SHRM Survey Findings: The Ongoing Impact of the
Recession—State and Local Government
September 25, 2013
• These are the State and Local Government survey findings about the ongoing impact of the U.S.
and global recession, whic...
The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 3
Skill Gaps
• What basic skills/knowledge gaps do job applicants typically have? The most common basic
skills/knowledge gaps are writi...
In general, what basic skills/knowledge gaps do job applicants have in
your industry?
State and Local Government
5
Note: P...
In general, what applied skill gaps do job applicants have in your
industry?
State and Local Government
6
Note: Percentage...
Organizations having difficulty filling specific job categories for full-
time, regular positions:
State and Local Governm...
Organizations having difficulty filling specific job categories for full-
time, regular positions (continued):
State and L...
The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 9
Recruiting Challenges
• Is it difficult to recruit for positions requiring new and different skill sets? One-half of
organizations (50%) reporte...
For the new full-time, regular positions being created by your
organization that require new and different skill sets, how...
For the new full-time, regular positions being created by your organization
that require new and different skill sets, how...
In general, in the current labor market, is your organization having a
difficult time recruiting for specific jobs that ar...
In general, in the current labor market, are you having a difficult time
recruiting for certain types of full-time, regula...
What are the main reason(s) that your organization experiences
difficulty in hiring qualified candidates for full-time, re...
What are the main reason(s) that your organization experiences difficulty in
hiring qualified candidates for full-time, re...
Do you believe that your organization is facing global competition
(i.e., competition from other countries) for talent for...
Do you believe that your organization is facing global competition
(i.e., competition from other countries) for talent for...
The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 19
Recruiting Strategies
• What strategies is your organization using to deal with recruiting challenges for full-
time, regular positions? The mos...
What strategies is your organization using to deal with recruiting
challenges for full-time, regular positions?
State and ...
What strategies is your organization using to deal with recruiting challenges
for full-time, regular positions? (continued...
Has your organization hired any workers from outside the United States
in an attempt to staff key jobs that have been diff...
Has your organization hired any workers from outside the United States in
an attempt to staff key jobs that have been diff...
Has your organization hired any U.S. veterans in an attempt to staff key
jobs that have been difficult to fill?
State and ...
Has your organization hired any U.S. veterans in an attempt to staff key
jobs that have been difficult to fill?
The Ongoin...
The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 27
Demographics
Demographics: Organization Staff Size
State and Local Government
The Ongoing Impact of the Recession—State and Local Gover...
Note: n = 663. Percentages do not equal 100% due
to rounding.
Other Demographics
State and Local Government
The Ongoing Im...
• Response rate = 25%
• 691 randomly selected HR professionals from the state and local government industry in SHRM’s
memb...
• For more survey/poll findings, visit www.shrm.org/surveys
• For more information about SHRM’s Customized Research Servic...
The Society for Human Resource Management (SHRM) is the world’s largest association devoted to
human resource management. ...
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SHRM Survey Findings: The Ongoing Impact of the Recession—State and Local Government

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One-half (52%) of organizations in the state and local government that were hiring full-time staff reported difficulty recruiting for specific open jobs, an increase from 34% in 2011. The top reasons given for recruiting difficulty were the candidates’ pay requirements not matching the hiring organization’s salary or hourly rates (53%), lack of the right skills among candidates (43%), and competition from other employers (35%). This report is one of eight industry-level SHRM survey findings that look at skill gaps, recruiting challenges and recruiting strategies for employers in the U.S.

