Baby Boomers (born between 1946 and 1964) in the U.S. are retiring at a rate of 10,000 per day—and with them they are removing a generation of experience, values and knowledge from the workforce. Looked at on a global scale, this number is multiplied exponentially.
This is a loss to be sure, but organizations don’t have the time to dwell on the past. They must look to the future, and look to replace vital roles with talent capable of stepping in and excelling in short order. As Baby Boomers continue to retire and the pace of change continues to accelerate, is the answer to hire younger and more coachable talent than organizations are accustomed to?
To explore further, we turn to this week’s edition of Talent Acquisition Fast Facts:
As mentioned above, Baby Boomers are retiring at a rate of 10,000 per day; this trend will continue for the next 15 years, according to the Boettner Center for Pensions and Retirement Research at the University of Pennsylvania.
According to the Bureau of Labor Statistics, Millennials will make up 50% of the working population by 2018.
Software company, Achievers, surveyed 15,000 2014 college graduates to gauge their outlook on employment in the months ahead. According to this study, 72% of surveyed respondents “are optimistic they’ll be able to find a job.”
This optimism is not unfounded as, according to a 2014 study by CareerBuilder and CareerRookie, 57% of employers plan to hire new college graduates this year.
However, according to this same study, 2,138 surveyed hiring managers believe 2014 graduates are less prepared for a number of roles. Specifically, surveyed respondents believe graduates are inadequately prepared in the following areas:
In North America, hiring managers admit that 1-in-5 hires turn out to be mistakes, costing businesses an average of $25,000 per “bad hire” (SmartRecruiters, State of Hiring Top Talent in 2014).
As companies continue to hire younger talent, how can they make sure they’re recruiting the best and the brightest? With such limited experience to draw from when hiring recent graduates, how can organizations avoid such costly mistakes?
According to ConnectEDU’s 2014 Best Places to Work for Recent Grads report, companies who excel in hiring recent graduates (and retaining them for 3+ years) overcome inexperience by:
This make sense as, according to the Achievers’ study, Millennials ranked training and mentorship as a top-3 most important factor when looking for a job/deciding whether to take a job.
Although salary ranks higher than training and mentorship, career advancement opportunities are at the top of their list—something that can perhaps be achieved through formal training programs, mentoring and effective management.
Looking to hire young talent? The 15,000 2014 graduates surveyed by Achievers listed how they plan to search for jobs in the weeks and months ahead:
Although the workforce is getting younger—and, in turn, more inexperienced—it’s also becoming more coachable. If the statistics above are to be believed, the Millennial generation and recent college graduates are receptive to and excited about being molded into the worker their new employers need. In fact, according to the Achievers’ study, 93% of 2014 college graduates do not want to be self-managed; they want to be coached. Do you agree?
We’d love to hear your thoughts!