How Low Unemployment Rates Affect Small Businesses
After the economic collapse of the United States economy in 2008 and the subsequent rebound, the unemployment rate has continued to drop. According to the labor department the U.S had more job openings than unemployed Americans as of April 2018. The economy has now grown for 94 months, which is the third-longest expansion in United States history and for the first time since record-keeping began in 2000, the number of available job positions in the country exceeds the amount of job seekers. While that is good news for people searching for work, it is bad news for businesses seeking top talent. Record wage growth is another obstacle facing businesses in need of top talent for reasonable wages. Recruiting in the face of low unemployment rates and high wages is difficult. How can businesses compete in this war for talent?
Existing Talent Comes at a Premium
Since many skilled and unskilled Americans are currently employed, there is not much access to lower-cost employees. The talent that is potentially interested in changing jobs would desire a higher wage or more benefits. Instead of being able to secure quality talent for an affordable rate, companies are put in a squeeze to over-pay for the same workforce that would have cost a fraction of the amount a few years ago.
Extreme Competition for Top Talent
On top of increased cost and decreased availability, there is extreme competition for the high-level talent that does reach the job market. Since so many companies are competing for the same employees, employee demands are also higher than ever. Finding affordable employees is difficult, especially for small and medium-sized businesses without deep pockets and an impressive catalog of benefits.
Outsourcing is a Solution to Low Unemployment Rates
Outsourcing is the perfect solution for top talent without the high price tag for small, mid-sized and large businesses. For the same price a business would pay for low-end talent in the United States, they could secure top talent in the field offshore. Depending on what tasks staff members need to do, a business can hire them by the hour or by the task. Businesses also don’t need to invest the same amount in training, as outsourced employees will arrive already familiar with industry standards.
Partner with Outsourcing Services International
At Outsourcing Services International, we are proud to maintain a highly-talented and professional workforce that would love to work for you. If you have any concerns regarding the outsourcing process and how it could transform your business, please reach us at firstname.lastname@example.org or (855) 746-4674.
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