Q2 2024: Hiring Trends in the UK and Germany

Originally posted on LinkedIn

In this article I provide a snapshot of the hiring landscape in Q2 2024 for the UK and Germany, drawing on data and research from The Stepstone Group’s Hiring Trends Index. This study, conducted over May and June, involved comprehensive surveys with 500 HR decision-makers and 3,700 candidates from Germany, as well as 1,000 HR decision-makers and 3,000 candidates from the UK.

As an executive search partner, my aim is to unpack these findings to reveal not just the challenges and opportunities in recruitment but also the strategic insights that can guide us in navigating these markets.

Did you know? Candidates are exceptionally active and sought-after in both countries, with nearly a quarter (24%) in the UK and a striking 42% in Germany reporting that they are actively looking for a job.

This dynamic points to a vibrant job market where candidates are not just available but are actively exploring their options, highlighting the need for companies to differentiate themselves to attract top talent.

In this article, I will delve into the nuances of these findings, offering my takeaways on how companies can effectively attract, hire, and retain the best candidates in an increasingly competitive and candidate-driven market.

A Quest for Stability Amidst Global Uncertainty

In a world where stability has become a valued commodity, both the UK and Germany have shown a preference for cautious, measured growth in their hiring practices. In Germany, 30% of businesses expanded their teams, taking a deliberate 6.6 weeks on average to secure the right candidates. The UK mirrored this cautious optimism, with 31% of businesses increasing their hiring, requiring approximately 4.9 weeks to fill positions.

The Recruitment Conundrum

Hiring the right talent has never been a stroll in the park, and Q2 2024 was no exception. In Germany, 83% of recruiters found the process challenging, a sentiment echoed by 67% of their UK counterparts. This isn't just about filling positions but finding the perfect alignment of skills and company culture - a complex puzzle indeed.

The Candidate's Market

The data speaks volumes about candidate behaviour and market demand. In Germany, candidates received an average of 5.6 job offers, whereas in the UK, the number was slightly lower at 4. However, the percentage of UK candidates open to new opportunities was higher (54%) compared to Germany's 49%. This indicates a more dynamic job-seeking behaviour in the UK, possibly driven by the recent economic uptick post-election.

Sustainability: No Longer Just a Buzzword

Sustainability has transitioned from a 'nice-to-have' to a critical component of company strategies, driven by employee demand. A significant 81% of UK workers and 75% of German workers feel their employers could enhance their sustainability efforts. This is crucial as more than a third of employees in both countries would consider leaving their jobs if their employer failed to meet environmental standards. This isn't just about being green - it's about being forward-thinking and responsible, qualities that top talent is increasingly expecting from employers.

Looking Ahead: What's Next?

As we approach Q3 2024, the UK shows signs of robust hiring intentions, with 27% of businesses planning to increase their teams. Germany, while more conservative, shows a strategic focus on enhancing specialist roles. Understanding these trends is key to navigating the complexities of talent acquisition and retention in these pivotal markets.

My Final Thoughts

For those of us dedicated to the art of executive search, these insights are invaluable. They help us refine our strategies and ensure that our approaches are not only data-driven but also align with the evolving priorities of the talent we seek to attract. As we continue to navigate these waters, let's remain adaptable, strategic, and, above all, committed to the values that drive our candidates and our businesses forward.