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SHRM Survey Findings: The Ongoing Impact of the Recession—State and Local Government

  1. 1. SHRM Survey Findings: The Ongoing Impact of the Recession—State and Local Government September 25, 2013
  2. 2. • These are the State and Local Government survey findings about the ongoing impact of the U.S. and global recession, which began in 2007. This is the third year that SHRM has conducted this study, and data are reported for 2010 and 2011 where possible. The results are reported in the following sections: » Skill gaps. » Recruiting challenges. » Recruiting strategies. • Industry-specific results will be reported separately for each of the following industries: » Construction, mining, oil and gas. » Federal government. » Finance. » Health. » High-tech. » Manufacturing. » Professional services. • Overall and California results can be found on our website at www.shrm.org/surveys. The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 2 Introduction
  3. 3. The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 3 Skill Gaps
  4. 4. • What basic skills/knowledge gaps do job applicants typically have? The most common basic skills/knowledge gaps are writing in English (63%), mathematics (33%), reading comprehension (in English) (32%) and government/economics (31%). • What applied skill gaps do job applicants typically have? The top five applied skill gaps are critical thinking/problem solving (51%), written communications (50%), professionalism/work ethic (48%), leadership (42%) and oral communication (37%). • What types of jobs are the most difficult to fill? The top five most difficult positions to fill are high-skilled medical (92%), engineers (83%), high-skilled technical (82%), managers and executives (70%), and scientists (70%). The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 4 Key Findings: Skill Gaps State and Local Government
  5. 5. In general, what basic skills/knowledge gaps do job applicants have in your industry? State and Local Government 5 Note: Percentages do not total 100% due to multiple response options. Only respondents whose organizations were having a difficult time recruiting for certain types of jobs were asked this question. 6% 4% 4% 1% 8% 6% 22% 41% 24% 24% 56% 6% 2% 4% 8% 9% 12% 22% 31% 32% 33% 63% Other History/geography Humanities/arts Technical (computer, engineering, mechanical, etc.) Science Foreign languages English language (spoken) Government/economics Reading comprehension (in English) Mathematics (computation) Writing in English (grammar, spelling, etc.) 2012 (n = 332) 2011 (n = 78) The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013
  6. 6. In general, what applied skill gaps do job applicants have in your industry? State and Local Government 6 Note: Percentages do not total 100% due to multiple response options. Only respondents whose organizations were having a difficult time recruiting for certain types of jobs were asked this question. 10% 24% 26% 20% 26% 33% 26% 36% 43% 49% 46% 53% 2% 21% 22% 24% 25% 33% 35% 37% 42% 48% 50% 51% Other Creativity/innovation Lifelong learning/self-direction Diversity (i.e., the ability to work well with a diverse workforce and customer base) Ethics/social responsibility Teamwork/collaboration Information technology application Oral communications Leadership Professionalism/work ethic Written communications Critical thinking/problem solving 2012 (n = 362) 2011 (n = 90) The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013
  7. 7. Organizations having difficulty filling specific job categories for full- time, regular positions: State and Local Government 7 Note: This figure represents “Somewhat difficult” and “Very difficult” responses. “Not applicable” responses were excluded from this analysis. Only respondents whose organizations were having a difficult time recruiting for certain types of jobs were asked this question. Data are not provided where the sample size is less than 20. 56% 61% 80% 71% 88% 83% 85% 58% 61% 70% 70% 82% 83% 92% Accounting and finance professionals (2012 n = 217, 2011 n = 72) Skilled trades (e.g., electricians, carpenters) (2012 n = 163, 2011 n = 51) Scientists (2012 n = 44, 2011 n = 20) Managers and executives (2012 n = 222, 2011 n = 80) High-skilled technical (e.g., technicians, programmers) (2012 n = 193, 2011 n = 72) Engineers (2012 n = 127, 2011 n = 53) High-skilled medical (e.g., nurses, doctors, specialists) (2012 n = 74, 2011 n = 32) 2012 2011 The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013
  8. 8. Organizations having difficulty filling specific job categories for full- time, regular positions (continued): State and Local Government 8 Note: This figure represents “Somewhat difficult” and “Very difficult” responses. “Not applicable” responses were excluded from this analysis. Only respondents whose organizations were having a difficult time recruiting for certain types of jobs were asked this question. *Data are not provided where the sample size is less than 20. 14% 16% 21% 28% 46% 16% 20% 29% 33% 38% 47% Customer service representatives (2012 n = 161, 2011 n = 68) Administrative support staff (2012 n = 240, 2011 n = 92) Hourly laborers (2012 n = 171, 2011 n = 65) *Production operators (2012 n = 46) Drivers (2012 n = 115, 2011 n = 36) HR professionals (2012 n = 162, 2011 n = 61) 2012 2011 The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013
  9. 9. The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 9 Recruiting Challenges
