You might think that, with currently high unemployment rates, it will be an employer’s market forever. But, you would be wrong. Even today, as unemployment remains stubborn, some industries are having difficulties filling their job openings.
Today, your industry could be in a buy or sell mode as far as attracting top employees is concerned. But there will come a time when you likely will battle your competitors for the best talent. So, the steps you take today to attract and retain that talent could decide how successful your company becomes when the talent drain becomes more pronounced.
Demographics don’t lie
In the United States, workers are getting older. The huge Baby Boomer generation, those people born between 1946 and 1964, has already started to enter the ranks of the retired. The greater the number of Boomers who retire, the greater the potential shortage of workers becomes.
Not all, of course, will automatically retire. Some may continue to work because of financial necessity. Other Baby Boomers might work — at least part time — because they’re living longer and are healthier than previous generations. For some people, work provides a continued outlet for creativity or contribution.
Future employee shortages
Understanding the make up of today’s workforce may give you an idea how this potential shortfall may affect your company. Worker shortages in some businesses, particularly in manufacturing, are not a problem and haven’t been for many years. We are no longer primarily a manufacturing society.
Other areas, such as health care and technology, continue to experience worker shortages through boom and bust times. But there are nuances that relate to every profession. Even within certain industries, some positions have a glut of available workers while other positions are hard to fill.
For example, manufacturers in some green technology businesses can’t find enough qualified workers. Other companies with jobs that cater to an aging Baby Boomer population, for instance, may have trouble filling positions.
You can learn what the outlook is for your company’s industry by looking at the U.S. Bureau of Labor Statistics’ Occupational Outlook Handbook. The 2008-2009 edition, for example, cites the continuation of a long-term shift from making goods to offering services. Education and health services are forecast as the fastest growing areas.
While all this information may provide a helpful background, it won’t help you run your business. No matter what your industry may be, you want to attract and keep the most qualified employees. To do that, you’ll need to give them a competitive compensation package. And part of that compensation is employee benefits. Your licensed financial professional can offer product ideas that are tailored to your specific situation.
FINRA Reference #FR2010-0203-0506/E
Christopher A. Perme is a registered representative of and offers securities, investment advisory and financial planning services through MML Investors Services, Inc. Member SIPC. Supervisory Office: 1660 W. 2nd Street # 850, Cleveland, OH 44113. 216-621-5680.