably true but highlights how poorly DEI work has been framed, particularly when it comes to Recruiting. I have grown to hate the phrase “diversity hiring” as the framing is just so wrong. The bottom line is that “inclusive hiring” practices lead to organizations hiring better talent; more skilled, a better fit and more likely to stay with. Inclusive hiring is about fairness and opportunity and less about hitting arbitrary diversity goals. So let’s ditch “diversity hiring” in favour of “inclusive hiring” practices which should result in more diverse teams, improved business results, and a more balanced society. As for the Tories in the UK? Don’t get me started!“