We all know it — the job market is bursting at the seams. Vacancies are in abundance and the lack of available talent has created a rare and unique market which favours jobseekers. With thousands of vacancies and organisations seeking out their next hire, standing out from the pack has never been more important to attain the best talent.
So how can employers distinguish themselves from their competitors? The answer is through employer branding. Currently, 72 per cent of recruiting leaders around the world agree that employer brand has a significant impact on hiring and organisational success. By differentiating themselves in the labour market, organisations can reap the rewards of recruiting, retaining, and engaging the right people for their business.
When your employer brand is strong, exceptional talent are always eager to join your team. Companies like Apple and Google consistently fill open roles at lightning speed with the best talent in their respective fields because their employer branding is so strong. It draws applicants in from all over world and provides these companies with the best candidates.
Many organisations that have a strong brand become an employer of choice for jobseekers. Earning this label automatically expands the pool of potential applicants and roles are often filled quickly and effectively. Furthermore, a strong employer brand leads to 50 per cent more qualified applicants, which is a powerful tool in highly competitive sectors or where niche skills are in serious demand.
It’s important to never underestimate the power of social media in the hiring process either. Platforms such as Instagram and LinkedIn are regularly consulted by jobseekers to understand company culture and values to help determine whether or not to apply. Indeed’s data shows 78 per cent of people will investigate a company’s reputation before applying, with 88 per cent of millennials placing importance on joining the right company culture. Social platforms are an essential space for all companies to share their employer brand and highlight their culture and employee initiatives so they can distinguish themselves in the job market.
In addition to finding and obtaining the best talent, strong employer brands transform the hiring process into a cheaper and faster practice. In our current job market, listings can be lost in the sea of openings, however, a strong employer brand can allow your company to become an employer of choice, and candidates will actively seek out potential openings.
Investing in your employer brand also provides significant returns throughout the hiring process. Companies with an attractive employer brand are likely to find they no longer need to heavily advertise or promote their open opportunities on job sites as they are a sought-out workplace with candidates actively searching their website for job openings.
Companies with strong employer brands can also save on salaries, with candidates on average happier to accept a lower offer if the employer aligns with their values. That is not to say companies should award anything less than what the candidate deserve—rather, those with negative brands pay more on average to secure top talent. As a baseline, it costs close to $5,000 per employee when they fail to invest in their own reputation, so it’s easy to see how the costs can quickly add up.
When it comes to building a strong and positive employer brand, workplace culture and organisational values are key. An attractive employer brand is one that truly embraces and promotes diversity and inclusion, employee health and wellbeing, work-life balance, and team cohesion. It’s one that speaks authentically about corporate values and purpose, and prioritises workplace psychological safety, culture, and overall employee satisfaction.
The benefits of staff happiness and a positive workplace culture are well documented, but in terms of the job market, it means companies are often able to avoid taking a job to market as it is quickly filled by referrals. In contrast, a study found that an alarming 49 per cent of respondents wouldn’t recommend their current place of work to a friend or family member. By investing time and energy into their employer brand, companies can benefit from increased referrals from their employees and thereby avoid the crowded job market altogether.
The importance of employer branding in our current job market cannot be understated. Job seekers today have the pick of the bunch, which means investing in employer branding can separate your company from the rest. Actively highlight your employees and what you offer them, how you’re improving company culture, and the values your team stand by. Don’t just promote your company but work behind the scenes to ensure your employees are happy and fulfilled at work, as this will provide in dividends.
Kate Furey is Indeed’s Career Insights Specialist and APAC Corporate Affairs Director. Kate has a dynamic global background in communications, marketing and journalism. Kate’s passion lies in helping people find jobs they love.