  10. 10. • Is it difficult to recruit for positions requiring new and different skill sets? One-half of organizations (50%) reported that it is somewhat or very difficult to recruit for completely new positions or positions with new duties added that required new and different skill sets. This is similar to what was reported in 2011 (48%), but an increase from 35% in 2010. • Is recruiting for specific jobs difficult in the current labor market? About one-half of organizations (52%) currently hiring full-time staff indicated that they were having a difficult time recruiting for specific job openings, an increase from 34% in 2011. • Why are organizations experiencing difficulty hiring qualified candidates? About one-half of organizations (53%) indicated that qualified candidates were not within their salary range or hourly range rate, and 43% indicated that candidates did not have the right skills for the job. Approximately one-third cited difficulty because of competition from other employers (35%), or candidates did not have the right work experience (32%). • Are organizations facing global competition for applicants for hard-to-fill jobs? Very few organizations (4%) believe they are facing global competition for qualified applicants for jobs they are having difficulty filling, which is unchanged from 2011. The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 10 Key Findings: Recruiting Challenges State and Local Government
  11. 11. For the new full-time, regular positions being created by your organization that require new and different skill sets, how easy or difficult do you think it will be or has been thus far to find qualified individuals for those positions? State and Local Government The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 11 Note: Percentages may not total 100% due to rounding. Only respondents whose organizations were hiring full-time staff for positions with “new duties added to jobs lost” or “completely new positions” that required either “a mixture of new skills and the same types of skills” or “completely new and different skills” were asked this question. 0% 35% 45% 20% 0% 48% 43% 9% 5% 45% 40% 9% Very difficult Somewhat difficult Somewhat easy Very easy 2012 (n = 97) 2011 (n = 44) 2010 (n = 86)
  12. 12. For the new full-time, regular positions being created by your organization that require new and different skill sets, how easy or difficult do you think it will be or has been thus far to find qualified individuals for those positions? The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 12 Note: Only statistically significant differences are shown. Comparisons by industry Comparisons by industry Health (54%) > Construction, mining, oil and gas (27%) High-tech (23%) Manufacturing (20%) Professional services (28%) State or local government (40%) > Manufacturing (20%) • The health industry is more likely than the construction, mining, oil and gas; high-tech; manufacturing; and professional services industries to indicate it will be or has been somewhat easy to find qualified individuals for new full-time positions. • State or local governments are more likely than the manufacturing industry to indicate it will be or has been somewhat easy to find qualified individuals for new full-time positions. Comparisons by industry Manufacturing (63%) > Health (40%) • The manufacturing industry is more likely than the health industry to indicate it will be or has been somewhat difficult to find qualified individuals for new full-time positions.
  13. 13. In general, in the current labor market, is your organization having a difficult time recruiting for specific jobs that are open in your organization? State and Local Government 13 Note: Respondents who answered “don’t know” were excluded from this analysis. Only respondents whose organizations were currently hiring full-time staff were asked this question. Yes, 34% No, 66% 2011 The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 Yes, 52% No, 48% 2012 n = 302 n = 524
  14. 14. In general, in the current labor market, are you having a difficult time recruiting for certain types of full-time, regular positions that are open in your organization? The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 14 Note: Only statistically significant differences are shown. Comparisons by industry High-tech (82%) Manufacturing (79%) > Federal government (50%) Finance (66%) Health (65%) State or local government (52%) Construction, mining, oil and gas (74%) Professional services (70%) > Federal government (50%) State or local government (52%) Finance (66%) Health (65%) > State or local government (52%) Comparisons by industry • Although there is recruiting difficulty across all industries, certain industries are experiencing more difficulty than others. • The high-tech and manufacturing industries are more likely than the federal government, finance, health and state or local government industries to be having difficulty recruiting for certain types of full-time, regular positions. • The construction, mining, oil, and gas and professional services industries are more likely than the federal government and state or local governments to be having difficulty recruiting for certain types of full-time, regular positions. •The finance and health industries are more likely than state or local governments to be having difficulty recruiting for certain types of full-time, regular positions.
