Volume 5 | Q2 2013

Special Report:The Demand for Skilled Talent

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A Tale of Two Job Markets: Why it’s difficult to find and recruit top talentThe current employment situation can best be described as

a tale of two job markets. High general unemployment is

obscuring the fact that specialized talent is in short supply,

leading to candidate shortages – especially in technology and

finance.

The persistent drumbeat about high unemployment does not

apply to many of the professional-level jobs employers are

trying to fill. The candidates they seek often already have

secure jobs or are weighing multiple employment offers. As a

result, firms must offer competitive salaries and move quickly

to recruit top talent.

INSIDE: Spotlighton Jobs with Staying Power on Page 4.

Special Report: The Demand for Skilled Talent

• More companies are hiring. There were 3.9 million job openings in February 2013, the highest number of job openings since May 2008.1 About 2.1 million new jobs in professional, scientific and technical services will be added by 2020.2

• The global war for talent is intensifying. A projected shortfall of up to 18 million highly skilled workers will exist in advanced economies, including the United States, by 2020.3

• College grads are in short supply. The unemployment rate for college- degreed workers 25 and older is half of the current unemployment rate.4 It is even lower in specialties like technology, and accounting and finance. By 2020, the United States could have 1.5 million too few college-educated workers.5

• Recruiting challenges and skills gaps persist. Among businesses currently hiring full-time employees, 66% reported difficulties in recruiting for certain job openings, a 52% increase from 2011. The top four applied skills gaps among job applicants are critical thinking/problem solving (53%), professionalism/work ethic (46%), written communications (41%) and leadership (38%), according to HR professionals.6

The Perfect Storm: A number of factors are contributing to a shortage of candidates with specialized skill sets.

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1 Job Openings and Labor Turnover Survey – February 2013, U.S. Bureau of Labor Statistics, April 9, 2013. 2 Occupational Outlook Handbook, 2012-2013 Edition, Projections Overview, U.S. Bureau of Labor Statistics (as of April 15, 2013). 3 Talent Tensions Ahead: A CEO Briefing, McKinsey Global Institute, McKinsey & Co., November 2012.4 Employment Situation Summary – March 2013, U.S. Bureau of Labor Statistics, April 5, 2013.5 Preparing for a New Era of Knowledge Work, McKinsey Global Institute, McKinsey & Co., November 2012.6 The Ongoing Impact of the Recession – Recruiting and Skill Gaps, Society for Human Resource Management, March 12, 2013.

Special Report: The Demand for Skilled Talent

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Q1 2013 Unemployment Rates by Occupation, for Select Positions

7 Job Openings and Labor Turnover Survey – February 2013, U.S. Bureau of Labor Statistics, April 9, 2013.8 The State of Human Capital 2012: Why the Human Capital Function Still Has Far to Go, The Conference Board and McKinsey & Co., 2012.

Employee Confidence Is Building: More job opportunities have made professionals increasingly selective when evaluating employment offers.

Source: Current Population Survey, conducted by the Bureau of Census for the U.S. Bureau of Labor Statistics, Data for Q1 2013.

Finance and AccountingChief executives (includes CFOs) 1.6%Compliance officers 3.1%Accountants and auditors 4.0%Bookkeeping, accounting and auditing clerks 4.3%Financial managers 5.0%

Administrative and Office SupportAdministrative services managers 4.2%Administrative assistants 6.0%

TechnologyChief executives (includes CIOs) 1.6%Computer network architects 1.7%Software developers, applications and systems software 2.2%Database administrators 2.8%Network and computer systems administrators 3.1%Computer and information systems managers 3.5%Computer systems analysts 3.7%Computer support specialists 5.7%

Creative and MarketingAdvertising managers 0.3%Web developers 1.0%Public relations specialists 2.1%Writers (including copywriters) 3.0%Marketing specialists 4.0%Marketing managers 5.0%Public relations managers 5.3%Designers 6.9%

LegalLawyers 1.8%Paralegals and legal assistants 5.8%

• Job seekers are more optimistic. Almost 2.3 million professionals voluntarily left their jobs in February 2013, a nearly 19% increase compared to two years ago.7 (See chart on Page 4.)