  15. 15. What are the main reason(s) that your organization experiences difficulty in hiring qualified candidates for full-time, regular positions? State and Local Government The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 15 Note: n = 265. Percentages do not total 100% due to multiple response options. Respondents who answered “don’t know” were excluded from this analysis. Only respondents whose organizations were having a difficult time recruiting for certain types of jobs were asked this question. 53% 43% 35% 32% 27% 22% 12% Qualified candidates are not within our salary range or hourly range rate Candidates do not have the right skills for the job Competition from other employers Candidates do not have the right work experience Candidates do not have the needed credentials/certifications Low number of applicants Qualified candidates are not interested in moving to our local area
  16. 16. What are the main reason(s) that your organization experiences difficulty in hiring qualified candidates for full-time, regular positions? (continued) State and Local Government The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 16 Note: n = 265. Percentages do not total 100% due to multiple response options. Respondents who answered “don’t know” were excluded from this analysis. Only respondents whose organizations were having a difficult time recruiting for certain types of jobs were asked this question. 12% 8% 7% 5% 4% 3% 8% Candidates do not have high enough levels of education/training Our organization does not provide relocation funds Lack of interest in type of job Candidates are overqualified Qualified candidates are not able to move to our local area (due to mortgage or other issues) Local education/training system does not produce enough work-ready/qualified job candidates Other
  17. 17. Do you believe that your organization is facing global competition (i.e., competition from other countries) for talent for hard-to-fill jobs? State and Local Government 17 Note: Respondents who answered “don’t know” were excluded from this analysis. Only respondents whose organizations were having a difficult time recruiting for certain types of jobs were asked this question. Yes, 4% No, 96% 2011 The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 Yes, 4% No, 96% 2012 n = 96 n = 245
  18. 18. Do you believe that your organization is facing global competition (i.e., competition from other countries) for talent for hard-to-fill jobs? The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 18 Note: Only statistically significant differences are shown. Comparisons by industry High-tech (33%) > Finance (5%) Health (6%) Manufacturing (15%) Professional services (14%) State or local government (4%) Construction, mining, oil and gas (22%) Federal government (22%) > Finance (5%) Health (6%) State or local government (4%) Manufacturing (15%) > Finance (5%) State or local government (4%) Professional services (14%) > State or local government (4%) Comparisons by industry • Organizations in the high-tech industry are more likely than those in the finance, health, manufacturing, professional services and state or local government industries to believe that they are facing global competition for talent for hard-to-fill jobs. • Organizations in the construction, mining, oil, and gas and federal government industries are more likely than those in the finance, health and state or local government industries to believe that they are facing global competition for talent for hard-to-fill jobs. • Organizations in the manufacturing industry are more likely than those in the finance and state or local government industries to believe that they are facing global competition for talent for hard-to-fill jobs. • Organizations in the professional services industry are more likely than those in state or local governments to believe that they are facing global competition for talent for hard-to-fill jobs.
  19. 19. The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 19 Recruiting Strategies
  20. 20. • What strategies is your organization using to deal with recruiting challenges for full- time, regular positions? The most common strategies reported by organizations are expanding advertising efforts (49%), training existing employees to take on the hard-to-fill positions (33%), expanding the search region (31%) and collaborating with educational institutions (27%). • Have organizations been hiring workers from outside the U.S. for jobs that have been difficult to fill? Eleven percent of organizations have hired workers from outside the U.S., which is the same as 2011 findings. • Have organizations been hiring U.S. veterans for jobs that have been difficult to fill? A majority (71%) of organizations reported hiring U.S. veterans, an increase from 37% in 2011. Another 8% are either considering or have plans to hire veterans in the next 12 months. The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 20 Key Findings: Recruiting Strategies State and Local Government
  21. 21. What strategies is your organization using to deal with recruiting challenges for full-time, regular positions? State and Local Government The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 21 Note: n = 265. Percentages do not total 100% due to multiple response options. Only respondents whose organizations were having a difficult time recruiting for certain types of jobs were asked this question. 49% 33% 31% 27% 25% 23% 23% Expanding advertising efforts Training existing employees to take on the hard-to-fill positions Expanding search region Collaborating with educational institutions Using social media to find passive job seekers Increasing retention efforts Offering more flexible work arrangements
  22. 22. What strategies is your organization using to deal with recruiting challenges for full-time, regular positions? (continued) State and Local Government The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 22 Note: n = 265. Percentages do not total 100% due to multiple response options. Only respondents whose organizations were having a difficult time recruiting for certain types of jobs were asked this question. 17% 16% 6% 3% 2% 14% Improving compensation/benefits package Expanding training programs to help improve skills of new hires Providing monetary incentives to candidates (e.g., signing bonus) Offering new job perks Other None; we have not changed our recruiting strategy
  23. 23. Has your organization hired any workers from outside the United States in an attempt to staff key jobs that have been difficult to fill? State and Local Government 23 Note: Respondents who answered “don’t know” were excluded from this analysis. Only respondents whose organizations were having a difficult time recruiting for certain types of jobs were asked this question. 11% 89% 0% 0% 11% 88% 1% 0% Yes No No, but we are considering it No, but we have plans to do so in the next 12 months 2012 (n = 254) 2011 (n = 94) The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013
  24. 24. Has your organization hired any workers from outside the United States in an attempt to staff key jobs that have been difficult to fill? The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 24 Note: Only statistically significant differences are shown. Comparisons by industry High-tech (50%) > Construction, mining, oil and gas (26%) Federal government (16%) Finance (16%) Health (29%) Manufacturing (24%) Professional services (24%) State or local government (11%) Construction, mining, oil and gas (26%) Health (29%) Manufacturing (24%) Professional services (24%) > State or local government (11%) Comparisons by industry • The high-tech industry is more likely than the construction, mining, oil and gas; federal government; finance; health; manufacturing; professional services; and state or local government industries to have hired workers from outside the U.S. in an attempt to recruit for hard-to-fill jobs. • The construction, mining, oil and gas; health; manufacturing; and professional services industries are more likely than state or local governments to have hired workers from outside the U.S. in an attempt to recruit for hard-to-fill jobs.