• Companies are concerned about finding and keeping workers. Human resources professionals consider talent acquisition and retention among their top three critical priorities, both current and future.8

• Employers are scouting talent at other organizations. 19% of workers said they have been approached to work for another company in the last year when they didn’t apply for a position. Among those, professional and business services workers (31%) and IT workers (26%) were some of the most likely to be pursued.9

• Salaries are increasing. U.S. starting salaries for professional occupations are projected to rise 3.7% in 2013. Technology salaries are expected to rise the most, by 5.3%.10 Computer engineering was the highest paying major for new college graduates in 2012.11

• Employers are willing to pay more. 72% of employers plan to raise salaries for current workers in 2013, and 47% will offer higher starting salaries for new hires – up from 32% last year.12

9 2013 U.S. Job Forecast, CareerBuilder, December 27, 2012. 10 2013 Salary Guides from Robert Half (rhi.com/SalaryGuides).

11 January 2013 Salary Survey, National Association of Colleges and Employers (NACE).12 2013 U.S. Job Forecast, CareerBuilder, December 27, 2012.

Special Report: The Demand for Skilled Talent

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Robert Half Can Help We specialize in identifying hard-to-

find candidates and matching them

with appropriate jobs. Our staffing

professionals are well-connected

within the industries we serve and

are able to draw from a large pool of

highly skilled and experienced can-

didates. We also conduct frequent

research so we can provide our clients

with the most up-to-date information

on salary and employment trends.

With more than 350 specialized staff-

ing locations worldwide and more than

60 years of recruiting experience,

Robert Half is well-positioned to

help you with any of your staffing and

recruitment needs.

Contact us today at roberthalf.com or call 1.800.803.8367.

roberthalf.com • 1.800.803.8367

© 2013 Robert Half International. An Equal Opportunity Employer. RH-0413

Source: Job Openings and Labor Turnover Surveys (Feb. 2011 - Feb. 2013), U.S. Bureau of Labor Statistics. Figures are seasonally adjusted. P = preliminary.

Professionals Who Voluntarily Left Their Jobs (in thousands)

2,152

Mar

‘12

Apr

‘12

Mar

‘11

May

‘12

Apr

‘11

May

‘11

Jun

‘11

Jul ‘

11

Aug

‘11

Sep

‘11

Oct

‘11

Nov

‘11

Dec

‘11

Jan

‘12

Feb

‘11

Feb

‘12

2,080

1,943

1,864

1,956

1,863

2,036

2,0091,964

Jun

‘12

Jul ‘

12

Aug

‘12

2,148

2,093

2,139

1,995

1,906

1,956

2,020

1,928

2,106

2,151

Sep

‘12

Oct

‘12

Nov

‘12

2,079

2,140

1,976

2,260P2,260

2,126

Dec

‘12

Jan

‘13

Feb

‘13

Spotlight! Jobs With Staying Power

Connect with us:

Workers Are More Willing to Quit Their Jobs:

• Occupations in science, technology, engineering and mathematics (STEM) are expected to grow by 17% from 2008 to 2018, compared to 9.8% growth for non-STEM occupa-tions. STEM workers command higher wages, earning 26% more than their non-STEM counterparts.13

• Driven by growing demand for sophisticated computer network and mobile technologies, employment in computer systems design and related services is expected to increase by 47% by 2020. Computer and information technology occupations are projected to grow by 22%. Employment in management, scientific and technical consulting services is anticipated to expand by 58%.14

13 STEM: Good Jobs Now and for the Future, U.S. Department of Commerce, Economics and Statistics Administration, July 2011.14 Occupational Outlook Handbook, 2012-2013 Edition, Projections Overview, U.S. Bureau of Labor Statistics (as of April 15, 2013).