  25. 25. Has your organization hired any U.S. veterans in an attempt to staff key jobs that have been difficult to fill? State and Local Government 25 Note: Respondents who answered “don’t know” were excluded from this analysis. Only respondents whose organizations were having a difficult time recruiting for certain types of jobs were asked this question. 71% 21% 6% 2% 37% 54% 6% 3% Yes No No, but we are considering it No, but we have plans to do so in the next 12 months 2012 (n = 228) 2011 (n = 67) The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013
  26. 26. Has your organization hired any U.S. veterans in an attempt to staff key jobs that have been difficult to fill? The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 26 Note: Only statistically significant differences are shown. Comparisons by industry Federal government (87%) > Finance (40%) Health (57%) High-tech (47%) Manufacturing (60%) Professional services (43%) Construction, mining, oil and gas (70%) State or local government (71%) > Finance (40%) High-tech (47%) Professional services (43%) Manufacturing (60%) > Finance (40%) Professional services (43%) Comparisons by industry • The federal government is more likely than the finance, health, high-tech, manufacturing and professional services industries to have hired U.S. veterans in an attempt to recruit for hard-to-fill jobs. • The construction, mining, oil, and gas and state or local government industries are more likely than the finance, high- tech and professional services industries to have hired U.S. veterans in an attempt to recruit for hard-to-fill jobs. • The manufacturing industry is more likely than the finance and professional services industries to have hired U.S. veterans in an attempt to recruit for hard-to-fill jobs.
  27. 27. The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 27 Demographics
  28. 28. Demographics: Organization Staff Size State and Local Government The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 28 n = 646 17% 39% 27% 15% 2% 1 to 99 employees 100 to 499 employees 500 to 2,499 employees 2,500 to 24,999 employees 25,000 or more employees
  29. 29. Note: n = 663. Percentages do not equal 100% due to rounding. Other Demographics State and Local Government The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 29 U.S.-based operations only 100% Multinational operations <1% Single-unit organization: An organization in which the location and the organization are one and the same. 59% Multi-unit organization: An organization that has more than one location. 41% Multi-unit headquarters determines HR policies and practices. 56% Each work location determines HR policies and practices. 3% A combination of both the work location and the multi-unit headquarters determines HR policies and practices. 42% Is your organization a single-unit organization or a multi-unit organization? For multi-unit organizations, are HR policies and practices determined by the multi-unit headquarters, by each work location or by both? Does your organization have U.S.- based operations (business units) only, or does it operate multinationally? n = 665 n = 268. Percentages do not equal 100% due to rounding. Corporate (companywide) 74% Business unit/division 19% Facility/location 7% n = 269 What is the HR department/function for which you responded throughout this survey?
  30. 30. • Response rate = 25% • 691 randomly selected HR professionals from the state and local government industry in SHRM’s membership participated in this survey. • With small sample sizes, the response of one participant can affect the overall results considerably; this should be noted when making interpretations of the data, particularly when interpreting small percentage differences. • Survey fielded August 28-September 14, 2012 The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 30 SHRM Survey Findings: The Ongoing Impact of the Recession—State and Local Government Survey Methodology
  31. 31. • For more survey/poll findings, visit www.shrm.org/surveys • For more information about SHRM’s Customized Research Services, visit www.shrm.org/customizedresearch • Follow us on Twitter @SHRM_Research The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 31 About SHRM Research Project leader: Tanya Mulvey, researcher, talent management & workforce skills, SHRM Research Project contributors: Alexander Alonso, Ph.D., SPHR, vice president, SHRM Research Evren Esen, manager, Survey Research Center, SHRM Research Copy editor: Katya Scanlan, SHRM Knowledge Center
  32. 32. The Society for Human Resource Management (SHRM) is the world’s largest association devoted to human resource management. Representing more than 250,000 members in over 140 countries, the Society serves the needs of HR professionals and advances the interests of the HR profession. Founded in 1948, SHRM has more than 575 affiliated chapters within the United States and subsidiary offices in China and India. The Ongoing Impact of the Recession—State and Local Government ©SHRM 2013 32 About SHRM

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